{"id":12987,"date":"2015-10-04T07:22:36","date_gmt":"2015-10-04T12:22:36","guid":{"rendered":"http:\/\/olduvai.ca\/?p=12987"},"modified":"2015-10-04T07:22:36","modified_gmt":"2015-10-04T12:22:36","slug":"part-deux-%e2%80%90-shorting-the-federal-reserve","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=12987","title":{"rendered":"Part Deux \u2010 Shorting the Federal Reserve"},"content":{"rendered":"
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Part Deux \u2010 Shorting the Federal Reserve<\/a><\/h3>\n

The sequence of events leading up the French Revolution are likely unfamiliar to most. Yet money printing and a debauched French currency played no small part in those events. As a sequel to \u201cShorting the Federal Reserve\u201d, 720 Global aims to provide an historical example of excessive money printing which lead to financial crisis, and ultimately the revolution of a major sovereign nation. More than a history lesson, this article effectively illustrates the road on which the U.S. and many other nations currently travel. The story relayed in this article is not a forecast for what may happen but a simple reminder of what has repeatedly happened in the past.<\/p>\n

As you read, notice the story lines the French politicians used to persuade the opposition and justify money printing. Note the similarities to the rationales used by central bankers and neo\u2010 Keynesians today. Then, as now, it is promoted as a cure for economic ills with manageable consequences and where failure to generate a sustainable recovery are thought to be a failure of not having acted boldly enough.<\/p>\n

Our gratitude to the late Andrew D. White, on whose work we relied heavily. The exquisite account of France circa the 1780\u20101790\u2019s was well documented in his paper entitled \u201cFiat Money Inflation in France\u201d published in\u20101896. Any unattributed quotes were taken from his paper.<\/p>\n

Before The Presses Rolled<\/p>\n

During the 1700\u2019s France accumulated significant debts under the reigns of King Louis XV and King Louis XVI. The combination of wars, significant financial support of America in the Revolutionary War, and lavish government spending were key drivers of the deficit. Through the latter part of the century, numerous financial reforms were enacted to stem the problem, but none were successful. On a few occasions, politicians supporting fiscal austerity resigned or were fired because belt tightening was not popular and the King certainly didn\u2019t want a revolution on his hands.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Part Deux \u2010 Shorting the Federal Reserve The sequence of events leading up the French Revolution are likely unfamiliar to most. Yet money printing and a debauched French currency played no small part in those events. As a sequel to \u201cShorting the Federal Reserve\u201d, 720 Global aims to provide an historical example of excessive money […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[9562,124,195,303,305,3918,9563,426,9564,9565,538,9481,862],"class_list":["post-12987","post","type-post","status-publish","format-standard","hentry","category-economics","tag-720-global","tag-central-banks","tag-debt","tag-fed","tag-federal-reserve","tag-fiat-money","tag-french-revolution","tag-inflation","tag-king-louis-xv","tag-king-louis-xvi","tag-money-printing","tag-neo-keynesians","tag-war"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12987","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12987"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12987\/revisions"}],"predecessor-version":[{"id":12988,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12987\/revisions\/12988"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12987"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12987"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12987"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}