Commie paradise turd world nirvana no real productive output...
"Venezuela said it will introduce new large-denomination bolivar notes as hyperinflation renders most bills worthless, forcing citizens to turn to the U.S. dollar for everyday transactions."https://t.co/EPVZAfikMn
— Justin "Rabbit Hole J. Cole" Coleman (@DemopJ) March 6, 2021
3 comments:
Except private banks also "print" money (bank deposits) when they lend and those deposits compete with fiat for real resources.
So if I was Venezuela, I'd de-privilege the banks there in a responsible, ethical manner. This would limit the amount of new deposits that banks could create and expect to get away with it. This should be DEFLATIONARY by itself as existing bank credit is repaid with insufficient new bank credit to replace it.
And as part of that de-privileging, I'd allow EVERYONE to use the Bolivar in account form at the Central Bank so as to increase the DEMAND for the Bolivar at the expense of private bank deposits and even the US dollar.
U.S. sanctions crushing economy. Certain interests also rationing output. But yeah, they became too dependent on oil exports and dollars. Made them vulnerable. Was not like this under Chavez.
Andrew: Unfortunately in the UK, the finance industry spends around £90 million a year lobbying politicians to make sure the existing system does not change. See:
https://www.thebureauinvestigates.com/stories/2012-07-09/revealed-the-93m-city-lobby-machine
£90 million buys an awful lot of sumptuous restaurant meals I reckon.
Post a Comment