Oh, no! ICE has not destroyed enough families. Send in the “leviathan.” Monday, Apr 13 2015 

Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

Mitchell’s laws:
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The more federal budgets are cut and taxes increased, the weaker an economy becomes. .
Liberals think the purpose of government is to protect the poor and powerless from the rich and powerful. Conservatives think the purpose of government is to protect the rich and powerful from the poor and powerless.
●Austerity is the government’s method for widening
the gap between rich and poor.
●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.
●Everything in economics devolves to motive,
and the motive is the Gap.
==================================================================================================================================================================

The Washington Times, that ever-reliable mouthpiece for the rich, the radical, the ruthless and the right, laments:

Deportations of illegal immigrants plummet on Obama’s watch
By Stephen Dinan – The Washington Times – Monday, April 13, 2015

The federal government’s chief deportation agency has seen its success plummet under President Obama, and its chief, Sarah R. Saldana, will tell Congress on Tuesday that they’ve had trouble adapting to the changing face of illegal immigration and a lack of cooperation from both American cities and from foreign countries.

To the Washington Times, “Obama” is a curse word, that must be included in every politically negative headline. And to right-wing minds, the U.S. Immigration and Customs Enforcement (ICE) is a “deportation” agency.

Not exactly, but it says much about right-wing minds. Here’s what ICE says its mission is:

Immigration Enforcement: . . . priorities to find and remove illegal aliens who are criminals, fugitives or recent arrivals . . . cracking down on those who produce fraudulent documents to enable unlawful activity.

Investigating Illegal Movement of People and Goods: Illegal trade predominately involve guns, money and drugs, but ICE’s responsibilities extend much further into all kinds of illegal and counterfeit merchandise . . .include the repatriation of cultural treasures out of the country to original owners abroad, and combating the trade of child pornography.

Preventing Terrorism: . . . identifying dangerous persons before they enter the U.S. or finding them as they violate immigration or customs laws. ICE also works to prevent the illegal export of U.S. technology.

Rating ICE by the number of people it deports would be like rating a police department by the number of parking tickets it writes. ICE’s purpose is to help prevent criminality, not cruelly to destroy families by deporting otherwise innocent men, women and children.

Back to the Washington Times article:

Ms. Saldana, said she had to pull agents off their regular duties during last summer’s illegal immigrant surge at the border, which meant fewer people focusing on deporting the longtime illegal immigrants living in the interior of the U.S..

The Washington Times never refers to “undocumented” immigrants; it prefers the harsher term “illegal” immigrants, so to create in your mind, an equation with murderers and terrorists — the usual brainwashing stunt.

If they are longtime residents, these are exactly the people we want here. Odds are, they, their children and their grandchildren are law-abiding, productive residents of America, as important to America’s growth as you and me.

Why would we want to rip these people out of the lives they have built here, just to satisfy right-wing meanness?

And she said the lack of cooperation from states, counties and cities when agents ask them to hold an illegal immigrant for pickup has also hindered efforts.

Here an irony for you. The Tea/Republicans always talk about states rights, and reducing that bad old, big old federal government “leviathan.” But now, when the states, counties and cities decide not to throw people out of the country, the right wing wants the “leviathan” to take over.

As long as it’s mean spirited and anti-poor, the right wing favors it, even when the “leviathan” does it.

“Over the past six years, President Obama has steadily dismantled the interior enforcement of our nation’s immigration laws,” said Judiciary Committee Chairman Robert W. Goodlatte.

“Under the Obama administration’s watch, the apprehension, detention, and removal of unlawful and criminal aliens has dramatically declined. Altogether, the actions taken by this administration undermine the rule of law, make our communities less safe, and place ICE officers in harm’s way.”

Ah, yet another irony. The Tea/Republicans have been the “cut-federal-spending party,” but now they complain when there aren’t enough agents to do the dirty work of deporting human beings.

And note how they combine “unlawful” (meaning “undocumented”) with “criminal,” and somehow this all makes our communities “less safe.”

How are our communities “less safe”? No one knows. The Tea/Republicans want you to visualize crazed Mexicans rampaging through your neighborhood, pillaging and raping.

Actually, undocumented immigrants are the least likely to be criminals, simply because they are hyper-sensitive about being caught. (The sad comment in our neighborhood is that no landscaper’s truck ever exceeds the speed limit.)

