Mitchell’s laws: The more budgets are cut and taxes inceased, the weaker an economy becomes. To survive long term, a monetarily non-sovereign government must have a positive balance of payments. Austerity = poverty and leads to civil disorder. Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
It’s Sunday afternoon, a time to lean back, close your eyes and let your imagination run free, while I tell you everything you need to know about modern economics:
Visualize a poor guy, who has no source of income, repeatedly borrowing from one credit card to pay another credit card. That’s Greece.
Now visualize a rich guy, who has an unlimited source of income, but still repeatedly borrowing from one credit card to pay another credit card. That’s America.
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. Two key equations in economics:
Federal Deficits – Net Imports = Net Private Savings
Gross Domestic Product = Federal Spending + Private Investment and Consumption + Net exports