Was the 1938 to 1974 Bank of Canada policy based significantly on Lincoln Greenbacks?

[DennisPTate]

“There is no reason why the growth of Canada's money supply (averaging about $22 billion annually in recent years) could not be more substantially created by the Bank of Canada.

There is a reason to not print too much. Inflation.

If that policy had been followed, the federal government would not have been obliged to add to its debts to pay interest on old debts. Instead, the Bank of Canada has produced barely 2% of the money added in recent years,

I've seen no evidence that 2% isn't the proper amount.

“Those who dismiss such a proposal as «inflationary» should be required to explain why it would be more inflationary for the government's bank to create $11 billion and the private banks $11 billion, rather than the present practice of having the government's bank create $0.7 billion and the private banks $21.3 billion!

Because central bank money is high-powered money. Banks loans are not.

You are an excellent student and you are doing a great job of repeating what economists have taught you!

On the other hand there are a handful of economists who think outside the box and explain that our level of productivity at this time is only a fraction of what it theoretically could be if we had more honest elected officials.

1. The first thing Moshiach does is do away with bad marketing. That's the true villain that has held us back all these years. Ask any consumer electronics or computer engineer. We could all own household robots to do our work. We could be consuming less than 10% of the natural resources we consume now—if it weren't for those nefarious busy bodies who market quantity rather than quality. Given the true needs of most people and the productivity possible with modern technology, we should all be working an average of 2.5 hours a week. What's responsible for the other 60+ hours? Bad Marketing.

Moshiach's marketing people will get people's minds back on the right track. Thinking about real quality of life. About their relationship with the earth and with their bodies and their souls and the people around them. Once that's done, just about everything else we need to create paradise is here already.

https://www.chabad.org/library/article_cdo/aid/2811/jewish/Sighting-Moshiach.htm

 

[DennisPTate]

Yes, a return to gold backed money and the retirement of the greenbacks was deflationary.
It would have happened even if Lincoln finished his term.

That is possible and could work but in an era where the Canadian Dollar is backed up by increasingly productive Canadian workers, linking the Canadian Dollar to gold would be too confusing because the supply of gold is stable but productivity will be rapidly increasing. This is the same situation in the USA, [but I have to admit that something stable like gold to back up the currency is an interesting idea].

 

[Toddsterpatriot]

You are an excellent student and you are doing a great job of repeating what economists have taught you!

On the other hand there are a handful of economists who think outside the box and explain that our level of productivity at this time is only a fraction of what it theoretically could be if we had more honest elected officials.

On the other hand there are a handful of economists who think outside the box

Yeah, idiots who think there is a free lunch with government printing.

and explain that our level of productivity at this time is only a fraction of what it theoretically could be if we had more honest elected officials.

If you think they're dishonest because they borrow, instead of print, then you are also an idiot.

 

[DennisPTate]

On the other hand there are a handful of economists who think outside the box

Yeah, idiots who think there is a free lunch with government printing.

and explain that our level of productivity at this time is only a fraction of what it theoretically could be if we had more honest elected officials.

If you think they're dishonest because they borrow, instead of print, then you are also an idiot.

The allegorical free lunch is caused by the fact that twenty percent of citizens are extremely productive and do eighty percent of the most valuable work in the economy. The increases in productivity of workers can give a percentage of the population a pretty good living in spite of the fact that they are physically or mentally disabled and cannot compete in the market place, [unless a company hires them out of compassion].

 

[Toddsterpatriot]

That is possible and could work but in an era where the Canadian Dollar is backed up by increasingly productive Canadian workers, linking the Canadian Dollar to gold would be too confusing because the supply of gold is stable but productivity will be rapidly increasing. This is the same situation in the USA, [but I have to admit that something stable like gold to back up the currency is an interesting idea].

That is possible and could work but in an era where the Canadian Dollar is backed up by increasingly productive Canadian workers,

It already is. That's why the central bank creating 2% more money per year sounds correct.

 

[Toddsterpatriot]

The allegorical free lunch is caused by the fact that twenty percent of citizens are extremely productive and do eighty percent of the most valuable work in the economy. The increases in productivity of workers can give a percentage of the population a pretty good living in spite of the fact that they are physically or mentally disabled and cannot compete in the market place, [unless a company hires them out of compassion].

No, the free lunch is the idea that the government should only print and not borrow.

 

[DennisPTate]

That is possible and could work but in an era where the Canadian Dollar is backed up by increasingly productive Canadian workers,

It already is. That's why the central bank creating 2% more money per year sounds correct.

On the other hand Compound Interest Over Time is causeing the government of the USA and the government of Canada to APPEAR to be bankrupt, [which is exactly how a high percentage of elected officials want things to look]?

• The book: The 1992 publication, The Deficit Made Me Do It!, was published by the Canadian Centre for Policy Alternatives and argued against the narrative that budget deficits were an economic crisis requiring austerity measures.
• The phrase's meaning: The phrase criticizes how governments frequently cite deficits to justify reducing spending on public services, arguing this is often a political strategy rather than an economic necessity.
• Modern usage: The phrase is still used today to describe the political use of deficits to enforce unpopular policies, suggesting that while deficits can be managed, they are more often used as a "political weapon" than a genuine economic problem

The deficit is not an economic problem—it’s a political weapon

Mark Carney’s new budget exposes how Canada’s political class weaponizes the deficit to protect elites and justify austerity. Despite alarmist rhetoric, Canada’s debt is modest and self-financed. The real danger isn’t economic, it’s political: using deficit panic to erode public services and...

canadiandimension.com

 

[Toddsterpatriot]

On the other hand Compound Interest Over Time is causeing the government of the USA and the government of Canada to APPEAR to be bankrupt, [which is exactly how a high percentage of elected officials want things to look]?

On the other hand Compound Interest Over Time is causeing the government of the USA and the government of Canada to APPEAR to be bankrupt,

Yes, governments should spend less. They shouldn't print more.

 

[DennisPTate]

On the other hand Compound Interest Over Time is causeing the government of the USA and the government of Canada to APPEAR to be bankrupt,

Yes, governments should spend less. They shouldn't print more.

I don't blame you for thinking this way. I did myself for most of my life but now I have came to believe that the USA, Canadian and even the world economy is much like a human body that depends on the circulation of BLOOD, [that can be compared with Money], when it comes to an analogy between a healthy economy and a healthy human body!

 

[Toddsterpatriot]

I don't blame you for thinking this way. I did myself for most of my life but now I have came to believe that the USA, Canadian and even the world economy is much like a human body that depends on the circulation of BLOOD, [that can be compared with Money], when it comes to an analogy between a healthy economy and a healthy human body!

Exactly!
People should be able to spend their own blood.
The government should take (and spend) much less.
No government printing of blood.

 

[DennisPTate]

Exactly!
People should be able to spend their own blood.
The government should take (and spend) much less.
No government printing of blood.

Again your idea is somewhat logical but if the present situation in the economy of the USA and Canada is not modified there is no way that billionaires, and millionaires and big companies, will purchase the astonishing wealth of consumer goods that will soon be on the market as the USA takes back manufacturing from China?

"Unconditional but Taxable Basic Minimum Income Supplements" to the working poor is the only logical way to increase the buying power of the people who will be willing to spend and spend and spend, [especially on their first and second and third homes or cottages]!