A brief study in the ability of a reprobate mind to rationalize.
Paul Krugman is a living, breathing monument to the psychosis of our age, lest ye believe seared consciences are the exclusive purview of politicians. Instead of returning the responsibility for the lawful coining of money to Congress & abolishing the illegitimate Federal Reserve, he "feeeeeels" the Synagogue of Satan should just fabricate another lie as dishonest as FRNs - Atleast Barack 0bama's proposal of platinum coinage rings true with some semblance of Constitutional principle...Too bad the founders never gave the ability to coin money to the Executive branch.
Somewhere along the crooked line of the last dozen years, America has totally missed the obvious point it's foundational law centers on separation of powers, not centralization!
Galt-in-Da-Box has no problem with fiat currency per se: I'd a heluva lot rather carry around $100 in cotton-fiber bond asset than five gold coins, I just want that paper to represent assets, not debt. Fortunately, there's a way to do that, bring the corrupt banking system under control, and eliminate the complex, self-contradicting and bureaucratic entanglement that is "internal revenue". Restore the power of coining & printing money to Congress via the Treasury Department and replace our ineffectual tax structure with a financial usage fee. All legitimate, lawful functions of the federal government can be paid for with a 6.5% value added tax, which in this case, would be a monetary usage fee. The Treasury Department thus becomes, once consolidated with IRS and Secret Service, the sole provider of coin of the realm, and regulator of its asset usage, whereby the only debt owed by government is, technically, what it "borrows" from itself when new money is produced.
Krugman's coupon idea does have this ideological value, a variation of which has been used in Switzerland for decades, eversince fiat currency became a universal system: Time-sensitivity. A coupon has an expiration date. So should a fiat-currency asset. Our modern paper dollars only last 18 months in circulation anyway, thus the 3% minimum inflation rate, as this money has to be replaced when it deteriorates beyond practical usage. If all paper money came with the use-it-or-lose-it feature, inflation could be controlled and the public would be encouraged to save for their future in tangible asset wealth: Gold, silver, etc.
The idea only breaks down when one realizes we have to rely on economists, politicians and other such crooks to manage the system with Swiss integrity & attention to detail - which seems unlikely!
1 hour ago