Puntland Economic Policy. Realistic One

[DR OSMAN]

As you know PL isn't at the 'stage' where it's even near 'economic' development, but it will be going there once the governance, security, political stability(federalism), and basic social services outcomes are achieved. I want PL to be inspired by this famous 'quote' I heard by a Somali. He said I wish to see one day local Somalis send me money and not me sending them money from 'outside'.

That's very inspiring he is basically saying he wants to see a Somali that has reached full human development. Right now they haven't even got the basics each society enjoys such as reliable security, reliable government, political stability, working institutions, the rule of law, a government that is the will of the people not the will of a few. Many things are missing before economic development there is no doubt and PL development has to be 'phased' out and time-table developed to ensure when outcomes have been achieved.

But I do want to say I do notice the huge obstacle PL faces and as @Teeri-Alpha also knows is the lack of data. For example you will see thousands go thru university process but if they had data on their 'economy' they wud realize this isn't wise decision as it creates large supply of workers but no industries to hire them. That's why if PL had data, all it's policies would actually be guided by something factual and not by someone guesses.

PL needs to develop a 'data and statistic' office and we need to discuss what sort of 'data' do we need. The obvious ones are population, urban, rural, male, female, age groups, birth and death, and possibly many more criterias. For example if you don't know the birth/death of your people, you won't know how much supply of labor there is for the economy.

The economy needs a 'fixed' amount of 'labor' and as it 'grows' or 'decreases' knowing birth/death rate is critical of the labor pool or else it could lead to oversupply of people and the economy adjusting to local and world demand. When this happens you need some sort of emergency policy to cover these 'risks' as it can lead to instability like 'venezuela' who's economy 'shook' and now people are starving in the streets, they didn't put away 'money' in times of 'social need'. I also noticed a huge problem in PL and Somalia in general, we never develop 'knowledge' because the majority of our people are under 30, we have in-experienced population and inexperienced population are usually '3rd world' jobs like 'maids, labourer, etc'.

We need to focus on our 'health outcomes' we need to ensure they live longer so we can create 'institutes' for them later in life to provide their 'experience' where-ever their working so the govt can begin 'adjusting' policies based on 'expert' advice thru their 'lessons learned' archives from previous policies. Unfortunately they do not reach that maturity level and die early, so it's like we are recycling a population constantly who is of no benefit.

But the one thing I want puntites to focus on, do not expect anyone to give money for free, if your labor pool doesn't have the technical know-how or education skills required for an industry, there is no company who is going to pay someone like that when there is reliable pool that is proven and tested like Singapore labour supply due to they're visionary leader.

They were no different in GDP singapore when they gained independence to all african nations, but the only difference was one 'great leader' and they say his greatest statesman in our century, who took a people like Somalis from the ground up and invested heavily into their schooling system so he prepares a pool of workers who are quality workers and can compete for international companies in the world.

He obviously addressed good governance, no corruption, strong rule of law, predictable justice system where there is no two different outcomes, he set up the environment 'state wise' but his 'policy' and he took these poor farmers from singapore and said you will be the '100k' workers of the future by the 'millions' is amazing and even @Teeri-Alpha is impressed how he did it considering Somalis even if you make a 'move' qof kale ayaa ku jojjinayo, it's vicious cycle that leads to nothingness and opportunity wasted.

 

[DR OSMAN]

@Teeri-Alpha I say once the data is in about our populations in PL/JL. We can begin the 'segmenting' of each 'pool' of labor based on 'rural or urban' outcomes following what our economic policy for urban or rural areas. We can divide the pool as the 'number' needed in 'technical schools' or 'university' for professional jobs, we can even include a segment who can be 'start up or business type' people.

We can action each segment, monitor over duration of time(years), roll them out into the market place, ensure the required or targeted indusry is on 'stand by' locally or 'globally'. It doesn't matter where they make the money locally or globally, the govt of PL/JL will still get it's taxes from his foreign workers.

We need to review the stock exchange for commodities obviously as that is the 'market' for minerals and resources, ensure we get allowed into OPEC and get the saudis to cut production to a 'point' in return to allow Somali oil supplies fill the void, this will provide us with a 'good capital' to begin with our transformation of the locals thru 'guided' policies and 'data' and 'measurement'.

