tag:blogger.com,1999:blog-912107698547747613.post64793929721598199..comments2023-10-23T22:07:07.535+01:00Comments on London Banker: Byways and Tribal CapitalismLondon Bankerhttp://www.blogger.com/profile/13358082683340132378noreply@blogger.comBlogger24125tag:blogger.com,1999:blog-912107698547747613.post-37488419594059644402008-11-15T21:23:00.000+00:002008-11-15T21:23:00.000+00:00Great blog but to be a bit picky they did not have...Great blog but to be a bit picky they did not have 'iron' or silver in the neolithic (new stone age), the ridgeway is beautiful and yes the present crisis is ugly.<BR/><BR/>The very fine Cuban thinker Roberto Perez seems to be one of the few people on the planet with a good economic approach to the mess, check him out if you can.Derek Wallhttps://www.blogger.com/profile/05462511891409913195noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-61800669976385050742008-11-09T02:46:00.000+00:002008-11-09T02:46:00.000+00:00The Rahm Emanuel choice is trivial compared to the...The Rahm Emanuel choice is trivial compared to the points Obama made in his first press conference. There, Obama made four points: 1) Congress needs to pass a stimulus bill, 2) The automotive industry must be revived, 3) Foreclosures need to be delayed, 4) Executive compensation after bailouts needs to be reviewed. These are the issues Americans voted for and I suspect voters liked what they heard. <BR/><BR/>None of these are good ideas. The last stimulus package failed, why would a second do more? The automotive industry doesn't have manufacturing problems, it has banking problems. GM and Ford have long been making more money financing cars than making cars. Congress and the Fed have proven they can't help banks. Delaying foreclosures, presumably while bankruptcy laws are rewritten, will cause interest rates to rise and we all know what that does to a weak economy. Finally, the problem with bankers helping themselves to a bailout bonus is natural. If you bring in a billion dollar account, you get a bonus. That is how things work. The problem isn't the bonus, it is the bailout itself. Except for the bankers, media outlets and political campaign funds that directly benefit from the cash, Americans will only see a big tax bill..<BR/><BR/>Despite my lack of enthusiasm for the announced programs, I applaud Obama. He has addressed what his voter base wants<BR/><BR/>Obama's job is leading, and he can only lead when connecting with the public's view of things. Managing expectations is likely to be the future presidency's primary challenge. Obama is essentially the leader of a youth movement. Good youth movements honor traditions, knowing well they will have many opportunities to change their minds in the future. I say 'relax and let they young folks subvert the system'.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-73341925602240560772008-11-05T15:42:00.000+00:002008-11-05T15:42:00.000+00:00The problem with education in America is CULTURE. ...The problem with education in America is CULTURE. The country can change curriculum, spend more money, make new rules, but it won't change a thing.<BR/><BR/>UNTIL it becomes "cool" to be smart, then the kids that are talented in Math and Science will continue to be ostracized and called names. I have hopes that the new President can help to change the "gangsta" culture.<BR/><BR/>For those of you who have compared America to Rome, I hope you listened well to Mr. Obama last night. He was saying that we are not going down for the count and don't be placing bets against us. We ain't Rome and never forget, America is very good at morphing itself. We've had more makeovers than Madonna.<BR/><BR/>CitoriAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-71368787340570461462008-11-05T15:14:00.000+00:002008-11-05T15:14:00.000+00:00@yoyomoA combination of boredom and confusion, and...@yoyomo<BR/>A combination of boredom and confusion, and except for a few political hot-buttons, these curricula were generated inside the education colleges. I've been a teacher, my mother is a retired teacher, my father is a retired teacher with a masters in education, and my mother-in-law was a teacher with a doctorate in education, so you've touched a topic I grew up with in a very real sense.Knute Rifehttps://www.blogger.com/profile/02345893660115107054noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-47417699478832781682008-11-05T14:19:00.000+00:002008-11-05T14:19:00.000+00:00Knute,I don't believe that the education professor...Knute,<BR/>I don't believe that the education professors are cocking anything up, the education curriculum is designed to alienate students from critical thinking. Bore the kids to death and have them slog through school with their brains on auto pilot and they'll believe anything an authority figure tells them, hopefully for the rest of their lives.yoyomohttps://www.blogger.com/profile/06357340275250708990noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-31228883885344833772008-11-04T05:41:00.000+00:002008-11-04T05:41:00.000+00:00@yoyomoWe're Uhmurkins, and we don't care 'bout no...