So an unexpected side benefit of joining XR is getting perspective on macroeconomics:
> It turns out that the banks really do create money. But that money has only been temporarily borrowed into existence by people, businesses or government, and the system depends on it being repaid and replaced with new loans.
> The more debt my chums in the City issued, the more goods and services had to be produced and consumed in order to repay that debt with interest. Meanwhile, the rich were stashing that value in tax havens, preventing the borrowers from ever earning it back, meaning that ever more money had to be borrowed to replace what was being saved. I learned that the very design of this system makes it ever more wasteful, unfair and unstable.
Who knew?!
Man who has earned shitloads over the last 38 years or so working in finance tragically only learns about wealth inequality after making sure he’s at the top of the pile.
I’m the same.
It took quitting IT and living in a mud-hut before I truly understood ACID-compliant relational database management systems.
Nice article – but he was a trader, not an economist. Most traders don’t understand why the market functions the way it does, they just know how it functions and how to make money from it. I think he still doesn’t understand finance to be honest.
He still doesn’t understand macro though. He’s encountered the classical dichotomy wherein we distinguish between real variables, e.g. cars, and nominal variables, e.g. money. However, we know empirically that in the long run money is neutral, i.e. the amount of money created does not affect real variables in the long run.
Additionally, companies don’t use tax havens to stash their money. Apple, for example, has their tax haven money invested in the US. It’s just owned by an Apple branch incorporated in the tax haven.
Even if people took money out of the economy by storing it in a tax haven, it will have no impact in the long run. Decreasing the money supply is deflationary. So the central bank will decrease interest rates or create more reserves to compensate. Hence banks will create new loans to replace the missing money.
I think people interested in the economy will benefit by just reading an introductory macro textbook. There are many counterintuitive results in macro.
They do say that money is the route of all evil for a reason. No one is ever really satisfied with having enough or with a small treat every now and then. People have been conditioned to want more and more, with society now based around constant consumption and instant gratification; money is what helps fuel that. We still think of those in need as poor in character as well as poor in money too, so they do not get the help they need and are seen as undeserving. Those at the top and who benefit from both of those fuel those messages so our attention is no longer directed at them as it should be. It should not take joining XR to realise that.
I suspect XR is full of these types of cunts. No wonder they’re so insufferable and detached from reality. Most working class individuals in the UK cannot afford to piss about gluing themselves to things to make a point. They barely have the time to keep their own lives and that of their families above water.
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So an unexpected side benefit of joining XR is getting perspective on macroeconomics:
> It turns out that the banks really do create money. But that money has only been temporarily borrowed into existence by people, businesses or government, and the system depends on it being repaid and replaced with new loans.
> The more debt my chums in the City issued, the more goods and services had to be produced and consumed in order to repay that debt with interest. Meanwhile, the rich were stashing that value in tax havens, preventing the borrowers from ever earning it back, meaning that ever more money had to be borrowed to replace what was being saved. I learned that the very design of this system makes it ever more wasteful, unfair and unstable.
Who knew?!
Man who has earned shitloads over the last 38 years or so working in finance tragically only learns about wealth inequality after making sure he’s at the top of the pile.
I’m the same.
It took quitting IT and living in a mud-hut before I truly understood ACID-compliant relational database management systems.
Nice article – but he was a trader, not an economist. Most traders don’t understand why the market functions the way it does, they just know how it functions and how to make money from it. I think he still doesn’t understand finance to be honest.
He still doesn’t understand macro though. He’s encountered the classical dichotomy wherein we distinguish between real variables, e.g. cars, and nominal variables, e.g. money. However, we know empirically that in the long run money is neutral, i.e. the amount of money created does not affect real variables in the long run.
Additionally, companies don’t use tax havens to stash their money. Apple, for example, has their tax haven money invested in the US. It’s just owned by an Apple branch incorporated in the tax haven.
Even if people took money out of the economy by storing it in a tax haven, it will have no impact in the long run. Decreasing the money supply is deflationary. So the central bank will decrease interest rates or create more reserves to compensate. Hence banks will create new loans to replace the missing money.
I think people interested in the economy will benefit by just reading an introductory macro textbook. There are many counterintuitive results in macro.
Lol, dude was earning [6 figures at a bank](https://www.bbc.co.uk/news/business-50087022) before joining XR.
He was once the enemy of these people!
They do say that money is the route of all evil for a reason. No one is ever really satisfied with having enough or with a small treat every now and then. People have been conditioned to want more and more, with society now based around constant consumption and instant gratification; money is what helps fuel that. We still think of those in need as poor in character as well as poor in money too, so they do not get the help they need and are seen as undeserving. Those at the top and who benefit from both of those fuel those messages so our attention is no longer directed at them as it should be. It should not take joining XR to realise that.
I suspect XR is full of these types of cunts. No wonder they’re so insufferable and detached from reality. Most working class individuals in the UK cannot afford to piss about gluing themselves to things to make a point. They barely have the time to keep their own lives and that of their families above water.
What an id…