Our economy needs a 'central' bank as this is where the 'control of currency' is done based on economic activity, one of the key problems in Somalia it's hard to do business, it takes months just to sell a 'house' as the currrency isn't available freely, this months of wasted production time in a year, because GDP is measured along yearly basis, if your sitting there months just waiting for 100k to be transacted u can see the problem. The reason for this is the 'dollar' supply is low in Somalia and Somali currency isn't being 'controlled' or 'released' to private banks to ensure business can happen quickly.

 

[Farjano-Walad]

DR you are right about data and creating jobs, the glut of people who just go to uni but never get a job is a big concern,

i once met a Kenyan jalwa shoe shiner with a masters in engineering shining shoes,

let me share a little secret governments or economist dont usually share: Governments never ever create jobs, they only create the environment for job creators i.e investors, entrepreneurs, risk takers need that environment to feel safe and secure and legally protected so they can create jobs

the state cannot create jobs, they can create the environment for it, so for example they defend the money in your bank so no one tkaes it by force, the bank pools the money together and buys bonds or loans it to company X YZ that needs the funds to make machine parts to build them and send to another company that has contracted t them,

look at this scenario, by the state just protecting your bank from being robbed, the managers at the bank create massive value, they pool money together, give back earning to the depositors of the money, Chanel it, checks the business splan of the company, credit check, history

the company hires smart engineers, makes the parts, won the contract, supplies it, the other company benefits, their employees are more prodcutive sicne they have the machine parts rather than buy it from abroad, we create jobs,

the employees get paid, they spend the money on the local economy, and create what we call ancillary sectors, supermarkets, coffee shops, tutors for their kids, clothes, shoes, car hire firms, holiday, planes, tickets for all sorts,

the government manager has no idea who needs what money, how much, but the bank is like a middlemen, its his job to pool and channel resources, he attracts investors or depositors with great returns, he also safe guards the company borrowing is solid, strong, or the idea is so good its worth taking a risk on it,

the state cannot channel or pool resources, they dont know which market will take off, what demand will look like,

if you really think about, entrepreneurs must forecast the future and consumer demand, Chanel resources, land, labour, capital and what we call economic agent, the business men, the entrepreneur, he is the one who truly mixes the land, labour, capital and creates the perfect product wanted by the consumer, he adds value,

the reason why the kenyan bantu was shining shoes was because he was given scholarship to study a degree whilst at the same time the state or her corrupt people take bribes from entrepreneurs and this will scare the economic agent who creates jobs,

worst yet, the shit hole country dont get economic agents because one dude gets monopoly to be the only maker of one item so others must be blocked because the presidents nephew gets contract and others are told no if they dare to innovate,

this is why we need institutions like courts, systems to block the prime ministers nephew taking a monopoly, this is why Australia, UK, USA can create jobs and Africa doesn't, its because economic agents who bring in money from investors, business idea from his mind, land and labour and capital machines are thwarted , as a result you dont division of labour, engineers who specialise in their filed, bank managers who expertise in channelling and pooling resources, you dont develop rich wealthy people who made it as a success all of them are killed before they even take off so that potential engineer, doctor, biotech genius becomes a terrorist, or worst, a state employee who will take bribes because he got the job by bribing himself, s why not ask for money in return, he got the job thanks to connections and under hand tactics, one of the few lucky ones,

 

[Farjano-Walad]

it takes 2 days to starts a business in Australia, its always ranked top 5 if not top in ease of starting a business world wide, but it takes 500 days in places like Egypt, 700 days in Ethiopia, many licenses, many bribes,

economist calculate how much money and hours it will take you to start a business, places like hong kong is around 4 hours, many places shit hole nations it takes years of wages or salary, to register,

that is just to register, not even start operations, not even turn on the lights, hire people, make business cards, just to register is a massive headache for most people in asia, latin american, africa, arab nations,

if i was president of Jubaland, i would create a website that lets you register a business in minutes, just enter your name, passport number and address, and business name, exactly what the UK did, now it takes 2 days for the UK to approve this process, £12, before it was weeks, long time and costly, just to register a business name,

in kenya you must queue up, pay bribe, my family was building a warshad, factory for mill/ flour, the bantu asked for bribe, so did his wife and his boss and the bosses wife, in Nairobi central council, we were delayed for months,

what that kind of money we could have hired many many dozen people, imagine if one day a dude rapes or robs of them people we could have employed but he was desperate so he turned into a criminal, this is the potential consequences when people are Hungary,

western leaders dont allow this because they know it will destroy society so they curb it,

 

