tag:blogger.com,1999:blog-6297413898275266606.post5849666552186513838..comments2024-03-27T18:15:59.096+08:00Comments on Economics Malaysia: Kelantan Issues Gold Dinar: Is This Legal?hishamhhttp://www.blogger.com/profile/06265308095732759923noreply@blogger.comBlogger21125tag:blogger.com,1999:blog-6297413898275266606.post-66647656808932934232017-02-17T13:59:24.337+08:002017-02-17T13:59:24.337+08:001 Sarawak Dollar (SWK$) = RM14.501 Sarawak Dollar (SWK$) = RM14.50Zulhusni Ushmanhttps://www.blogger.com/profile/04515867015468220168noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-3554939489453232962010-08-23T11:28:50.994+08:002010-08-23T11:28:50.994+08:00The defense of a system that has brought us into t...The defense of a system that has brought us into the current situation is a little bizarre. And if you are prepared to suffer a little inflation for "democracy", then let the bounties of money printing be shared by all instead of going to a criminal bunch money racketeers.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-14155132948877493772010-08-22T23:30:25.800+08:002010-08-22T23:30:25.800+08:00I'm not a doctrinaire - I could have used a ne...I'm not a doctrinaire - I could have used a neo-classical framework or a monetarist framework with equal facility (I started life as a monetarist). I used the Keynesian explanation because it still is the best way to describe depression economics. To me, gold will always be Freidman's monetary base targetting taken to its logical extreme, which of course failed and for the same reasons - hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-59784766651576263142010-08-22T13:42:24.403+08:002010-08-22T13:42:24.403+08:00Well, you've got that so wrong it's hard t...Well, you've got that so wrong it's hard to choose where to start. And since I have not enough time to start sorting out all your points, I have to leave you with your hardcore Keynesian excuses as economic theory. <br />Just look what our money is worth today, the un-repayable amounts of debt they have run up, ever worse concentration of capital, real US incomes of people stagnant over Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-4254487178107066512010-08-22T03:27:15.432+08:002010-08-22T03:27:15.432+08:00One last point:
Under a commodity-backed currency...One last point:<br /><br />Under a commodity-backed currency system, there can be no such thing as counter-cyclical macroeconomic policy. Monetary policy is by construction impossible under all circumstances, while fiscal policy is highly constrained. Government borrowing to sustain aggregate spending in a recession results in competition between the public and private sectors for the same hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-3161159458267803822010-08-22T01:14:44.160+08:002010-08-22T01:14:44.160+08:00By any historical standard, we are not in a depres...By any historical standard, we are not in a depression, and won't fall into one. Global output has already recovered to pre-crisis levels and unemployment never rose to depression levels.<br /><br />While under a fiat money regime there have been the occasional nasty financial crisis, and this latest one is as nasty as they come, there hasn't been a depression since the 1930s.<br /><br />hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-8818840706839092662010-08-21T22:57:08.662+08:002010-08-21T22:57:08.662+08:00His account is not authoritative. You find many th...His account is not authoritative. You find many that say the exact opposite.<br />The western Roman empire went down the tubes with corrupted money, while the eastern one (Byzantium) stayed for another 1000 years - with a stable gold currency. But that is neither here nor there, because we were not around during those historical times. And neither does it matter if anybody still remembers gold Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-77235890244650598852010-08-21T19:23:58.073+08:002010-08-21T19:23:58.073+08:00Then we obviously have to agree to disagree.
