Topic: STRIKE! STRIKE! STRIKE! (Read 3555 times)

I wanted to bang out a long winded explanation but to what end?  You watch on TV  
http://goldsilver.com/video/u-s-could-run-off-with-other-nations-gold-rickards-tells-cnbc/
And you hear someone who knows what he is talking about when it comes to economics gets childish ridicule of questions, statements of opinion.  Their tone is effective on the masses who don't understand and don't want to be made fun of.

Thus why subject myself to this here when I got enough of it on my youtube channel.
youtube.com/user/davincij15

What current economics education fails to take into account is fraud.  It can not because if it did then it would have to question if what they are teaching is fraudulent because as more fraud comes into the system it has to perpetuate it's self and the only way to do that is to educate people into believing the wrong things.

I know, I know that's crazy talk because no rich person has ever donated large portion of their wealth to universities and shaped their curriculum.   Yes, Yes, and even if they did, there is no such thing as bad wealthy people only good ones looking out for everyone's interest and not their own.

So I can see how you would think my logic is flawed.

Sure even if I was right that would have to mean their are schools that teach the correct version of economics...
Yes there are, it's called Austrian school of economics.

Lets hope Keynesizm is recognized for the witch craft it is in the future.

Ah well I have gone off in a tangent when I said I would not...

Now lets watch a humorous video about Keynesian VS Austrian economics and just laugh about what we can't change.
"Fear the Boom and Bust" a Hayek vs. Keynes Rap Anthem
http://www.youtube.com/watch?v=d0nERTFo-Sk

 

Smile no mater what side your on cuz ain't nothing going to change.

Davinci.

ONE more thing I love Keynes broken window theory, by that logic Japan must be booming!  LOL

I think the issue here is more one of jargon. Three difference economic principals are being discussed here and merged a bit willy nilly.    The profits will fall to zero,   at the margin,   as mining supply will increase till marginal costs are equal to marginal profits.   This will not be equal for all miners due to comparative advantages, a primary one being the cost of electricity.   Meanwhile,  the units from the low costs producers up to the marginal costs being zero will give profits for the surplus value,  presumable being being at least greater then the opportunity costs.    So you both are right, but looking at a different part of the picture.

I agree, you should all turn off all your mining systems. For as long as you like. It benefits me and I'm all for anything that benefits me.

I like where this thread is going

Lul. I'm not saying I was able to just throw some gpu's into my machines and hit the start mining button without any problems. I'm saying that once you're correctly setup, you'll be fine to leave the miners running 24/7 with a checkup or 2 per month. Mining is not time consuming at all unless you're doing it as a full-time job with tens of thousands of GH worth of hardware.

That is a very unusual understanding of investment. There is a non-zero time investment involved, you don't need to work on it forever. If mining was essentially leaving a computer on, every computer on earth would be mining. Plus, not everyone has the hardware, so there is the capital investment aspect. Risk and variability is not zero as well. The Marxist in you at least could tempt to argue that this will in time turn into a zero-sum game, but as SmokeAndMirrors said, if you are not making enough profit you can leave the game with very modest depreciation costs. So that won't happen either -- total profit of all miners will tend to be positive.

It is true that, if conditions never changed, profits would converge to zero, which is what you originally meant I guess... But conditions always change. It just feels that innovation is stagnant nowadays, since GPU mining is becoming a conventional thing. This is actually a very recent development, and it is highly unlikely that things will stay this way for long. Furthermore, innovation is always there even if you don't see it. Don't expect to read about novel ways to steal electricity in this forum.

Not to object, but talldude's response was appropriate for the uncalled for "if you can't grasp it, then you try reading about it" statement. IMO it doesn't count as an appeal to authority.

That shows you know nothing about economics.  I don't mean to insult but ask me to prove it and I will.

Whew! someone's sheet dosent stink!

No, they don't really. If you need to keep monitoring, maintaining (this is good, but it doesn't require as much attention as you make it seem), "updating" whatever that means, and tweaking on a regular basis, it just means you haven't setup your rig properly. I've had my machines running for the past 2 months straight with a checkup here and there. I have not seen any loss in hashing power and there has been no damage done to my gpu's.

As for mining being profitable, koj you are wrong. Mining will always be profitable to people, otherwise they will get out of the game. As you can see on these forums, people who aren't even making more than a set amount (even though they're still profiting a little bit) are getting out. Most people won't mine unless they're making significant returns, rendering mining profitable for everyone else.

Kokjo thats rediculous to argue economics with someone who has a masters degree. just let it go accept that you are wrong and move on....And to say that mining isnt a job is wrong.  I have 5 full time miners and 3 part time and it is no where near as simple as "letting my computers run"  they require monitoring, maintenance, updating, and tweaking on a regular basis...

I have to agree with you this last rig I built has been very temperamental and I've spent quite a few hours working on it. I wouldn't even call myself a big player I only have about 3ghash. Once everything is up though it should be smooth sailing and very little maintenance required.

i don't! but i clearly have a better understanding of it then some others.

Mining is a job for some people (the big players) - basically anyone that's not just doing for kicks. It takes time and it takes money, and they're doing it for the sole purpose of earning $$$.

My "title throwing" was aimed at your supply and demand comment - don't assume you know more than someone else.

Oh yeah? Well I get my kicks by kacking it with a belt around my neck...we're even.

(I'm not really into auto-erotic asphyxiation, regular old 'batin is just fine in my book. I am just making real life comparison.)

no! because mining is not a job. it is essentially just leaving your computer on, so therefor anyone could leave their computer on and let them do the work for them. you can mine and work at the same time...

this does only apply right now, when it comes to asic/fpga mining, things change...

btw. trowing a fine title at my does not help

Another puppy living at home with the 'rents not paying hydro..

Your an idiot.. plain and simple..

Your ideas are complete nonsense...ridiculous...

I have a master's degree in applied economics...

Mining should earn normal profits, just like any other business. Normal profit is defined as a level of income that is no higher than what you could earn by doing something else with your time and capital. If you can earn more doing something else, you shouldn't bother with mining.

Markets do not work that way.  Assets move from week hands to strong hand thus allowing for corrections people like me who are buy and store for a long time will hold more than those looking to make a quick Federal Reserve Note, this is the right way to increase the value of bitcoins.

SO LET IT DROP TO $1 and I will buy 200k worth. LOL I would move the market if I did that. LOL

Seriouly though lets hope it stays low for people like my self to accumulate.


BTW don't get fooled when their is a candle stick bounce to 10 that's not a real up trend.

Wrong. Because "cost" is not the same for everyone, and motivation to mine is not the same for everyone. So your statement about what "should" happen is ridiculous.

no it can not. it is simply supply-and-demand. if you can't grasp it, then you try reading about it.
miners will only gain enough to cover their costs.
if they earn less: they will stop mining.
if they earn more: more miners will come.

If people want to buy low and sell high, it's their call, I don't think it hurts Bitcoin at all.

No, it should earn normal profits...

5 Thash is enoght to keep the network running. and anyway  at the next difficulty will drop if you do it.

and btw mining should not be profitable. it should run at 0-cost, 0-gain.

but feel free to stop mining at anytime.

the value of bitcoin would plummet, never to recover

How about all the miners shut off their machines until Monday morning. Put the fear of God into these people abusing the markets pumping and dumping for their own gain. When the network hash rate drops to 5k Ghash people might start respecting the golden goose!

STRIKE! STRIKE! STRIKE!