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<p>[QUOTE="medoraman, post: 1250545, member: 26302"]Fatima, I think you need to revisit this idea. Your scenario, Fields A and B, both priced at $1000. If there is buyer C, he pays farmer A $1000. You say Field B is now worth zero. Well farmer A will pay supplier D and E, who maybe pays banker F. Banker F now has $1000, and he can buy field B for $1000. So on and so on. Also, what about bartering? Who even NEEDS money except to establish relative values? For eons humans traded, I will trade you a cow for 6 goats and some wheat. Does that mean cows, goats, and wheat are valueless because no currency changed hands?</p><p><br /></p><p>A supposition that total worth of anything is limited to currency available is making your arguments here look silly. Currency has ALWAYS been simply a medium of exchange, not in sum total the total value of all assets in an economy. In the past the currency was gold and silver, and yoru argument means that the only value net to a country is it gold and silver assets. That is simply not true. Again, currency is only needed to facilitate trading activuty, it has not correlation to total values of assets in any way.</p><p><br /></p><p>You like to say how others here, "make common mistakes", or "just cannot understand" ideas you lay out. I am telling you, point blank, with no wiggle room, that a supposition that the amount of currency in any economic system having to equal the total asset value in that system, is totally, utterly incorrect. Every single book on the subject will back up that statement. Even having to dispute that fact on this board is making me feel silly.</p><p><br /></p><p>Not trying to seem mean, but that is how strongly I believe that premise is wrong, and simply do not want any reader here for one second to start believing such ideas. If you wish to dispute me, please start out with how in a barter system your idea would equate into all products having zero economic worth.</p><p><br /></p><p>Chris[/QUOTE]</p><p><br /></p>
[QUOTE="medoraman, post: 1250545, member: 26302"]Fatima, I think you need to revisit this idea. Your scenario, Fields A and B, both priced at $1000. If there is buyer C, he pays farmer A $1000. You say Field B is now worth zero. Well farmer A will pay supplier D and E, who maybe pays banker F. Banker F now has $1000, and he can buy field B for $1000. So on and so on. Also, what about bartering? Who even NEEDS money except to establish relative values? For eons humans traded, I will trade you a cow for 6 goats and some wheat. Does that mean cows, goats, and wheat are valueless because no currency changed hands? A supposition that total worth of anything is limited to currency available is making your arguments here look silly. Currency has ALWAYS been simply a medium of exchange, not in sum total the total value of all assets in an economy. In the past the currency was gold and silver, and yoru argument means that the only value net to a country is it gold and silver assets. That is simply not true. Again, currency is only needed to facilitate trading activuty, it has not correlation to total values of assets in any way. You like to say how others here, "make common mistakes", or "just cannot understand" ideas you lay out. I am telling you, point blank, with no wiggle room, that a supposition that the amount of currency in any economic system having to equal the total asset value in that system, is totally, utterly incorrect. Every single book on the subject will back up that statement. Even having to dispute that fact on this board is making me feel silly. Not trying to seem mean, but that is how strongly I believe that premise is wrong, and simply do not want any reader here for one second to start believing such ideas. If you wish to dispute me, please start out with how in a barter system your idea would equate into all products having zero economic worth. Chris[/QUOTE]
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