Friday, February 15, 2013

Douglas Holtz-Eakin is a freakin' idiot


5 comments:

Adam1 said...

I was a graduate student at SU when Doug was on staff there. I can honestly say I really think he's become nothing more than a paid shill for the right.

Anonymous said...

I think the dollar is "backed" by more than just taxes personally.

Good video though.

Tom Hickey said...

A fiat currency is backed by taxes. Credit money is backed by collateral. Most modern economies run mostly on credit money, so the predominant backing is collateral.

Anonymous said...

ok, but that doesn't really explain why foreigners want dollars so much, why the dollar is the dominant reserve currency, why oil is sold in dollars, etc.

http://en.wikipedia.org/wiki/Monetary_hegemony

Tom Hickey said...

Generally speaking, the currency of the most powerful and prosperous country serves the reserve since it is regarded as the safest financial asset to hold.