Rethinking Finance

Video of Cornell Law Professors Robert Hockett and Saule Omarova speaking at Harvard Law School (Please note that the video quality improves substantially around the 5 minute mark.)
The financial system is often thought of as a mechanism for intermediating or multiplying private savings. On this view, the government, if it appears at all, is merely a background actor providing the laws and regulations that set the rules of the game. Hockett and Omarova challenge these assumptions not only during times of financial crisis, but also in the day to day operation of the financial system in “normal times.” They argue that the government is more accurately seen as the franchisor of the financial system that both makes possible its existence and actively participates in markets. Drawing upon these insights and the vision of Alexander Hamilton, they call for the government to take on a more robust role in economic development and market stabilization.
For background, see their papers “The Finance Franchise,” “Public Actors in Private Markets,” and "Private Wealth and Public Goods: A Case for a National Investment Authority"
cornelllawrevie...
papers.ssrn.co...
papers.ssrn.co...

[@MarioMtLr]

Nice that more and more people realise the implications of the way official money is being created. Thanks for the talk and the thought!

[@stuff7908]

Even if I were to try to agree to their general proposal (which I strongly don't). History has shown the reason why different financial systems across the world fail (including the existing financial system we use today), is because as leadership in governments change so the financial system goes for a ride with this new leadership. So no, we cannot rely on each and every new president to come, believe with blind faith in their "personal allegiance". In order for this vision of the future to happen, you have to end corruption and prevent unforeseen global disasters - which has usually been the excuse for every government to start meddling with the economy. This is literally impossible, and history has shown it many times. The only way we can ever have a stable financial system is by making it decentralised and based on hard money and out of the hands of governments but back in the power of the people like it was back when we were on the gold standard. How do these people spend their whole lives studying this subject but yet they are blinded so deeply - I suppose learning curriculum subjects in school controlled by the governments ensure that they start indoctrinated and they stay there too.

[@brians7181]

10 planks of communism - Plank #5 - Centralization of Credit in the Hands of the State, by Means of a National Bank with State Capital and an Exclusive Monopoly.

[@bashful228]

fiat money began with kings… 🤔 any bank can "issue credit", but they can also go insolvent if they ignore risk. only governments with the power to issue a sovereign currency have the exclusive ability to not become insolvent, any bank can make credit and debt on their balance sheet, (what people think of as lending money) but they can also fail.

[@JCResDoc94]

*remember this every single time someone says **_""i dont need a microphone, my voice is loud enough_* . why cant academics learn this lesson? _JC

[@eM-ed5pz]

I came here excited to learn more about Saule Omarova since she is the latest Biden nominee for the financial sector. She isn't going to get the nomination....This was painful to watch.

[@Kauffman578]

Oh yes she will. Her communist background straight from soviet era russia will be implemented in the usa. Naturally her real background is not mentioned anywhere in the media. You watch.

[@ThunderAppeal]

@@Kauffman578 The only reason she even got a position in the bush2 administration is because she did oil research in post soviet russia. Its mind boggling how corrupt bush2 was/is.

[@jacobmyers5204]

Audio is horrible

[@TheGuerillapatriot]

By force

[@vphls]

A communist and a communist agent educate how to destroy America's freedom

[@danhworth100]

Huh

[@PatrioticKoreanAmerican]

Are you an UnAmerican asshole who uses Communism to promote hatred against Asian Americans!

[@ricardodsavant2965]

I hide my money so the government can't steal it...🤣

[@aaronwhager]

A Federal Reserve Note gives us a "claim" to WHAT?

[@MrWizardofozzz]

This is a dangerous path and would ask people to view other nations that applied such radical theories and where that got them today..

[@carloiaboni]

You can't afford a decent microphone?

[@BammerD]

Communist who re.

[@mtjoeng]

I posted a link to this KZbin on the page of economics professor Stephanie Kelton (MMT, Stony Brook University) Including the links leading to the papers “The Finance Franchise,” “Public Actors in Private Markets,” and "Private Wealth and Public Goods: A Case for a National Investment Authority" that in actual fact (seems to) recommend guided monetary policy. (Which is how China finances and is still financing its ‘Wirtschaftswunder’ by the way, investments funded through Central Bank backing of all the wealth of the nation)

[@1luarluar1]

I have never heard a teacher explaining something so bad.

[@charles-y2z6c]

This is a woman who was educated at Moscow University, no lie, then went to University Wisconsin Madison, maybe even more left than the university of Moscow. Remember RUSSIA screaming during Trump?

[@william8654]

Who is the Oriental woman?

[@brians7181]

a communist who received her first degree on a Lenin scholarship in the Soviet Union.

[@Kauffman578]

@@brians7181 spot on and it will be implemented sooner or later here, under "authority"

[@onefodderunit]

She may stomp baby animals for a pass time. Her plan is for government to cut off credit (money) from all Americans it deems "socially sub-optimal"

[@brians7181]

@@onefodderunit 10 planks of communism - Plank #5 - Centralization of Credit in the Hands of the State, by Means of a National Bank with State Capital and an Exclusive Monopoly.

[@onefodderunit]

@@brians7181 Marx quote - "I wish Karl would spend less time writing about capital and more time producing it." -- Karl's mom