Some time ago, a user asked "How would we handle Hurricane recovery under BTC standard?"
#75822
In other words, how do you handle softening the blow of consequences without money printing?
At the time, I was trying to shift focus to point out ways to be more resilient in such circumstances. This did not satisfy. The user wanted to know what the immediate answer would be for how we help people in these circumstances. Maybe I should have been more direct. The answer to his question, was that we don't.
Helping vs Enabling
According to psych central "Whether it is alcohol, other selfish behavior, or general irresponsibility, allowing someone to continue to choose damaging behaviors by being passive, or assisting in them through your own actions, only deepens the damage. When your intention is to help, acting as an enabler does just the opposite."
There was more to the source I posted in my reply than solutions which make such circumstances bearable and make communities resilient. The thread itself was about why those solutions were not implemented now.
Darren Couch
"My ex father in law used to own an earth shelter construction business near Wichita KS, that went belly up after about three houses. He said when he'd go to fairs and such to pitch his business, people would tell him if they were going to spend 30% more on the construction cost, they wanted people to see the opulence."
History of Other Examples
It isn't just hurricanes that money printing has sought to solve. John Maynard Keynes theory of economics solves the problem of fractional reserve banking credit expansion, by enabling the predatory system and making the problem worse. If you thought money printing to solve the problems people are facing being compared to enablers of alcoholics was disingenuous, look no further than Keynes for this correlation being drawn in a widespread manner. In a paper from written by:
Peter Boettke
Director, F. A. Hayek Program for
Advanced Study in Philosophy, Politics,
and Economics at the Mercatus Center
Professor of Economics & Philosophy,
Department of Economics,
George Mason University
Patrick Newman
Assistant Professor, Department of
Economics, Florida Southern College,
titled "The Consequences of Keynes" they write:
"Recently Luigi Zingales has similarly described why Keynesianism maintains a tight grip on politicians in the modern era:
'Keynesianism has conquered the hearts and minds of politicians and ordinary
people alike because it provides a theoretical justification for irresponsible
behavior. Medical science has established that one or two glasses of wine
per day are good for your long-term health, but no doctor would recommend
a recovering alcoholic to follow this prescription. Unfortunately, Keynesian
economists do exactly this. They tell politicians, who are addicted to spending
our money, that government expenditures are good. And they tell consumers,
who are affected by severe spending problems, that consuming is good, while
saving is bad. In medicine, such behavior would get you expelled from the
medical profession: in economics, it gives you a job in Washington.'"
In the same way, insurance companies in hurricane prone areas are addicted to cheap money from the government and make sure people build their known to be vulnerable houses so that they can take that hit of liquidity once again.
We can make this appeal to emotions with Keynes just as well as we can with hurricanes. A decade later when a US senator said during a congressional hearing on New Deal relief programs that “the economy will work itself out in the long run,” Harry Hopkins, a close adviser to President Roosevelt, famously replied: “People don’t eat in the long run senator, they eat every day.” Remember, this was the Great Depression. People who had their money with the banks, had all their money lent out and because their accounts did not reflect that fact that the money was lent out until it was too late, in effect of creating money, allowing people to spend more than they earned, there wasn't any actual money that people could withdraw from their accounts. During the Great Depression, many people were in fact starving.
Don't Miss the Point
So are we wrong to try to move away from a dollar that can be freely printed? Should we stop trying so hard to avoid inflation so that our money can be printed effectively to help people. No! For one, it makes no sense to accept such a thing on an individual level, and for another, money printing to help people, doesn't help them, it enables the problems that lead to demise in the first place. Don't miss the point, these consequences, these sad hungry broken people are experiencing the equivalent of a hangover. Drinking more liquor to cure a hangover is no way to solve the problem even though it helps with short term pain.
The pain of consequences helps people make more informed decisions in the future. We understand this when it comes to teaching children. It doesn't lose its importance when it comes to teaching adults. Discipline: Teaching the Importance of Consequences
Building Slowly
You have the information for how to build houses in more sustainable manners now, long before the trouble comes. Your fellows may not, so before such a mess occurs, build out your local community economy. Do it like Bitcoin Beach and all the communities inspired by Bitcoin Beach.