Monday, January 26, 2009                 Might I add that I
agree with Paul 100%!   TheTrucker said...  What we are seeing
is the failure of the misdefinition of capitalism. If one
applies the classical definition of capital to the word
"capitalism" it is pretty easy to see the error.  Long ago in
the Land of Nod there was a definite correlation between money
and gold doubloons. And though there was and is no definite link
between the value of these doubloons and labor or commodities,
the money did have a labor component and was not simply created
on a keyboard at the Fed. It was therefore possible to include
money in a broad definition of "capital" where "capital" was
that produced by labor and then not consumed but instead used to
facilitate production and trade. Succinctly, money was earned.
It was not just created.  I am not a "gold bug" and I do not
propose that money should be backed by gold or any other
commodity. My point is only that we have allowed "capital" to
become "credit". So the system we have