quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

well if you cannot conceive what is the most simplistic example its no surprise you do not understand how money works.

I gave you a precise example of the problem with debt and the use of debt instruments.  Usually when I put it terms that simple most people get it.

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

well if you cannot conceive what is the most simplistic example its no surprise you do not understand how money works.

I gave you a precise example of the problem with debt and the use of debt instruments.  Usually when I put it terms that simple most people get it.

You may be able to make people "get it" using an example that is totally impossible to prove a point that is wrong. My business is economics, idiot. Dont tell me I dont know how money works.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

well if you cannot conceive what is the most simplistic example its no surprise you do not understand how money works.

I gave you a precise example of the problem with debt and the use of debt instruments.  Usually when I put it terms that simple most people get it.

You may be able to make people "get it" using an example that is totally impossible to prove a point that is wrong. My business is economics, idiot. Dont tell me I dont know how money works.

read my lips:

YOU DO NOT KNOW HOW MONEY WORKS.

now we can pissant about it all day but at the end of the day you will be preaching the price of gold went up and I will be preaching the value of the paper dollar went down.

So since you beat your chest with the claim explain in detail how you can pay a debt with a promise to pay?  (thats an FRN btw)  meaning federal reserve note by the way.

quote:

ORIGINAL: willbeurdaddy
Which just shows that YOU are the one that doesnt know how money works. A FRN is not a debt per se. It is a medium of exchange that has no more and no less efficacy than any other medium of exchange such as gold or pork bellies. There is nothing to explain about "paying a debt with a promise to pay" any more than there is to explain about paying a debt with bullion or a by digging a hole.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
Which just shows that YOU are the one that doesnt know how money works. A FRN is not a debt per se. It is a medium of exchange that has no more and no less efficacy than any other medium of exchange such as gold or pork bellies. There is nothing to explain about "paying a debt with a promise to pay" any more than there is to explain about paying a debt with bullion or a by digging a hole.

yeh well we could exchange buckets of shit if we wanted eh?

So you agree then that it is a promise to pay.

yes or no.

Simple just a yes or no works.  One is correct and the other is not.


OR

tell us in your own words EXACTLY what type of instrument it is.

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
Which just shows that YOU are the one that doesnt know how money works. A FRN is not a debt per se. It is a medium of exchange that has no more and no less efficacy than any other medium of exchange such as gold or pork bellies. There is nothing to explain about "paying a debt with a promise to pay" any more than there is to explain about paying a debt with bullion or a by digging a hole.

yeh well we could exchange buckets of shit if we wanted eh?

So you agree then that it is a promise to pay.

yes or no.

Simple just a yes or no works.  One is correct and the other is not.


OR

tell us in your own words EXACTLY what type of instrument it is.

They are both correct. You could exchange buckets of shit (some people who need fertilizer actually do) or you can promise to provide a good or service in the future. That isnt an interest bearing debt.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
Which just shows that YOU are the one that doesnt know how money works. A FRN is not a debt per se. It is a medium of exchange that has no more and no less efficacy than any other medium of exchange such as gold or pork bellies. There is nothing to explain about "paying a debt with a promise to pay" any more than there is to explain about paying a debt with bullion or a by digging a hole.

yeh well we could exchange buckets of shit if we wanted eh?

So you agree then that it is a promise to pay.

yes or no.

Simple just a yes or no works.  One is correct and the other is not.


OR

tell us in your own words EXACTLY what type of instrument it is.

They are both correct. You could exchange buckets of shit (some people who need fertilizer actually do) or you can promise to provide a good or service in the future. That isnt an interest bearing debt.

ok so your answer then is YES A FRN IS A DEBT NOTE.

Thanks for clearing that up.

Now you want to jump to another subject?

What are we talking about now?

You want to get into the note that brought the dolla bill into existence or you want to talk about pure hypothecation?

