THIS explanation works; A simple to follow analogy:

[Liability]

Is it really that hard for you to comprehend that no one was in debt? Every person in the story had $100 credit and $100 debit. Everyone was already at a zero balance.

Look at it this way....Let's say the Co-Op guy decided to call in the debt from the pig farmer. The pig farmer says he doesn't have the money but will transfer the debt from the butcher. So the pig farmer no longer owes the Co-Op guy, and the butcher now does. But the butcher says he doesn't have the money either, but will transfer the debt owed by the hotel manager. So now the butcher neither owes nor is owed, and the hotel manager owes the Co-Op guy. And again, hotel manager transfers the debt from the hooker, so he's clear and the Co-Op guy is owed $100 by the hooker and also owes her.

The $100 bill was meaningless. The net assets of the group was zero, the individual debt was zero.

Again...Debt is when you owe more than you are owed. Which was not the case here.

Yes there is, but you haven't demonstrated it with the story. The story has nothing to do with economics...it's an accounting trick.

I'm proud of you.

Yes, the Obama stimulus plans ARE nothing but accounting tricks.

You really don't see that the analogy, which does NOT increase the money supply for the town, is nothing at all like the Stimulus, which did increase the money supply.

But let's play, go ahead and explain the money multiplier effect, (and throw in velocity as well, because that plays a role in the stimulus), and how your analogy fits. I'll be here to correct your inevitable errors.

Ha. Ha.

You are kinda straining yourself over some pretty meaningless fluff, there, pinky.

But, just for grins, let's take note of the fact that you are wrong. However temporary it may have been, there was an increase in the town's money supply.

More importantly, the point of that e-mailed gag sent to me and posted in the Original Post really doesn't depend on a serious attempt to state an analogy. IT was merely a vehicle to get to a pucn line. And the punch line was all about how nothing got produced by the (I believe you correctly identified it as a) accounting trick. That was the purpose of the long-0winded joke in order to make President OBama's silly economic plans the butt of the joke.

What President Obama is doing with his stimulus garbage is producing nothing. He IS increasing the money supply, but he is cynically relying on an accounting trick in the process. And if you are half the economist or accountant you seem to be, and assuming that --unlike Ravi -- you are willing to be honest, then you will admit that the Obama Administration stimulus plan does involve a cynical and intentional deception.

 

[rightwinger]

I'm proud of you.

Yes, the Obama stimulus plans ARE nothing but accounting tricks.

You really don't see that the analogy, which does NOT increase the money supply for the town, is nothing at all like the Stimulus, which did increase the money supply.

But let's play, go ahead and explain the money multiplier effect, (and throw in velocity as well, because that plays a role in the stimulus), and how your analogy fits. I'll be here to correct your inevitable errors.

Ha. Ha.

You are kinda straining yourself over some pretty meaningless fluff, there, pinky.

But, just for grins, let's take note of the fact that you are wrong. However temporary it may have been, there was an increase in the town's money supply.

More importantly, the point of that e-mailed gag sent to me and posted in the Original Post really doesn't depend on a serious attempt to state an analogy. IT was merely a vehicle to get to a pucn line. And the punch line was all about how nothing got produced by the (I believe you correctly identified it as a) accounting trick. That was the purpose of the long-0winded joke in order to make President OBama's silly economic plans the butt of the joke.

What President Obama is doing with his stimulus garbage is producing nothing. He IS increasing the money supply, but he is cynically relying on an accounting trick in the process. And if you are half the economist or accountant you seem to be, and assuming that --unlike Ravi -- you are willing to be honest, then you will admit that the Obama Administration stimulus plan does involve a cynical and intentional deception.

Sorry Liability...I tried to help ya but everyone is still laughing at your feeble attempt at an analogy related to the stimulus.

Beyond your pathetic analogy of passing around a $100 bill, your claim that stimulus produced nothing is not even supported by republican doctrine over the last 30 years. 45% of the stimulus went to tax cuts. You know how the Reagan Doctrine feels about tax cuts. Are you saying republicans are wrong
The rest went for public works projects allocated at the state level. Are you claiming that roads, bridges, utilities ....are not "producing anything?

Your analogy is a FAIL
as is your pathetic attempt to somehow correlate it to the Stimulus Bill

 

[Liability]

You really don't see that the analogy, which does NOT increase the money supply for the town, is nothing at all like the Stimulus, which did increase the money supply.

