tag:blogger.com,1999:blog-8897997766931633186.post5588344967087838200..comments2024-02-14T03:21:37.506-05:00Comments on Monetary Freedom: Gold and Nominal Interest RatesBill Woolseyhttp://www.blogger.com/profile/06330232724290161369noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-8897997766931633186.post-9313836373937839142017-01-03T17:39:52.335-05:002017-01-03T17:39:52.335-05:00Trading on Gold can be quite tricky, as that’s som...Trading on Gold can be quite tricky, as that’s something we need to be very careful of, if we trade without proper method and strategy then we will have issues with achieve profits. I do it all very nicely under OctaFX, as they are simply awesome having fantastic conditions which include everything one desires. This is from their small spreads at 0.1 pips to over 70 instruments to select from and we even get rebates on trades which makes it all so much more like able!Rajatnoreply@blogger.comtag:blogger.com,1999:blog-8897997766931633186.post-11229345427380473272010-05-14T20:45:13.439-04:002010-05-14T20:45:13.439-04:00Bill,
It appears your analysis is based on the id...Bill,<br /><br />It appears your analysis is based on the idea that the purchasing power of gold is determined by the rate of growth of spending. You also have been willing to analyse a gold standard with perfectly flexible prices.<br /><br />Let me suggest some alternative assumptions which I feel are more plausible and more helpful, and invite you to help me examine a model I have developed based on these alternative assumptions.<br /><br />The assumptions are:<br />1. a gold standard<br />2. gold's purchasing power ultimately anchored by its supply and demand flows.<br />3. gold's purchasing power has some short term inflexibility, prices have some stickiness, and require some means of change.<br />4. consequently, in the short run, the purchasing power of gold may be above or below its equilibrium level, and there may be surpluses or deficits in the gold market from time to time.<br />5. the demand to hold gold, and the benefits from holding gold, are a decreasing function of the gold stock.<br />6. The interest rate is the price that puts the existing gold stock into the hands that most want to enjoy its benefits.<br />7. The interest rate impacts on the viability of capital investments in buildings and other forms of investment other than in holdings of gold coin.<br />8. The viability of capital investments in buildings etc. drives aggregate demand, and the rate of price inflation or deflation.<br /><br />Please let me know if you're interested in this approach and model.David Hillaryhttps://www.blogger.com/profile/12270742541175771322noreply@blogger.comtag:blogger.com,1999:blog-8897997766931633186.post-20644242429543334012010-05-11T07:07:10.424-04:002010-05-11T07:07:10.424-04:00I have started using the term "total cash pay...I have started using the term "total cash payments' as a substitute for "nominal expenditure."<br /><br />I don't mean targeting expenditures using hand to hand currency. <br /><br />Last I saw, 90% of expenditures are by checkable deposit.<br /><br />But I think expenditures by credit should count too.<br /><br />Concretely, I favor targeting Final Sales of Domestic Product.<br /><br />I think I will quit using the term "cash expenditures." "Cash" is just a confusing term. Sammual Brittan, I think, suggested the term.Bill Woolseyhttps://www.blogger.com/profile/06330232724290161369noreply@blogger.comtag:blogger.com,1999:blog-8897997766931633186.post-79756619251175952912010-05-10T22:29:34.025-04:002010-05-10T22:29:34.025-04:00Bill, do you include payments using deposits as ca...Bill, do you include payments using deposits as cash payments? <br /><br />Example: if I write a check (or use a check card) to someone who has the same bank as me, only a small amount of cash actually changed hands. Most of what changed hands was who the bank was liable to pay.Doc Merlinhttps://www.blogger.com/profile/13615897698740661539noreply@blogger.com