I started writing this article on terrorism when a terrorist attack occurred at the Houses of Parliament in Westminster, but failed to complete the article. More recently, a new attack was perpetrated in Paris. This attack was perpetrated by a recognized Islamic extremist. As past attacks, this one too spurred calls for strict border control. But such border control would have been ineffective. This article explains why.« Continue »
Normally I would post a review of a Doctor Who episode on Geekers Keep. However, given how political the episode was, I decided it would be a better choice to respond through Politicoid.« Continue »
I recently came across a study which tried to place blame for a 2012 Pertussis outbreak on an unvaccinated population. While it is possible that this population was the source of the infection, the study methodology, as is often the case with vaccine studies, was flawed and so the study constitutes little more than fuel for a witch hunt. Normally I just comment on these studies, and provide my analysis for my readers. However, because this study was conducted by members of a government agency, I decided I might as well respond in a more direct fashion by sending the agency an email.« Continue »
There was still a lot of confusion regarding my previous article on fractional reserve banking. Nothing has changed with the argument, but I do want to expand on it a bit. I think part of the confusion comes down to a closely related topic. While fractional reserve banking does not create money, the creation and actual use of bank IOUs does. But that money is not the same money that went into the banks, or which comes out of the banks when you make a withdrawal.« Continue »
There is a long perpetuated myth that fractional reserve banking creates money. This is false. FRB increases the velocity of money. Before getting into the specifics of why fractional reserve banking does not create money, and how it works to increase the velocity of money, it might be reasonable to discuss what fractional reserve banking is.
In fractional reserve banking, a bank lends out part of the money it takes in. When taking into account how much is lent out, along with how much is supposedly in each person’s account, it appears that new money has been made. This can happen multiple times, as people continue to deposit money into different bank accounts and different banks. The appearance of more money is called the money multiplier. But there are issues with the idea.« Continue »