[Kristen]

$this->bbcode_second_pass_quote('nero', 'T')here is no "crisis" if by "crisis" you mean a sudden problem that needs to be addressed quickly. The economic problems have been compounding for a generation while we have delayed working our way out of debt. The deleveraging that is going on right now is painful but necessary.

Talk about solutions to the "financial crisis" are mostly about how to quickly halt the deleveraging which is exactly the opposite to what we need to do. The government needs to speed up the write downs and facilitate the clearing out of the hard to price assets that are stinking up the banker's books. Speed up the process of forclosure; speed up bankruptcy; then speed it up even further by devaluing the currency. Once the debts are mostly destroyed by either write-downs or by being paid off with a devalued currency, then people will be able to profitably start rebuilding the financial industry.

This may take a few years to do, and it will be very painful to equity and debt holders who will see their false paper profits disappear as if they had invested with Madoff; but it will in the end benefit people who work for a living, the very people who have failed to benefit from the last 20 years of productivity growth.

[Kristen]

$this->bbcode_second_pass_quote('evilgenius', '')$this->bbcode_second_pass_quote('Kristen', 'D')ear Forum members,

I have to give a persuasive speech on how to solve the economic crisis but I don't know where to start. Ban the federal reserve? new currencies? calling debt even and making it a public utility are my three main points I've decided so far. What do you think?

-Kristen

[Kristen]

$this->bbcode_second_pass_quote('mattduke', 'L')et me boil it down for you:

1. Gold standard.
2. 100% reserve banking.

BTW, economics is a social science. Attempts to treat it mathematically only obscures the principles. What would you rather have, an apple or an orange? See Hayek's Nobel acceptance speech, "The Pretense Of Knowledge".

[Kristen]

$this->bbcode_second_pass_quote('pablonite', 'H')ello Kristen.

I would think just giving a persuasive speech on the "economic crises" leaving out the "how to solve" is more...persuasive.

"Your" ideas for solving the "crises" have been bandied about but you being a student and seeing the monetary system for what it is...

Debt is a weapon and interest is the ammunition so operating inside a monetary system a student is just as likely a target as a third world country.

A mass awakening to what should be known as economic slavery or some such term needs to happen years before the problem can be solved. Do you think the big hands holding the debt gun are just going to put it down because you want to solve a problem?

By the way, those big hands most likely have a very firm grip on your educational institution which is why most of your classmates will be completely ignorant of how their monetary system even works. A kick in the arse is all your really aiming for.

[Kristen]

$this->bbcode_second_pass_quote('errorist', '')$this->bbcode_second_pass_quote('mattduke', 'L')et me boil it down for you:

1. Gold standard.
2. 100% reserve banking.

BTW, economics is a social science. Attempts to treat it mathematically only obscures the principles. What would you rather have, an apple or an orange? See Hayek's Nobel acceptance speech, "The Pretense Of Knowledge".

[errorist]

$this->bbcode_second_pass_quote('Kristen', '')$this->bbcode_second_pass_quote('errorist', '')$this->bbcode_second_pass_quote('mattduke', 'L')et me boil it down for you:

1. Gold standard.
2. 100% reserve banking.

BTW, economics is a social science. Attempts to treat it mathematically only obscures the principles. What would you rather have, an apple or an orange? See Hayek's Nobel acceptance speech, "The Pretense Of Knowledge".