–One cynical solution to the widening GAP

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Mitchell’s laws:
●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 ultimately 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, and the motive is the gap.
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The “red” (right-wing) states’ strong desire for self-mutilation has been a puzzle. Consider this recent article:

In Georgia, Lawmakers Taking Pride in Policies That Hurt the Poor

Georgia has taken the lead in the mad dash to thwart the Affordable Care Act (ACA) and prevent poor people from accessing health care.

Last week, Governor Nathan Deal (R-GA) signed into law two bills that ensure the state won’t be expanding Medicaid any time soon, and that make it decidedly more difficult for people to gain coverage under the ACA.

Like many other states that refuse to participate in Medicaid expansion, Georgia isn’t faring so well by most socioeconomic indicators. The poverty rate, which now hovers around 20 percent, is 50 percent higher than it was in 2000. Nearly two million Georgians do not have health coverage, ranking the state fifth nationally in numbers of uninsured.

More women in Georgia die of pregnancy-related causes than women in all but two other states.

Polls show that 59.6 percent (of Georgians) disagree with the state’s refusal to participate in (Medicaid) expansion.

Add to that the fact that refusal to participate will cost the “red” states many billions of free federal dollars, and one must ask, “What the hell is going on?”

Why would people intentionally self-emasculate? The answer, in a word, is bigotry.

The Southern Strategy

(President) Nixon’s political strategist Kevin Phillips:

“From now on, the Republicans are never going to get more than 10 to 20 percent of the Negro vote and they don’t need any more than that…but Republicans would be shortsighted if they weakened enforcement of the Voting Rights Act.

“The more Negroes who register as Democrats in the South, the sooner the Negrophobe whites will quit the Democrats and become Republicans. That’s where the votes are.”

And there it is. The bigots are all too ready to cut their own noses, so long as they can spite black faces. Bigotry, not self-interest, rules the “red” states.

And therein lies a solution. Since these people are so easily manipulated by bigotry, let’s manipulate. For instance:

As we noted in The BIG LIE and the Highway Trust Fund, the politicians tell voters the BIG LIE that there isn’t enough federal money to build highways (“. . . the Obama administration warned 700,000 jobs tied to the fund and its uncertain future are at stake.”)

IF (big “IF”) the Democrats really want those highways built, and to give themselves yet another election talking point, this is what they should do:

Offer billions in federal road-building funds only to those states that create plans showing how a sizable amount of those funds will go to middle- and lower-income residents. And (this is the important part) call the program “Obamaroad.”

The conservatives will lie like Pinocchio, that this will increase the “debt,” and it’s “unsustainable” and will cause “hyper-inflation.”

But there will be a savings. The “red” states won’t participate, and won’t get any money. And their roads will deteriorate (aka “just desserts”).

Or, we could have “Obamaschool,” in which the federal government gives billions to those states that create plans for improved K-16 education of the middle and lower income groups.

How about “Obamahome” to states that create improved housing for lower income residents.

And then there could be “Obamasave”, in which the federal government gives billions to states that eliminate sales taxes and cut income taxes for lower income groups.

Oh, you get the idea. The right wing hates blacks, browns, aliens, gays, women . . . well, virtually everyone but WASP men. The Democrats should use this bigotry as a method for advancing a social agenda.

In brief, the plan is this:
1. Create a program that benefits blacks, browns and financially needy people.
2. Offer billions only to states that agree to create plans to implement the program.
3. Name the program “Obama-something.”

It may take a while, but eventually the “red” state voters will figure out that bigotry doesn’t pay.

Sure, it’s cynical.

So?

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
8. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)
9. Federal ownership of all banks (Click here)
10. Tax the very rich (.1%) more, with much higher, progressive tax rates on all forms of income. (Click here)

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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

As the federal deficit growth lines drop, we approach recession, which will be cured only when the lines rise. Federal deficit growth is absolutely, positively necessary for economic growth. Period.

#MONETARY SOVEREIGNTY