tag:blogger.com,1999:blog-2277215496195926573.post6656180339614386366..comments2024-01-01T07:41:51.347-08:00Comments on RALPHONOMICS: Why don’t PIGs devalue their currencies?Ralph Musgravehttp://www.blogger.com/profile/09443857766263185665noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-2277215496195926573.post-26151830401374848462011-10-29T13:03:35.045-07:002011-10-29T13:03:35.045-07:00This would work....
If all debts owed were simila...This would work....<br /><br />If all debts owed were similarly devalued....<br /><br />There is another way....<br /><br />Greece could simply go back to the Drachma...<br /><br />Initially at parity to the Euro...<br /><br />Then...<br /><br />Pass A Law requiring all debts be valued in the Drachma.<br /><br />Pass a Law taxing the principal of all outstanding debts, ~ 10 % / yr would do it. (including govt debt)<br /><br />Pass a Value Added Tax with all imports Zero Valued<br /><br />Apply MMT to take the economy to full employment.<br /><br />Do not support the currency... let it fall...<br /><br />Control Interest rates and the amount of reserves, and the amount of deficit.<br /><br />Tax all foreign held investments, including loans at 10% / yr.<br /><br />INDYDr. George W. Opriskohttp://www.publicresearchinstitute.orgnoreply@blogger.com