But let's play, go ahead and explain the money multiplier effect, (and throw in velocity as well, because that plays a role in the stimulus), and how your analogy fits. I'll be here to correct your inevitable errors.

Ha. Ha.

You are kinda straining yourself over some pretty meaningless fluff, there, pinky.

But, just for grins, let's take note of the fact that you are wrong. However temporary it may have been, there was an increase in the town's money supply.

More importantly, the point of that e-mailed gag sent to me and posted in the Original Post really doesn't depend on a serious attempt to state an analogy. IT was merely a vehicle to get to a pucn line. And the punch line was all about how nothing got produced by the (I believe you correctly identified it as a) accounting trick. That was the purpose of the long-0winded joke in order to make President OBama's silly economic plans the butt of the joke.

What President Obama is doing with his stimulus garbage is producing nothing. He IS increasing the money supply, but he is cynically relying on an accounting trick in the process. And if you are half the economist or accountant you seem to be, and assuming that --unlike Ravi -- you are willing to be honest, then you will admit that the Obama Administration stimulus plan does involve a cynical and intentional deception.

Sorry Liability...I tried to help ya but everyone is still laughing at your feeble attempt at an analogy related to the stimulus.

Beyond your pathetic analogy of passing around a $100 bill, your claim that stimulus produced nothing is not even supported by republican doctrine over the last 30 years. 45% of the stimulus went to tax cuts. You know how the Reagan Doctrine feels about tax cuts. Are you saying republicans are wrong
The rest went for public works projects allocated at the state level. Are you claiming that roads, bridges, utilities ....are not "producing anything?

Your analogy is a FAIL
as is your pathetic attempt to somehow correlate it to the Stimulus Bill

Sorry Leftwinger, but your lies remain of no value. You didn't try to "warn" me about diddly shit.

You, also, don't speak for "everyone."

And you remain wrong anyway.

The point of the e-mail I got and shared has never been touched by any of you would-be debunkers.

As is usually the case with you when you attempt to stand tall on some soap box, you only prove that reality sails way the hell over your head -- at mach speeds.

But while you scratch your vulva, trying to puzzle your way out of the corner you keep painting yourself into, let's not let it go unmentioned that you are merely engaged in a deflection anyway.

So, rather than worrying about the point of the "story" told in the OP, why not step up to the plate and state your claim?

Aee YOU one of the ones who cares to declare that the Obama Stimulus plans are valid economic tools? Are YOU willing to be one of the ones who goes "on record" to deny that what he has been doing along those lines is a shell game?

 

[Sheldon]

This thread is still going?

 

[Liability]

This thread is still going?

Your perception is nothing if not ordinary.

 

[Sheldon]

What else is there to discuss? It was a goofy analogy, and most analogies fall apart after you think about them for a minute anyways.

 

[Article 15]

Somewhere in that town there is a pimp lookin' to choke a bitch for not bringing him his money.

 

[Ravi]

This thread is still going?

Most of his threads do tend to drag on, for two reasons. One, he can't admit to being wrong and just keeps digging his hole deeper. Two, he is ocd about having the last word.

It's very entertaining.

 

[Article 15]

Search tags are hilarious for this thread!

liability analogy fail, his hooker pig earns $100

 

[rightwinger]

Search tags are hilarious for this thread!

liability analogy fail, his hooker pig earns $100

liability owes $100 to hooker pig, liability paid a pig farmer $100 to be his hooker,

 

[Ravi]

lol...I wonder if that is stimulus money he's paying his pig with.

 

[B. Kidd]

Isn't it time for this thread to be strapped to a rock and blasted off into space?

 

[Article 15]

Isn't it time for this thread to be strapped to a rock and blasted off into space?

And take away one more useless link people searching the Internet for $100 pig farmer prostitutes might find?

We got a thing called the Constitution and a First Amendment.

Have you no shame, sir?!

 

[Sheldon]

Isn't it time for this thread to be strapped to a rock and blasted off into space?

And take away one more useless link people searching the Internet for $100 pig farmer prostitutes might find?

We got a thing called the Constitution and a First Amendment.

Have you no shame, sir?!

America, fuck yeah!

 

[Liability]

lol...I wonder if that is stimulus money he's paying his pig with.

I absolutely don't owe Ravi ANY money.

