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To: DannyTN
No I have MBA from a top 20 business school concentrated in Finance. I understand banking and the economy and money creation very well.

That is the problem right there.

69 posted on 04/08/2010 3:00:37 PM PDT by MichiganConservative (A government big enough to do unto the people you don't like will get to doing unto you soon enough.)
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To: MichiganConservative

No the problem is that you don’t understand money.

You think a gold standard prevents excessive money supply growth and will stabilize the economy. You only need to look to the 1800’s when we were on a gold standard and had deflationary depressions every 20 years.

And consequently, you don’t understand how the economy works or what would have happened to the economy if the banking sector had been allowed to fail in mass due to a short-term liquidity crunch.


71 posted on 04/08/2010 5:40:57 PM PDT by DannyTN
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