http://armstrongeconomics.com/2013/03/25/sovereign-debt-crisis-conference-2/

I can see why they locked him up. If I'm reading this correctly, he's advocating the total elimination of sovereign debt and the markets that deal in it. By his reasoning, if all currency is fiat then just print the damn stuff as you need it. Don't tax people to pay for govt. services, but by the same token don't provide a place for them to hide either.

I'm starting to get it, I think. Straight printing is really no more inflationary than debt based money, provided you have a flywheel. That would be the international currency markets, I presume, which would set the relative values according to GDP and balance of trade. Anyone got out of line, their currency would be trashed.

How it works at the local level I haven't yet puzzled out. People whould have more to spend (lower taxes) but fewer places to hide. Would this create an investment boom with real productivity as the end result, or would it be the bubble of all bubbles once the hucksters realized that everyone is flush and ready to play again?

How does this work?

ebear