Some localities say that holding illegal immigrants for pickup by federal authorities after they’ve completed their sentences or processing for their local crimes is unconstitutional.

Though the Constitution was written to protect the weak from the strong, the Tea/Republicans use it to protect the rich and powerful from the poor and weak — and to legalize guns, which are much more dangerous, and make our communities much less safe, than do immigrants.

Away from immigration, ICE did notch successes in customs investigations, going after several cartels involved in black market peso exchanges and targeting human smuggling operations.

Operation Coyote, designed to combat the smugglers who helped spark last summer’s immigration surge, has resulted in nearly 1,300 criminal arrests.

Now that’s what this agency should be doing, not running after longtime, innocent residents, people with children and grandchildren — the very foundation of America.

Do we really want the “leviathan” to stomp on these people?

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
The Ten Steps to Prosperity:

1. Eliminate FICA (Click here)
2. Federally funded Medicare — parts A, B & D plus long term nursing care — for everyone (Click here)
3. Provide an Economic Bonus to every man, woman and child in America, and/or every state a per capita Economic Bonus. (Click here) Or institute a reverse income tax.
4. Federally funded, free education (including post-grad) for everyone. Click here
5. Salary for attending school (Click here)
6. Eliminate corporate taxes (Click here)
7. Increase the standard income tax deduction annually. (Refer to this.)
8. Tax the very rich (.1%) more, with higher, progressive tax rates on all forms of income. (Click here)
9. Federal ownership of all banks (Click here and here)
10. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)

Initiating The Ten Steps sequentially will add dollars to the economy, stimulate the economy, and narrow the income/wealth/power Gap between the rich and the rest.
——————————————————————————————————————————————

10 Steps to Economic Misery: (Click here:)
1. Maintain or increase the FICA tax..
2. Spread the myth Social Security, Medicare and the U.S. government are insolvent.
3. Cut federal employment in the military, post office, other federal agencies.
4. Broaden the income tax base so more lower income people will pay.
5. Cut financial assistance to the states.
6. Spread the myth federal taxes pay for federal spending.
7. Allow banks to trade for their own accounts; save them when their investments go sour.
8. Never prosecute any banker for criminal activity.
9. Nominate arch conservatives to the Supreme Court.
10. Reduce the federal deficit and debt

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.
1. A growing economy requires a growing supply of dollars (GDP=Federal Spending + Non-federal Spending + Net Exports)
2. All deficit spending grows the supply of dollars
3. The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
4. The limit to non-federal deficit spending is the ability to borrow.

THE RECESSION CLOCK
Monetary Sovereignty

Monetary Sovereignty

Vertical gray bars mark recessions.

As the federal deficit growth lines drop, we approach recession, which will be cured only when the growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

–The Motley Fool and its writers, add their names to the fools’ club. Buyer beware! Saturday, Apr 11 2015 

Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

Mitchell’s laws:
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The more federal budgets are cut and taxes increased, the weaker an economy becomes. .
Liberals think the purpose of government is to protect the poor and powerless from the rich and powerful. Conservatives think the purpose of government is to protect the rich and powerful from the poor and powerless.
●Austerity is the government’s method for widening
the gap between rich and poor.
●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.
●Everything in economics devolves to motive,
and the motive is the Gap.
==================================================================================================================================================================

I seldom have read The Motley Fool, though I understand that many people do. I don’t know about its success record in predicting stock prices or predicting anything else about our nation’s economy.

Perhaps I shouldn’t be too surprised to read the following article authored by Brian Stoffel, who “has been a Fool since 2008, and a financial journalist for the Motley Fool since 2010.”

Based on the article, I suspect he has been a Fool for much longer than “since 2008,” but you can decide for yourself.

Will the Social Security System Go Broke in the Next 20 Years?
By Brian Stoffel, Dan Dzombak, and Dan Caplinger | April 11, 2015

It’s no secret that Social Security, in its current form, is in trouble. Many young workers today are told to plan for retirement as if Social Security will no longer be around.

And many soon-to-be retirees lose sleep over whether or not their safety net will be in place when their Golden Years begin.

Social Security “in its current form,” is an agency of the Monetarily Sovereign U. S. federal government.

Here is a little secret the politicians and journalists don’t tell you: Unlike the states counties and cities, and business and individuals — all of which are monetarily NON-sovereign — the U.S. government has the unlimited ability to create its own sovereign currency.

