« on: January 21, 2014, 12:05:23 am »
Of course, you could take my paranoid uncle's position that all legal tender is, in fact, a measurement of debt (as every bill is effectively an IOU from the government -- gold standard or not). We buy and sell goods and services with this debt, and we all accept it and expect each other to accept it based on our mutual agreement that the government can, ultimately, back up this debt.
So, your $35 CD player is a physical item with inherent positive value. You have obtained it in return for giving the store a negative currency amounting to $-35. The store accepted this "debt" because it has faith that it will be able to pass this "debt" on to its vendors or its employees, in return for their goods or services which will offset the value of the CD player they just gave you (and so on). Ultimately, if you hoard currency, you are owed the value of that currency/debt by the government which is why bankers have billions, and We the God Damn People had to bail them out. We never made that deal, it was written into the conspiracy we call a financial system from the very beginning, and now Obama won't even let me buy incandescent light bulbs.
Sorry, where were we?