On Oct 31, 9:23 pm, F. George McDuffee gmcduf...@mcduffee-
associates.us wrote:

FWIW -- a shortage or even the disappearance of financial
capital, while very disturbing/disruptive, is not necessarily a
disaster or catastrophe. If a society has reasonable amounts of
intellectual, ethical, social, etc. capital, the financial
capital pool can be quickly replenished or restored. On the
other hand, a deficit in the supply of intellectual, ethical,
social, etc. capital is extremely difficult to overcome, may take
generations to accomplish, and even if a pool of financial
capital exists, it quickly disappears with an intellectual,
ethical, social, etc. capital deficit. This is what makes
another of John Carroll's observations about the creation of a
credibility deficit for the U,S. political and industrial
leadership so critical and applicable in this situation.

Unka' George [George McDuffee]

You have raised an interesting point - money is, after all, only
pieces of paper that we "believe" has value in return for goods and
services. If it disappeared, or became worthless, and society as a
whole had enough "moral capital" it might be messy but things would
eventually resolve themselves for the better.

Alas, going on history, the people would turn to a "strong" leader who
would provide a solution as by this time they would be effectively
disenfranchised by the government of the crisis. Then, an external
"threat" would come along, everyone would rally and co-operate to beat
the "enemy" and the economy would boom as "money" was spend on
munitions etc. Sounds really bizzare, and indeed totally insane that
anyone would fall for such a simple device, but it seems to happen
with monotonous regularity..

And it seems to me, from this remote outpost in the Pacific, that the
paper chasers seem to be in charge of running things - a thought
echoed here in this group about the demise of traditional
craftsmanship. We allow them far too much importance, they have
spooked us all, and our respective governments. (Show me a bridge a
stock trader has built, or indeed anything that will last longer than
the refresh rate on his monitor) Unregulated Capitalism has clearly
failed, but continues on because its...well......just too big to
fail........and its too spooky for most about what might replace it.

When the sovereign debt of advanced western countries becomes due in a
few years, how could it possibly be paid? - we give them back their
big Plasma TV sets, or the SUV's? - not likely....and my country is in
the same position so its not me hanging it you Yanks (well, not
entirely anyway)

We do indeed live in interesting times...

Andrew VK3BFA.

PS - this is a nice OT discussion, people are using logic and argument
rather than abuse. Who knows, we might all be wiser at the end of it.
(The usual obvious Nutters excepted, but even they seem have shown
some commendable restraint)