The federal government never can run short of dollars.

Even if all taxes fell to $0 and all so-called federal “borrowing” also fell to $0, the U.S. government could continue paying all its bills, forever. It never needs to ask anyone for dollars — not you, not me, not China.

Social Security, being an agency of the U.S. federal government, also cannot run short of dollars, unless Congress wishes it.

The article continues:

The program has current workers pay for the benefits of retirees. If there’s a relative balance between the number of workers and the number of retirees, then the program runs fine.

But with a wave of baby boomers entering retirement — and living longer than any generation before them — the program is out of whack and spending much more than it’s taking in.

This would be true if Social Security were operated and owned by privately-held insurance companies. All such companies are monetarily non-sovereign, so indeed they require incoming dollars to pay for outgoing dollars.

(Republicans want to privatize Social Security, which would guarantee that it would, in fact, run short of dollars.)

Federal agencies require no incoming dollars. The federal government creates dollars from thin air.

You can’t. I can’t. Illinois, Cook County and Chicago can’t. But the federal government can and does.

That is the difference between Monetary Sovereignty and monetary non-sovereignty.

We asked three Motley Fool analysts whether they thought the program would go broke within 20 years. Here’s what they had to say.

Dan Caplinger: [Dan Caplinger is a contract writer for The Motley Fool. In addition to his writing, Dan works as an independent financial consultant and estate-planning attorney.]

No — technically, it can’t (go broke).
Strictly speaking, the Social Security system won’t go broke so long as there’s payroll-tax revenue coming in to fund it.

Wrong, Dan. Contrary to popular myth, payroll tax revenue (aka FICA) does not pay for Social Security. In fact, FICA pays for nothing.

When FICA dollars are received by the Treasury, they no longer are part of the money supply. They cease to exist as money. When Social Security benefits are paid, new dollars are created, like this:

The Treasury sends instructions to each benefit recipients’ bank, telling the bank to increase the balance in the recipient’s checking account. At the moment the bank obeys those instructions, new dollars are added to the money supply.

You may ask, “Why then is FICA collected?” The answer: To give the illusion that people pay for Social Security as though it were an insurance annuity.

It has been said that President Roosevelt knew this, which is why he created FICA. Supposedly, his idea was that so long as people believed they paid for Social Security, the politicians would not have the nerve to cut benefits.

He didn’t reckon with the gall of today’s politicians.

Dan Caplinger is ignorant of Monetary Sovereignty. I personally would be reluctant to take his advice on anything related to the U.S. economy.

Dan Dzombak: [Dan Dzombak joined the Motley Fool through its Analyst Development Program in 2008. After completing the 1-year program, he became the Motley Fool’s Energy Editor, focusing on the oil and natural gas markets.]

Yes, the Social Security system will go broke in the next 20 years.

The current status of the Social Security system is like someone who has a huge savings account but spends more than their paycheck each month and has to draw down their savings.

Dan Dzombak thinks the Monetarily Sovereign federal government’s finances are like monetarily non-sovereign personal finances. Another example of economic ignorance.

Perhaps he should focus his gas on the oil market.

Brian Stoffel: [For six years after graduating from Grinnell College, Brian Stoffel was a middle school teacher. Five of them were spent in inner-city Washington DC at a KIPP charter school that focused getting 100% of students accepted to college.]

No — Congress will eventually figure something out

It’s difficult to understate just how important Social Security is to today’s (and tomorrow’s) retirees. The program’s Office of Policy estimates that “Social Security will account for about two-fifths of projected income for baby-boomer retirees.” That’s an enormous amount.

While I agree with Dan Dzombak that raising taxes to help close the funding gap will be a politically difficult task, I don’t think we should underestimate the political force tomorrow’s retirees will have.

I believe these combined forces will help usher in political leaders who are able to work out some solution to the depletion of Social Security’s Trust Fund.

Another Motley Fool writer — this time a middle school teacher — who seems to know nothing about Monetary Sovereignty and federal financing.

Here is MY advice. If you plan to accept THEIR advice, consider its value in light of their knowledge about the U.S. economy.

Buyer beware!