Where you trying  to go with this distraction?  It does not change that a dollar is a promise ot pay and that you cannot pay a debt with another debt.  (interest bearing or not)

quote:

ORIGINAL: willbeurdaddy
That isnt what I said and you know it place.

And of course you can pay a promise with another promise. It happens all the time in both monetary and barter systems, and is the reason that mediums of exchange were created in the first place.

If youre trying to claim that a you cant pay a grocer for food with an hour piano lesson that was promised to you for cutting the piano teachers lawn, youre so obviously wrong its silly.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
That isnt what I said and you know it place.

And of course you can pay a promise with another promise. It happens all the time in both monetary and barter systems, and is the reason that mediums of exchange were created in the first place.

If youre trying to claim that a you cant pay a grocer for food with an hour piano lesson that was promised to you for cutting the piano teachers lawn, youre so obviously wrong its silly.

ok I see no point in carrying this any further because frankly I get really bored debating with the peanut gallery now days.  Especially when they come out here and conflate terms.

OR

are you really that uneducated about the monetary system?

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
That isnt what I said and you know it place.

And of course you can pay a promise with another promise. It happens all the time in both monetary and barter systems, and is the reason that mediums of exchange were created in the first place.

If youre trying to claim that a you cant pay a grocer for food with an hour piano lesson that was promised to you for cutting the piano teachers lawn, youre so obviously wrong its silly.

ok I see no point in carrying this any further because frankly I get really bored debating with the peanut gallery now days.  Especially when they come out here and conflate terms.

OR

are you really that uneducated about the monetary system?

Concession accepted.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy
That isnt what I said and you know it place.

And of course you can pay a promise with another promise. It happens all the time in both monetary and barter systems, and is the reason that mediums of exchange were created in the first place.

If youre trying to claim that a you cant pay a grocer for food with an hour piano lesson that was promised to you for cutting the piano teachers lawn, youre so obviously wrong its silly.

ok I see no point in carrying this any further because frankly I get really bored debating with the peanut gallery now days.  Especially when they come out here and conflate terms.

OR

are you really that uneducated about the monetary system?

Concession accepted.

another one of your failed attempts to defer.

Yes I concede that if for nothing else you  proved beyond a shadow of a doubt your case and credibility is bullshit.

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

well if you cannot conceive what is the most simplistic example its no surprise you do not understand how money works.

I gave you a precise example of the problem with debt and the use of debt instruments.  Usually when I put it terms that simple most people get it.

quote:

ORIGINAL: Politesub53

quote:

ORIGINAL: Real0ne

quote:

ORIGINAL: willbeurdaddy

quote:

ORIGINAL: Real0ne

Neither one of you guys understand hunk is sayin here.

let me draw a picture.

There is a grand total of 10,000 bucks in circulation. not a cent more.

If you have 100 bankers with 100 dollars to lend and 100 people that will each borrow 100 dollars from each of the bankers @10% interest and........the next day pay it back.

Meaning they will pay back 101 dollars to the bank each.

So on day 1 they all borrow 100 bucks then on day 2 bring it back to pay back the banker.

How do they pay back the extra dollar they owe as a result of the 10% interest when there is only a grand total 10,000 bucks of legal tender that exists in the world?

Some how another 100 dollars has to be coughed up somewhere because you cant bring the banker a pig or a goat you can only bring him a banking instrument known as legal tender.

That said how do you ever pay back a debt using a debt instrument?

So where does this extra buck times 100 come from.

Your picture is like an Escher drawing..ie impossible in real life. 100% of the money in circulation is not, will not ever be and cannot ever be lent out.

well if you cannot conceive what is the most simplistic example its no surprise you do not understand how money works.

I gave you a precise example of the problem with debt and the use of debt instruments.  Usually when I put it terms that simple most people get it.

RealOne, your example may be simplistic, but if you are going to lecture us all on economics, at least try and be, in your words, precise.

How longs has 10% of $100 been $1 ? I know you yanks do things different to us, but even so. [;)]