The Trillion Dollar Coin

(or how to ask the wrong question)

Sure it’s silly hey? But how much more silly than the current method of creating money? Either way someone (or something) is creating money out of thin air ... difference is that in this case the government, which equates to the people, is creating the money instead of an "independent" Central Bank or a private commercial or investment bank.

How money is created is not the question people should be considering, because, however you create it, all money is funny money. Money is, as Terry Pratchett might say, one of the "Big Lies" like Justice, Mercy, Duty (even using capital letters doesn't make them any more real in and of themselves). Even though it is a lie we have got to believe in it or what's the point. We'd all just be some crying ape otherwise. Money is made the same way as mushrooms: in the dark and based on bullshit [SockRatEz says: sincerest apologies to Terry Pratchett, but hey, I gave you good hard cash to read your words]. 

How it is created is the wrong question.

Instead we should ask: Who should create money? 

For all their follies I would go with national governments over private banks as I get to vote them out if/when they screw up. You can't even throw a banker in jail for funding terrorism and laundering drug money these days! Now that IS truly ridiculous ...

Back to the Trillion Dollar Coin: Why not? 

The Emperor has checked himself out in the mirror finally, realised he is wearing no clothes and finds it rather fetching actually. 

[SockRatEz says: there you go Terry, you can steal that back] 

The greatest bit of fun here is that this whole episode is calling the bluff of the Central Bankers and their fiat currency. "If you can do it so can we". Central Banks create money out of thin air and that money comes to be lent to us, our governments via interest bearing debt. WTF! I won't get in to how that happened here as you can all go off and read about such fun conspiracies as the meeting at Jekyll Island yourselves. How much fun is the idea that our governments might decide to make up some money in an equally preposterous manner and use it to pay down this debt!

I wish the Irish government had paid the "senior" (unsecured!) bond holders with Trillion Dollar Turf. Sod them.

Though Obama better be careful. Other Presidents decided they would create their own money e.g. Lincoln (Greenbacks) and Kennedy (silver-backed notes). 

[SockRatEz says: Mwooaaahahahahaa] 

I've said for a while now that if these supposedly good guys who get into power are finding it hard to work within the secret state and the machinations of power render them ineffective then the only thing to do is to call it out. Just say it! Just tell the people what problems you are facing with the "faceless men". Call them out! Say it out loud and the power dissolves. This Trillion Dollar Coin giggle is doing exactly that.

Even if it doesn't happen at least perhaps the chatter might make people finally realise that money does not really exist (not in the way we think it does anyway), and it is human creativity and work effort which generates value in the world.