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
The Ten Steps to Prosperity:

1. Eliminate FICA (Click here)
2. Federally funded Medicare — parts A, B & D plus long term nursing care — for everyone (Click here)
3. Provide an Economic Bonus to every man, woman and child in America, and/or every state a per capita Economic Bonus. (Click here) Or institute a reverse income tax.
4. Federally funded, free education (including post-grad) for everyone. Click here
5. Salary for attending school (Click here)
6. Eliminate corporate taxes (Click here)
7. Increase the standard income tax deduction annually. (Refer to this.)
8. Tax the very rich (.1%) more, with higher, progressive tax rates on all forms of income. (Click here)
9. Federal ownership of all banks (Click here and here)
10. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)

Initiating The Ten Steps sequentially will add dollars to the economy, stimulate the economy, and narrow the income/wealth/power Gap between the rich and the rest.
——————————————————————————————————————————————

10 Steps to Economic Misery: (Click here:)
1. Maintain or increase the FICA tax..
2. Spread the myth Social Security, Medicare and the U.S. government are insolvent.
3. Cut federal employment in the military, post office, other federal agencies.
4. Broaden the income tax base so more lower income people will pay.
5. Cut financial assistance to the states.
6. Spread the myth federal taxes pay for federal spending.
7. Allow banks to trade for their own accounts; save them when their investments go sour.
8. Never prosecute any banker for criminal activity.
9. Nominate arch conservatives to the Supreme Court.
10. Reduce the federal deficit and debt

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.
1. A growing economy requires a growing supply of dollars (GDP=Federal Spending + Non-federal Spending + Net Exports)
2. All deficit spending grows the supply of dollars
3. The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
4. The limit to non-federal deficit spending is the ability to borrow.

THE RECESSION CLOCK
Monetary Sovereignty

Monetary Sovereignty

Vertical gray bars mark recessions.

As the federal deficit growth lines drop, we approach recession, which will be cured only when the growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

–Why compulsory education? Why educate at all? Why not college? Thursday, Apr 2 2015 

Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

Mitchell’s laws:
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The more federal budgets are cut and taxes increased, the weaker an economy becomes. .
Liberals think the purpose of government is to protect the poor and powerless from the rich and powerful. Conservatives think the purpose of government is to protect the rich and powerful from the poor and powerless.
●Austerity is the government’s method for widening
the gap between rich and poor.
●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.
●Everything in economics devolves to motive,
and the motive is the Gap.
==================================================================================================================================================================

Why do we require our children to be educated? Why do we send them off to approximately 12 years of schooling, most of which is paid for by a local government (i.e. by local taxpayers)?

What is the purpose? Why not just have the kids go to work and earn a living rather than spending valuable years in classrooms?

By 1900, 34 states had compulsory schooling laws. 30 states with compulsory schooling laws required attendance until age 14 (or higher). As a result, by 1910, 72 percent of American children attended school.

Even more than 100 years ago, when science and industry were much simpler than today, Americans understood that a successfully competitive nation required educated people.

It was, and remains, to the entire nation’s benefit, that it educate all its youngsters, not just the rich children, but all children.

So, America decided that local taxpayers, not the federal government, would pay for education, up through the 12th grade.

And there it has remained.

As all the sciences have required ever more specialization and education, America still is committed to educating just through 12th grade.

And even as the U.S. federal government has become Monetarily Sovereign, and thus able to pay any bill of any amount, without collecting taxes, still the onus is on the monetarily non-sovereign state and local governments to pay for education.

Why?

Consider the case of monetarily non-sovereign Germany, a nation that like our state and local governments, does not have the unlimited ability to create its sovereign currency (it having no sovereign currency, but rather using the euro):

There Is No Such Thing As A Free College Education
By: Christopher Denhart

Following Wednesday’s decision to overturn tuition and fees in Lower Saxony, Germany, all universities will now be tuition free. According to The Times, Germany will now be 100% free of charge to students, national and international, as political figures call tuition fees “socially unjust.”

Of course, college tuition fees are “socially unjust.” Even a fool realizes that charging for education leads to a widening of the Gap between the rich and the rest.

Even a fool realizes that education is as important as medical services, and should not be reserved for those who can afford it.

Of course, not everyone agrees

There Is No Such Thing As A Free Lunch. And there is also No Such Thing As A Free Higher Education. Higher education, especially in science-heavy Germany, is incredibly costly to run and maintain.

In a typical economic model for financing higher education, the consumer (student) would pay for the good that it consumes (education) and the research that researchers do would lead to innovations that have positive economic impact on society, therefore paying for themselves.