[Farjano-Walad]

this is why India richer than china in 1970 is now 7 times less GDP because of hardness to get registered, electricity, complicated taxes etc compared to china now,


india should be much richer than USA as they have more people, but gdp is like 2.64 trillion, USA around 21 trillion, china around 14 trillion,

 

[Farjano-Walad]

 

[DR OSMAN]

@Teeri-Alpha when a nation prints it's currency, I assume the currency is used a legal tender only, it has no inherent value beyond it's 'legality' in the market place to conduct business? so if Somalia wanted to begin printing it's currency again, wud it need to 'estimate' what the economic activity looks like for the year and forecast how much notes it needs printed to match it? as times goes by they slowly adjust the controls on the currency into the banks depending on economic activity increases or slow downs?

The other thing I need to ask you, when 'private banks' register with the central bank, do they need to come with actual 'capital' that is proven or do the 'banks' get given the currency to 'facilitate' the economical activity? the final thing that mind-boggles me is you need to ensure the locals are all using 'banking' in some way either 'storing or transacting' funds.

The money need to be stored somewhere, it's impossible to exist without a bank account in any market place as it's the 'medium' used between buyer and seller. I mean you can pay in cash but you still need to 'withdraw' from the bank, u see the bank has middle man role in every business activity in the land, even if you do it over the phone, internet, cash, or account to account, they have to be 'present' somewhere in the process as the money is circulating through the 'bank' itself wallahi, it's not circulating in thin air. From this they can make a-lot of 'money' on 'fees' for accounts(personal, business, etc) and they can make a-lot of money from 'lending' to support first home buyers because once someone gets a job their first loan is a 'house' plus they provide needed capital for entrepeneurs or start ups who can get business loan which is also important, if this facility is missing in Somalia a proper banking structure we are in deep trouble as the biggest economic activity in market place is 'construction' of homes, opening up businesses, service sector, all need reliable loans, proper banking systems, controlled market place that is predictable

 

[Farjano-Walad]

Dr Italy was the biggest manufacturer in Europe until early 90s, in fact if you go to 1980s, virtually everything in Europe was made in Italy sign,

but they screwed up with bad polices, corrupttion, the mafia took the state and would bribe all officials, in fact the mafia was in bed with state, prime minister, police, army and even their secret services,

so italy in 1990s killed their strong business sector, the innovative entrepreneurs was killed with tax codes of 600 pages,

can you believe what it was like filling up an application to register a business with 600 ages just for tax codes,

so they became the sick man of EU, also same with Greece, heavy stupid interventionist state polices that build up costs to entrepreneurs in a very bad way

today italians go to germnay and Uk for jobs,

so keep in mind, if the state increase the costs, the system can be reversed, its like a plant, it must be watered and looked after for every generation,

today France, italy, greece are so bad when it comes to costs and time it takes to register a firm, get permists, the comicated tax codes etc, france is as bad as spain with 60 days plus to register a cmpany,

this is why employee and specially those under 25 years of age is so bad in Greece, Spain, france, too much state power, they need to be like Germany, federalism state or USA, so if Bavaria rapes you with too much costs, you can go to Saxony, or if California takes the mick since socialists democrats rule it, you go to lower tax and lower regulations like Texas, this is what i want for somalis, if jubaland takes the mick with high taxes, i want to go to another part in somalia since its federal states that compete, this is why the Swiss are so good, the 14 cantons compete in taxes, regulations, red tape etc instead of one big ugly centralised state like france, Spain, UK,

 

[Farjano-Walad]

Dr correct me if i misread your questions, i will attempt to answer as best as i understand them bro,

@Teeri-Alpha when a nation prints it's currency, I assume the currency is used a legal tender only, it has no inherent value beyond it's 'legality' in the market place to conduct business? so if Somalia wanted to begin printing it's currency again, wud it need to 'estimate' what the economic activity looks like for the year and forecast how much notes it needs printed to match it?

legal tender can be anything the state demands, in centuries past it was salt, gold, rocks, slaves, heck even once thousands of years ago arab countries used to literally use females, but over the centuries men discovered the nice qualities of gold as money, because ti doesn't rust like iron, or die away like meat, or salt washed by water, and its very fungible, meaning you can take it and combine it, so take many gold coins and create 1 kilo as example,

for something to be called money, economist use certain definitions for money must have to be called money:

