Debt Rattle February 28 2015

[Raúl Ilargi Meijer]

DPC Yard of tenement, Manhattan, New York City 1900 • Greece Seeks Negotiations On ECB Bond Repayment (Reuters) • Fed Won’t Be Predictable After Lifti
[See the full post at: Debt Rattle February 28 2015]

[Gravity]

Listen to me very carefully, I shall say this only once:
Gravity is a recursive algorithm.

[Raúl Ilargi Meijer]

You mean once a day, right?!

[Formerly T-Bear]

@ reply 19540

Can we make that day 30th of February? please! please!

[william]

responce to
• “Monetary Policy Is Bankrupt” Dr. Lacy Hunt Warns (Tavares via Zero Hedge)

I have spoken about a theory I have. I call it viscosity of money. So there is no evidence but the theory looks good to me.

What it is about is the type of money that flows. So if we have velocity meaning the speed that money transfers from one to another viscosity would be chunk sizes that move well. So your groceries purchases move in chunks of 100’s. Its limits are the paycheque of the consumer and the limits of cash not existing in more than 100 dollar bills. So your mortgage moves electronically in chunks close to 1000 straight from one account to another. Now QE moves in the 10 of millions purchasing mystrious products.

Now the importance of viscosity is to the small economy. Your grocer does not see anything but the smallest chunk. The thought is to save the to big to fail and leave the rest but the rest is more important than the total. There needs to be a shift in importance. We can operate without the mortgages and failed banking but can’t operate operate without the small micro system.

If the public gets the value of opting out of electronic credit and its endless payments, then and only then do we get a change. Drop out of all electronic cash, use printed money and cut off the big chunk money from the small chunks. Allow the big chunk to fail.

[Author]

Posts