Ashley Collins4 said:Banks have a massive safety net behind them that keeps them from sinking, not some vague
market position. Most banks are eighty percent foreign-owned, so
I have to ask: can you imagine a German person begging the US Government to cover his
losses and the wreckage left by a recession? And the recession happened, because production
in all the manufacturing plants was barely running a single shift, or small and medium
businesses were shutting down entirely.
Banks aren't getting paid back, and they aren't issuing new loans—whether to businesses
or citizens, for homes or anything else—if they had to act the way they do
in the US, England, Germany, or Italy, where the State covers operational costs
to keep credit flowing to a struggling economy, ideally with
lower interest rates. The English went as low as 1.5-2%.
That doesn't happen here, which is why foreign banks are a bottleneck in normal
commerce. They do the exact opposite, which makes sense if you think about it, because they work
for their own interests. When there's no money in the market, they hike interest rates on new
loans. By limiting credit through higher rates, they think they can maintain
their previous liquidity. Sure, that just drives more clients away, and that's where the
economic shutdown begins.
Simply put, there is no money in circulation. Money is just gathering dust in bank
vaults, at the Fed, or tied up in various funds and frozen assets,
but it isn't circulating in the market.
We need to find a way to get that money moving again, or have the Federal Reserve
start doing something it has never done: directly lending to the economy, just to get started.
The main lever for managing a highway is the toll price.
If the price for a route like New York to Philly is $3.25, then you might see, say, 100,000
cars a day. If it's $33, you'll see maybe 10,000.
Raise it to $167 and you won't see a single car on the road.
There are state-owned and public enterprises managed via boards of directors.
Let's ignore the boards for a second.
What is the State supposed to do in a case like the Duke Energy mess? Just let it collapse?
That example shows exactly what the role of the State is and why we can't function without it.
These are the cash cows that the State relies on. We can't allow the US
to run out of electricity, water, communications, or gas.
I want to build a tank so I can defend this country tomorrow. Everything on that path
—from iron ore mines and heavy industry to steel mills, manufacturing plants, and the research
institutes where tanks are designed, plus electronics and so on—must stay in the hands of government agencies.
You can't negotiate with a private guy named Jim about raw ore, or George about molds,
or cannon barrels and electronic components and radars; otherwise, we'll just end up importing everything.
Do you see my point?
A German person doesn't need to beg the government; the government gave them a guarantee $133 that deposits are secure.
Interestingly, I used to think the money had vanished because we had a trade deficit—basically, banks were
issuing loans that we just spent. If we had a floating exchange rate, the value of the currency would have dropped. Since we have a fixed rate,
the value didn't drop, but the quantity certainly shrank.
The main metric for managing a highway is the toll price.
If the price for a route like New York to Philly is $3.25, then you might see 100,000
cars a day. If it's $33, you might only see 10,000.
Raise it to $167 and you won't see a single car on the road.
There are state-owned and public enterprises managed via oversight boards.
Let's set aside those boards for a moment.
What is the Government supposed to do in the case of a Duke Energy type crisis? Let it fail?
That example shows exactly what the role of the State is and why you can't function without it.
These are the golden geese the country relies on. You can't let the US
run out of electricity, water, communications, or gas.
Personally, I want to build a tank so I can defend the country tomorrow. Everything on that path—
from iron ore mines and heavy industry to steel mills, manufacturing plants, and research institutes
where tanks are designed, plus electronics and so on—must be in the hands of government agencies.
You can't sit around negotiating with a private guy like Jim about ore, or George about molds,
or cannon barrels and electronic circuits. We shouldn't have to import everything.
Do you see my point?
You're spinning the argument, and not very well.
Projects like the Dalmatian coast infrastructure shouldn't be handled haphazardly.
You need to know the maintenance costs and the vehicle volume required beforehand to ensure a road is profitable and actually builds wealth for American citizens.
Even with Duke Energy, you managed to twist the argument.
That example just highlights how little some people care about a company they don't actually own. Plus, there’s definitely some theft involved.
In the private sector, you just don't see situations where an owner would intentionally act against their own interests.