• General acceptability
• Portability
• Durability
• Divisibility
• Homogeneity
• Stability

i will not bore you with technical details, your just interested in how a state can use money (fiat money) to conduct economic activities in her borders,


the state just needs to say this is our legal tender, what the legal tender is doesn't matter, what matters is it keeps its value, stability since you are saving economic activity you have worked for in this money,

turkey and many other countries have reformed their money, turkey was worse before 2005 1 dollar was like 1 million lira due to inflation, it came down to 1 dollar worth about 1.5 lira after reforms in mid 2000s but its now around 5-6 thanks to erdogan screwing up the economy,


second part:

once the somali state prints her money, there is no need to estimate how much she needs each year, this silly idea the state needs to keep printing money to match economic growth is silly, it was created by Milton Freedmen as a 5th column so the |federal reserve can keep printing money, its BS, he was a stooge hired by the federal reserve, i will not bore you with technical details ,

but lets say the somali state prints 28 Somali notes, each note worth 1 somali shilling, or 5, 10, 20 notes with 1 dollar notes to reach 28 shilling for each ounce of gold (each ounce of gold is 28.5 grams of weight in gold)

and lets say the state prints only 280 million notes, they never ever need to increase the money to keep with demand,

i will explain why, money has something called Subjective marginal utility,

money will never become scares, why, lets say we have an economy of 100 million dollars with 100 million eggs, meaning 1 dollar can buy 1 egg, ratio of 1:1 and now we still have an economy with 100 million dollars but 200 million eggs, the value of money has gone up hence 1 dollar can buy 2 eggs now,

so thanks to marginal utility, of the least understood things about money, the value of money will go up, so if the money stays the same, and production of good and services goes up, the money can buy more, so if last year 1 shilling can buy 10 pizza, today 1 shilling should buy say 12, or 14, or 20 pizza, depending how much production has gone up if the money supply stays the same,

so this is why i am not worried about increase money supply, what improves living standard is what you can buy with the money, not the money its self, but they represent in value, so isn't it better if our money can buy us money goods year in year out whilst the supply of money stays the same? so we want more goods, more production, more widgets, eggs, shoes, clothes etc not more money,

i hope you really understand that increase money supply funks up the economy, and savings, we want you to save money today that will buy more goods in 30 years time due to increase in supply, not the opposite like Zimbabwe,


money is one of the least understand, of the most chased, yet one of the least studied topic on the planet, its very complicated, but the state needs to create money supple once and leave it, the reason why they increase money supply is because of fractional reserve banking or the system will break, but that is for another topic,

 

[DR OSMAN]

Dr Italy was the biggest manufacturer in Europe until early 90s, in fact if you go to 1980s, virtually everything in Europe was made in Italy sign,

but they screwed up with bad polices, corrupttion, the mafia took the state and would bribe all officials, in fact the mafia was in bed with state, prime minister, police, army and even their secret services,

so italy in 1990s killed their strong business sector, the innovative entrepreneurs was killed with tax codes of 600 pages,

can you believe what it was like filling up an application to register a business with 600 ages just for tax codes,

so they became the sick man of EU, also same with Greece, heavy stupid interventionist state polices that build up costs to entrepreneurs in a very bad way

today italians go to germnay and Uk for jobs,

so keep in mind, if the state increase the costs, the system can be reversed, its like a plant, it must be watered and looked after for every generation,

today France, italy, greece are so bad when it comes to costs and time it takes to register a firm, get permists, the comicated tax codes etc, france is as bad as spain with 60 days plus to register a cmpany,

this is why employee and specially those under 25 years of age is so bad in Greece, Spain, france, too much state power, they need to be like Germany, federalism state or USA, so if Bavaria rapes you with too much costs, you can go to Saxony, or if California takes the mick since socialists democrats rule it, you go to lower tax and lower regulations like Texas, this is what i want for somalis, if jubaland takes the mick with high taxes, i want to go to another part in somalia since its federal states that compete, this is why the Swiss are so good, the 14 cantons compete in taxes, regulations, red tape etc instead of one big ugly centralised state like france, Spain, UK,

I know your pro federalism and I am also, cause it's showing some positive 'gains' on the grand or else we could be heading towards our 30th conference on agreeing on centralized state while the locals remain in their cesspool situation due to political disagreements and international community just says 'calls us when u actually decided on something'.

