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Mark Heffernan's avatar

The 'complexity' of today's economies is driven by the same instability that the present model cannot shed. There is no real case to be made that "modern" society should subject itself to this Ancient Mathematical Illiteracy and all its ramifications! Too many hold a similar mythical vision about today's systems being categorically different from these same practices of ages ago. But "neo-isms" are pretty much the same as the original-isms just at larger scale!

Abstract:

“This document is the result of a rigorous control system theory stability analysis of the current world de facto standard currency system and identifies a root instability in the form of the growth component of Debt associated with the money creation process. It first establishes the inherent instability of Common Lending Practices (application of interest). Then the analysis further charts the logical consequences of said root instability as it affects the economy as a whole and identifies how it provokes a systematic divergence between debt and value attributed to wealth in past cycles with the minimum value required in current and future cycles as those incorporate past unpaid debt i.e. systematic compounding of debt. It also identifies how the only means available within the system design for staving off inflation is through the continued contribution of collateral wealth as guaranty for the creation of new principal debt money commensurate with past debt growth. Finally it illustrates that compounding debt inevitably leads to a point where an inability to provide new wealth to guaranty new money to keep up with debt growth becomes chronic at which point either runaway inflation or a definitive collapse of the system inevitably ensues.”

http://bibocurrency.com/images/pdfdownloads/Formal%20Stability%20Analysis%20and%20experiment%20%28final%29%20rev%203.4.pdf

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