We shall see. The shames of America Thursday, Dec 10 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.
•Any monetarily NON-sovereign government — be it city, county, state or nation — that runs an ongoing trade deficit, eventually will run out of money.
•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.

•The single most important problem in economics is the Gap between rich and the rest..
•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.
•Everything in economics devolves to motive, and the motive is the Gap between the rich and the rest..

============================================================================================================================================================================================================================================================

The people who most aggressively claim to be “patriots,” continue to be the least patriotic people America must suffer.

These are the phony “patriots” who wish to deport 11 million men, women and children, many of whom have been good, law-abiding Americans for decades, just because an unnecessarily slow, complex, Byzantine system has not provided documentation.

These are the lying “patriots” who classify most Mexican immigrants as criminals and rapists.

These are the venal “patriots” who classify most black college students as too stupid to attend good schools. (Justice Scalia Suggests Blacks Belong at “Slower” Colleges

These are the amoral “patriots” who vote to reduce unemployment compensation, Social Security, Medicare, Medicaid, food stamps and other benefits for the middle classes and the poor, because they claim the poorer classes are so lazy they won’t work if given money (but, of course, the rich will work if given money.)

These are the moronic “patriots” who repeatedly vote against their own best interests, only because they believe those poorer will be hurt more.

And, to paraphrase Ronald Reagan, “Here they go, again.”

Bloomberg Politics Poll: Nearly Two-Thirds of Likely GOP Primary Voters Back Trump’s Muslim Ban

Almost two-thirds of likely 2016 Republican primary voters favor Donald Trump’s call to temporarily ban Muslims from entering the U.S., while more than a third say it makes them more likely to vote for him.

“We believe these numbers are made up of some people who are truly expressing religious bigotry and others who are fearful about terrorism and are willing to do anything they think might make us safer,” Doug Usher, who runs polling for Washington-based Purple Strategies, said in his analysis of the findings.

“This indicates that, despite some conventional wisdom expressed in the last 48 hours, this is unlikely to hurt Trump at least in the primary campaign.”

The title of this post is “We shall see. The Shames of America.” It refers to at least two shames:.

Shame 1. There are so many bigots in America, who would ban individuals, not because they ever have done anything wrong, but rather because of the way they worship or the color of their skin.

This is ironic, because freedom of religion is one reason the original settlers fled to America, and also is one of the Constitutional rights the conservates repeatedly claim for themselves.

It also is ironic because more than 600,000 real patriots died, and hundreds of thousands more were wounded in the American battle to eliminate racial bigotry

And it is ironic, because one-third of the soldiers who fought for the Union Army were immigrants, and nearly one in 10 was African American.

Shame 2. There are so many stupid people in America, who repeatedly vote to cut benefits for themselves, because they believe the lies the rich tell them about the middle classes and the poor.

Today’s Republican party, formerly the party of Abraham Lincoln, directs its appeals to the lowest common denominator of American morals and intelligence.

So, in a year we shall see whether the U.S. Supreme Court will be filled with Scalias, Thomases and Alitos, who will claim money is speech and who will vote for more laws allowing unlimited spending to buy elections and greater restrictions on minority voting.

We shall see whether taxes on the 1% are cut while taxes on the 99% are increased via “flat” taxes, sales taxes and FICA increases.

We shall see whether Social Security benefits, Medicare benefits, Medicaid benefits, food stamps and other poverty aids are cut.

We shall see whether every angry, bigoted incompetent is allowed to carry fully automatic guns, with huge magazines, everywhere.

We shall see whether there is an increase in the number of mosques, synagogues, temples and churches burned, shot up, trashed or otherwise violated by mental bantams who were agitated by despicable politicians.

We shall see whether a raped young girl is raped again by cruel, self-appointed judges who deny her an abortion to save her life.

We shall see whether America contains more stupid, immoral, self-destructive voters than those who are intelligent and compassionate.

We shall see if the America is the moral leader of the world, or just another shameful, selfish, uncaring nation that began with good intentions, but fell into disrepute and historical infamy.

Yes, we shall see.

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
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. 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 Click here
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)

The Ten Steps 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

Recessions come only after the blue line drops below zero.

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 real rea$on gun$ are not well controlled Sunday, Dec 6 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.
•Any monetarily NON-sovereign government — be it city, county, state or nation — that runs an ongoing trade deficit, eventually will run out of money.
•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.

•The single most important problem in economics is the Gap between rich and the rest.r.
•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.
•Everything in economics devolves to motive, and the motive is the Gap between the rich and the rest..

============================================================================================================================================================================================================================================================

There were 12,282 gun deaths this year according to Gun Violence Archive.

