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iheartponeez's Comments
Re: Peaches: Mayberry the Pain Away
That's not Peaches. The real Peaches looks way more busted.
By: iheartponeez
Re: Yes We Can Song: Barack Obama Music Video
Great speech, but seriously the most lame, cliche, earnestly crappy song/video in moths
By: iheartponeez
Re: Bill Clinton Discusses KIVA.org with Greta
wikipedia "microfinance" and "microloans" for more info on this stuff.
By: iheartponeez
Re: Mark Larsen Dumps Mitt Romney for Ron Paul
The US converting to a gold standard would require them to re-issue all currency in circulation as a fixed amount of gold. Since the US government doesn't have a lot of gold, it would mean a lot less currency. Thus, they would need to purchase gold — as a result, the price of gold would skyrocket. The US government would have to sell assets in order to purchase the now absurdly expensive gold, or run a deficit. Taxes would be forced to rise to finance this.
However, this would be pointless, since approximately 1 trillion dollars of goods flows out of the US economy every year. Thus, the economy would literally bled gold bullion. The only way to balance out is a recession, so deep and crippling, that it would eliminate the US trade deficit.
Okay, the regulatory mechanism for the gold standard works like this. Suppose we have two countries, A and B.
Now, for whatever reason, country A is on the gold standard. It doesn't matter what country B is on. Now, A and B buy and sell goods to one another. In order to buy and sell goods, the people in these countries need to purchase currency from one another to buy them.
When an economy buys things from another economy, they need to purchase money from the other economy to buy goods. So, for instance, country A needs to buy country B's currency (call it B$) to buy goods from country B. And vice versa.
Now, as they buy and sell, there usually will be an imbalance been how much people buy and sell in a given country. For instance, country A may be buying more from country B than it is selling. This leads to an imbalance in the currencies, because people in country A will be buying up B$ and selling A$. When it all comes out in the wash, there is a surplus of A$ on the market -- that is, the demand for A$ is lower than the amount supplied.
Now, people will work to correct this surplus, because it's pointless for them to have A$ sitting around no one wants to own. In a quasi-fiat system of freely traded currencies, the exchange rate does this. Bankers and financial dealers adjust the relative values of the currencies to make the "price" of A$ optimal. Currencies wax and wane in value based on their economies and variety of other complex mumbo jumbo which doesn't really matter here.
However, in the gold standard this doesn't happen, because A$ are linked to a fixed amount of gold -- that is, a commodity. Instead, people who hold A$ start redeeming them for gold, in order to sell them as a useful commodity. As a result, Country A's stockpile of gold, which they use to back their currency on, dwindles. In turn, the supply of money for country A falls.
Not enough money is circulation causes the economy to constrict, since doing basic business becomes increasingly difficult. It also can cause deflation, and a host of other problems. In short, the only way for A's domestic economy to come into equillibrium is for it to crash. Businesses shut down, and domestic demand for goods slows as the economy stalls.
While this is a bad thing, it does do one very good thing. If you have no money, because the economy is in recession, you can't very well afford to buy items from country B. Thus, the supply of A$ on the market falls, and people stop redeeming the excess for gold. The process brings the two markets into equilibrium again, and all is well in the world of international commerce.
Of course, the side effects are not exactly pleasant for people in country A.
Please think.
However, this would be pointless, since approximately 1 trillion dollars of goods flows out of the US economy every year. Thus, the economy would literally bled gold bullion. The only way to balance out is a recession, so deep and crippling, that it would eliminate the US trade deficit.
Okay, the regulatory mechanism for the gold standard works like this. Suppose we have two countries, A and B.
Now, for whatever reason, country A is on the gold standard. It doesn't matter what country B is on. Now, A and B buy and sell goods to one another. In order to buy and sell goods, the people in these countries need to purchase currency from one another to buy them.
When an economy buys things from another economy, they need to purchase money from the other economy to buy goods. So, for instance, country A needs to buy country B's currency (call it B$) to buy goods from country B. And vice versa.
