Detournement Posted January 7, 2019 Share Posted January 7, 2019 50 minutes ago, harry94 said: In addition to the outcome of the asset/liability negotiation between both governments - there will be an immediate need to source loans just to keep day to day operations ongoing from that point, like other governments have. If a currency is launched then any debts can be converted to the new currency. It would be insane to take on debt in GBP if we are independent. If independence means austerity it's pointless. If the government is printing the currency then there is no need to source loans from abroad. When the USA launched the DM in West Germany they gave everyone 40 DM to stimulate the economy. Launching a new currency would be the ideal time to do something like People's QE to increase productivity. 0 Quote Link to comment Share on other sites More sharing options...
harry94 Posted January 7, 2019 Share Posted January 7, 2019 3 minutes ago, Detournement said: If the government is printing the currency then there is no need to source loans from abroad. Wat? 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 5 minutes ago, harry94 said: Wat? Who would the government source the loans from in your scenario? 0 Quote Link to comment Share on other sites More sharing options...
harry94 Posted January 7, 2019 Share Posted January 7, 2019 1 minute ago, Detournement said: Who would the government source the loans from in your scenario? Hold on, let's go back a bit. You genuinely believe that because you move currency, you can print as much money as you want so can't be in any debt 0 Quote Link to comment Share on other sites More sharing options...
welshbairn Posted January 7, 2019 Share Posted January 7, 2019 7 minutes ago, harry94 said: Hold on, let's go back a bit. You genuinely believe that because you move currency, you can print as much money as you want so can't be in any debt Yes, it will be brilliant. If we want to import something we can just print off another few wheelbarrows full of Bawbees. 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 15 minutes ago, harry94 said: Hold on, let's go back a bit. You genuinely believe that because you move currency, you can print as much money as you want so can't be in any debt As long as taxation is used to reduce demand when the economy reaches full capacity. France operated on this system for 30 years. The government borrowed from the central bank at 0.5% or less and didn't run up any external debt. 0 Quote Link to comment Share on other sites More sharing options...
welshbairn Posted January 7, 2019 Share Posted January 7, 2019 40 minutes ago, Detournement said: As long as taxation is used to reduce demand when the economy reaches full capacity. France operated on this system for 30 years. The government borrowed from the central bank at 0.5% or less and didn't run up any external debt. Did the Central Bank have stores of dollars and gold perchance? 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 2 minutes ago, welshbairn said: Did the Central Bank have stores of dollars and gold perchance? That's not relevant. 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 1 hour ago, harry94 said: Hold on, let's go back a bit. Now Harry you can answer my question. Who would you have an independent Scottish government borrow from and in which currency? 0 Quote Link to comment Share on other sites More sharing options...
UsedToGoToCentralPark Posted January 7, 2019 Share Posted January 7, 2019 Why would we need to quickly build foreign currency reserves if we don't have any foreign denominated debt? How will we pay the Divorce Bill from rUK? 0 Quote Link to comment Share on other sites More sharing options...
mizfit Posted January 7, 2019 Share Posted January 7, 2019 How will we pay the Divorce Bill from rUK?What divorce bill? We won’t pay them anything.**copy and pasted from the brexiteers handbook. 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 Just now, UsedToGoToCentralPark said: 5 hours ago, Detournement said: Why would we need to quickly build foreign currency reserves if we don't have any foreign denominated debt? How will we pay the Divorce Bill from rUK? Convert the debt to Scottish pounds when everything else gets converted. 0 Quote Link to comment Share on other sites More sharing options...
welshbairn Posted January 7, 2019 Share Posted January 7, 2019 (edited) 9 minutes ago, Detournement said: Convert the debt to Scottish pounds when everything else gets converted. How would the Scottish Pound be valued internationally and with the rUK if we're printing them off for the "peoples QE?" Edited January 7, 2019 by welshbairn 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 7, 2019 Share Posted January 7, 2019 (edited) 15 minutes ago, welshbairn said: How would the Scottish Pound be valued? It would be a free floating fiat currency exactly like GBP or USD. To respond to your edit. The world is awash in QE money totalling 20 trillion dollars. A wee stimulus in Scotland would be a fly on an elephant's arse. Edited January 7, 2019 by Detournement 1 Quote Link to comment Share on other sites More sharing options...
DeeTillEhDeh Posted January 7, 2019 Share Posted January 7, 2019 Anthony C Pick showing that he is an economic illiterate. 0 Quote Link to comment Share on other sites More sharing options...
Benjamin_Nevis Posted January 7, 2019 Share Posted January 7, 2019 2 hours ago, DeeTillEhDeh said: Anthony C Pick showing that he is an economic illiterate. "Northern Rock" 0 Quote Link to comment Share on other sites More sharing options...
Colkitto Posted January 8, 2019 Author Share Posted January 8, 2019 Will she go for it or delay again? Announcement very soon 0 Quote Link to comment Share on other sites More sharing options...
Detournement Posted January 8, 2019 Share Posted January 8, 2019 11 hours ago, DeeTillEhDeh said: Anthony C Pick showing that he is an economic illiterate. My name is not Anthony. What part do you disagree with? 0 Quote Link to comment Share on other sites More sharing options...
Colkitto Posted January 8, 2019 Author Share Posted January 8, 2019 32 minutes ago, MixuFixit said: She can't really do anything until after the vote next week, asssuming it happens. Think that's what she means by very soon. 0 Quote Link to comment Share on other sites More sharing options...
Daydream Posted January 8, 2019 Share Posted January 8, 2019 How much is our 10% of the assets worth, and could that become the basis of our central bank? 0 Quote Link to comment Share on other sites More sharing options...
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