How embarassing a grown adult man who cannot make a decision, sxb wax lala yaaba soo ma aha? qof facaga oo ku oranayo 'call us when u make a decision' while your supposed representatives are still in political turmoil for nearly a decade. I throw the 'book' right back the 'south' rather then convince them of what I think is best for the nation, we should just say as PL/JL this is the will of our people kama 'tanasulayno' let's talk about how it can be accomodated in the federal structure only. However what our leaders do is they entertain the 'sparring matches' with the centralist when we should 'your region' waxay iyagu dortan(centralism ama federalism) we will respect their will and their interaction with the federal government.

We need to be more politically astute then how our leaders are where they want to 'ram federalism' down the nation throat when all they need to say is 'this is the will of puntland and jubaland' whatever the 'will' of another region isn't our concern since it's not our region and we will respect whatever decision they reach as long it's 'bottom up' not 'few diaspora leaders who want to enforce their opinion' on millions of locals who will not see this as their government but the government of 'few elites'.

So let's slam the SFG back politically sxb, lets tell them 'idinku markad tashatan oo nidaamka aad rabtan sheegtan' you guys can have that decision among yourself, but as PL/JL we know what we want now how it's accomodated in the constitution is the only discussion we will entertain, we are not going to entertain the game of 'forcing' this down your throat. We will find ways to create hybrid system that accomodates all, the goal of a govt is to accomodate it's various regions aspirations and goals not to DICTATE IT.

 

[Farjano-Walad]

@RasCanjero bro join us, we are talking economics, i am sorry i was not able to answer questions on last economic thread as I was banned for over 3 weeks whilst trying to actually answer it that same week, i was actually recording voice answers, i found this app you can record voices and was planning to post it same day they banned me,

feel free to ask questions,

i might even record my voice and post it to make the answer easier to understand,

 

[Farjano-Walad]

@DR OSMAN

The other thing I need to ask you, when 'private banks' register with the central bank, do they need to come with actual 'capital' that is proven or do the 'banks' get given the currency to 'facilitate' the economical activity?

banks practice a little known secret called Fractional reserve banking,

this started in early 1500s in Europe, its long and complicated but banks are required to keep a ration

an example in USA they must keep a ratio of around 1/10 % or 10%, in the UK its far less around 3%, EU is actually almost zero and so is japan,

i will explain the importance of this power and why banks rule the world, its one of the least known and understood, if you ask a bank manager he will not know, in fact only economist, CEO and chairman and financial executes of banks know this and government treasury, Lord Keynes say in 1930 only 1 million in 1 men will understand this, in fact they estimate ind depth only one in 100 million men truly understand it in today world.


remember that ratio of of USA central banking depending a reserve ratio of 105 or UK banks 35, it means for every 100$ you deposit into a bank in USA, banks create 10 times as much money, UK banks create 3300 (3% RR or reserve ratio)

so lets say Dr Osman takes £100 to his local bank, over night that money has been reserve and loaned out, the money is not in his account, now lets some some one or a business borrows that money, they too will take it to the bank, lets say its person who borrows to buy a phone or a business that buys business cards, that money goes to the same bank or another bank and will be going through same road where its reserved and loaned out, so a 3% ratio creates 33 times as much money, or £100 creates £3300, if all those people try to get the money at ones, it doesn't exist, its backed by 3% or Dr Osman's original £100 as back up or capital,

so when banks write a mortgage for say 500k£, only 3% of that is capital, the rest is created out of thin air, and then they earn interest,

for the record, islam and the nabi SAW and Allah have banned this practice clearly, banned in quran and hadith, modern fractional reserve banking is around 1500s but this tactic is very old, Romans did it, chinese, ancient egytians, Sumeria, Assyrians,

so dr, the banks went from channelling money pools and giving to firms, businessmen who need to just fictionalisation, creating money out of thin air and buying the state, agents, politicians, this is what you alluded to when you said we live in jew and western created world economic order, i doubt if you really understand how much you hit the nail on the head,

ask an average banker, they do not know it, heck most economist dont know it, only monetary economists,

 

[DR OSMAN]

@DR OSMAN



banks practice a little known secret called Fractional reserve banking,

this started in early 1500s in Europe, its long and complicated but banks are required to keep a ration

an example in USA they must keep a ratio of around 1/10 % or 10%, in the UK its far less around 3%, EU is actually almost zero and so is japan,

i will explain the importance of this power and why banks rule the world, its one of the least known and understood, if you ask a bank manager he will not know, in fact only economist, CEO and chairman and financial executes of banks know this and government treasury, Lord Keynes say in 1930 only 1 million in 1 men will understand this, in fact they estimate ind depth only one in 100 million men truly understand it in today world.


