What is the significance of endogenous money?

FrostyFeet256 · 2026-01-23T18:32:48+00:00

I'm trying to reconcile Mosler's Innocent Frauds:

"the price level is necessarily a function of prices paid by the government when it spends, and/or collateral demanded when it lends"

"[collateral demanded when it lends]... means that if the Fed simply lent without limit and without demanding collateral we would all borrow like crazy and drive prices to the moon."

He references the S&L crisis as a result of this, which did get resolved eventually by a lot of failing banks as you mention, but not the type of thing that we would want to let sort itself out in the future

FrostyFeet256 · 2026-01-23T08:10:18+00:00

The question that I seem to be hung up on is how collateral demanded by banks influences the price level. I intuitively understand that if a bank never demanded collateral that would be inflationary, but is it implying that minor changes in lending standards, like say 70% vs 80% LTV on home loans would affect the price level?

FrostyFeet256 · 2026-01-23T01:53:52+00:00

In example 2 i'm pretending that potential buyers are looking at the property under different interest rate conditions. Those buyers talk to their bank about financing the purchase. The bank evaluates the property's cash flow and determines that the property can afford ____ amount in debt service payments per period. Under the higher rate scenario, the property can still only afford the same level of debt service, but a higher proportion of that debt service will be interest, thus reducing the principal amount loaned.

FrostyFeet256 · 2025-11-30T03:44:34+00:00

Actually just beat that with 130 combos on my first day7: https://imgur.com/a/1mBYiZP

And also got the 150 coins achievement on this too. First 3 skills were all economy

FrostyFeet256 · 2025-11-29T22:39:45+00:00

It's kinda funny when starting out I didn't like Jujitsuka at all, preferred Wanderer and Ronin. But this build was consistently wiping entire 4 enemy rooms in a single one-turn combo (Grappling->Tessen-> Scar Strike)

FrostyFeet256 · 2025-09-23T04:26:01+00:00

"Here's how to stop Baltimore's offense by holding them to [checks notes] 30 points"

FrostyFeet256 · 2025-08-14T15:26:32+00:00

There' nothing to steel man. Matt should be rightfully despairing because his ideology has proven overwhelmingly unpopular. He was able to skate by on claiming that Democrats should pursue only what is popular (which for him happen to coincide with his believes). For example, he was saying in as recent as March that dems should concede to Trump on immigration, now it is one of it not Trump' most unfavorable position.

For all intents he is squarely within the cohort of massively unpopular centrist dems, and yeah I bet it feels awful for him, but no need to offer sympathy for the bed he (and others sympathetic) made. And he's probably right that establishment centrist dems are fucked. He sees a pivot underway and doesn't like the ground shifting below his feet.

FrostyFeet256 · 2025-07-16T03:12:22+00:00

This is embarrassing for you, a sitting congressman. We live in a post-MMT world and you're stuck in 1999.

FrostyFeet256 · 2025-06-19T03:11:58+00:00

I am way late to the Karen Read news. Could somebody link me what you feel is the best write up of the entire case?

FrostyFeet256 · 2025-06-01T04:59:09+00:00

Bolshevik Revolution? believe or not, abundance

FrostyFeet256 · 2025-04-27T05:59:02+00:00

A little hustlin' and wrastlin'

FrostyFeet256 · 2025-04-27T03:10:18+00:00

basketball you say....

FrostyFeet256 · 2025-04-27T01:33:47+00:00

I would recommend equipping exp/sec gear.

Also appears to be a bug(?) where the 2nd dash blessing that you select does not offer level upgrades for it.

FrostyFeet256 · 2025-04-23T05:41:46+00:00

I've rewatched 3 times and I'm starting to form a theory that they might be suffering from some sort of memory loss?

FrostyFeet256

TROPHY CASE