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Old 11-07-2005, 07:51 AM   #10 (permalink)
BigBen
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Quote:
Originally Posted by chriswin8
...IMHO I would make all the utilitys Free. This would then Alevate A great portion of the money sink. There by flooding the market with more money then it needs. That would trickel down to the manufacturing level. You nolonger have these great expenses of running plants, and houses. And as long as greed doesn't get to rampent. the cost of develeping and massproducing items should drop. (Year1)
Well, that results in a huge FREE RIDER PROBLEM, where people would waste utilities because they are cheap. Leave the lights on at night and let the sprinklers run in the rain, because we don't have to pay for them. The ensuing chaos would corrupt your system.
Quote:
Originally Posted by chriswin8
Then you would have to convince the major commercial corperation to start gradualy reducing the prices on all items and services. (25% a year, over 4 years.) that will take you to year 5.
Nothing you do will convince any corporation to lower their prices. That will have to come through legislation. And with that comes the end of a free market and the help of an invisible hand to make things even out in the short/long run.
Quote:
Originally Posted by chriswin8
Here you will make all items for Barter. (you can have this TV if you do ?????)But it has to be something that helps out someone else. And eliminate all money....

But then this is only one mans opinnion. And i am sure there are flaws i have not thought of.
I suggest you research the usefulness of currency in a modern economy. Money and banking are the pillars of society, and the fact that a person can save money and accumulate wealth allows for investment in factors of production, and the provision of employment.

I would start with a textbook on Macroeconomics and then move on to Money and Banking.

If you have a TV that you are willing to give me in exchange for something, I have to have something that I value equal, or less than the TV for that exchange to take place. You would be a fool to accept anything less than what the TV is worth in your eyes, making the exchange happen only if something equal is traded. What if I don't have anything that both of us agrees is equal? No exchange happens, and both of us are left sitting there; You with a TV you don't want and Me wanting a TV.

You can't save when bartering. The coincidental need/want fulfillment will happen very rarely.

With introducing a form of currency into the situation, you can buy exactly what you want with the procedes of your transaction.

Money is not evil. It is the most important thing to make a society run smoothly. Please don't confuse it with the intentions of evil people who possess vast somes of it.
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