remember that ratio of of USA central banking depending a reserve ratio of 105 or UK banks 35, it means for every 100$ you deposit into a bank in USA, banks create 10 times as much money, UK banks create 3300 (3% RR or reserve ratio)

so lets say Dr Osman takes £100 to his local bank, over night that money has been reserve and loaned out, the money is not in his account, now lets some some one or a business borrows that money, they too will take it to the bank, lets say its person who borrows to buy a phone or a business that buys business cards, that money goes to the same bank or another bank and will be going through same road where its reserved and loaned out, so a 3% ratio creates 33 times as much money, or £100 creates £3300, if all those people try to get the money at ones, it doesn't exist, its backed by 3% or Dr Osman's original £100 as back up or capital,

so when banks write a mortgage for say 500k£, only 3% of that is capital, the rest is created out of thin air, and then they earn interest,

for the record, islam and the nabi SAW and Allah have banned this practice clearly, banned in quran and hadith, modern fractional reserve banking is around 1500s but this tactic is very old, Romans did it, chinese, ancient egytians, Sumeria, Assyrians,

so dr, the banks went from channelling money pools and giving to firms, businessmen who need to just fictionalisation, creating money out of thin air and buying the state, agents, politicians, this is what you alluded to when you said we live in jew and western created world economic order, i doubt if you really understand how much you hit the nail on the head,

ask an average banker, they do not know it, heck most economist dont know it, only monetary economists,

Sxb your making some big accusations against the world economies and I do realize trump also acknowledges there is 'currency manipulation' but he didn't obviously accuse his own nation but china but that raised my suspicion if another nation is doing it, what's stopping your nation from doing it.

Are u saying only 3% of the American economy is ' real verifiable capital' and the rest is 'notes' and not backed by anything of tangible value? what is that 3% ratio reserve capital? is it other currencies or metals? this is quite disturbing the conclusions your reaching, so your arguing the economy of America isn't worth 20 trillion, it's not even worth 3% of 20 trillion?

 

[Farjano-Walad]

many many good economist, even top jewish economist believe banks should be brought back to 100% reserve ratio, where the money they loan is not created out of thin air, fractional reserve banking is tuugnimo, imagine if the owners of the 3% capital RR in the UK demand their money back but the others 97% also demand it, there is no money to go around for all, its built on a sand,

we need banks, financial institutions, but it needs to be based 100% RR, notice how when banks go down the take down the entire economy, but not other sectors,

trust me when i say people will use banks, why? because its easier to keep money in a bank rather than under the mattress, so banks will exist, but only a state that is with honest leadership, justice, good courts, what happens to your money? is it safe guarded? can the president@s wife's nephew take your money at will? this is what we mean by institutions, agencies that defend and protect your life and property, financial assets, money etc. Somalia lacks this, farmajo chases unicorns instead of building basic agencies like this, or allowing us in the regions the right to create and the legal frame work to build them, but he has fought us tooth and nail, he doesn't want to create it or allow us to create it, so was Hassan sheikh, so was sheikh sharif, so will the next one,

let me know if this answers your question

 

[Ras]

If you want to develop the economy you have to understand one thing first.

It's a just a big game.

A game where the smartest players have more say in how we distribute our resources.

Most billionaires don't make billions to stash away money for later ... They participate in this game at a high level because they want to be a player not a chess piece.

The more interesting the game is the more participants you'll have like any other game.

What makes a game interesting is; among a few other variables, the most important is the rules you set.

Either contract, commercial laws etc. With that comes along fiscal policies to keep the same stable and interesting.

Make it a somewhat equal playing field and you'll have a foundation to build your economy or game around.

However if you don't even have that then it'll lose appeal to most.

However in order to achieve the above you'll need a minimum level of intelligence to understand the above and the value of rules.

 

[Farjano-Walad]

Sxb your making some big accusations against the world economies and I do realize trump also acknowledges there is 'currency manipulation' but he didn't obviously accuse his own nation but china but that raised my suspicion if another nation is doing it, what's stopping your nation from doing it.

Are u saying only 3% of the American economy is ' real verifiable capital' and the rest is 'notes' and not backed by anything of tangible value? what is that 3% ratio reserve capital? is it other currencies or metals? this is quite disturbing the conclusions your reaching, so your arguing the economy of America isn't worth 20 trillion, it's not even worth 3% of 20 trillion?

