[OwenKellogg]

>>> Then I made another point for you: noting that the faster money loses value, the easier it becomes to convince people to speed up their personal velocity of money <<<

Southack, in this statement, you make the case that is appropriate for the government to manipulate the currency in order to increase the velocity. Is that what you intended? Is that a conservative stance?

It also implies that Americans are too stupid to make their own economic decisions and must have the government herd them in the right direction? Is that a conservative policy?

This is as close to a Keynesian policy as you can get.

[Southack]

"Southack, in this statement, you make the case that is appropriate for the government to manipulate the currency in order to increase the velocity. Is that what you intended? Is that a conservative stance?"

That wasn't my intention so much as to simply state the ground rules. You can have a currency that makes it easier or harder for your economy to speed up the velocity of money. That's a ground rule. It's not a direct call to manipulate an economy...but, in general it is a good thing for money to move faster rather than be hoarded so tightly that no financial transactions happen at all.

So in that sense, yes, the government should make it easier for an economy to speed up the velocity of money, even if direct currency intervention is required.

[Southack]

"It also implies that Americans are too stupid to make their own economic decisions and must have the government herd them in the right direction?"

No, it implies the opposite, that Americans are smart enough to hoard money if the Dollar always appreciates in value...and likewise smart enough to move their money more rapidly into areas that store or invest wealth if their Dollar is always losing value.