Thread by @saifedean

The Federal Reserve created a high velocity trash economy & destroyed the concept of saving, fragilizing families, businesses, and jobs across the economy, leaving them desperate for any politician to bribe & buy their allegiance with the wealth stolen from them.
#TheFiatStandard

https://twitter.com/federalreserve/status/1239926174878490625

For a century, govts financed high time preference semi-literate Keynesian morons to pretend to be economists & convince you that saving is anti-social & your responsibility is to spend or invest in an easy money financial casino with no fundamentals.
Mission accomplished, serf!

For a century, the Fed's easy money has financed an economic curriculum shaped by a self-declared immoralist, a high time preference degenerate with no conception of the future whose understanding of saving is this 👇 astoundingly stupid.

Face it: You are all Keynesians now.

Under a hard money, everybody has an incentive to save, as cash holds value or appreciates. In a crisis, they'd have liquid wealth they can use.
#TheFiatStandard devalues saving, encouraging people to invest in bubbles that pop in a crisis, exactly when they need savings the most

There's nothing wrong with holding cash balances. It's a way for individuals & firms to deal with uncertainty, an ever-present feature of the future. Cash is useful in crises & allows you to take advantage of good investment opportunities when they come up
mises.org/library/yield-…

With easy money, an airliner uses its own cash flow to buy its own stock.🤡

With hard money, they'd hold a cash balance big enough to pay all workers for many months in case of a global crisis. And it would appreciate slightly in value over time.

bloomberg.com/news/articles/…