Deficit Owls | The State Almost Always Creates The Unit Of Account @deficitowls5296 | Uploaded November 2016 | Updated October 2024, 5 hours ago.
Professor L. Randall Wray discussing the "unit of account." In Modern Money Theory, "money" is primarily held to be a measuring unit. The dollar is a measuring unit that measures social credit, just like the meter measures distance, and the minute measures time. These units of account are almost always created by the sovereign authority. The number of exceptions, where a unit of account is created by private citizens, is vanishingly small.
Anybody can create a money, and anybody can create a money-thing, the problem is always about how to get it accepted by other people. The state creates its unit of account and money-things (currency) and ensures their acceptance by imposing an obligation on the citizens that can only be fulfilled by its money-things, through threat of force (like taxes, which are only payable in dollars, or else you go to jail). Other entities might create money-things (IOUs) and create acceptance through other means.
But the hard part is always acceptance. It's difficult just to get your IOUs accepted, it's even harder to create your own unit of account and get that accepted (though we here at Deficit Owls encourage our followers to try!)
Watch the full talk here: youtube.com/watch?v=IZdZmu8mHTw&t=4521s
Follow Deficit Owls on Facebook and Twitter:
facebook.com/DeficitOwls
twitter.com/DeficitOwls
Professor L. Randall Wray discussing the "unit of account." In Modern Money Theory, "money" is primarily held to be a measuring unit. The dollar is a measuring unit that measures social credit, just like the meter measures distance, and the minute measures time. These units of account are almost always created by the sovereign authority. The number of exceptions, where a unit of account is created by private citizens, is vanishingly small.
Anybody can create a money, and anybody can create a money-thing, the problem is always about how to get it accepted by other people. The state creates its unit of account and money-things (currency) and ensures their acceptance by imposing an obligation on the citizens that can only be fulfilled by its money-things, through threat of force (like taxes, which are only payable in dollars, or else you go to jail). Other entities might create money-things (IOUs) and create acceptance through other means.
But the hard part is always acceptance. It's difficult just to get your IOUs accepted, it's even harder to create your own unit of account and get that accepted (though we here at Deficit Owls encourage our followers to try!)
Watch the full talk here: youtube.com/watch?v=IZdZmu8mHTw&t=4521s
Follow Deficit Owls on Facebook and Twitter:
facebook.com/DeficitOwls
twitter.com/DeficitOwls