And according to Mass Shooting Tracker there have been at least 353 mass shootings in America so far this year, with still almost a month to go. (A mass shooting is defined as “four or more people shot in an event, or related series of events, likely without a cooling off period.”.)

You don’t hear much about mass knifings, mass baseball battings, mass stranglings, mass throwing-off-of-cliffings, etc. for the simple reason that guns are uniquely designed to commit mass violence. They are the tool of choice when one wishes to commit large-scale mayhem.

There are more guns in America than people. And control over gun sales is minimal. Anyone can go to a gun show and buy the most lethal weapons there, and no one will ask questions.

You can tattoo the words, “I’m a mass murderer” on your forehead, and still buy guns from your next-door neighbor or from a stranger in the street, — and no test, no registration required. It’s all legal.

You need a license and skill-testing to drive a car, and an official title to buy one. Not so with guns.

And you need not belong to a “well-regulated” militia or a well-regulated anything.

Why?

Because in its most recent interpretation of the 2nd Amendment to the Constitution, the right wing of the Supreme Court decided that of all the phrases in the U.S. Constitution, the following uniquely has no meaning whatsoever: “A well-regulated militia being necessary to the security of a free state. . . “

They are “throw-away” words, to be ignored — the only meaningless phrase in the Constitution.

Little did the Amendment’s authors know.

Normally courts, and especially the Supreme Court, parse every sentence, every phrase, every word in the law when making a judgment. Guns are unique in the right wing world.

It was not always thus. In its earlier manifestations, the words “well-regulated militia” were taken quite seriously.

Conflict and compromise in Congress produce the Bill of Rights

James Madison’s initial proposal for a bill of rights was brought to the floor of the House of Representatives on June 8, 1789, during the first session of Congress. The initial proposed passage relating to arms was:

The right of the people to keep and bear arms shall not be infringed; a well armed and well-regulated militia being the best security of a free country but no person religiously scrupulous of bearing arms shall be compelled to render military service in person.

On July 21, Madison again raised the issue of his bill and proposed a select committee be created to report on it. The House voted in favor of Madison’s motion, and the Bill of Rights entered committee for review. The committee returned to the House a reworded version of the Second Amendment on July 28.

On August 17, that version was read into the Journal:

A well regulated militia, composed of the body of the people, being the best security of a free State, the right of the people to keep and bear arms shall not be infringed; but no person religiously scrupulous shall be compelled to bear arms.

In late August 1789, the House debated and modified the Second Amendment. These debates revolved primarily around risk of “mal-administration of the government” using the “religiously scrupulous” clause to destroy the militia as Great Britain had attempted to destroy the militia at the commencement of the American Revolution.

These concerns were addressed by modifying the final clause, and on August 24, the House sent the following version to the Senate:

A well regulated militia, composed of the body of the people, being the best security of a free state, the right of the people to keep and bear arms shall not be infringed; but no one religiously scrupulous of bearing arms shall be compelled to render military service in person.

The next day, August 25, the Senate received the amendment from the House and entered it into the Senate Journal.

However, the Senate scribe added a comma before “shall not be infringed” and changed the semicolon separating that phrase from the religious exemption portion to a comma:

A well regulated militia, composed of the body of the people, being the best security of a free state, the right of the people to keep and bear arms, shall not be infringed, but no one religiously scrupulous of bearing arms shall be compelled to render military service in person.

By this time, the proposed right to keep and bear arms was in a separate amendment, instead of being in a single amendment together with other proposed rights such as the due process right. As a Representative explained, this change allowed each amendment to “be passed upon distinctly by the States.”

On September 4, the Senate voted to change the language of the Second Amendment by removing the definition of militia, and striking the conscientious objector clause:

A well regulated militia, being the best security of a free state, the right of the people to keep and bear arms, shall not be infringed.

The Senate returned to this amendment for a final time on September 9. A proposal to insert the words “for the common defence” next to the words “bear arms” was defeated. An extraneous comma added on August 25 was also removed.

The Senate then slightly modified the language and voted to return the Bill of Rights to the House. The final version passed by the Senate was:

A well regulated militia being the security of a free state, the right of the people to keep and bear arms shall not be infringed.

The House voted on September 21, 1789 to accept the changes made by the Senate, but the amendment as finally entered into the House journal contained the additional words “necessary to”:

A well regulated militia being necessary to the security of a free State, the right of the People to keep and bear arms shall not be infringed.

On December 15, 1791, the Bill of Rights (the first ten amendments to the Constitution) was adopted, having been ratified by three-fourths of the states.