No, GDP and money supply/capital in banks is totally different bro,

3% is for UK, USA used to be around 12.5% but was reduced to 10%, its even worse, for banks outside of continental USA its 0% reserve requirement,

i want yuo to imagine bank capitals as the income that comes to your bank every month as salary and GDP as yuor net worth, the value of your shoes, house, books, car etc, totally separate, dont confuse the same,

when i say bank capital, its a fancy way of saying banks create majority of money they led out of thin air, not collected from bank depositors as people assume, do you realise what this means for bank power and influence? forget profits, it means when banks get someone who needs a loan, they can create it out of thin air the money, and earn interest, imagine if you were allow to just create money out of thin air and lend it at riba, you to would be addicted and filthy rich,


i dont know how you confused bank capitalisation for GDP,

 

[DR OSMAN]

@Teeri-Alpha I know currency in itself the purpose behind it is to support 'transaction' between market place, I know currency itself has no usefulness beyond that. I only need it to buy things in the market place, it's the market place that has the importance and the goods, products, services available. People attach to 'money' as they think this is the 'value' when it's not, it's the actual product, goood, service your seeking.

I realized this when I saw my money sitting in my saving account, it doesn't grow by itself, it has no inherent purpose on it's own unless of course u put in a high interest account which requires a 'certain cash quota'. But what u need to answer me is the deep economical hatred you have for 'fiat' and if it's justified or imagined.

Why does it matter to you what the govt decides is the 'currency' in market place, no-one wants to trade in gold anymore, it's cheaper printing currency, then continously going to a gold mine in another nation(political contention) and digging up more gold to balance your market place. After all we have come to firm agreement currency has no value beyond it's purpose of buying and selling. We could use even 'rocks' does it matter? as long as it's agreed to by society and printed by a 'trusted' source among us.

The reason black market counterfeit currency is rejected and hated in market place is the sole reason it isn't printed by 'trusted' source like a government, people then fear if they accept this currency they lose their product or goods or services and then not be able to use that money given to them as the market place didn't 'agree' to some guy in his house printing money. I think with a global econom that is pushing possibly 50 trillion 'per year', we simply cannot dig, extract enough gold to keep up with gold standard anymore and with economies being projected to continously grow it could lead to situation gold mines are depleted and cause a global crisis of epic porportions.

 

[DR OSMAN]

No, GDP and money supply/capital in banks is totally different bro,

3% is for UK, USA used to be around 12.5% but was reduced to 10%, its even worse, for banks outside of continental USA its 0% reserve requirement,

i want yuo to imagine bank capitals as the income that comes to your bank every month as salary and GDP as yuor net worth, the value of your shoes, house, books, car etc, totally separate, dont confuse the same,

when i say bank capital, its a fancy way of saying banks create majority of money they led out of thin air, not collected from bank depositors as people assume, do you realise what this means for bank power and influence? forget profits, it means when banks get someone who needs a loan, they can create it out of thin air the money, and earn interest, imagine if you were allow to just create money out of thin air and lend it at riba, you to would be addicted and filthy rich,


i dont know how you confused bank capitalisation for GDP,

Oh my mistake I thought u were saying the economy of America is supported by fake notes and everything being purchased in the market place is just 'nonsense' money and of no value. It has value a house, car, food, or any product or even service. U mean bank capitalisation, your saying their creating money out of thin air based on 3% capital ratio for UK or 12% for America.

So what is actually sitting in their 'reserves' in terms of real 'capital' is only a fraction of what they are loaning to people, so your saying it's not backed up by anything and hence it's all created out of thin air. Hence this makes banks filthy rich as their applying interest on non-existent capital. What is that reserve backed by do you know? is it other currencies or metals?

 

[Farjano-Walad]

@Teeri-Alpha I know currency in itself the purpose behind it is to support 'transaction' between market place, I know currency itself has no usefulness beyond that. I only need it to buy things in the market place, it's the market place that has the importance and the goods, products, services available. People attach to 'money' as they think this is the 'value' when it's not, it's the actual product, goood, service your seeking.

I realized this when I saw my money sitting in my saving account, it doesn't grow by itself, it has no inherent purpose on it's own unless of course u put in a high interest account which requires a 'certain cash quota'. But what u need to answer me is the deep economical hatred you have for 'fiat' and if it's justified or imagined.

Why does it matter to you what the govt decides is the 'currency' in market place, no-one wants to trade in gold anymore, it's cheaper printing currency, then continously going to a gold mine in another nation(political contention) and digging up more gold to balance your market place. After all we have come to firm agreement currency has no value beyond it's purpose of buying and selling. We could use even 'rocks' does it matter? as long as it's agreed to by society and printed by a 'trusted' source among us.

