This is an article by Modern Money Theory's Steve Keen that refutes gold bugs and "lefties" like Paul Krugman alike.
Excerpt: "That’s simply the nature of money: it is not backed by anything physical, and instead relies on trust. Of course that trust can be abused—and frankly that’s done more often by the banks than by the government. But thanks to the anti-government attitude of monetary cranks like Rosenberg, and the dominance of economics by “barter cranks” like Krugman—who ignore banks completely and yet pretend to understand the economy—we continue to ignore the main game: what the banks do (for good and for ill) that really drives the economy."
Notice that "trust" and "credit" stem from belief (Latin: credere). Money has a fundamental connection to religion.
Excerpt: "That’s simply the nature of money: it is not backed by anything physical, and instead relies on trust. Of course that trust can be abused—and frankly that’s done more often by the banks than by the government. But thanks to the anti-government attitude of monetary cranks like Rosenberg, and the dominance of economics by “barter cranks” like Krugman—who ignore banks completely and yet pretend to understand the economy—we continue to ignore the main game: what the banks do (for good and for ill) that really drives the economy."
Notice that "trust" and "credit" stem from belief (Latin: credere). Money has a fundamental connection to religion.
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