In United States v. Miller (1939), the Supreme Court ruled that the federal government and the states could limit any weapon types not having a “reasonable relationship to the preservation or efficiency of a well-regulated militia”.

It is clear that the drafters of the 2nd Amendment wanted the existence of a “well-regulated militia” to be the basis for the public keeping and bearing arms.

After all, what fool would want everyone to carry highly lethal weapons with no supervision, no education and no licensing, whatsoever. The authors of the Constitution were smarter than that.

However:

In District of Columbia v. Heller (2008), and McDonald v. Chicago (2010). In Heller, the Supreme Court resolved any remaining circuit splits by ruling that the Second Amendment protects an individual right.

Justice Scalia, writing for the Court in Heller:  The right of the whole people, old and young, men, women and boys, and not militia only, to keep and bear arms of every description, not such merely as are used by the militia, shall not be infringed, curtailed, or broken in upon, in the smallest degree; and all this for the important end to be attained: the rearing up and qualifying a well-regulated militia, so vitally necessary to the security of a free State.

If you believe this was an example of turning and twisting words to come to an illogical conclusion, I agree with you.

Why then, after 200+ years of judicial thought in one direction, did the right wing of the Supreme Court do an about-face, and change the meaning of the 2nd Amendment?

It has to do with the right wing’s traditional appeasement of business.

Gun industry execs admit business booms following mass shootings, as sales ‘just went crazy’ after Sandy Hook massacre

The dirty little secret behind mass shootings across the country is that the gun industry is cashing in on them.

And the executives admit it.

“The gun business was very much accelerated based on what happened after the (2012) election and then the tragedy that happened at Sandy Hook,” Ed Stack, the chief executive of Dick’s Sporting Goods, said in September 2014.

“You can see after a tragedy, there’s also a lot of buying,” Jeff Buchanan, the chief financial officer of Smith & Wesson, said two years ago.

The seemingly callous comments were made not to the public, but behind closed doors at various industry events, according to The Intercept website.

The key element is money:

James Debney, Smith & Wesson’s chief executive, told investors in 2013 that “the tragedy in Newtown and the legislative landscape” resulted in sales that were “significantly up.”

“Fear and uncertainty that there might be increased gun control drove many new people to buy firearms for the first time.”

 

Fear and uncertainty. Fear and uncertainty. Those are the keys to gun sales.

The armament manufacturers and their paid stooges at the NRA absolutely love a mass murder. It’s money in their pockets.  It’s the next best thing to an all-out war.

And what has been the mantra of the Republican party? Fear and uncertainty. Fear of immigrants: Central, South American and Mexican. Fear of Syrian immigrants. Fear of Muslims. Fear of ISIS. Fear of gays. Fear of blacks. Fear of Jews. Fear of Catholics. Fear of gangs. Fear of the government.

Fear of THEM!

Republican fear mongering, on behalf of weapons manufacturers, has terrorized those who feel threatened by various elements in their lives. So terrorized are Americans, that whenever someone speaks of any type of sensible gun control, the reaction is rage and hatred.

Cleverly, the weapons makers, in cahoots with the Republican party (the notorious “military / industrial complex”), have created a highly profitable arms race, not only internationally, but right here in America.

Guns kill. The more guns, the more killing. So because more people have guns, you need guns to protect yourself. And when you buy guns, other people need to buy guns to protect themselves against you.

And then you need to buy even more guns, to protect yourself against them. It’s a self-replicating, tit-for-tat, endless system.

Fear and uncertainty — and money. That has replaced the “well-regulated militia” in our Constitution.

Wars are profitable, even domestic wars. And by pitting Americans against Americans and immigrants, the right has created a very profitable war, indeed.

Money is why guns are not more controlled.

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
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. 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 Click here
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)

The Ten Steps 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

Vertical gray bars mark recessions. Recessions come after the blue line drops below zero and when deficit growth declines.

As the federal deficit growth lines drop, we approach recessions, each of which has been cured only when the growth lines rose.

Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
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. 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 Click here
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)

The Ten Steps 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

Vertical gray bars mark recessions. Recessions come after the blue line drops below zero and when deficit growth declines.

As the federal deficit growth lines drop, we approach recessions, each of which has been cured only when the growth lines rose.

Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

I don’t blame Trump Sunday, Nov 29 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.
•Any monetarily NON-sovereign government — be it city, county, state or nation — that runs an ongoing trade deficit, eventually will run out of money.
•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.

•The single most important problem in economics is the Gap between rich and poor.
•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.
•Everything in economics devolves to motive, and the motive is the Gap between the rich and the rest..

============================================================================================================================================================================================================================================================

I don’t blame Trump.

