Mitchell’s laws:
●The more budgets are cut and taxes increased, the weaker an economy becomes.

●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.
●Austerity = poverty and leads to civil disorder.
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.


In the previous post, I compared Mitt Romney to Casper the Ghost, a creature with no substance.

I mentioned the ghostly positions Romney has taken, or not taken, as like an undefined fog. He repeatedly has switched beliefs on minimum wage, stem cell research, health care mandates, citizenship for immigrants, pro-choice for women, the Bush tax reductions, gun control, global warming and same-sex marriage.

I felt that any person wishing to be President of the United States, perhaps becoming the most powerful man on earth, should at least offer solid and consistent plans for the country — and Romney seems to have no plans, solid or consistent.

Well, perhaps I was unfair. This is “Mitt Romney’s Plan for a Stronger Middle Class,” taken directly from his web site, together with my comments in [brackets].

Energy Independence
• Increase access to domestic energy resources [Drill and mine in ecologically sensitive areas?]
• Streamline permitting for exploration and development [Less oversight of drilling and mining?]
• Eliminate regulations destroying the coal industry [More pollution? Less oversight of mining safety?]
• Approve the Keystone XL pipeline [Reckless and controversial. See: Keystone XL pipeline may threaten aquifer that irrigates much of the central U.S.]

The Skills To Succeed
• Give every family access to a great school and quality teachers [Specifically, how?]
• Provide access to affordable and effective higher education options [Specifically, how?]
• Focus job training programs on building valuable skills that align with opportunities [Specifically, how?]
• Attract and retain the best and the brightest from around the world [Specifically, how?]

Trade That Works For America
• Curtail the unfair trade practices of countries like China [A trade war with China?]
• Open new markets for American goods and services [Specifically, how?]
• Build stronger economic ties in Latin America [Specifically, how? ]
• Create a Reagan Economic Zone to strengthen free enterprise around the world [Specifically, how?]

Cut The Deficit
• Immediately reduce non-security discretionary spending by five percent [How? Cut Social Security? Cut Medicare? Medicaid? Infrastructure repairs? Aid to education? Poverty aid? Food & Drug regulation? Bank regulation?]
• Cap federal spending below twenty percent of the economy [This is called “austerity,” a program that already has destroyed Europe. Cutting the deficit always causes a recession or a depression.]
• Give states responsibility for programs that they can implement more effectively [“Responsibility” is a code word for cutting federal aid to the already cash-strapped states, requiring increased local taxes.]
• Consolidate agencies and align compensation of federal workers with their private-sector counterparts [Cutting federal employment and salaries will increase U.S. unemployment and increase competition for private jobs, while reducing the U.S. savings rate.]

Champion Small Business
• Reduce taxes on job creation through individual and corporate tax reform [If tax “reform” means cutting business taxes, I’m for it. But since he wants to cut the deficit, business tax cuts may require personal tax increases.]
• Stop the increases in regulation that are tangling job creators in red tape [How will reducing business regulation benefit consumers? Specifically, which businesses are over-regulated?]
• Protect workers and businesses from strong-arm labor union tactics [Note to white, middle class workers with no college education: Labor unions are your protection against unfair employers.]
• Replace Obamacare with real health care reform that controls cost and improves care [Obamacare is Romney care, and specifically what is the reform you didn’t do in Massachusetts?]

Most of “Mitt Romney’s Plan for a Stronger Middle Class” is just generalized, pie-in-the-sky posturing. That’s the good part. The rest is truly dangerous.

Reducing the federal deficit absolutely, positively will return us to recession if we are lucky, and a depression if we are not. Europe has taught us all we need to know about austerity.

Reducing federal oversight of food manufacturers, drug manufacturers, banks and other financial institutions, our land and water and the myriad other businesses with potential to harm us, is foolish. Which agencies would he like to eliminate?

So perhaps it was unfair to compare Mitt Romney with a ghost. While most of his plans are misty, foggy and nebulous, those few with substance are economy killers.

And there are people who believe this man will be an improvement?? Yikes!

Rodger Malcolm Mitchell
Monetary Sovereignty

No nation can tax itself into prosperity, nor grow without money growth. Monetary Sovereignty: Cutting federal deficits to grow the economy is like applying leeches to cure anemia. Two key equations in economics:
Federal Deficits – Net Imports = Net Private Savings
Gross Domestic Product = Federal Spending + Private Investment and Consumption + Net exports