We have departed from this free market, “sustainable,” model globally, and rely heavily on federal subsidies to keep universities afloat.

CCAP has argued that these federal monies have largely led to increases in the cost of higher education, which has over time compounded, translating into higher tuition fees.

Remember that Germany is monetarily non-sovereign, just like our state and local governments, so taxpayers do indeed, pay for all government spending. So concern for budgets is understandable.

It is clear in the United States, with annual tuition fees in the $40,000s or $50,000s and millionaire university presidents, that federal subsidies have led to outrageous increases in university spending, as universities, administrators, and faculty enjoy the benefits of captured student loan and grant moneys.

Sooner or later this “free” higher education will feel less and less free as increasing taxes will likely drive the most educated, highest earning, most able Germans away from Germany and into societies where they can take home a greater percentage of their pay.

This will then reduce the tax cache and start to decrease the deficit more than the added tax revenues from a more professional society will add to them.

The author, Christopher Denhart, who though clearly not understanding Monetary Sovereignty, makes this point: In a monetarily non-sovereign community, social services — health care, poverty aids, road building, indeed all government initiatives — are unfair to the taxpayers who don’t use them.

If your city pays for elementary school, the point could be made that such payment is unfair to you, a taxpayer who has no children in elementary school.

Never mind that educating children rewards the nation that educates them. The rewards to any individual city are hard to measure. Sure, good schools increase property values, but by how much? And is a higher property value a benefit if it comes with a higher property tax?

What is the U.S. government’s solution to the unaffordable cost of college? STUDENT LOANS — you know those rare loans that cannot even be discharged in bankruptcy (because that’s not what the big lending banks want).

That is our solution: Put middle- and lower-income families deeply into an unsustainable debt, from which they never can emerge. Conservatives love it.

As the rich folk say, “Let them go to community colleges (paid for by the monetarily non-sovereign states), if that’s all they can afford. Our kids will go to the best universities. That is exactly the way the world should work.”

Activists Stop Paying Their Student Loans
MARCH 31, 2015

Latonya Suggs says she borrowed thousands of dollars in student loans to attend the for-profit Corinthian Colleges but has nothing to show for it. Most employers don’t recognize her criminal justice degree.

Suggs and 106 other borrowers now saddled with Corinthian loan debt say their refusal to repay the loans is a form of political protest. And Tuesday, the U.S. government gave them an audience.

Representatives of the “Corinthian 100″ met with officials from the Department of Education and the Consumer Financial Protection Bureau. Rohit Chopra, the CFPB’s student loan ombudsman, said in a letter to the strikers that the CFPB would like to “discuss further” potential “ways to address the burden of their student loans.”

In September, the CFPB sued Corinthian, accusing it of predatory lending practices. Weeks later, roughly half of its campuses were sold to the Educational Credit Management Corp., a financial company with no prior experience operating colleges.

Finally, in February, the CFPB and the Department of Education announced the forgiveness of $480 million in private student loans held by former Corinthian students.

But those are just the private loans. Borrowers are still on the hook for hundreds of millions of dollars in federal student loans — money that the Department of Education expects to be paid back.

That’s true even for students who never earned their degrees, on campuses that are being shut down.

Refusing to pay back a student loan can have serious consequences. Wages and tax refunds can be garnisheed. It can also sink a credit score; limit access to a credit card, auto or home loan; and hurt your chances of getting a job.

Yes, that is our Monetarily Sovereign government’s solution to unaffordable education: Indentured servitude courtesy of rapacious lenders — the student loan scandal.

Or, the federal government simply could pay for a college education, far more easily than state and local governments pay for grades K-12.

Lending money to students and their parents is ridiculous, particularly since the federal government has zero need to receive dollars — its sovereign currency — from anyone. Why send people to loan sharks when dollars are freely available to the federal government?

There is one, and only one, purpose for college student loans — and its not to make college more affordable.

The sole purpose of our student loan program is to benefit rich lenders by enslaving families of modest means — luring them with something they know they need but cannot afford.

In this sense, the federal government is no better than the street corner drug dealer, sucking victims into a life that will lead to their destruction.

The solution: Follow Step #4 in the “Ten Steps to Prosperity,” below.

Do it now!