He is what he is: A bigot, a megalomaniac, a tyrant and the would-be fuehrer of the United States of America. (“Fuehrer” means “leader,” but in Trump’s case “fuehrer” is more appropriate.)

All Hail Der Donald!
By Roger Simon

Do not say you were not warned. Der Donald has warned you.

Security is going to rule in America. And unthinkable things will be done.  Don’t believe me? Ask him.

“We’re going to have to do things that we never did before. And some people are going to be upset about it, but I think that now everybody is feeling that security is going to rule. … So we’re going to have to do certain things that were frankly unthinkable a year ago.”

On Saturday, a black man began shouting at a Trump speech in Birmingham, Alabama. People shout at Trump speeches all the time. But there are things you are allowed to shout, such as “We love you, Donald!”

And there are certain things you are not allowed to shout, such as “Trump is a racist!”

The black man was kicked and punched. Trump looked down upon him with lofty disdain. “Get him the hell out of here!” Trump said. “Throw him out.” The man was led away.

Trump would protect us from such people as president.

But I don’t blame Trump.  He is what he is:   A bigot, a megalomaniac, a tyrant and the would-be fuehrer of the United States of America.

I blame the people who support him.  I blame the good Republicans who are too cowardly to call him out.  I blame the “religious” (irony) right wing.

The price we would pay would be tiny. We would give up a civil liberty here, a freedom there.

Certain people would be registered. Their houses of worship would be spied upon. Names would be taken down.

But as long as these people are not Christians, do you really care? Trump is betting you do not.

We didn’t care when blacks were turned into slaves then hung from trees. We didn’t care when Jews were thrown into ovens and mass graves.  We didn’t care when native-born Americans lost their homes, because  their grandparents came from Japan or when native Americans were sent to reservations.

We don’t care when unarmed black men are murdered by police.

And now we don’t care again.

“I want surveillance of these people,” Trump has said. “I want surveillance if we have to, and I don’t care. … I want surveillance of certain mosques, OK?”

Martin Niemoller, a Lutheran pastor who first supported and then opposed Adolf Hitler, was imprisoned in concentration camps,  but felt he never did enough to speak out against fascism, especially when Hitler still could have been stopped.

Today he might have written:

“First they came for the black people, and I did not speak out — because I was not black.

“Then they came for the Muslims, and I did not speak out — because I was not a Muslim.

“When they come for you and me, who will be left to speak out?”

“Too many people have suffered and too many people have died for us to continue to hear racist words coming from major political leaders,” Bernie Sanders says.

“Turning away orphans, applying a religious test, discriminating against Muslims, slamming the door on every Syrian refugee — that is just not who we are. We are better than that,” Hillary Clinton says.

And what of Trump’s opponents for the Republican nomination? Most grovel and fawn.

They really don’t care that Trump wants to register Muslims, just as long as he doesn’t want to register guns.

I don’t blame Trump.  He is what he is:   A bigot, a megalomaniac, a tyrant and the would-be fuehrer of the United States of America.

I blame the good people who are only too glad to see other people’s lives destroyed, so long as their own lives are safe — safe temporarily, until he comes for them.

All that is necessary for the triumph of evil is for good men to do nothing.

Rodger Malcolm Mitchell
Monetary Sovereignty

===================================================================================
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. 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 Click here
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)

The Ten Steps 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

Vertical gray bars mark recessions. Recessions come after the blue line drops below zero and when deficit growth declines.

As the federal deficit growth lines drop, we approach recessions, each of which has been cured only when the growth lines rose.

Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

Why a finance professor should not teach economics Saturday, Nov 28 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.
•Any monetarily NON-sovereign government — be it city, county, state or nation — that runs an ongoing trade deficit, eventually will run out of money.
•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.

•The single most important problem in economics is the Gap between rich and poor.
•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.
•Everything in economics devolves to motive, and the motive is the Gap between the rich and the rest..

============================================================================================================================================================================================================================================================

Noah Smith is an assistant professor of finance at Stony Brook University and a freelance writer for a number of finance and business publications.

Professor Smith wrote an article titled,  Japan’s Debt Trap Won’t Fix Itself in which he demonstrates his not understanding the differences between a Monetarily Sovereign government (Japan, the U.S., Canada et al) and a monetarily non-sovereign entity (Illinois, Chicago, businesses, people).

Perhaps because he teaches finance, he may think all finance is the same, so he seems to apply monetarily non-sovereign restrictions to Monetarily Sovereign governments.

Here are some examples:

With low unemployment and high labor force participation, Japan has essentially no idle resources. The scope for boosting the economy with fiscal stimulus or easy money is almost nil.

