Comments (5)

• Jeff

  Most excellent.

  Shared the accounting rules portion with my CPA father.

  Published: October 14, 2008 5:20 PM

• kurt

  I can imagine fair value accounting looks great when asset prices are rising, because it would inflate shareholder equity, and thus executive pay. The EU approved this rule in 2005, but has suddenly (and silently) dropped the rule this month. Yet the media is silent about this misregulation, because it probably doesn't fit the narrative.

  Published: October 14, 2008 6:24 PM

• Jason

  Good interview, but the audio was not very good. The sound quality of the interview is important.

  Published: October 14, 2008 7:40 PM

• joebhed

  Very interesting.
  I wish I could afford his book.

  I put this out here for the professor.

  It seems the highest priority and greatest need presented to enable the proper functioning of a free market economic system is the change to a 100 percent reserve based banking system.

  This one change is presented as being required to restore the power to each market player that is stolen in the fractional reserve money system.

  My question would be this:
  Were it possible to achieve a change in the international financial system so that all of the bankers of all of the individual countries were operating on the 100 percent reserve basis, would Doctor de Soto be sufficiently satisfied to leave unresolved the matters of gold or metal backing and free market currency?

  Were such a proposal for sound banking possible, would he support its establishment, even if the other power of money creation had been installed with the government? Albeit temporarily.

  Maybe we can leave the finer points for a later debate.

  I realize that the Doctor finds the need to abolish fractional-reserve banking as a result of contract law. Which is why he pushes for a contract-negotiated solution.

  I support that government is in the proper role to manage a nation's currency and its monetary system. To me, the government gave up the rights of its citizens to use its, and their, money system for their own collective benefit by creating the FED and its privileged private banking cabal.

  As a progressive person, I see that privilege as an act of aggression against free people and free enterprise.

  I see these areas of agreement as key to the discussion now taking place in centers of power.

  The fractional-reserve banking system set up by global financial players in 1913, and expanded throughout the industrialized world after Bretton Woods, has run its course.

  We shall have had its last bubble and bursting cycle foisted upon us.
  While it may be found ideal to resort to free banking and pegging private capital to a metal base, we can argue over that later.

  But, right now, why can't we just agree on and focus upon the one thing that the Professor says is the most important.

  An end to the international financial capitalist practice of fractional reserve banking, and a return to sound money policies.

  Just a thought.
  

  Published: October 14, 2008 7:59 PM

• xavi

  joebhed , a single nation (USA) could end reserve banking and go back to sound money. Is not necessary the world to do the same

  Published: January 9, 2009 9:07 AM