If you can spot the fallacy, you may be qualified to comment properly on fractional reserve banking.


This works best as a verbal riddle BTW

This is, in fact, the case. My friend, you count amongst that rare proportion of the populace who are able to "keep things straight" which, unfortunately, far too few, especially politicians, can count themselves among.

Let me find the story of the three old ladies and the radio.

That's what the printscreen button is for.

You put the cart before the horse. The motivation for innovation is to reduce costs. It tends to create an increase in production which in turn suppresses prices (in a properly competitive system).

You can't get it back, it's already spent. As you say, about the most you can hope for is that it would continue to be at least somewhat functional as a conduit of funds from the productive.

That said, the SS issue is one of demographics more than anything. The actualities of things are that retirees extract goods and services from the economy whilst not currently providing anything in return. As the non-productive grow compared to the productive, problems ensue. Having a private system would certainly have been better but still faces the same basic reality. The government also continues to move people from the productive to non-productive category at an alarming rate so it's just not looking good all around. Plan for your later years with that in mind and don't trust promissory notes from a group that considers a promises expiry date as as soon as you're out of sight.

It's also self-correcting somewhat. Once the price of gold falls in such a scenario, the incentive to mine/conquer more drops greatly

Not for the blind. But there's no significant issue in usage for the sighted and the different colors are helpful too. The dollar really is a horrendously designed banknote.

Agreed. But "freedom of the press" is a bit tenuous when it's your average man-on-the-street doing the filming. I would think "unreasonable search and seizure" or something similar would cover it but that would probably set a precedent for blocking something the govt doesn't want stopped.

People don't need to coordinate. I don't know what my co-workers make, nor do I particularly care

I think you have a somewhat outdated idea of India. Also, this would be for the government to use, not the general populace, I would assume.

Clearly I disagree with your assertion.

Quite arguably. They may have to get in line though.

A little tenuous but I'll give you that one.

In a free market, the "fruit" is decided by mutual agreement. This is basic stuff.

You know how the American mafia became a force to be reckoned with, right? I mean, you know where there money came from? I mean, you know why people were giving it to them rather than lawful producers of the product they wanted to buy?

I don't know these guys. Please don't ascribe anything I might say to them. I know it's your thing and all but still.

It's like "Communism is bad", "Communist leaders enrich themselves at the expense of others", "That's Capitalism", "Isn't capitalism evil?"

Capitalism is simply the belief that one should be able to retain the fruits of one's efforts.

I mean enacted, of course. Though there is some evidence that your beliefs may single you out for special attention if some of the stuff going around is to believed (I tend not to take much on faith).

Statism and communism cannot tolerate libertarianism. The opposite is not true.

Nope, it's a subtle form of spiritual suicide.