@yoyomo<BR/>We're Uhmurkins, and we don't care 'bout no stinkin' ecological limits. You can have our SUVs when you can pry them off our cold, dead asses.<BR/><BR/>Seriously, a societal scaling back always requires external forces, and force is, well, forceful. Violent. The change will come, but it won't be pretty. Eggs will be broken to make that omelet.<BR/><BR/>As for Gatto, I must disclose up front that I got over being a libertarian when I got over being 13, which I consider the libertarian age. When I read Gatto, my first reaction is, "Duh!" That's also my second, third, and all subsequent reactions. So the US adopted Dewey over Hutchins; this is not news, and in my not-so-humble opinion, it isn't even a bad thing.<BR/><BR/>The US education system has always been dichotomous: a basic education to train the workers, and a classical education for the elite. With the rise of the land grant institutions and the increasing focus on technology and research, higher education became more democratic. This democratization trickled down through secondary and elementary education, and though the dichotomy remained, it became masked.<BR/><BR/>After WWII the overhaul of US education began in earnest. The traditional curriculum was attacked and completely revised (Justifiably. Contrary to Hutchins, there <I>is</I> thought from sources other than dead, white, European males.), and people from places other than Kennebunkport were allowed into higher education and the professions, but the schools were also saddled with a lot of social experiments, including the notion that everyone should go to college, which is bunk.<BR/><BR/>Nevertheless, the US schools gamely attempted to get everyone into college. All this did was cause the colleges to lose their sense of purpose, as remedial classes and flunky majors were piled on. And as with democratization, this loss of purpose drifted down through the levels.<BR/><BR/>You want to fix US education, I can cut straight through Gatto, and it doesn't include home schooling beyond the responsibility of each citizen for his/her own education. First, decide what you want the schools to do. If you don't give them a goal, how can you expect them to attain anything? As Lewis Carroll wrote, "If you don't know where you're going, any road will get you there."<BR/><BR/>Second, make the goals a national policy. They can be administered locally, but they can't be <I>set</I> locally. Too many education resources are wasted by local and state school boards with a knowledge of science that begins and ends with Genesis.<BR/><BR/>Third, nuke every education college in the country to keep the education professors from cocking up points one and two the way they've been cocking up education in general for a half-century.Knute Rifehttps://www.blogger.com/profile/02345893660115107054noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-26459374317792117222008-11-03T20:41:00.000+00:002008-11-03T20:41:00.000+00:00@YoyomoThat is a beautiful thought, but as I am un...@Yoyomo<BR/>That is a beautiful thought, but as I am unfortunately (for me, that is) already well past my days of youth and have gathered cynicism enough for one, I do not think that west (or even the east) is ready to cut down in such way as such change would require.<BR/><BR/>I rather think that our elected leaders will continue to obey the will of the electorate and drive this system at full tilt right over the cliff. Any corrections will be minor and not really change anything on the long run. And we are not there quite yet, even if I quite agree that the coming years will be most painful in many economies of this world.Drakehttps://www.blogger.com/profile/11413386807483123392noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-32600512705621169772008-11-03T20:37:00.000+00:002008-11-03T20:37:00.000+00:00Ah, Sackers, I forgot to say - we live on a Roman ...Ah, Sackers, I forgot to say - we live on a Roman Road.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-10768854712180143492008-11-03T06:35:00.000+00:002008-11-03T06:35:00.000+00:00Like the Ridgeway, it seems most of physical natur...Like the Ridgeway, it seems most of physical nature exists in a bog or morass with only a small part providing sound bottom and structure to support meaningful growth. As we tread on "shoulders of giants" maintaining western culture and production and enlarging upon it, it seems the creatures of the bog have gained ascendancy and used access to power and money to obliterate our ancient backbone of commerce.<BR/>What will it take to keep our millenial trade from rotting and disappearing? How to keep a season's locusts from consuming so much that no further harvest will come? Time will tell if the thiefdoms of America rival the fiefdoms of ancient Europe in vanquishing human hope and enterprise.