Comments for Alt-M http://www.alt-m.org Ideas for an Alternative Monetary Future Sun, 24 May 2015 22:56:00 +0000 hourly 1 http://wordpress.org/?v=4.1.5 Comment on Is the Fed on Track? by rlindwallloitte.com.au http://www.alt-m.org/2015/05/23/is-the-fed-on-track/#comment-15410 Sun, 24 May 2015 22:56:00 +0000 http://www.alt-m.org/?p=8473#comment-15410 Gave you a 1+ George. Agree with you on the importance of the 0.25% interest being paid on the excess reserves parked at the Fed. This doesn't seem to get much discussion in the media. I think it is about $US2.5trn at the moment?

You might find this discussion at the PG Peterson Fiscal Summit last week interesting: https://www.youtube.com/watch?v=pfpEHwARhvc

Fisher (former Dallas chair) seems like if was still on the Fed he would be voting in favour of a June rate rise. Larry points out that even if you start in June you wouldn't get a tightening effect on the economy due to a c.12 month lag until December 2017. They strongly disagree with Summers' recommendation to wait until you see "the white of inflation's eyes" before you start raising rates.

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Comment on The Very Model of a Modern Monetary Economist by Recomendaciones (III) | Katalepsis http://www.alt-m.org/2015/05/18/the-very-model-of-a-modern-monetary-economist/#comment-15409 Sun, 24 May 2015 13:39:46 +0000 http://www.alt-m.org/?p=8062#comment-15409 […] Alt-m, George Selgin contra un economista de la Fed sobre historia económica, free banking, y las razones históricas […]

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Comment on Is Bitcoin Doomed? by Justin Merrill http://www.alt-m.org/2015/05/21/is-bitcoin-doomed/#comment-15408 Sat, 23 May 2015 18:33:00 +0000 http://www.alt-m.org/?p=8154#comment-15408 I think the long term prospects for Bitcoin are bleak because its success depends on network effects and switching costs. Sure, it's still got the best brand recognition and market share, but the switching costs are so low, and even more damning, you have platforms like Ripple that are agnostic about the medium of exchange. This means that if convenience of transaction is no longer the competitive advantage, the next successful crypto-currency must be the one that is most enticing to hold as a savings vehicle. I doubt it will be Dogecoin or any of the other "Me Too" alt-coins currently in existence, but eventually something will solve the problems George identifies here. While not a perfect substitute because it is centralized and thus prone to regulation, I think my Wixles idea fixes this rigid supply problem. Until then, I'm rooting for Ripple. Even large banks are adopting it as a more efficient clearing mechanism than CHIPS or Fed Wire.

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Comment on Is the Fed on Track? by TKList http://www.alt-m.org/2015/05/23/is-the-fed-on-track/#comment-15407 Sat, 23 May 2015 14:15:00 +0000 http://www.alt-m.org/?p=8473#comment-15407 The Fed is on track for the next financial crisis.

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Comment on Is Bitcoin Doomed? by George Selgin http://www.alt-m.org/2015/05/21/is-bitcoin-doomed/#comment-15406 Sat, 23 May 2015 04:15:00 +0000 http://www.alt-m.org/?p=8154#comment-15406 Ah, Kevin: here (not for the first time) you are much bolder than I dare to be! Had I been asked back in 2008 whether such a thing as Bitcoin was at all possible, I'd probably have said No, with considerable confidence. Had I been asked in 2010 whether it would prosper as it has, I'd have said No again, though with a shade less confidence. No sir: I'm through making bold predictions about Bitcoin! From now on, when it comes to those funny little digits, I'm playing it safe.

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Comment on Is Bitcoin Doomed? by Kevin Dowd http://www.alt-m.org/2015/05/21/is-bitcoin-doomed/#comment-15405 Sat, 23 May 2015 02:54:00 +0000 http://www.alt-m.org/?p=8154#comment-15405 Oops, for some reason when I approved the post the web link got mangled. Let me try again:
http://www.alt-m.org/2014/11/18/bitcoin-will-bite-the-dust/

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Comment on Is Bitcoin Doomed? by Kevin Dowd http://www.alt-m.org/2015/05/21/is-bitcoin-doomed/#comment-15404 Sat, 23 May 2015 02:49:00 +0000 http://www.alt-m.org/?p=8154#comment-15404 “They had me take the "yes" position. But as my doubts about Bitcoin's future are far from certain, …”

OK George, the question I would put to you is this: are you willing to join me in taking the yes position, yes or no? Is it doomed or isn’t it?

I have set out my reasons for my view in various places – for example, http://www.alt-m.org/2014/11/18/bitcoin-will-bite-the-dust/. – but for me the decisive issue is that we can point to or imagine plausible superior alternatives that improve on one or more features of Bitcoin. For me, that suffices to show that it won’t survive long-term – especially given that the cryptocurrency market is wide open to competition and that Bitcoin has no government protection.

I agree with your analysis, however, and as to your conclusion, “I, for one, look forward to seeing further experimentation and innovation in the cybercurrency world” – I couldn’t agree more.

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Comment on The Problem is Central Banking not Fractional Reserve Banking by Mohamed http://www.alt-m.org/2011/06/27/the-problem-is-central-banking-not-fractional-reserve-banking/#comment-15403 Fri, 22 May 2015 23:11:00 +0000 http://www.freebanking.org/?p=527#comment-15403 it's not the Treasury department who issue money, it's the Fed (in the case of the US), and central banks in the case of the rest of the world.
the Treasury department issue a BOND, which is a promissionary note to pay the principale+interest, then the Fed order its presses to print money for you out of thin air. so your "money" is actually a "debt".
the Fed is a private-for profit entity which is not federal (not american).
if the you own a country where the Treasury department want to issue your own money (debt-free), you will soon have a war knocking at your doors like what happened to Afghanistan, Iraq, Libya, and what will happen to Iran and China if they don't "cooperate".

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Comment on The Problem is Central Banking not Fractional Reserve Banking by Mohamed http://www.alt-m.org/2011/06/27/the-problem-is-central-banking-not-fractional-reserve-banking/#comment-15402 Fri, 22 May 2015 22:53:00 +0000 http://www.freebanking.org/?p=527#comment-15402 If you try to get rid of central banking, you'll be a DEAD MAN believe me!!

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Comment on The Very Model of a Modern Monetary Economist by Free banking: the limits of mathematical models | Spontaneous Finance http://www.alt-m.org/2015/05/18/the-very-model-of-a-modern-monetary-economist/#comment-15401 Thu, 21 May 2015 22:49:16 +0000 http://www.alt-m.org/?p=8062#comment-15401 […] George Selgin published a new post a couple of days ago criticising the current state of monetary economics which, in his opinion, […]

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