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If negative interest rates become the new norm, will debt recede like a turning tide?
Sep 21, 2019 19:00:52   #
RT friend Loc: Kangaroo valley NSW Australia
 
Gravity has two forces weak and strong, weak is inner as with particles the electron is staving off decay by going round and round the centre of neutrons and protons, let's surmise that the worker bees are the neutrons and protons and the electrons are their knees, showing off, here they come said the proton look left but by the time he heard it the neutron replied, he's on my right at one o'clock low I'm trying not to look up.

This became monotonous happening at 32•452 trillion times a second if only the mug could change direction we'd for once get it right the neutron said to the proton.

The macro outlook is also empirical evidence, with gravity holding me down counteracting my tendency to fly, works much the same way, I did fly once as I reported before, not sure if it was on OPP, it was in New Zealand a copper witnessed me going up, what happened was the sheets of the hospital bed turned into tiny diamonds I held on and they floated me up , I looked down at the copper who was keeping an eye on me, I'm not sure why, and he was surprised.

Now since I can vouch for such a t***hful experience with a witness for additional credence, I have the experience to apply my knowledge of extraterrestrial events to economic theory, and stay off the chit-chat forum this is where I belong right here on main, I know what the OPP moderator is thinking and I'm having none of that, I'm confident this will get a reply on main.

For sure some brave soul will want the US economy to survive when all deposits go negative and money is floating away, the man who shot Liberty Valance was Gene Pitney, I just want to make everyone aware this is natural and we're just witnessing a change of direction.

The sun will still rise in the east but the volume of money will go down instead of up and this inversion could help the debtors at the expense of the creditors because if money is costly to own, equity must become harder to acquire without increasing in cost, equate that with the result of hyperinflation after the "dead wood" has been trimmed and a new currency issued.

My take is, after the zero sum game its exactly the same, the banks will be richer and none will go under, probably why I once rose without being dead just so I'd know all about negative interest rates and banker propensity.



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Sep 21, 2019 21:07:43   #
Mike Easterday
 
Banks always get richer!

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Sep 21, 2019 23:06:18   #
RT friend Loc: Kangaroo valley NSW Australia
 
Mike Easterday wrote:
Banks always get richer!


But I think we can change that, by organizing, not collapsing the entire system, true, people's attitudes don't collapse a financial system but attitudes are exploited to ruin everything fairly often.

The alternative to the present status quo that everyone is predicting could be a collapse of fiat currency which is mind bogglingly dodgy.

US, GDP is down • 75% in the 2nd quarter that's with additional defence spending.

China is 1•0% down same period.

Everywhere else is on average down •5%

Doesn't sound like much and maybe was expected but this is probably the new normal the right wing want to replace and expand business opportunities, - that will be shut down by Chinese exclusion, - by privatization, exploiting natural resources more heavily and hyping up spending on luxury items, the Left want same sex marriage, g***n e****y and partying.

Nothing too radical there so why is credibility in economic financial institutions so epidemic ?.

After all this time 10 years ago the IMF were asking China to invest and were promised a bigger say in financial affairs which they did and got.

Russia and Norway are the two strongest economies both have zero debt compared to reserves and that is in spite of sanctions against Russia.

Is this what people see that caused this present hysterics it's not that consumers in the US or Australia have cut back on spending I think it's more that people are too heavily loaded up with high cost borrowings particularly on bank card, I've got one visa card with a credit charge of 21%, - I don't use it just keep it in case of emergencies, - so that bank is getting astronomical interest and paying out a max of 1•9% on deposits with a lot of conditions, the normal interest on deposits without conditions is 0•5%.

To explain why it is like this now and never was before is complicated but to say one generalization stands above all others and above all else would be to say the unequal distribution of wealth is what's causing the disintegration of financial credibility in the community.

Actually and this is naughty of me to mention but Marx did say the culmination of Capitalism was a exponential growth of disproportionate remuneration.



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