From: Boris Nikolic

From: Boris Nikolic To: "Jeffrey Epstein ([email protected])" <[email protected]> Subject: FW: DialogUE 204 Date: Mon, 09 Sep 2013 01:03:07 +0000 Attachments: BAIN REPORT A world awash in money.pdf _ _ _ _ _ Also some interesting info re money B From: Chishty, Sameer [mailto Sent: Wednesday, August 14, 2013 6:32 PM To: Subject: DialogUE 204 Fellow Dialogers, Boris Nikolic; Welcome to Breakout #204, The future of finance: Disrupting the big government/big banking cartel through monetary financial exchanges. I'll be moderating our dialog and look forward to seeing you soon in Istanbul. As a reminder, the context of our session is: "Fiat money is being printed by all of the major developed countries to support unsustainable levels of public spending, undermining global confidence in the financial system. Is the lack of sound, tradable, non-political store of monetary value a major drag on the global economy and growth? Are new currencies (like Bitcoin) a feasible alternative to big-government/big-bank financial instruments?" Thought I'd share a few articles to get people's thoughts flowing. Do feel free to share other pieces you think will be valuable in the build-up to our dialog. Here's one view on capital levels: The capital superabundance we see now has been building up since the end of Bretton Woods, with acceleration due to computer technology and financial engineering. While central banks have been taking extraordinary actions, some of this has been "trans leverage" (the government taking on private sector debt, as we saw in the US) rather than a massive growth in total leverage. The buildup of capital over time begs the very interesting question of the right level of capital for GDP growth — the market-clearing mechanism is really interest rates, which suggests interest rates staying lower than recent historical norms on average for some time. The other question is whether we need to "do" anything about the levels of financial assets or rather simply adjust to the new levels. Clearly these extraordinary measures can't continue, but interesting to look at this issue from the angle of how people may be overweighting current actions vs. long term trends. Attached is an article titled "A world awash in money". A US perspective on public spending from Forbes: http://www.forbes.com/sites/joshbarro/2012/04/16/lessons-from-the- decades-long-upward-march-of-governmentspendine Nate Silver on sources of US government spending growth: http://fivethirt ght. blogs.nytimes.com/2013/01/16/what-is- driving-growth-in-government-spending/? r=0 Short pieces on private money, including summary of Hayek's theory: http://www.forbes.com/sites/realspin/2012/08/23/private-currency-competition-is-the-monetary-answer/ or http://www.forbes.com/sites/peterferrara/2013/03/01/rethinking-money-the-rise-of-hayeks-private-competing- EFTA00970057 currencies/ Private money examples in Europe: http://www.rolandberger.be/media/pdf/Roland Berger Point of view What about private currencies 20130527.pdf An argument for stable private money backed by gold or silver: https://www.bullionstar.com/article/private-currencies-future-money Cheers. Sameer. Sameer Chlshty tTh> frit; Partner, Bain & Company 30/F, One International Finance Centre I 1 Harbour View Street, Central I Hone Kong tel: +852 2978 8886 mobile: +852 6893 0296 mailto: I web: www.baln.com EA: Ivy Chan This e-mail, Including any attachments, contains confidential information of Bain & Company. Inc. ('Bain') and/or Its clients. It may be read. cooled and used only by the intended recipient. Any use by a person other than its intended recipient. or by the redolent but for purposes other than the intended purpose. is strictly prohibited. If you received this e-mail in error, please contact the sender and then destroy this e-mail. Opinions, conclusions and other information in this message that do not relate to the official business of Bain shall be understood to be neither given nor endorsed by Bain. EFTA00970058