Mitchell’s laws: Reduced money growth never stimulates economic growth. To survive long term, a monetarily non-sovereign government must have a positive balance of payments. Austerity breeds austerity and leads to civil disorder. Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
Washington Post: By Editorial, Published: November 16
NO MATTER ONE’S views about Occupy Wall Street and its imitative protests across the country, it’s hard to quarrel with the principles that propelled New York Mayor Michael R. Bloomberg (I) to clear Lower Manhattan’s Zuccotti Park. From the start, Mr. Bloomberg expressed a commitment to the First Amendment rights of protesters, but he also stressed the importance of guaranteeing public health and safety. When those two goals clashed, the mayor was right to take action.
In an early-morning raid Tuesday, New York police swooped down on the park, clearing it of protesters, as well as the tents, generators and other encampment paraphernalia that had occupied it for two months. To be sure, there were incidents, such as the banishment and arrest of reporters trying to cover the event, that should have been avoided. But police largely acted with restraint, and the well-planned operation was without the violence that has accompanied similar actions in other cities. More important, contrary to the claims of critics who likened it to crackdowns in despotic countries, the effort was not undertaken to end the protest or to squelch its message about the concentration of economic and political power. Demonstrators were allowed back in the park but without tents and other gear needed for an indefinite stay.
Utter bullsh*t. The billionaire mayor of a city that stores all its garbage on the curb in front of its stores, suddenly becomes oh-so-concerned about the public health and safety in one teeny, little park, that he sends in half the NY police force (at 1:00 in the morning, mind you), not only to clear the park, but to destroy all the possessions of the protesters. Yes, that billionaire mayor is committed to First Amendment rights. Sure, he is.
And then there was “the arrest and banishment of reporters” by that billionaire mayor who is committed to First Amendment rights. Why banish reporters if you’re proud of what you’re doing? Anyone who believes what the bought-and-paid-for editor of the above article says, is a damn fool.
The #OWS protests are against the gap between rich and poor. Is that bad? What is the establishment response? To lift the poor? No way. The response is to squelch the protests. The response is to sic the cops on them and to clear the parks with bullhorns, batons, beatings and tear gas. The response is to destroy all the protesters belongings. Hey, “Let ‘em eat cake,” right Mr. billionaire mayor?
I’ve not heard one politician propose a plan to help improve the lives of the middle class and the poor. All I hear from the politicians is how we need to cut Medicare, cut Social Security, cut unemployment payments, cut federal employment, cut the military – cut, cut, cut – cut all the things that help support the middle class and the poor —- and of course, get rid of those noisy, unkempt protesters.
And support the banks and arrest protesters, but please don’t arrest anyone for bank fraud.
You damn fools.
The newspapers print, and the TV talking heads rant, unimaginably ignorant editorials about how federal debt should be reduced, without bothering to answer the key question: How will tax increases and/or spending decreases help reduce unemployment, lift the lives of the poor and middle classes, and grow the economy. THEY WON’T.
Not one politician, media prostitute or cowardly economist has any understanding of a fundamental equation in economics: Gross Domestic Product = Federal spending + private consumption + investment + net exports –– a formula demonstrating that reductions in federal spending must reduce GDP.
You damn fools.
So Congress and the President created a “super committee” to reduce the federal deficit (i.e. to increase the gap), and none of them has any understanding of another fundamental equation in economics: Federal Deficits – Net Imports = Net Private Savings, which tells us that reducing deficits must reduce savings.
You damn fools
Congress and the President should have created a “super committee” to determine how to lift the lives of the middle class and the poor. It isn’t all that hard. Here’s where to begin:
1. Eliminate FICA (Click here)
2. Medicare — parts A, B & D — for everyone
3. Send every American citizen an annual check for $5,000 or give every state $5,000 per capita (Click here)
4. Long-term nursing care for everyone
5. Free education (including post-grad) for everyone
6. Salary for attending school (Click here)
7. Eliminate corporate taxes
8. Increase the standard income tax deduction annually
9. Increase federal spending on the myriad initiatives that benefit America
Begin to institute #1-#9 today, in the order shown, and if/when excessive inflation starts to occur, institute the first inflation-fighting program the Fed always uses: Raise interest rates. If that doesn’t do enough, begin to cut deficit spending.
“Oh, no,” the rich and the media and the economists say. “That could increase the deficit (meaning, increase the money supply). And as everyone knows, the deficit is bad. And anyway, we’re much more afraid of a distant and controllable inflation that could reduce the value of our millions, than we are of today’s unemployment that steals the life savings of the poor and middle class. Those poor folks can muddle along, but what about us 1%?”
The problem is, no one knows exactly why the deficit is bad. But so long as “everyone says so,” it must be true. The wealthy always are right, especially for the brainless 99% who march obediently to the drum, right over the cliff.
You damn fools.
So you think the French revolution was an anomaly? And the Arab spring couldn’t happen here? And the Bolshevik revolution was just a bunch of crazy commies? And the Xinhai Revolution, what the heck was that? This is America. Our people are passive. They’ll do what their leaders tell them to do, because they have been trained to respect “law and order” (the 1%’s euphemism for “clamp down on those scruffy protesters”).
You damn fools.
I predicted this months ago, and the response is no surprise. The establishment always sides with the rich, and the lessons of past injustices are forgotten. And now I have a message for all of you in the 99%, who criticize the #OWS for camping in parks, and disrupting traffic, and making an inconvenient mess: Wake up. These young people are fighting the battle you should have fought years ago.
While you sit in front of the TV you still are paying off, in your “underwater” house near foreclosure, eating a Big Mac because it’s the best you can afford, and shaking your head at the rowdiness you see on the tube: Time to smell the roses. Those politicians you elected don’t care about you. They don’t care about your kids or grandkids.
They care only about your vote, so they give you a bunch of snake oil about federal deficits and federal debt, to distract you from the real problem which is: You are being screwed, day in and day out. And you fall for it. Ask everyone you meet about the federal deficit, and they’ll parrot like little robots: “The deficit is bad; the deficit is bad.”
The rich own the media and the economists, and now they expect you to fall in line and repeat after them: “Cut my health care; increase my taxes; cut my retirement fund; make me work longer hours; fire government workers; cheat me; beat me.”
And you’ll do it. Yes you will. How do I know? Because you’ve been doing it for years. And now you’re criticizing #OWS – the people who are putting everything on the line for you and your family — because the rich told you to, and you always, always do what you’re told.
You damn fools.
Rodger Malcolm Mitchell
No nation can tax itself into prosperity, nor grow without money growth. Monetary Sovereignty: Cutting federal deficits to grow the economy is like applying leeches to cure anemia. The key equation in economics: Federal Deficits – Net Imports = Net Private Savings