[PASSED] Stock Exchanges and Foreign Investment

[Araraukar]

Only a nation that is not interested in increasing its wealth would not want this

First of all, not all nations hold economic values over everything else. There are nations who focus on humanitarian values, or in my case, environmental values. Just because yours worships money, doesn't mean everyone else's should as well.

Secondly, maybe you've heard this term called "stock market crash". Money can be both made and lost with stock trading. It's not an automatic money generator until eternity.

[Great Minarchistan]

Only a nation that is not interested in increasing its wealth would not want this

First of all, not all nations hold economic values over everything else. There are nations who focus on humanitarian values, or in my case, environmental values. Just because yours worships money, doesn't mean everyone else's should as well.

Secondly, maybe you've heard this term called "stock market crash". Money can be both made and lost with stock trading. It's not an automatic money generator until eternity.

US stocks have been an automatic money generator since 2009 but ain't discussing this here :x

[Araraukar]

US stocks have been an automatic money generator since 2009 but ain't discussing this here :x

OOC: Just like it was since year 1929? Or 2002, or any of the other stock crashes?

Also, reality would beg to differ.

The point was, crashes happen, larger and smaller, when someone wins, someone will always lose. Stock trading can and should be regulated to prevent value bubbles which, when they burst, take down the economy built on and around them. The 1999-2001 dot-com bubble collapse and the 2007-2008 housing bubble crash were good examples of what lax regulations can lead to.

[Great Minarchistan]

US stocks have been an automatic money generator since 2009 but ain't discussing this here :x

OOC: Just like it was since year 1929? Or 2002, or any of the other stock crashes?

Also, reality would beg to differ.

The point was, crashes happen, larger and smaller, when someone wins, someone will always lose. Stock trading can and should be regulated to prevent value bubbles which, when they burst, take down the economy built on and around them. The 1999-2001 dot-com bubble collapse and the 2007-2008 housing bubble crash were good examples of what lax regulations can lead to.

1. While it was a joke, this bubble is bigger than the other ones.

2. Oh yea, those two selloffs of 10% that came back to normal levels after... Two weeks?

3. Indeed, yet they restored pre-crash levels quickly, what means they werent "crashes", more like volatility. Genuine crashes such as 2008 take a long time to recover, or cant recover at all (1991 Asian crisis).

4. Yeah, except 2001 and 2008 (and 2017?) were caused by super-low interest rates, government incentives to consumption and mass intervention on the markets. Regulate stock markets never worked; actually, it just caused things to be worse, knowing we got three bubbles within two decades.

[Lord Dominator]

"Regardless, I do have a comment on the actual resolution," Deandra continues as she starts setting the little paper people on fire, "and that would be to ask the point of the last clause (3a). Through the rest of your propsosed resolution, you seem to be focusing on opening up financial markets to foreigners and generally freeing them. Why then are you putting the choosing of exchange rates under the command of the ISEC, when it seems your purpose would be better served by simply mandating that all currencies be free-floating outside of exceptional situations?"

Ambassador the reason for placing exchange rates under the ISEC was so they could provide a central authority to ensure they are correct and help reduce confusion to investors. Perhaps it would be better served by stating the ICPA shall regulate the markets on wich currencies are traded?

"Ambassador, I do feel that would make more sense, and it would seem to fit with your goal better. In most modern countries with free-floating currencies, the specific exchange rate between any two currencies may vary second to second just as much as stocks. Regulation of these markets I believe would make more sense."

Deandra - Why do you care so much about this money I have here? It isn't from your country. Probably.

It may not be from my country, but someone from your country could have used it...

"Who ever said it was from my country?" replies DeeDee, as she starts shredding some of the remaining currency.

OOC: 100th post on this account. Woot!

[Araraukar]

2. Oh yea, those two selloffs of 10% that came back to normal levels after... Two weeks?

3. Indeed, yet they restored pre-crash levels quickly

OOC: Which is why I said...

when someone wins, someone will always lose.

The stock prices won't come up on their own. Someone needs to buy what someone else is selling, and if the someone selling is selling it at a lower price than they bought it, they'll have lost money.

what means they werent "crashes", more like volatility.

I found them from Wikipedia's "List of stock market crashes".

Genuine crashes such as 2008 take a long time to recover, or cant recover at all (1991 Asian crisis).

Stock market crash is literally that, the market value of stocks crashes. When the effects go further and last longer due to other things being involved, they're called economic depressions. The stock market crash may be the cause or the result of a depression, but they also happen outside of depressions.

Regulate stock markets never worked; actually, it just caused things to be worse, knowing we got three bubbles within two decades.

