I'd like to see a hybrid deposit/lending model in which you hold most of your gold for withdrawal/payment on demand and have agreements to automatically lend some specific fraction to cover the costs a la certificates of deposit
Really enjoyed the episode. Sounds like the only way a narrow bank will happen is a takeover of a bank with an account at the FED but then I'm sure that bank would lose that ability. Very sad.
We need warehouse banking. Put steel or commodities in a warehouse, and emit bills of credit. We also need decentralized banking not central banking. Technology makes it easier to have decentralized banking. The people should control banking not the Rothschild's, Rockefellers, Warburgs Schiff's. Some banks are for lending and some banks are for providing negotiable instruments for a fee.
The Misesian/Rothbardian misunderstanding about FRB stems from believing checking accounts are property titles. They are not. Checking account depositors invest in the bank; they own an IOU from the bank. Similarly, banks don’t lend out your deposits; they make loans and use deposits to service withdrawals. The market’s demand to hold bank liquid IOUs is the reason FRB doesn’t alter the time structure of production. In free banking, when banks don’t do this correctly, they go bankrupt. If you want to understand this, read George Selgin and Larry White, not Rothbard.
@@OrthoHoppean I think MI is bad on immigration, their extreme anti-empiricism in economic knowledge bias, and also the support for the Mises Regression Theorem. But I appreciate the MI for their overall promotion of radical ancap/anti-gov't philosophy. The biggest issue is how dogmatic the MI proponents are. They seem to view Mises/Rothbard's ideas as infallible, and eschew their own critical thinking.
It'll come from the savings of those with a low time preference: people who want to give up their money now for more later. A bank could offer research and market-making services as a credit intermediary, finding a debtor for a creditor and vice versa. I hope I've been helpful. You might revisit this video at 5:50.
With all the reparations coming down the pipe, it would be prudent to invest in pork belly futures. Along with watermelon futures, rims, fried chicken, kool-aid, and Hennessy.
@charles I like most logical thinking people think “reparations” is a ridiculous idea. I gotta be honest I’d be shocked if they’d actually go through with something so silly. You’d definitely make money selling the items you mentioned. Giving money to anyone who doesn’t understand investments and business management…..will only end up with them being poor again in a year because they spent it frivolously and irresponsibly. And no one ever asks the question. Where does reparations end? How many generations will get money? The mother, the daughter, the daughters daughter? It’s a sick cycle carousel.
@@shenlonggohan And the hits just keep on coming. LEAVE THE REPARATIONS JOKES TO THE G.O.A.T. ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-FRZN7IzvCVs.html
But we got fractional-reserve banking in the first place through people's choices in the market. If there was a demand for "full-reserve" banks - well, where are they? Name one. I'd also point out that restoring the gold standard is a nonsensical solution to our economic crisis. Right now at least 200 million Americans don't have enough fiat dollars to pay their bills. They aren't mysteriously going to have chests full of gold coins in their possession to pay those bills, either, if you reimpose the gold standard.
You need up-front about your genuine beliefs in your comments. Your questions here are all complex question fallacies. Mainly, you forget we live in economic fscsm, NOT an economic free market. So what we have is does NOT come from what people want in a free market.
Your assessment on FRB is correct, but your ideas on the gold standard are misguided. People would not need to have chest fulls of gold coins; most people wouldn’t hold much or any gold. They would hold enough fiduciary media for spending and gold, bonds, or stocks for saving.
Very useful conversation thank you! I say that problems occur due to how we define X rather than what X is and may now add that confusion exists mostly due to assuming that by using X people can accurately define what X is. Imagine a society built by those who have been through an education system that teaches this too teens and does not pass them until they can show they understand it!
@@robertspencer5219 yeah not the purpose of the schooling indoctrination complex, but despite the state there are parents and people who will be able to truly educate future generations.
I asked you if you knew George Gammon two RPI Dulles events ago, Jeff. It must have been Bob I was thinking of, or someone else. I've met so many nice liberty-minded people who have always made the time to speak to me over the years. We seem to be the only people who are really interested in others' ideas.
