–Even the President of the United States doesn’t get it

The debt hawks are to economics as the creationists are to biology. Those, who do not understand Monetary Sovereignty, do not understand economics. If you understand the following, simple statement, you are ahead of most economists, politicians and media writers in America: Our government, being Monetarily Sovereign, has the unlimited ability to create the dollars to pay its bills.

Bloomberg, on line, By Hans Nichols and Roger Runningen – Apr 13, 2011

“We have to live within our means, reduce our deficit, and get back on a path that will allow us to pay down our debt,” Obama said in prepared remarks for a speech today at George Washington University.”

What are the “means” of a Monetarily Sovereign government? What data shows that a smaller deficit benefits America? What is the reason to pay down the debt?

When the President of the United States, a man surrounded by famous economists, displays such abysmal ignorance of economics, is there any hope for our future?

Rodger Malcolm Mitchell

No nation can tax itself into prosperity, nor grow without money growth. It’s been 40 years since the U.S. became Monetarily Sovereign, and neither Congress, nor the President, nor the Fed, nor the vast majority of economists and economics bloggers, nor the preponderance of the media, nor the most famous educational institutions, nor the Nobel committee, nor the International Monetary Fund have yet acquired even the slightest notion of what that means.

Remember the next time you’re tempted to ask a dopey teenager, “What were you thinking?” he’s liable to respond, “Pretty much what your generation was thinking when it screwed up the economy.”


3 thoughts on “–Even the President of the United States doesn’t get it

  1. I have been watching some of the videos of Bretton Woods 2011. Discussions of SIFIS and LCFIS; presented a whole new level of complexity to any discussion of Monetary Sovereignty and fiat currency in the wild world of international trade and multi-national industries and trade within subsidiaries of the same multi-national, multi-zillion dollar, or any other basket of currency one would like imagine. Regulation designed for Sovereign Nations seem to have little relevance in the globalized economy. Industries have been multi-national for decades, or maybe centuries of we recall that colonial powers were all about trade and trade routes, and slaves or cheap wage labour, which seems to be the same thing, maybe cheaper, if the labourers have to feed and house themselves on their low wages. The exchange rate and currency problems in a globalized world economy; the desire of industry to have no cost production and pure profit; and an elite who want a Centralized Currency for global trade; seems we need a new game!! the old one is rigged.


  2. Of course there is hope for our future, remember Dick Cheney who said “Reagan proved deficits don’t matter”? Draft Cheney 2012!


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