Wednesday, 22 April 2009

Budget shows that grey parties haven't a clue about money

All three main parties have become fixated with, and enslaved by, a social construct that they clearly don't quite understand, i.e. money.

They want economic growth which equates to more consumption and is generally regarded to need more money, yet all of our money is created through borrowing.

They say consumer debt is too high, government debt is too high, business are in debt, etc. and seem to want to reduce the levels of debt, which begs the question where is their desire for more money going to come from?

It is time to accept that we make debt OK (i.e. reduce the need for fast repayment, high interest rates and excess profits being made from lending) or we simply get government to create the money and spend it on useful things (obviously with strict controls over fraction reserves and derivatives to prevent run away inflation).

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