(GATA News) If gold is money, then Doug Noland found money that is fool's gold.
Note: I (DougAK) only reproduced a very small portion of the Le Metropole Cafe
pay per view information, and yet it contains no specific facts to cause those
who have a membership to feel cheated, it does contain what I consider to be
"If true, or even close, put head down and cover with hands...we is doomed."
Or, that movie "One Flew Over the Crazy Bird's Nest(Jack Nickeless)."
Or, if true, then my most extreme worst case worry would become reality,
in that all Ron Reese has told us is not only true, but it's here,
as in the Frankenstein monster movie, "...it's aLive, it's aLive...".
[start]
"... money and credit are created by a long list of lenders within and
without the banking system. Moreover, we see this mechanism of borrowing
in the money markets and financing the purchase of financial assets working
much as high powered money, creating money and credit unrestrained by reserve
requirements, we see it as an infinite multiplier effect.
... it should be considered the financial sector that creates money and
credit, not the Fed and banks exclusively. We know this analysis is going
to drive conventional thinkers crazy, but we will stick with it nonetheless.
Conventional analysis will try to stick with a narrow definition of money,
arguing that only banks create bank deposits. Well, it is hard to disagree
with such a statement but such analysis completely misses the point.
We think in today's world the functional definition of money is becoming
ever broader, almost to the point that there is increasingly less
differentiation between money and credit. In a world of fiat money
and a growing mountain of marketable securities, credit is virtually money,
and certainly money is little more than credit. To those who insist that only
banks create money and credit, we ask why and how can this be the case?.....
[end]
From: LePatron@LeMetropoleCafe.com
Date: 1/22/00 0:29:23 AM EST
Le Metropole members,
Doug Noland has served commentary at The Hemingway Table entitled,
"The Credit Bubble Bulletin - A Theory on Money & Credit Creation."
"... Beginning today, and continuing on Fridays, Doug Noland will present
market commentary and analysis under the title The Credit Bubble Monitor.
The goal is to focus attention clearly on the issues and ramifications of
unprecedented money and credit creation. It is our view that this subject
matter is not being adequately addressed today, and that conventional
analysis completely fails to explain the current environment.
It is our hope to raise some points and encourage thinking;
it is our goal to provide insightful and valuable analysis."
Cafe note:
Noted Dallas attorney Ethan Stroud and I had the pleasure of dining
with Doug Noland a couple of weeks ago at one of the most prestigios
Country Clubs in Texas.
All of us were impressed with Doug Noland's intellect, acumen,
and sense of self. This is an independent thinker that you will
hear much of in the future.
Bill Murphy
Chairman, Gold Anti Trust Action (GATA) gata.org
Le Patron, Le Metropole Cafe lemetropolecafe.com |
