Erik Voorhees – All Money Is -Not- Fiat Money

Erik Voorhees – All Money Is -Not- Fiat Money:

Erik Voorhees (@ErikVoorhees) couldn’t let pass a flawed argument about what fiat money is, so he penned a new post.  Excerpts:

“Money is not money because of ‘common agreement.’ No common agreement ever happened.”

“Money is money because it is specifically useful in fulfilling the function of exchange. Money is money because its specific properties make it superior in exchange to other alternatives.”

“Governments realized that if they could force the population to use a specific arbitrary money – say instead of pink triangle paper maybe green rectangular paper – then they could create that money at whim and benefit from it. It is not hard to understand why politicians would love this scheme: they get to dish out benefits by magically creating tokens that they themselves force people to accept as ‘legal tender.’ But while it’s not hard to understand why governments approve of their own fiat tender, it is very hard to understand why the public accepts this scam…”

“For those who learn about Bitcoin, it is not hard to understand why it is now succeeding as an amazing new form of money.”

 – http://bit.ly/11gd1b1 
 – http://bitcointalk.org/index.phptopic=135552.0 (Further discussion of the post)

All News – Daily E-mail Subscription – Twitter: @BitcoinNews

Check out the original source here.

http://bit.ly/10vkL7dbenefit from, exchange money, mail subscription, mail subscritpion, original source, pink triangle, pnik triangle, triangle paper

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s