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This question is directly equivalent to "If I issue a bearer bond, is this bearer bond money?" The answer is yes. It is fungible, transferable and a medium of exchange. The extent to which it is 'money' depends on the extent people trust you. Money in prisons is often packets of cigarettes. Is a brick money? Yes. By making a brick, you are making money. ...


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No, you didn’t. All money is debt, but not all debt is money. There are two easy ways of thinking about this. The first is to think about the properties of money: unit of account, store of value, medium of exchange. Focusing on the latter two: Is the money you owe to me a good store of value? No offense, but I’d rather have cash or keep it in an insured ...


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I also agree that method 3 is the best option. Just as the previous posted stated. You must chose the base year then use that value to adjust the time series, assuming this time series is annual. For 2008 the value would be 100 then 2009 would be 1.03 and 2010 would be 1.04. $100 * (1.03) * (1.04) = 107.12


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Well first of all I don't know why someone is going around downvoting legitimate economics questions and answers to the point everything recent on this site is negative. Naturally in the Covid19 crisis people are starting to take an interest in the economy, so we're getting questions that don't quite fit the mould, just as we did during the 2007/8 financial ...


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It depends on the laws of the state. The key is the degree to which the sovereign domain protects the individual's right to private property. Most jurisdictions consider money to be property. That's why the right to ownership of private property is so key to the functioning of a free market economy. Without the right to own private property, as exists in ...


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Thanks for the posting. The greatest problem with those instruments was nonredemption. Now that is solved through blockchain rewarding mechanism with the smart contracts. You can check with Marmara Credit Loops. https://www.youtube.com/watch?v=hQYgDhSsHrI


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I would just like to share my take on your question and to rebuttal some of the comments already made. In particular, the analogy given by Mr. Inaki Viggers. Currently, the way people view rate cuts is it stimulates the economy because a lower rate enables businesses and people to borrow cheaper. This is supposed to increase spending/consumption and thus ...


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