●The more federal budgets are cut and taxes increased, the weaker an economy becomes.
●Austerity is the government’s method for widening the gap between rich and poor, which leads to civil disorder.
●Until the 99% understand the need for federal deficits, the upper 1% will rule.
●To survive long term, a monetarily non-sovereign government must have a positive balance of payments.
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The penalty for ignorance is slavery.
MMT is right about economics. MMT is correct when it says cutting the deficit does not grow an economy, but instead leads to recessions and depressions. I say the same thing.
MMT is correct in favoring the Platinum Coin Solution, which I also favor as a clever way to get around the unbelievably stupid federal debt limit and federal debt concerns.
MMT is correct in wanting an end to FICA, the world’s worst tax, about which I posted back in 2009: “Ten Reasons to Eliminate FICA” with the help of two MMT adherents.
I cannot even begin to count the number of things about which MMT is right and our government and our media and the mainstream economists are wrong.
So what’s my problem?
MMT is filled with college professors and other academic minds who believe that if they merely reveal the Truth, the people will learn and follow and all will be well. There is no passion in MMT. They think the people are waiting to be educated, and once seeing the Truth and the Logic and the Wisdom, the sun will shine, again.
MMT refuses to recognize that powerful forces oppose the Truth. MMT thinks that outrage “detracts from the message.” MMT supports the calm recitation of facts as a way to change the world.
Has anything ever been accomplished without passion? Were the slaves freed because of a calm recitation of facts? Did King George give us freedom because of a calm recitation of facts? Did the unions free the workers from unfair labor practices because of a calm recitation of facts?
Did Knute Rockne or Vince Lombardi win because of a calm recitation of facts? Has any politician ever won because of a calm recitation of facts? Why must politicians focus on soaring language and slogans, interspersed with bare mentions of semi-fact?
When has the public ever demonstrated a desire to be led by a calm recitation of facts?
MMT likes to stand on a high podium and teach, but it sure doesn’t like to learn. It has no interest in learning the beliefs of the people. So when, from that podium, they disclose the Truth and are met with, “Eventually we’ll have hyper-inflation like the Weimar Republic, “ and “Eventually our grandchildren will pay,” and “Eventually other nations will stop lending to us,” and “Eventually the price will have to be paid” (always “eventually”), and of course, “There’s no such thing as a free lunch” — then MMT retreats to dry teaching of the Facts.
MMT tries to dumb down the Truth even more, in a fruitless effort to counter the media’s, the politicians’s and the mainstream economists’ endless brainwashing.
MMT doesn’t take advantage of the one edge they have: People already are disposed to hate the .1% and to believe the worst about them and are ready to march and vote against the .1%, if given a passionate leader to follow, and a logical-sounding reason to believe him.
Here is the calm recitation of facts: Cutting Social Security, Medicare, Medicaid, food stamps, aid to education, housing aid, federal employment, food and drug inspection, financial industry oversight, while increasing FICA and sending dollars to a government that creates all the dollars it wants, needlessly takes dollars out of the economy and out of the people’s pockets.
That is what we’ve told the people. Their response: Disbelief and yawns.
Obama knows the Truth. Geithner knows it. Boehner knows it. Congress knows it. The media, which are owned by the .1% know it. Every politician supported by big money coming from the Kochs et al, knows it and is required to toe the line. They lie because they are paid to lie.
But MMT, does not want to say it. They have “no proof” they say. They seem to think the Kochs of the world waste billions of dollars, just for the joy of involvement, not because they have a selfish agenda.
Meanwhile, MMT spends endless hours trying to recast the facts in ever simpler terms, so even the dullest fool can understand them, then stands puzzled about why all the dull fools in Washington don’t seem to understand. Hey guys: They are paid not to understand.
King George understood. Slave owners understood. Business owners understood. But they felt their own selfish interests were best supported by not understanding — until the people dragged them, kicking and screaming, to understand.
Affecting the rulers requires passion, marching, accusations, threats and people carrying torches and pitchforks.
MMT thinks that a calm recitation of the facts will convince the .1% to give up on their precious income gap or convince the 99.9% to vote against their intuition and the vast amount of daily brainwashing. A million times a day, from all sides, comes the message that the debt is too big, and MMT expects their wee, cautious, logical little academic voices to overcome that?
Rodger Malcolm Mitchell
Nine Steps to Prosperity:
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’s 99%
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 Imports