●The more federal budgets are cut and taxes increased, the weaker an economy becomes.
●Austerity is the government’s method for widening the gap between rich and poor, which leads to civil disorder.
●Until the 99% understand the need for federal deficits, the upper 1% will rule.
●To survive long term, a monetarily non-sovereign government must have a positive balance of payments.
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The penalty for ignorance is slavery.
●Everything in economics devolves to motive.
Up is now down; black is now white; big is now small.
Stimulus 2008: Mr. Obama called on Congress and the Bush administration to pass an economic stimulus package.
He said it was an “urgent priority” to extend unemployment insurance benefits for workers who could not find jobs in the bleak economy. He also said he would give aid to states, create new jobs and move forward with his tax-cut plans for middle-class families.
So, in 2008, “stimulus” and “create new jobs” required more federal deficit spending.
Stimulus 2009: The $787 billion economic stimulus package was approved by Congress in February, 2009. The package was designed to quickly jumpstart economic growth, and save between 900,000-2.3 million jobs. The package allocated funds as follows:
$288 billion in tax cuts.
$224 billion in extended unemployment benefits, education and health care.
$275 billion for job creation using federal contracts, grants and loans.
In 2009, “stimulus” still required more federal deficit spending.
Stimulus 2010: Most of the growth present in the US economy is coming from the money injected into our capitalist system by the Government. This is why so many people are asking if we will get another stimulus check in 2010? So here’s what we know so far: There will be a $250 stimulus check for Social Security (SS)
Yes, in 2010, “stimulus” still required more federal deficit spending.
Stimulus 2011: President Obama unveiled a stimulus plan Thursday night that he says will boost hiring and provide a jolt to the stalled economy if it becomes law.
A mix of $253 billion in tax cuts and $194 billion in new spending, the total bill for the plan is $447 billion.
Consistently in 2011, “stimulus” still required more federal deficit spending
Stimulus 2012: Putting pressure on Congress to approve parts of his latest economic stimulus plan, President Obama urged Americans Saturday to push lawmakers to approve his multibillion-dollar “to-do list” for creating jobs.
“Each of the ideas on this list will help create jobs and build a stronger economy right now,” Mr. Obama said. The president’s list includes an expanded program to help homeowners refinance their mortgages, a proposal to give small businesses tax breaks for hiring more workers, a program that would help veterans find jobs, and an extension of tax credits for clean-energy companies.
All told, the proposals on the president’s list could cost up to $34.7 billion:
In 2012, “stimulus” still required more federal deficit spending.
But wait! Up is now down; black is now white; big is now small:
Stimulus 2013: President Obama unveiled a 10-year budget blueprint Wednesday that calls for nearly $300 billion in new spending on jobs, public works and expanded pre-school education and nearly $800 billion in new taxes, including an extra 94 cents a pack on cigarettes.
But the president’s spending plan would also cut more than $1 trillion from programs across the federal government — for the first time targeting Social Security benefits.
“Our economy is poised for progress, as long as Washington doesn’t get in the way,” Obama said. He said his budget represents “a fiscally responsible blueprint for middle-class jobs and growth.”
The plan reduces the deficit and makes necessary investments “because we can do both,” he said. “We can grow our economy, and shrink our deficits.” He added: “The numbers work. There’s not a lot of smoke and mirrors in here.”
I have a question: How many millions of Americans now wrongly believe we grow the economy by taking money out of the economy, when in the previous five years, they correctly believed growth required adding money into the economy?
And by the way, exactly how do we “grow our economy, and shrink our deficits” at the same time? Smoke and mirrors?
Rodger Malcolm Mitchell
Nine Steps to Prosperity:
1. Eliminate FICA (Click here)
2. Medicare — parts A, B & D — for everyone
3. Send every American citizen an annual check for $5,000 or give every state $5,000 per capita (Click here)
4. Long-term nursing care for everyone
5. Free education (including post-grad) for everyone
6. Salary for attending school (Click here)
7. Eliminate corporate taxes
8. Increase the standard income tax deduction annually
9. Increase federal spending on the myriad initiatives that benefit America’s 99%
No nation can tax itself into prosperity, nor grow without money growth. Monetary Sovereignty: Cutting federal deficits to grow the economy is like applying leeches to cure anemia. Two key equations in economics:
Federal Deficits – Net Imports = Net Private Savings
Gross Domestic Product = Federal Spending + Private Investment and Consumption – Net Imports