...fairly sure that if you look through the articles linked, you'll realize that practically every crash has seen more regulations being set in place. The reasons why the crashes or depressions might be coming closer together now are because the digital era has 1) made stock trading easier and faster (including turning it entirely over to computers, which at one point enabled the 36-minute crash that I already linked to), 2) regular banks market stocks to regular people as a way to maybe make money, 3) news travel nearly instantaneously and panic selling happens more easily when there are even rumours of the stock values falling, and 4) because everything is now connected to everything else in ways that couldn't have been even dreamt of just a few decades ago.

[Wealthatonia]

Only a nation that is not interested in increasing its wealth would not want this

First of all, not all nations hold economic values over everything else. There are nations who focus on humanitarian values, or in my case, environmental values. Just because yours worships money, doesn't mean everyone else's should as well.

Secondly, maybe you've heard this term called "stock market crash". Money can be both made and lost with stock trading. It's not an automatic money generator until eternity.

If a nation does not prioritise its GDP and economy, that nation is doomed to fail.

And once one nation's stock market crashes, then move on to another nation's until that one recovers.

[United Federated States of Omega]

Fellow members, I have made the following changes: I have reworded section 3.a to make it where ISEC is just regulating currency exchange markets and not the actual exchange rates. I have also combined the definitions into a providing clause and I would like to be informed as to whether or not that formatting is legal.

[Great Minarchistan]

If a nation does not prioritise its GDP private GDP and economy, that nation is doomed to fail.

ftfy

[Calladan]

First of all, not all nations hold economic values over everything else. There are nations who focus on humanitarian values, or in my case, environmental values. Just because yours worships money, doesn't mean everyone else's should as well.

Secondly, maybe you've heard this term called "stock market crash". Money can be both made and lost with stock trading. It's not an automatic money generator until eternity.

If a nation does not prioritise its GDP and economy, that nation is doomed to fail.

And once one nation's stock market crashes, then move on to another nation's until that one recovers.

Actually, My Tri-Arch has, when confronted with issues, put social justice and social welfare ahead of the economy at every turn. We have a very high tax rate and our economy has frequently been rated as poor, very poor, oh my goddess poor and "how the bleeding hell did it ever get that poor?" poor. Yet in less than a year we have grown to around 1.5 billion citizens and have various flourishing industries.

So I would challenge your first statement as not entirely true.

[Wealthatonia]

If a nation does not prioritise its GDP and economy, that nation is doomed to fail.

And once one nation's stock market crashes, then move on to another nation's until that one recovers.

Actually, My Tri-Arch has, when confronted with issues, put social justice and social welfare ahead of the economy at every turn. We have a very high tax rate and our economy has frequently been rated as poor, very poor, oh my goddess poor and "how the bleeding hell did it ever get that poor?" poor. Yet in less than a year we have grown to around 1.5 billion citizens and have various flourishing industries.

So I would challenge your first statement as not entirely true.

It should be the duty of private industries such as insurance and hospitals to take care of your people, not the government. If your business want to free themselves of the shackles of regulation and tax which put a burden on its creativity, i would encourage them to move to Wealthatonia, where as long as they don't directly kill someone or encourage the harm of others, then they will be free to operate as they see fit

[Araraukar]

It should be the duty of private industries such as insurance and hospitals to take care of your people, not the government.

Unfortunately, if the private industries fail to do so - as they will, if there's no profit for them - the state is obligated to, according to an existing resolution.

[Wealthatonia]

It should be the duty of private industries such as insurance and hospitals to take care of your people, not the government.

Unfortunately, if the private industries fail to do so - as they will, if there's no profit for them - the state is obligated to, according to an existing resolution.

I don't believe Wealthatonia was a member of the World Assembly at the time of this resolution, and our private hospitals do a fine job of saving lives without government intervention.

[Calladan]

Actually, My Tri-Arch has, when confronted with issues, put social justice and social welfare ahead of the economy at every turn. We have a very high tax rate and our economy has frequently been rated as poor, very poor, oh my goddess poor and "how the bleeding hell did it ever get that poor?" poor. Yet in less than a year we have grown to around 1.5 billion citizens and have various flourishing industries.

So I would challenge your first statement as not entirely true.

It should be the duty of private industries such as insurance and hospitals to take care of your people, not the government. If your business want to free themselves of the shackles of regulation and tax which put a burden on its creativity, i would encourage them to move to Wealthatonia, where as long as they don't directly kill someone or encourage the harm of others, then they will be free to operate as they see fit

The first duty of government is to provide for its people. All other duties are secondary. And the day, the hour, the SECOND we introduce private health insurance and private healthcare as the primary source of health services for our citizens is the day we have failed as a government and as human beings.