&quo...Then we obviously have to agree to disagree.<br /><br />"Insisting on unbacked paper money is merely a way of perpetuating the rip-off of people by the money printers, and there is ultimately no excuse for it."<br /><br />Yes there is. I refer you to Hafiz's comment above - few people living now remember the problems associated with metal-backed currencies. There's a reason why hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-72550023224881999682010-08-21T14:02:11.678+08:002010-08-21T14:02:11.678+08:00If the state's reasoning for all this is so le...If the state's reasoning for all this is so legalistic, then let the other side take recourse in legalistic manoeuvers, too. Let the state government allow a money changer to set up a desk where those making payments in metal to the government can change their dinars - at full market rates - and thus the payment can formally be received in legal tender. That way the legal tender law is not Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-13602875297551427852010-08-21T13:12:54.951+08:002010-08-21T13:12:54.951+08:00Once again:
The issue is not trade between differ...Once again:<br /><br />The issue is not trade between different parties, nor is it specifically the payment of wages in dirham and dinar to civil servants.<br /><br />But that payment of wages to civil servants <i>must also mean</i> that the Kelantan Government is willing to accept dinar and dirham for payments of taxes, fees, assessment, fines and so on. If they don't, they would be hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-953489574829677492010-08-21T09:42:35.256+08:002010-08-21T09:42:35.256+08:00That state is not forcing employees to accept meta...That state is not forcing employees to accept metal. Only those who agree get it. So that makes it legal from that side.<br />Further, if it is legal to voluntarily trade a bracelet for 4 goats, it is also legal to voluntarily trade labor for lumps of metal, even if these look like coins. The point is that they are not claiming to be currency nor legal tender!!! They are just pieces of metal Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-32609304844345337242010-08-17T16:33:29.236+08:002010-08-17T16:33:29.236+08:00the problem... Dinar is not a currency (yet)... It...the problem... Dinar is not a currency (yet)... It a commodity which is still trade using RM currency.. and they did not forced people to pay tax etc.. with it.. but accept it as alternative method of payment. Dinar will remain as a commodity/alternative payment method as long as the price/salary/contract denominated in RM and not in Dinar. check their website they're pricing Dinar in RM.. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-62720745608147333582010-08-17T08:03:32.896+08:002010-08-17T08:03:32.896+08:00Gold standard hasn't been used in a very long ...Gold standard hasn't been used in a very long time, that laypersons are unfamiliar with the perils of gold standard. Anybody lay supporters of gold standard should read about every single recession that happened before the 1940s.<br /><br />These recessions are worst than any single recession any single average living person today have seen. One huge thing that caused or exacerbated the Hafiz Noor Shamshttp://maddruid.comnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-73226942798558347342010-08-16T23:39:17.721+08:002010-08-16T23:39:17.721+08:00vinnan, that's an easy, easy choice. I would c...vinnan, that's an easy, easy choice. I would choose the depreciating currency against gold and silver - every single time. The reason is simple - gold/silver backed currency cannot support economic development while constraining growth, allows zero scope for counter-cyclical policy, and periodically creates depressions.<br /><br />Your comment about hoarding points to one of the mechanisms ashishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-52256429900101862382010-08-16T22:45:47.916+08:002010-08-16T22:45:47.916+08:00Which would you chosse if you could? A RM or MYR w...Which would you chosse if you could? A RM or MYR which have falling for 30 years against the Sing dollar or gold/silver currencies. Rest easy though the ringgit is too well entrenched to be unseated by some medieval currency. However, just like many people have found ways to beat BNM's regulation banning the trading of the MYR outside Malaysia. This seemingly hare-brained scheme by the vinnannoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-34398280418999440362010-08-16T08:34:17.112+08:002010-08-16T08:34:17.112+08:00good point, anonymous 2.08pmgood point, anonymous 2.08pmAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-44343074167601845022010-08-15T14:08:23.268+08:002010-08-15T14:08:23.268+08:00Why does everything PAS do must be related to Isla...Why does everything PAS do must be related to Islam? If the currency at Rasulullah era was Pound or USD would PAS enforce the use of it? Why does this people want to Arabs so much? Serambi Mekah? This people should just get a life.. Please remind this so call wanna be Arabs that not all Arabs are Islam.. Just be yourself as a Malay & lead a good Islamic life.. Thats more usefull then trying Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-81698575947409753182010-08-15T11:28:15.804+08:002010-08-15T11:28:15.804+08:00Mat, thanks. You might want to stick around for th...Mat, thanks. You might want to stick around for the next post.hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-86001162298385735752010-08-15T08:09:34.983+08:002010-08-15T08:09:34.983+08:00Salam,
I had followed your link from Rocky's B...Salam,<br />I had followed your link from Rocky's Bru and I'm impressed with your analytical, level-headed and fact-filled post here. From what I've been reading, many people are emotional and biased about this. Some even see the people who raise questions of whether the issuance is against the Federal Constitution as "being against Islam"! Sheesh.Mat Cendanahttps://www.blogger.com/profile/14912016111197047017noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-50862940741050839042010-08-14T22:12:20.551+08:002010-08-14T22:12:20.551+08:00Within the scenario you present, yes it is legal. ...Within the scenario you present, yes it is legal. But that is not what the Kelantan government is doing. They are contemplating paying civil service salaries in dinar and dirham, which implies in turn that they are willing to accept dinar and dirham in payment for government services, fees, licenses, fines and taxes - which is how legal tender is defined. And that is <i>not</i> legal.hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-30291386848583866602010-08-14T19:27:39.288+08:002010-08-14T19:27:39.288+08:00Say you have a bracelet and want to trade it with ...Say you have a bracelet and want to trade it with with my 4 goats, and I agree with the transaction.<br /><br />Will that be legal according to BNM ?<br /><br />Hahahha ... it's all about mutual agreement .. people should be free to trade .. be it with gold or a piece of earth !Anonymousnoreply@blogger.com