Comment by nixon_why69
4 hours ago
Also, by definition, if dollars left the country then stuff came in. We literally traded bit flips in a database for tangible stuff.
4 hours ago
Also, by definition, if dollars left the country then stuff came in. We literally traded bit flips in a database for tangible stuff.
Bit flips in a database = years of people’s labor and planning
No, it's literally just bitflips. The supply of dollars increases by trillions a year between fractional reserve banking and, depending on the year, fed policy. We're not even printing them.
Indeed. And according to MMT what that does is claim economic output for the government (work resources etc), without direct taxation.
An arbitrary score that's meant to represent said years, not the actual output of those years.
It's important to remember that money is not value. It's a score that's meant to represent value, but the value itself is entirely distinct.
People literally work their lives for that representation. It’s not the value itself but it’s a way to store and transfer certain kinds of value.
2 replies →
...and then whoever sold us the goods turns around and uses those dollars to bid up US assets. Next time you are bidding for a house, take some time to appreciate just how expensive those bit flips have made things.
It did make it easy to raise capital, though, which is nice.
Don’t blame imports for our sclerotic country banning construction nationwide. Plenty of countries have spent billions on new construction in the US and gotten smoked. The buildings still stand though.
I don't follow here. Can you explain and provide an example?
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> uses those dollars to bid up US assets.
Predominantly US financial assets, like Treasuries and company equity.