The reason black market counterfeit currency is rejected and hated in market place is the sole reason it isn't printed by 'trusted' source like a government, people then fear if they accept this currency they lose their product or goods or services and then not be able to use that money given to them as the market place didn't 'agree' to some guy in his house printing money. I think with a global econom that is pushing possibly 50 trillion 'per year', we simply cannot dig, extract enough gold to keep up with gold standard anymore and with economies being projected to continously grow it could lead to situation gold mines are depleted and cause a global crisis of epic porportions.

good question, firstly sole fiat currency has only been around since 1976, gold is real money,

who do i hate it? because governments will always rape fiat money, abuse its power,

we have 600 examples of nations destroying fiat money through inflation, in fact thousands of fiat currency have been killed over the centuries and states forced to come back to gold with in a few years

bro money represent a unit of measure, how hard and smart i work for it, the time, energy, my time, my life, my sacrifice, then comes said barre or mugabi who will destroy it over night,

when said barre took over somali 1 dollar was about 2 shillings, when he left it was around 600 shillings,

there is a book called When Money Dies written by Mr Ferguson i think, read it years ago, it tells you how people sold their children in Germany in 1920s after the Mark went from 1 dollar worth about 3 in 1914 to trillions in 1921 after Germany was defeated and they were forced to print trillions to pay off to the world war 1 victors

this is why Hitler rose, many american who went to Germany said they could literally buy so many houses in Germany in Berlin with 1 ounce of US dollar, many apartments in central Berlin,

imagine someone who saves for retirement, an old widow, and then the state prints the money like hell and she is poor, so poor, the state just sticks numbers 100 billion, 100 trillion to the money, and you are financially killed over night,

the state cannot abuse gold, they first have to find it, dig it, it needs experts, then refine it, you cannot inflate gold like you can with paper money where you just zeros and declare legal tender, this is in fact why states why gold, because they cannot print it out of thin air,

jews were the average banker, CEO, economist, Hitler attacked them for that reason,

horror stories of young virgin girls sold to tourist in 1920s Germany for quick pump, children sold for sexually slavery, wives going to bed with strangers as prostitutes, how did you think that made the average German feel?

when money dies is a horrible book, and fiat money did that, the state confiscated gold, in fact with in days of WW! being declared in 194, every European powers banned gold by force,

1 ounce gold coin in 500 BC in roman can buy you a nice toga, shoes, at the time of the nabi SAW., today 1 ounce is worth 1600$, that is a fine suit, nice shoes for sure, gold never ever loses money,

the supply of gold for the last 4000 years has not gone up more than 1.5 % in any one year, with an average increase of 0.75%, yet most fiat currency lasts on average 30- 40 years

us dollar has lost 96% of value since 1914 when the federal reserve was created if valued against gold price,

look at how much fiat dollar has lot, and its the best performing, imagine the pound, yen, won, etc

 

[Farjano-Walad]

Oh my mistake I thought u were saying the economy of America is supported by fake notes and everything being purchased in the market place is just 'nonsense' money and of no value. It has value a house, car, food, or any product or even service. U mean bank capitalisation, your saying their creating money out of thin air based on 3% capital ratio for UK or 12% for America.

So what is actually sitting in their 'reserves' in terms of real 'capital' is only a fraction of what they are loaning to people, so your saying it's not backed up by anything and hence it's all created out of thin air. Hence this makes banks filthy rich as their applying interest on non-existent capital. What is that reserve backed by do you know? is it other currencies or metals?

yes, by law before 1971 Breton woods agreement ended (it till till 1976) for every 21 dollars banks created, they needed gold ounce, this was to limit their money creation, but it has gone crazy, now they only need % of fiat currency as reserve ratio and print money as much as they can loan,

the reserve used is just king dollar, in the USA, in UK and other countries its a mixture of dollar, euros, euro is new since 1999, so most common is dollar, euro, small amount of gold, once upon a time it was gold 100% but bankers hate gold, it restricts how much money they can create,

if i said every time you whip a horse you will pay a fine, you will limit how many times you whip the horse right?

all of these are mentioned in Islam and Allah has banned all of these things, issue is its very profitable t the bankers, but at a cost to the average money, their food, water, house prices goes up year after year often way more than their salary goes up, so they are squeezed,