Mind Matters Natural and Artificial Intelligence News and Analysis

TagBernard Fickser

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fast food

What If Government Knows You Ate a Big Mac — and Doesn’t Approve?

One spur to the development of cryptocurrencies is a desire for privacy. And a growing number of citizens of societies dominated by Big Tech feel the need for privacy

That title question is not a crazy notion. It’s already happening in mostly cashless China. The Constitution and the law may not be the barrier that many suppose in America if your personal choices make it possible. We need to talk about the unpublicized implications of a cashless society. Bernard Fickser, whose work we profiled yesterday, thinks that surveillance creep is one of the factors driving the growing interest in cryptocurrencies like Bitcoin and Ethereum. Yesterday we talked about the increasing popularity of Modern Monetary Theory (MMT) — government should just print money to satisfy social demands and then raise taxes to pay for the choices made. A triumph of MMT would intensify the competition between government-issued currencies and cryptocurrencies…

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Concept idea of FED, federal reserve system is the central banking system of the united states of america and change interest rates. Percentage icon and arrow symbol on wooden cube

Central Banks vs. Cryptocurrencies: Why the Growing Tension?

Modern Monetary Theory (MMT), which is gaining ground, holds that government should just print as much money as it feels it needs and then raise taxes to cover shortfalls

On the way to explaining how a cryptocurrency system might work, financial analyst Bernard Fickser asks readers to think about the crucial difference between money, as held by a private bank — we’ll call it Merchant Navy Bank — and a central bank operated by a government, say the U.S. Federal Reserve System (the Fed). In his short online book, The Creation of Money, Fickser distinguishes between private banks and central government banks. Private banks start with money that already exists. The money that Merchant Navy Bank lends for mortgages, for example, is contributed by depositors who agree to tie up their money for several years in savings certificates. In return, they get a higher than average rate of interest.…

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Senior Woman Giving Credit Card Details On The Phone

How Do We Know Financial Transactions Are Honest?

Let’s look at the steps we can take to find out

Recently, we’ve been asking readers to think about Alice and Bob, the famous pair in physics used to demonstrate propositions, for example, as if as if they were running for office. At Expensivity, a blog about that expensive and unpleasant subject, money, Bernard Fickser asks about better ways of preventing financial fraud: We focus on financial Alice (the situation with financial Bob is parallel). Alice wants the record of deposits and disbursements in her ledger to reflect deposits that she has knowingly and willingly received as well as disbursements that she has authorized to go to the intended parties. If this is the case, the record of deposits and disbursements in her ledger as well as the running totals will…

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How Can Ballots Be Both Secret and Fair?

The secrecy of ballots would not be compromised if voters used some markers of their identity known only to themselves

In these times, that’s an important question. Last time, we asked readers to think about Alice and Bob, the famous pair in physics (used to demonstrate propositions) as if they were running for office. Bernard Fickser continues to think about that question at Expensivity: To the question “How did you vote?” a friend of mine used to quip “By secret ballot.” My friend’s quip underscores the fundamental difference between the financial and the electoral context. Money in a financial ledger always has an explicit provenance. There’s a source for the money and a tracking history of how it ended in, say, the ledger of financial Alice. This is not to say that Alice’s ledger is an open book for everyone…

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european Union parliament election concept - hand putting ballot in blue election box

How Can We Prevent Financial or Election Fraud?

Both contexts come down to an accounting problem, keeping track of money or votes over time.

Here’s an idea from Expensivity, a blog about money and a lot of other things. Let’s take two people, the famous Alice and Bob, used to demonstrate many propositions in math and science: In an electoral context, we think of Alice and Bob as candidates running against each other for the same office. Alice’s ledger indicates votes that have been added or subtracted over time (with dates and times of the additions and subtractions), as well as her current vote total. Similarly for Bob. The vote total in each ledger starts at zero and can never drop below zero. If only legitimate votes are added to Alice’s ledger, there should be no need for votes ever to be subtracted from…