How to lose all your money in less than 5 seconds? (borrow, mortgage)

[vrhunski]

2min 50sec

[malamute]

Originally Posted by celcius

How exactly does a meaningless comparison make someone lose all of their money?

It shows you how fake it all is --- there is nothing at all backing the so-called money.

[cheapcharly]

Originally Posted by malamute

It shows you how fake it all is --- there is nothing at all backing the so-called money.

more debt =more money.

It s amazing! we live in a world where more money you spend, more money you make.

I love this society...

[embe]

in 5 seconds? Sign a Contractual Agreement you thought you understood.

[shaker281]

Originally Posted by cheapcharly

...

I love this society...

Really?

[embe]

Originally Posted by malamute

It shows you how fake it all is --- there is nothing at all backing the so-called money.

Folks are mixing the terms, causing confusion.

The original currency was only "as good as" money because it could be redemeed for money (gold and silver).

The gold and silver was removed, therefore the original currency was also removed. Today, we use *fiat* currency. Fiat currency is just currency printed without any value backing it. But what happens when they print currency that has no value to back it? They print *debt*, not money.

Why debt? Because the fiat currency has no value when it is printed. If you add the cost of materials and time to make the fiat currency and the "usage fees" they add to it, then it becomes negative value (debt).

What does homeowner finance when *purchasing* a house? Debt (fiat currency with negative value).
Was it necessary for the homeowner to fiance debt (fiat currency) when purchasing a house? No. The homeowners 'promise to pay' Note is the *Negotiable Instrument* used to obtain homeowner's credit, then turn it into *fiat* currency with usage fees (interest) added, then loaned back to the homeowner.

But why? Because they can attach usage fees (interest) to "their" fiat currency but they cannot attach usage fees to homeowner's credit.
They can attach a lien to "their" fiat currency, but they cannot attach a lien to homeowner's credit.

How do they profit from turning homeowners credit into fiat currency with negative value(debt)?
When they collect the artificial interest they attached to the fiat currency they turned your credit into, they collect currency backed with value from your bank account.

What value? Your time/energy and labor is the value that gives the fiat currency its buying power.

*From researching and studying documents using a legal dictionary, this is my understanding. Please research on your own to reach your own conclusion.

[gwynedd1]

Originally Posted by embe

Folks are mixing the terms, causing confusion.

The original currency was only "as good as" money because it could be redemeed for money (gold and silver).

The gold and silver was removed, therefore the original currency was also removed. Today, we use *fiat* currency. Fiat currency is just currency printed without any value backing it. But what happens when they print currency that has no value to back it? They print *debt*, not money.

Depends on how you define money. If you can chase goods and service with it its money to me.


I find it ironic about the "Austrians" these days using objective utility and labor theory of all people. The whole point is utility is subjective. And when the sovereign decides on a measure of utility, its money.


Utility can descend in strange ways. If a billionaire sold cheap spam to the masses most people would consider that to have a lot of aggregate utility. However if that billionaire decides he like lawn ornaments then the society will value lawn ornaments because of spam. It because its "useful" tho that which provides them spam, another proxy effect.

Why debt? Because the fiat currency has no value when it is printed. If you add the cost of materials and time to make the fiat currency and the "usage fees" they add to it, then it becomes negative value (debt).

In the new model you should call this a narrow, elite utility . It may be unstable, but it has value. Look how little marginal utility food has these days. Its nearly "worthless". That should give you an idea how powerful this effect is.

But then the whole idea of classical economic involved trying to value things with aggregate utility, known in that terminology as prosperity. That theory however does not have much utility for the wealthy elites.

[celcius]

Originally Posted by malamute

It shows you how fake it all is --- there is nothing at all backing the so-called money.

No it doesn't.

It shows people here are desperate to call our capital markets a sham and will draw whatever pathetic link they can to feel better.

[pie_row]

Originally Posted by gwynedd1

Too much of what? You pay off the national debt by borrowing from banks. Not kidding either. The only two sources of dollars are monetized government bonds and bank credit.

Incorrect. The coins in your pocket are also money

[wit-nit]

Check it out, see how fast your money goes...
U.S. National Debt Clock : Real Time