Competitive Alternatives

I'm really bothered that in all debate around the topic centers on the concept that if one is against this bailout, then one is in favor of 'doing nothing.' I have not heard a single serious alternative even floated about how to fix this problem.

I want to hear more about capital requirements. The Chinese have lowered theirs while theEuropeans have raised theirs. Here is my proposition.

Complicated Proposition

The fed should decrease the reserve ratio from 10% to 8%.  That would change the liquidity multiplier from 10 to 12.5. There are 6.3 trillion in time deposits, which probably means there's 630 Billion in base deposits. Reducing the reserve ratio by 2 points would instantly create 1.58 Trillion in liquidity. The danger here is that doing this could inflate the dollar by a lot. To limit that, announce that the reserve ratio will rise by 1 tenth of a percent each quarter until the ratio is back at 10%.

Simple Proposition

The same thing just explained in more detail for the many who  don't follow all the terms  in the complicated version. Follow the link.

Immigration

BBC NEWS | Europe | Swiss citizenship system 'racist'
The Swiss citizenship system deemed 'racist' because communities vote about whether an applicant may be accepted.

Libertarians & immigration - Pittsburgh Tribune-Review
Opinion, a citizen's right of domain does not legitimize government
control of immigration. Promotes open border policy. (Authored by Don
Boudreaux)

StephanKinsella.com Critique of Libertarians & Immigration
Disputes some of Boudreaux's assertions.


Technically speaking, the first link is about citizenship, not immigration, but it raises a point. Even if governments should restrict immigration, is it moral for those restrictions to be based on nation of origin? When you consider that most of the population of a country will be of one race, why isn't it considered racist for the United States to have special rules for immigrants from Mexico, or Japan, or where ever.

If you read the opinion pieces, then the set up of Switzerland is probably the closest practical implimentation of what Hoppe proposes.

Both of the opinion authors are primarily freedom focused, but there is much more to life than freedom and some people claim that some of those values require sacrifices of freedom. Values like, Security, Equality, Culture, even Religion.

One proponent of sacrificing immigration freedom in the interest of culture is Samuel Huntington, who is a professor at Harvard, and if you read his bio, is something of a prodigy.

Who Are We? The Challenges to America's National Identity - Wikipedia, the free encyclopedia

I havn't really made up my mind about this yet. I really like freedom, and I have a hard time thinking its ok to spend it on anything. I might think it was ok to spend it on a closer relationship with God, if it wasn't God that gave it to us in the first place. After that, If it's not worth spending it to get closer to God, then what could be more valuable than God?

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