>Chai-on
>As long as your money is not an asset, it cannot be an object of hoarding.
>It is of no use to accumulate the money. We should not sell more than we
can buy and cannot buy more than we sell. All we have to be at balance.
>
>
Paul C
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Money today is not an intrinsically valuable asset. One can not therefore
hoard in a hole in the ground. But one can, if ones income is high enough,
build up a credit balance with the banks. Of course in aggregate the sum
of credit balances will equal the sum of overdrafts and other loans by the
banks.
I agree with you insofar as the economy as a whole can not
accumulate net credit balances, nor can the economy as a
whole sell more than it buys. But it is quite possible for the
mass of bank deposits to grow both absolutely and with respect
to the flow of value.
Paul Cockshott
wpc@cs.strath.ac.uk
http://www.cs.strath.ac.uk/CS/Biog/wpc/index.html