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scepticus

Snb Tries To Separate Grains Of Sand

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The world(today, the SNB) is still trying to pretend that it has a range of independently managed sovereign currencies side by side like a jar full of carefully layered sand of different colours.

sand-arttashx.jpg

Of course the jar is being violently shaken and the end result will be a jar of uniform brown shit coloured sand.

In the end we'll all end up using the same money even if we call it by different names, or we'll all starve to death.

Those are the options.

Edited by scepticus

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jsut a thought,but what if we see a rise in the currencies of countries that have been running trade surpluses against those that haven't.

that's been happening for the last 3 years hasn't it?

can't see any scenario where govts allow one world currency to override their power and influence.

the point of this post was that its happening anyway. Governments will tend to act to preserve themselves which means ultimately keeping their voters happy which means jobs, which means fighting currency appreciation which means that in the end we'll all have to be at zero - because liquidity created by the SNB will ultimately impact us here in the UK.

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The world(today, the SNB) is still trying to pretend that it has a range of independently managed sovereign currencies side by side like a jar full of carefully layered sand of different colours.

sand-arttashx.jpg

Of course the jar is being violently shaken and the end result will be a jar of uniform brown shit coloured sand.

In the end we'll all end up using the same money even if we call it by different names, or we'll all starve to death.

Those are the options.

This analogy is way beyond my comprehension.

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This analogy is way beyond my comprehension.

its very simple. In a world of floating currencies, the monetary activities of one central bank force the hand of the others to some extent, all else being equal. Big CBs have more influence than smaller ones, obviously.

therefore over the long run all their policies converge on the same interest rate.

if all fiat currencies are operating broadly similar monetary and fiscal policy there is no discernible difference between them apart from their names.

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its very simple. In a world of floating currencies, the monetary activities of one central bank force the hand of the others to some extent, all else being equal. Big CBs have more influence than smaller ones, obviously.

therefore over the long run all their policies converge on the same interest rate.

if all fiat currencies are operating broadly similar monetary and fiscal policy there is no discernible difference between them apart from their names.

Yes indeedy.

Statism is dead. In fact it's put a pillow over it's own face.

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no indeedy,statism will morph into another form,always has done.give me an example from history when it's died.

let me guess,it'sdifferent this time.

Not at all, it's a continuation of the slow death of those who would rule by force that has been happening since the enlightenment.

To make it more in tune with the OP...

The purpose of a CB is to mass steal and then pay for territory, armies etc with the proceeds. But as Scepticus says, it doesn't work when the world is full of CB's all buying and rebuying the stuff back. They just race to the bottom until all are eviscerated. The typical solution will be to double the bet and make a world fiat, but theres not enough time, not enough will and not enough interest. There is also way too much profit to be made from ruining such an attempt.

Edited by Injin

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have you ever thought that various states allowed the enlightenment to occur so the statists could keep troughing?it's alive and well in the UK.

Lord no, the ancient statists got displaced by the enlightened, they simply could not compete.

And now something similar is happening to their descendants. To be fair, they had a good run. Tried tokugawa's trick, failed.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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