So there.

[Imperium Anglorum]

OOC: Just like it was since year 1929? Or 2002, or any of the other stock crashes?

Also, reality would beg to differ.

The point was, crashes happen, larger and smaller, when someone wins, someone will always lose. Stock trading can and should be regulated to prevent value bubbles which, when they burst, take down the economy built on and around them. The 1999-2001 dot-com bubble collapse and the 2007-2008 housing bubble crash were good examples of what lax regulations can lead to.

OOC: Holy shit, it (rGDP) keeps going up. Recessions happen, some of them are bigger than other ones, but my God man, it (capital stock) keeps going up! Heavens, it (rGDP) keeps going up!

[United Federated States of Omega]

OOC: Hey folks is it safe to say this proposal as written could be submitted? I'll wait 48 hours for more feedback and then I'll post unless something major needs to be fixed. Thanks for all the feedback everyone!

[Separatist Peoples]

OOC: Hey folks is it safe to say this proposal as written could be submitted? I'll wait 48 hours for more feedback and then I'll post unless something major needs to be fixed. Thanks for all the feedback everyone!

OOC: The general convention in the GA Forum is to spend waaaay more time drafting. I think I drafted my first two resolutions over the course of a year.

[United Federated States of Omega]

OOC: Hey folks is it safe to say this proposal as written could be submitted? I'll wait 48 hours for more feedback and then I'll post unless something major needs to be fixed. Thanks for all the feedback everyone!

OOC: The general convention in the GA Forum is to spend waaaay more time drafting. I think I drafted my first two resolutions over the course of a year.

OOC: well then I suppose I will wait. A while.

[Wealthatonia]

It should be the duty of private industries such as insurance and hospitals to take care of your people, not the government. If your business want to free themselves of the shackles of regulation and tax which put a burden on its creativity, i would encourage them to move to Wealthatonia, where as long as they don't directly kill someone or encourage the harm of others, then they will be free to operate as they see fit

The first duty of government is to provide for its people. All other duties are secondary. And the day, the hour, the SECOND we introduce private health insurance and private healthcare as the primary source of health services for our citizens is the day we have failed as a government and as human beings.

So there.

Your government believes that, but mine believes that a human capable of providing everything they need for themselves are the most successful and self-reliance is a virtue. A government can only fail when the nation collapses and there is no going back.

[Separatist Peoples]

The first duty of government is to provide for its people. All other duties are secondary. And the day, the hour, the SECOND we introduce private health insurance and private healthcare as the primary source of health services for our citizens is the day we have failed as a government and as human beings.

So there.

"Perhaps your government. The first duty of our government is to administrate in the least invasive manner, and the second is to protect. Citizens rise and fall on their own merits. You shouldn't project your theory on others, ambassador."

"World Assembly Resolutions that exist prior to you joining apply to your nation, ambassador. Regardless of your membership status at that time, you are expected to comply with any and all resolutions upon joining."

[Calladan]

The first duty of government is to provide for its people. All other duties are secondary. And the day, the hour, the SECOND we introduce private health insurance and private healthcare as the primary source of health services for our citizens is the day we have failed as a government and as human beings.

So there.

"Perhaps your government. The first duty of our government is to administrate in the least invasive manner, and the second is to protect. Citizens rise and fall on their own merits. You shouldn't project your theory on others, ambassador."

In my defence, I was responding to someone who was projecting their warped and crazy philosophies on to me

[Separatist Peoples]

In my defence, I was responding to someone who was projecting their warped and crazy philosophies on to me

"They are also wrong."

[Wealthatonia]

In my defence, I was responding to someone who was projecting their warped and crazy philosophies on to me

"They are also wrong."

I was not trying to force my opinion on you, that is how our government operates, we don't want a big government as that would lead to abuse of power and invasive policies.

[Tzorsland]

A couple of points.

Point on active clause 1 ... that's a lot of preamble for a short free trade right. Probably necessary, carry on.

Point on active clause 3 ... Major bad feature the last thing is markets to have another regulatory committee.

OOC: It's a sore point with me as I work in that area. The MiFID II regulations alone is doubling the content of our data feeds and potentially causing our clients to suffocate in an avalanche of data to their systems which probably haven't been upgraded in decades.

[United Federated States of Omega]

A couple of points.

Point on active clause 1 ... that's a lot of preamble for a short free trade right. Probably necessary, carry on.

Point on active clause 3 ... Major bad feature the last thing is markets to have another regulatory committee.

On your first point ambassador, I saw the preamble as necessary to ensuring everything is properly defined, and it provides some context for the active clauses.
On you last point could explain what you mean by that. I think I understand it however, I would like some clarification.