<BR/><BR/>BTW, Ridgeway reminds me of Matthew Ridgeway. Dropped onto the continent breaking an ankle, but still commanding a force behind enemy lines. An early military wave of another emerging Rome, it was. But this army, in their naivete', truly believed in a just cause and in man's right to self determination. <BR/><BR/>Only a generation later and such youthful innocence is crushed in the studied malevolence of careful plunder, as a new army has arisen in business suits. Salesmen and market hawkers who collectively threaten the world's resources. These are, whose contributions have come to be known as net withdrawals of exponential proportion.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-41206821120726003692008-11-02T20:05:00.000+00:002008-11-02T20:05:00.000+00:00Drake & Knute,With the world at its ecological...Drake & Knute,<BR/>With the world at its ecological limits to growth in commerce there is no longer the need for the exponential growth of credit and money supply. As the world delevers and consumes less per capita, reserve requirements can be ratcheted up and the money supply stablized to reflect the stock of real wealth in the world.<BR/><BR/>LB,<BR/>Any insights you'd like to share?<BR/><BR/>Knute,<BR/>Did you see my note to you a while back on the state of education and the article by John Taylor Gatto, "Against School" Harper's Sept03. Does his thesis comport with your evaluation of the quality of education.yoyomohttps://www.blogger.com/profile/06357340275250708990noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-36307326760163333162008-11-02T17:20:00.000+00:002008-11-02T17:20:00.000+00:00@Dearieme: most interesting, that about the Roman ...@Dearieme: most interesting, that about the Roman roads. As you know, I've been planning to get us out of the city, for similar reasons.Sackersonhttps://www.blogger.com/profile/09410040031410954403noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-61231149459497063252008-11-02T04:57:00.000+00:002008-11-02T04:57:00.000+00:00@yoyomoI agree with drake that a 100% reserve syst...@yoyomo<BR/>I agree with drake that a 100% reserve system would require a complete remake of the Western economic system because everything, financing, production, purchasing, is based on leverage. I would also note that even the Sharia outfits, at least the ones I've had contact with here in the US, aren't really 100%, instead using smoke and mirrors to maintain the appearance of scriptural compliance.<BR/><BR/>@tb<BR/>Yes to Claudius accomplishing the conquest, but the tribal names depends. Bronze Age, not Celts, but from the iron Age on there was a growing Celtic influx, and by the Roman era, Britain was Celtic.<BR/><BR/>@dearieme<BR/>The difference in village location comes down to one of LB's points, the rule of law. When law collapses, commerce collapses along with everything supported by it. Makes you wonder just how extensive the damage caused by the US's behavior over the last several years is. The UK's behavior, too, which leads directly back to your question about the frankly illegal actions toward Iceland.Knute Rifehttps://www.blogger.com/profile/02345893660115107054noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-13243804537469231952008-11-01T21:02:00.000+00:002008-11-01T21:02:00.000+00:00@YoyomoI do understand that it would not have to b...@Yoyomo<BR/>I do understand that it would not have to be complete switch all at once into 100 pct capital requirement system. But I am sorry, still do not think that it could be done. <BR/><BR/>The current western capitalistic system has been found on an idea of constantly increasing amount of money, with credit equalling money. Not money supply, but rather the way how banks create money by lending it out against fractional reserves. <BR/><BR/>The collapse into which we are (in my opinion) still headed was caused by bad credits hurting banks capital, and thus limiting the amount that they were able to lend out(by multiple of 10). And to fix that the massive rescue operations are targeted. And that is what has got Ben and boys so panicking.Drakehttps://www.blogger.com/profile/11413386807483123392noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-52096023019431298102008-11-01T18:38:00.000+00:002008-11-01T18:38:00.000+00:00I learnt a good lesson once by happening across pa...I learnt a good lesson once by happening across passages in two different books. The first was about Roman Britain: villages sprang up along the Roman Roads because roads meant trade, which meant prosperity. The second book was about Dark Ages Britain. Villages flourished only at some distance from the old Roman Roads, because roads meant armies, which meant robbery and murder.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-2494832529932410412008-11-01T09:41:00.000+00:002008-11-01T09:41:00.000+00:00@ DrakeThe full reserve requirement would be phase...