What Does Occupy Wall Street Want? (hint: coupons)
Yesterday, on Fox Business, Brad Blanton, one of the founders of the Occupy Wall Street movement described his vision for America:
If you need a good laugh, you should watch the entire ten minutes, but here’s an excerpt showing his ludicrous argument:
VARNEY: What structure would the economy have with this Deep Democracy?
BLANTON: It would have a regional kind of structure in which people knew each other. The economy would be based on knowing each other.
VARNEY: An economy based on knowing each other? In a nation of 300 million people?
BLANTON: Yeah, that’s right. Instead of having the ability to abstract so many levels so that you sell junk bonds for a lot of money, you sell a whole bunch of mortgages that are worth nothing by putting them together, all this leveraging and all that stuff is fictional. It’s all magic. It’s all fictional money. We’d have to go back to real money, something that is attached to real goods and services.
VARNEY: So, if I wanted to get a mortgage, for example, would mortgages exist in your society?
VARNEY: And who would I get the mortgage from?
BLANTON: You’d get the mortgage from a bank that had some people watching it other than just—
VARNEY: A small bank? It would have to be a small bank.
BLANTON: Right, it would be a small bank.
VARNEY: A small bank. And I would know those people?
BLANTON: Well, you would know people who knew those people.
VARNEY: Where would the bank get the money from to lend me the mortgage?
BLANTON: Well, the money is like a coupon, it basically represents the work and services delivered. It represents something –
VARNEY: Would it be a dollar?
BLANTON: It can be a dollar. It doesn’t make much difference. It could be a coupon.
VARNEY: But where would the coupon or the dollar come from?
BLANTON: From people saying you done this many goods and services for me –
VARNEY: That’s a barter system!
BLANTON: No, it’s money that represents that system. It’s okay to have a representative money system as long as it doesn’t go so many levels of abstraction, like it does in the banking system today.
This guy seems to be arguing for a return to a tribal society.