Its available resource is the yen. Japan, being Monetarily Sovereign, has the unlimited ability to create yen, with which it can buy unlimited resources.

The “scope for boosting the economy” via monetary stimulus is unlimited.

Japan continues to run an enormous budget deficit every year. Things are looking somewhat better for 2015. A hike in the consumption tax in 2014 has swelled revenues.

Here, Professor Smith demonstrates complete misunderstanding of national finances. He thinks “swelled revenues” (i.e. reduced revenues coming into the economy) in some unknown way, will benefit the economy.

No, Professor Smith, sending fewer yen into the Japanese economy, will not help grow the Japanese economy.

Government coffers have also been boosted by increased profits at Japanese companies — which is then subject to the country’s high corporate tax rate. As a result, the primary deficit is projected to be only about 3.3 percent in 2015.

A Monetarily Sovereign government, unlike a monetarily non-sovereign entity, has no “coffers.” It creates its own sovereign money ad hoc, by spending.

And that “high corporate tax rate” and low deficit is guaranteed to depress the economy.

In the long run, any deficit that stays higher than the rate of nominal GDP growth is unsustainable.

Why is it “unsustainable”? No one knows. Professor Smith doesn’t say. I only can surmise that he thinks the formula for GDP (GDP = Federal Spending + Non-federal Spending + Net Exports) is wrong.

Bank of Japan has not managed to increase core inflation to the 2 percent target despite Herculean efforts.

Even if interest rates stay at zero forever, borrowing 3.3 percent of GDP every year is just too much. And if interest rates rise, deficits would explode.

The government, of course, knows this, and has pledged to cut the primary deficit to 1 percent by 2018 and to zero by 2020.

Inflation follows this formula: Value = Demand/Supply.  Inflation is a reduction in Value.

The Bank of Japan’s “Herculean efforts” consist of cutting interest rates, which only reduce Demand.  But the reason inflation is too low (according to the BOJ) is that Supply is too low.

So what is the government’s “solution” to low Supply? Cut the deficit, which will cut Supply, further.  Is it any wonder Japan is in trouble?

The Ministry of Finance, full of sober-minded bureaucrats, projects that under more realistic growth assumptions, the primary deficit will shrink only to 2.2 percent. Even that improvement would require tax hikes, spending cuts or some combination of the two.

So the Japanese government will try to stimulate inflation by cutting the Supply of yen.  Hmmm . . . What next? Stimulate obesity by cutting the supply of food? Warm the house by turning down the heat?

A primary deficit of 2.2 percent would be at the very edge of long-term sustainability. If we assume a 1 percent real potential growth rate and 1.5 percent inflation, then a 2.2 percent deficit will be just barely under the maximum sustainable level of 2.5 percent.

If you understand his “sustainability” formula, please explain it to me. And while you’re at it, please explain why a deficit of 2.5% is the maximum sustainable level. Will the Japanese government run short of its own sovereign currency?

The article continues on and on, explaining the unexplainable: Why tax increases benefit the economy while deficits are “unsustainable.” It’s utter nonsense, of course, and unfortunately, a rather common nonsense.

Professor Smith can be forgiven his ignorance about economics. We all are ignorant about many things, and he probably should not be expected to understand Monetary Sovereignty if, as a finance professor, he teaches monetarily non-sovereign finance every day.

But the notion that leaders of major countries don’t understand Monetary Sovereignty is beyond belief, and in fact, I don’t believe it.

Increased deficit spending, especially on benefits for the middle and lower classes, narrows the Gap between the rich and the rest of us. The Gap is what makes them rich; without the Gap, no one would be rich, and the wider the Gap, the richer they are.

It is a fact of life, that the rich run every nation and always have. Because most of the rich want the Gap to widen, they pay the opinion leaders — the politicians, the university professors and the media — to teach the public that federal finances are like personal finances, where deficit spending causes debt and large debt is “unsustainable.”

Whether Finance Professor Smith really believes these things, or whether he has been paid to disseminate the “Big Lie,” is impossible to say.

But add him to the list of those spreading the rich .1%’s false narratives about federal financing.

If you wish to drop him a note to tell him so, his Email is: Noah.Smith@stonybrook.edu

Rodger Malcolm Mitchell
Monetary Sovereignty

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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. 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 Click here
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)

The Ten Steps 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

Vertical gray bars mark recessions. Recessions come after the blue line drops below zero and when deficit growth declines.

As the federal deficit growth lines drop, we approach recessions, each of which has been cured only when the growth lines rose.

Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.

#MONETARYSOVEREIGNTY

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