I told you she's a compulsive liar.

So, Ravi, I am not paying my pig. You must go out get your money in some other fashion.

I understand you have some facility for rooting out truffles.

Ravi, pictured above on left side of frame, earns her keep by rooting out truffles.

 

[Liability]

Search tags are hilarious for this thread!

liability analogy fail, his hooker pig earns $100

You are easily amused, Artie.

How long does it take Gumby or one of his sycophants to come up with such inspired stuff?

 

[Toro]

The hotel owner is an idiot...he just screwed himself out of $100 and the hooker got free room at the hotel.



But that's what he gets for stealing.

You understand the hotel owner is analogous to Obama, right?

Are you implying that Obama rents out the Lincoln Bedroom to whores?

Don't give the wingnuts any ideas...

 

[Toro]

I'm proud of you.

Yes, the Obama stimulus plans ARE nothing but accounting tricks.

You really don't see that the analogy, which does NOT increase the money supply for the town, is nothing at all like the Stimulus, which did increase the money supply.

But let's play, go ahead and explain the money multiplier effect, (and throw in velocity as well, because that plays a role in the stimulus), and how your analogy fits. I'll be here to correct your inevitable errors.

Ha. Ha.

You are kinda straining yourself over some pretty meaningless fluff, there, pinky.

But, just for grins, let's take note of the fact that you are wrong. However temporary it may have been, there was an increase in the town's money supply.

More importantly, the point of that e-mailed gag sent to me and posted in the Original Post really doesn't depend on a serious attempt to state an analogy. IT was merely a vehicle to get to a pucn line. And the punch line was all about how nothing got produced by the (I believe you correctly identified it as a) accounting trick. That was the purpose of the long-0winded joke in order to make President OBama's silly economic plans the butt of the joke.

What President Obama is doing with his stimulus garbage is producing nothing. He IS increasing the money supply, but he is cynically relying on an accounting trick in the process. And if you are half the economist or accountant you seem to be, and assuming that --unlike Ravi -- you are willing to be honest, then you will admit that the Obama Administration stimulus plan does involve a cynical and intentional deception.

Actually, in your OP, an injection of new funds into the economy has occurred, and the local economy is now $100 richer. What matters is not how it was circulated through the economy once, which is what happened in the OP, but what happens after the visitor has paid the $100 to the hotel owner. The owner will now pay his staff, who have now increased their incomes, who can now go and pay for his meat from the butcher who can pay the prostitute for another roll in the hay, who can pay her tuition because she's a hooker with a heart of gold, and so on.

That's not to support the stimulus program. Rather, it is to show that the analogy is false, at least in its intent.

It isn't necessarily wrong in practice, however. The total debt of the United States has not declined over the past four years. Consumer debt and corporate debt has declined while government debt has risen by an almost equal amount, in effect transferring debt from the private sector to the public sector. HOWEVER, this was also true of the Bush tax cuts, where according to some studies, the majority of the Bush tax cuts went towards paying down debt, effectively transferring debt from the private sector to the public sector. This is what happens in balance sheet recessions, something most economists and almost all politicians have failed to grasp.

 

[Ravi]

lol...I wonder if that is stimulus money he's paying his pig with.

I absolutely don't owe Ravi ANY money.

I told you she's a compulsive liar.

So, Ravi, I am not paying my pig. You must go out get your money in some other fashion.

I understand you have some facility for rooting out truffles.

Ravi, pictured above on left side of frame, earns her keep by rooting out truffles.

Dude, if you weren't so stupid you wouldn't have to resort to these lame personal attacks.

True story.

 

[Liability]

lol...I wonder if that is stimulus money he's paying his pig with.

I absolutely don't owe Ravi ANY money.

I told you she's a compulsive liar.

So, Ravi, I am not paying my pig. You must go out get your money in some other fashion.

I understand you have some facility for rooting out truffles.

Ravi, pictured above on left side of frame, earns her keep by rooting out truffles.

Dude, if you weren't so stupid you wouldn't have to resort to these lame personal attacks.

True story.

You, of course, will have missed the obvious point, dooood, that you are the reason that particular reference to you and your boarish behavior was even made.

Your lack of intelligence is second only to your abject and nearly complete lack of honesty and integrity. THAT is the true story.

Ravi, you have my leave to keep trying, keep flailing and keep failing. It's not like you have any say in the latter two.