http://www.youtube.com/watch?v=hxdPIOUTd2k&feature=channel_page
Behold, and his policies have been proven to work
How would this effect the velocity of money?
How does the velocity of money effect price inflation?
Seems to me like somthing that would be extremley volitile due to lack of savings, it would certianly work well in small areas though because they could use the savings of others… So exactly how was this “free money” as they stated anyway?
According to calculated risk the savings rate is expected to go up to 8% and thus cause personal consumption to lag in the first quarter of 2010. An increase in savings means that people are spending less of their income, and the accumulative effect of this may create a recession. The Idea of “Stamped money” was introduced in order increase economic activity in a depressed town and it supposedly worked. Thus this idea should be considered.
Gesell and similar cranks have been refuted by Austrians and others numerous times.
Ah yes, the theory of magic money. We see the effects of this theory today.
The guy was anarchist, and someone who believed in the free market and his ideas have found success,but yet you still attack him…
His ideas have never found success anywhere. Printing money does not magically create wealth. The paper isn’t transformed into steel, machinery, or whatever. Those who don’t understand this are not economists, they are magicians, mystics.
Lao Tzu was an anarchist, but he didn’t know anything about economics.
if you watched the video you will find that one of his Ideas did have success…
Watching the video only tells me that one person, who believes in magic, says that his ideas were successful. In fact, it looked like the early stages of an inflationary induced boom. I would like to know what happened after, and why this “revolutionary” (ancient) idea never took off.