False.

The tourist only inspected a room, and got his money back. That was free of charge.

The butcher provided meat to the hotel owner. He could have bartered meat for hotel stay, but chose to use currency as a means of exchange. The fact that it was on credit, which was later paid off, is irrelevant, with respect to the fact that the butcher provided a product of value to the hotel owner. The hotel owner got the meat, paid on credit rather than barter or cash, and later paid off the credit.

The farmer used his labor, his land, and feed from the feed store to produce the meat. The fact that he sold the meat to the butcher on credit, to be paid off later is irrelevant to the fact that the farmer produced a valuable product.

The feed store owner had to acquire his feed from yet another farmer, who had to grow the crops, mill the product, and let's not forget the truck driver who had to drive it to the feed store. Let's also not forget the insurance company who insured the truck and maybe the crop, as well, and all the other parties who are unnamed.

The prostitute also provided a service of value to the feed store owner, who's wife seems to always have a "headache" -- kek -- and he decided that the $50 was worth the pop, rather than buy the wife another trinket.

All of this economic activity could have been done through barter. The hotel owner could have offered free rooms to the butcher in exchange for meat.

The butcher could have offered some chicken he had hand to the pig farmer in exchange for the pork.

The pig farmer could have offered the services of his daughter to the feed store owner in exchange for the feed.

The daughter/prostitute could have accepted trinkets instead of cash or credit for services rendered.

Just because there is a lot of funny money (fiat) floating around, does not mean there are no real goods and services being exchanged. It's just that using money or credit makes things flow more easily.

However, you left out an important person in this story, if you want to make a point. You left out the (((Banker))). Because if all the people in the community deposited a total of $100,000 in real money (gold and silver) in the bank, and they got notes or certificates in exchange, which represent their total of $100,000, then there should be $100,000 floating around in currency in the local economy.

But if the (((Banker))) prints up an extra $10,000 for himself, with no gold or silver to back it up, then it is fake money -- fiat -- backed only by the fact that people think it is real.

The (((Banker))) can spend that money on pork and prostitutes just as if it were real, and so the (((Banker))) is effectively stealing the wealth from the rest of the community.

Wealth is created from productivity -- offering services and/or producing goods that other people want. The hotel owner had to build or buy the hotel, and must also run and manage it. Valuable service with a valuable asset, not to mention the employees who also have jobs.

The butcher had to lease his store, from a landlord who had to build or buy, and pay all the various expenses in the course of offering a valuable service.

Likewise the pig farmer, feed store owner, and the prostitute.

The one who is defrauding everyone else is the (((Banker))), who claims to be holding everyone else's assets at full value, but is in reality devaluing it by inflating the currency that is being used as the means of exchange in the local economy.

So, everyone did produce something of value for others. They all exchanged something of value -- whether barter, money, or credit. It's just that the (((Banker))) has committed fraud and is getting a free ride by printing more "money" than he agreed to, keeping the extra for himself.

Now, THAT is how the fake fiat system operates.

False.

The tourist only inspected a room, and got his money back. That was free of charge.

The butcher provided meat to the hotel owner. He could have bartered meat for hotel stay, but chose to use currency as a means of exchange. The fact that it was on credit, which was later paid off, is irrelevant, with respect to the fact that the butcher provided a product of value to the hotel owner. The hotel owner got the meat, paid on credit rather than barter or cash, and later paid off the credit.

The farmer used his labor, his land, and feed from the feed store to produce the meat. The fact that he sold the meat to the butcher on credit, to be paid off later is irrelevant to the fact that the farmer produced a valuable product.

The feed store owner had to acquire his feed from yet another farmer, who had to grow the crops, mill the product, and let's not forget the truck driver who had to drive it to the feed store. Let's also not forget the insurance company who insured the truck and maybe the crop, as well, and all the other parties who are unnamed.

The prostitute also provided a service of value to the feed store owner, who's wife seems to always have a "headache" -- kek -- and he decided that the $50 was worth the pop, rather than buy the wife another trinket.

All of this economic activity could have been done through barter. The hotel owner could have offered free rooms to the butcher in exchange for meat.

The butcher could have offered some chicken he had hand to the pig farmer in exchange for the pork.

The pig farmer could have offered the services of his daughter to the feed store owner in exchange for the feed.

The daughter/prostitute could have accepted trinkets instead of cash or credit for services rendered.

Just because there is a lot of funny money (fiat) floating around, does not mean there are no real goods and services being exchanged. It's just that using money or credit makes things flow more easily.

However, you left out an important person in this story, if you want to make a point. You left out the (((Banker))). Because if all the people in the community deposited a total of $100,000 in real money (gold and silver) in the bank, and they got notes or certificates in exchange, which represent their total of $100,000, then there should be $100,000 floating around in currency in the local economy.

But if the (((Banker))) prints up an extra $10,000 for himself, with no gold or silver to back it up, then it is fake money -- fiat -- backed only by the fact that people think it is real.

The (((Banker))) can spend that money on pork and prostitutes just as if it were real, and so the (((Banker))) is effectively stealing the wealth from the rest of the community.

Wealth is created from productivity -- offering services and/or producing goods that other people want. The hotel owner had to build or buy the hotel, and must also run and manage it. Valuable service with a valuable asset, not to mention the employees who also have jobs.

The butcher had to lease his store, from a landlord who had to build or buy, and pay all the various expenses in the course of offering a valuable service.

Likewise the pig farmer, feed store owner, and the prostitute.

The one who is defrauding everyone else is the (((Banker))), who claims to be holding everyone else's assets at full value, but is in reality devaluing it by inflating the currency that is being used as the means of exchange in the local economy.

So, everyone did produce something of value for others. They all exchanged something of value -- whether barter, money, or credit. It's just that the (((Banker))) has committed fraud and is getting a free ride.

Now, THAT is how the fake fiat system operates.