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
The Ten Steps to Prosperity:

1. Eliminate FICA (Click here)
2. Federally funded Medicare — parts A, B & D plus long term nursing care — for everyone (Click here)
3. Provide an Economic Bonus to every man, woman and child in America, and/or every state a per capita Economic Bonus. (Click here) Or institute a reverse income tax.
4. Federally funded, free education (including post-grad) for everyone. Click here
5. Salary for attending school (Click here)
6. Eliminate corporate taxes (Click here)
7. Increase the standard income tax deduction annually. (Refer to this.)
8. Tax the very rich (.1%) more, with higher, progressive tax rates on all forms of income. (Click here)
9. Federal ownership of all banks (Click here and here)
10. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)

Initiating The Ten Steps sequentially will add dollars to the economy, stimulate the economy, and narrow the income/wealth/power Gap between the rich and the rest.
——————————————————————————————————————————————

10 Steps to Economic Misery: (Click here:)
1. Maintain or increase the FICA tax..
2. Spread the myth Social Security, Medicare and the U.S. government are insolvent.
3. Cut federal employment in the military, post office, other federal agencies.
4. Broaden the income tax base so more lower income people will pay.
5. Cut financial assistance to the states.
6. Spread the myth federal taxes pay for federal spending.
7. Allow banks to trade for their own accounts; save them when their investments go sour.
8. Never prosecute any banker for criminal activity.
9. Nominate arch conservatives to the Supreme Court.
10. Reduce the federal deficit and debt

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.
1. A growing economy requires a growing supply of dollars (GDP=Federal Spending + Non-federal Spending + Net Exports)
2. All deficit spending grows the supply of dollars
3. The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
4. The limit to non-federal deficit spending is the ability to borrow.

THE RECESSION CLOCK
Monetary Sovereignty

Monetary Sovereignty

Vertical gray bars mark recessions.

As the federal deficit growth lines drop, we approach recession, which will be cured only when the growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

–What could be worse than this Congressional bitter disagreement ? Wednesday, Mar 25 2015 

Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

Mitchell’s laws:
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The more federal budgets are cut and taxes increased, the weaker an economy becomes. .
Liberals think the purpose of government is to protect the poor and powerless from the rich and powerful. Conservatives think the purpose of government is to protect the rich and powerful from the poor and powerless.
●Austerity is the government’s method for widening
the gap between rich and poor.
●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.
●Everything in economics devolves to motive,
and the motive is the Gap.
==================================================================================================================================================================

Answer: This Congressional joyful, bipartisan smooching.

When the crocodiles smile, you, the public, are being eaten.

House Expected To Pass Major Boehner-Pelosi Deal To Reshape Medicare

An ambitious agreement by Speaker John Boehner and Minority Leader Nancy Pelosi to fix a major funding gap in Medicare and make some separate long-term cuts appears in good shape to pass the House.

monetary sovereignty

REDUCING COVERAGE FOR NO REASON. SEE HOW HAPPY THEY ARE.

“It is all shaping up very well on both sides,” said Kevin Smith, a spokesman for Boehner.

At a cost of roughly $210 billion, the bill replaces the “sustainable growth rate” formula to instead give doctors gradual raises while extending the Children’s Health Insurance Program for two years starting in October.

It includes $70 billion in offsets by making two structural changes to cut Medicare spending: force high-income seniors to kick in more for their care and reduce spending on supplemental Medigap plans, specifically “first dollar” coverage.

These “offsets” are based on three lies:

1. FICA funds Medicare benefits (It doesn’t.)
2. The federal government is too broke to pay for Medicare. (It isn’t.)
3. By contrast, you have too much money so you can afford to pay more. (You don’t.)

Our readers, who understand Monetary Sovereignty, know that FICA does not fund Medicare.

Just to be clear: FEDERAL TAXES DO NOT FUND FEDERAL SPENDING. Period.

Even if all federal taxes fell to $0, the government could continue to pay all its bills — including Medicare for every man, woman and child in America — forever.

So why does the government charge you FICA, and why will the government cut Medicare benefits further? Because FICA is the most regressive tax in America, punishing the middle- and lower-income groups far more than the rich. This helps widen the Gap between the rich and the rest, the single most important goal of the rich.

Why do both parties wish to help the rich increase the Gap? Because both parties are bribed via campaign contributions, plus promises of lucrative employment, later. (Thank you, right-wing Supreme Court.)

The rest of the legislation is not paid for, which could be a deal-breaker for hardline conservatives in the House and Senate.