Now, as they buy and sell, there usually will be an imbalance been how much people buy and sell in a given country. For instance, country A may be buying more from country B than it is selling. This leads to an imbalance in the currencies, because people in country A will be buying up B$ and selling A$. When it all comes out in the wash, there is a surplus of A$ on the market -- that is, the demand for A$ is lower than the amount supplied.
Now, people will work to correct this surplus, because it's pointless for them to have A$ sitting around no one wants to own. In a quasi-fiat system of freely traded currencies, the exchange rate does this. Bankers and financial dealers adjust the relative values of the currencies to make the "price" of A$ optimal. Currencies wax and wane in value based on their economies and variety of other complex mumbo jumbo which doesn't really matter here.
However, in the gold standard this doesn't happen, because A$ are linked to a fixed amount of gold -- that is, a commodity. Instead, people who hold A$ start redeeming them for gold, in order to sell them as a useful commodity. As a result, Country A's stockpile of gold, which they use to back their currency on, dwindles. In turn, the supply of money for country A falls.
Not enough money is circulation causes the economy to constrict, since doing basic business becomes increasingly difficult. It also can cause deflation, and a host of other problems. In short, the only way for A's domestic economy to come into equillibrium is for it to crash. Businesses shut down, and domestic demand for goods slows as the economy stalls.
While this is a bad thing, it does do one very good thing. If you have no money, because the economy is in recession, you can't very well afford to buy items from country B. Thus, the supply of A$ on the market falls, and people stop redeeming the excess for gold. The process brings the two markets into equilibrium again, and all is well in the world of international commerce.
Of course, the side effects are not exactly pleasant for people in country A.
Please think.
By: iheartponeez
Re: Mark Larsen Dumps Mitt Romney for Ron Paul
Yeah, what this country needs is a virulent racist who wants to close the doors to immigration, and then fire-bomb our economy by going back to the gold standard!
Don't you Rontards realize the the R[LOVE]UTION is [OVER]LUTION?
Don't you Rontards realize the the R[LOVE]UTION is [OVER]LUTION?
By: iheartponeez
Re: SNL Sylvester Stallone: Orange Julius
Even though I hated how he delivered his last line, Stallone was remarkably good through the whole sketch. He really sold it.
By: iheartponeez
Re: Bottom: Richie's First Time
I watched 2 episodes of this and thought it was garbage. Then I read that the creators wanted it to be like "Waiting for Godot," but vulgar comedy. Once I realized that the main characters were sad, empty, soulless wrecks that the creators had little sympathy for, and were solely there to elicit sadness and contempt, it all made a lot of sense. Now I think "Bottom" was...not really ahead of its time, but more like at the pinnacle of its time. It's very dated, but it speaks well of its era if you go into it with the right context.
By: iheartponeez
Re: Daft Bodies: Harder, Better, Faster, Stronger
Nothing better than awkward white girls dancing with boxes on their heads...
By: iheartponeez
Re: Family Guy: Douchebags on Guitar
I hate Family Guy, but I hate "bros" more, so cheers to this.
By: iheartponeez
Re: Sleeping Sphynx Kitten
Man if that doesn't look like some satanist's aborted child sacrifice...
By: iheartponeez
Re: SNL: Clintons' Halloween Party 2007
I can almost hear the writers' self-satisfied cackling after every stupid clunker.
By: iheartponeez
Re: Charlie Rose: The Beastie Boys (+ Bill Flanagan)
Ad-Rock looks like he's in a ska band, Mike D looks like a crazy hobo, but MCA wins with his spectacular "Office Dad" thing!
By: iheartponeez
Re: Daily Show: Gore and Peace
Really, Sean? I mean, really? The troops? The peace prize? C'mon...really?
By: iheartponeez
Re: SNL Digital Short: Iran So Far
Really, guy?
That one line trumps every golden hunk of Daily Show hilarious that has been pumped out in the last seven years?
Get real.
That one line trumps every golden hunk of Daily Show hilarious that has been pumped out in the last seven years?
Get real.
By: iheartponeez