@ Drake<BR/><BR/>The full reserve requirement would be phased in gradually; there would be no need for a sudden collapse in the money supply.yoyomohttps://www.blogger.com/profile/06357340275250708990noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-64339988509578163732008-11-01T02:48:00.000+00:002008-11-01T02:48:00.000+00:00LB, to quote Lewis Carroll, “If you don't know whe...LB, to quote Lewis Carroll, “If you don't know where you are going, any road will get you there.”<BR/><BR/>Loved reading about the Ridgeway Trail. Can't help but see (as Drake posed in his post) the allegory of your journey to this period of antithesis in our financial world.<BR/><BR/>CitoriAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-27732365459807105352008-11-01T00:56:00.000+00:002008-11-01T00:56:00.000+00:00Gosh London Banker! Being a banker sounds like a ...Gosh London Banker! Being a banker sounds like a cakewalk...so much leisure time!<BR/><BR/>You are a lucky man, very lucky - as others work away 50-60-70 hours a week all year long you take lengthy vacations and indulge in leisurely activities...lucky man! <BR/><BR/>I guess all of your 'hard work' has paid off!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-38879969629174894022008-10-31T21:07:00.000+00:002008-10-31T21:07:00.000+00:00Fantastic post and wonderfully clear allegory. Mad...Fantastic post and wonderfully clear allegory. Made me stop several times to contemplate the history and also the teachings that you drew from there. Thank you.<BR/><BR/>To Herman d.H. the western civilization is built upon the model, where banks only have the 8 pct minimum capital requirement. That has allowed the amount of money to grow in such a staggering way. 100 pct capital requirement would collapse this house of cards in a way that no one will ever wish to witness.Drakehttps://www.blogger.com/profile/11413386807483123392noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-63681643202872402682008-10-31T20:46:00.000+00:002008-10-31T20:46:00.000+00:00How does using an anti-terrorism Act agin' Iceland...How does using an anti-terrorism Act agin' Iceland fit into your picture?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-83543985623887087782008-10-31T13:08:00.000+00:002008-10-31T13:08:00.000+00:00Welcome Back! You were missed around these parts.....Welcome Back! You were missed around these parts.....<BR/><BR/>This was an epic and memorable post. You constantly exceed your own self-imposed standards week after week.<BR/><BR/>In fact, I don't think this was even a post, it was something akin to a moral signpost on your Ridgeway Trail.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-48016528197247772812008-10-31T12:20:00.000+00:002008-10-31T12:20:00.000+00:00So LB,Do you have an opinion on 100% reserve banki...So LB,<BR/>Do you have an opinion on 100% reserve banking as suggested by Paul Craig Roberts and practiced (in theory at least) by Sharia-compliant banks? Do you think it would be workable? If so, it might greatly reduce the turbulence of the credit cycle. At least it would constrain the ability of banksters to manipulate the money supply up and down as Thomas Jefferson feared in order to expropriate the economy's real assets. I'm truly curious if the current crisis might not provide the impetus for a radical restructuring of the financial system.yoyomohttps://www.blogger.com/profile/06357340275250708990noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-18621164690540993602008-10-31T11:45:00.000+00:002008-10-31T11:45:00.000+00:00@ yoyomoI've been away from blog access for most o...@ yoyomo<BR/>I've been away from blog access for most of the past two weeks. I've just approved all the pending comments. Apologies for the delay. I should probably just suspend moderation and risk the occasional inflamatory comment.<BR/><BR/>@tb<BR/>Thanks for the historical details. My grasp of ancient Britain is superficial, as you rightly suggest. One of the joys of blogging is getting instant feedback from those who have detailed knowledge or different perspectives.London Bankerhttps://www.blogger.com/profile/13358082683340132378noreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-50672665734873427552008-10-31T09:46:00.000+00:002008-10-31T09:46:00.000+00:00Most historians would not call the pre-Roman tribe...Most historians would not call the pre-Roman tribes of Britain Celts, it is akin to calling the Irish, English.<BR/><BR/>"The ill-armed militias of the Picts and Celts offered little challenge to the mighty Roman Army that Caesar led into Britain"<BR/><BR/>Those ill-armed militias repelled Ceasar, it was another 100 years before Claudius conquered south Britain.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-912107698547747613.post-15190425279918760142008-10-31T09:15:00.000+00:002008-10-31T09:15:00.000+00:00LB, I left you a link on the previous comment thre...LB, <BR/>I left you a link on the previous comment thread but it never got posted; moderator approval was activated, it would have been #35.yoyomohttps://www.blogger.com/profile/06357340275250708990noreply@blogger.com