Translation: Hard line conservatives are not satisfied with just draining your blood. They want to cut out your flesh and bones, too.

Progressives don’t love the Medicare cuts but many Democrats are willing to accept them because they don’t touch core benefits for middle-class Americans.

Translation: We Democrats pretend to be your friends, but all we want is your vote. We plan to go along with the Republicans every year, to slice bits off Medicare, because as they told you, “Medicare is broke.” The Republicans give us cover. Aren’t we clever?

So long as you’re stupid enough to vote for us, we’ll just keep slicing those benefits — increase the age, reduce the payments — soon we’ll tax benefits, like we do with Social Security.

The rich won’t care. Medical costs are a minuscule part of their income, but a big part of yours.

Senate Republicans are eager to get rid of the “doc fix” problem, and the long-term Medicare cuts in the House package are an enticement for them.

Translation: The doctors have a powerful lobby, and they contribute lots of money to us. What’s your lobby? How much do you contribute?

Republicans have been aching to cut your Medicare benefits, so this gives us Democrats an excuse to give them what the rich want.

Sen. Richard Burr (R-NC) said, “I’ve been working on entitlement reform since I got here 21 years ago. This is the first real hope at getting entitlement reform and in the process taking care of the SGR which we’ve always known was a mythical cut.”

Translation: In conservative-speak, the word “reform” always means: “Screw the poor and the middle class.”

Thus entitlement “reform” means cut Social Security benefits, cut Medicare benefits, cut Medicaid benefits, cut unemployment compensation, cut food stamps, and cut all other poverty aids.

Similarly, tax “reform” means charging the poor and the middle more, via regressive programs like a flat tax, increases in FICA and sales taxes, and the sneakiest one of all: Making the monetarily non-sovereign states and cities pay for things the federal government should fund (Example: Education.)

Any time you hear a politician use the word “reform,” grab your wallet and scream, “Liar, liar, pants on fire.”

Predition: Shortly after (like, the next day after) 2016 elections, the politicians will, at the urging of their rich benefactors, “discover” that once again, Social Security, Medicare, Medicaid, all poverty aids and taxes need to be “reformed.”

Once again you will be treated to the Big Lie that the federal government is “broke,” while you are rich, and that federal spending is limited by federal tax collections.

And because you will believe it (and probably become angry at anyone who disagrees), your taxes will rise, your benefits will fall, and the income/wealth/power Gap between you and the rich will grow.

You’re being raped. I hope you enjoy it.

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
The Ten Steps to Prosperity:

1. Eliminate FICA (Click here)
2. Federally funded Medicare — parts A, B & D plus long term nursing care — for everyone (Click here)
3. Provide an Economic Bonus to every man, woman and child in America, and/or every state a per capita Economic Bonus. (Click here) Or institute a reverse income tax.
4. Federally funded, free education (including post-grad) for everyone. Click here
5. Salary for attending school (Click here)
6. Eliminate corporate taxes (Click here)
7. Increase the standard income tax deduction annually. (Refer to this.)
8. Tax the very rich (.1%) more, with higher, progressive tax rates on all forms of income. (Click here)
9. Federal ownership of all banks (Click here and here)
10. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)

Initiating The Ten Steps sequentially will add dollars to the economy, stimulate the economy, and narrow the income/wealth/power Gap between the rich and the rest.
——————————————————————————————————————————————

10 Steps to Economic Misery: (Click here:)
1. Maintain or increase the FICA tax..
2. Spread the myth Social Security, Medicare and the U.S. government are insolvent.
3. Cut federal employment in the military, post office, other federal agencies.
4. Broaden the income tax base so more lower income people will pay.
5. Cut financial assistance to the states.
6. Spread the myth federal taxes pay for federal spending.
7. Allow banks to trade for their own accounts; save them when their investments go sour.
8. Never prosecute any banker for criminal activity.
9. Nominate arch conservatives to the Supreme Court.
10. Reduce the federal deficit and debt

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.
1. A growing economy requires a growing supply of dollars (GDP=Federal Spending + Non-federal Spending + Net Exports)
2. All deficit spending grows the supply of dollars
3. The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
4. The limit to non-federal deficit spending is the ability to borrow.

THE RECESSION CLOCK
Monetary Sovereignty

Monetary Sovereignty

Vertical gray bars mark recessions.

As the federal deficit growth lines drop, we approach recession, which will be cured only when the growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

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