Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell
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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Right-wingers, the world over, have convinced the populace that austerity is necessary and prudent. Meanwhile, austerity causes economic misery everywhere it is tried.
The right-wing motive: To widen the income/wealth/power GAP between the upper .1% and the rest of us.
Elizabeth Warren is one of the very few American politicians who seems devoted to narrowing the GAP.
She continually battles the Republicans, and even members of her own party, regarding the need for federal spending. She repeatedly faces the question, “Who will pay for it”? It’s a question easily answered by anyone who understands Monetary Sovereignty.
I’m not sure, however, that she understands Monetary Sovereignty, so I urge all readers of this blog to go to: Email Elizabeth Warren, and send her an Email containing a message like this:
Dear Senator Warren;
You can accomplish exactly what you want to accomplish, but first you must get past the question, “Who will pay for it.”
The answer, very simply, is this: The U.S. federal government, being Monetarily Sovereign, has the unlimited ability to pay for anything.
If all federal taxes fell to $0 or rose to $999 billion, neither event would affect the federal government’s ability to pay any bills of any size — without borrowing.
If you’re going to fight the fight, don’t go in with one hand tied behind your back. Understand Monetary Sovereignty.
Here are two, short, clear explanations:
Monetary Sovereignty, the key to understanding economics (https://mythfighter.com/2010/08/13/monetarily-sovereign-the-key-to-understanding-economics/)
and
Lunch really can be free (https://mythfighter.com/2013/07/27/i-just-thought-you-should-know-lunch-really-can-be-free/)
Send it more than once — perhaps once a week — just to make sure the message is delivered.
All we need is one loud voice to tell America and the world that the BIG LIE is exactly that, a big lie, and that there is no good reason why benefits to the 99.9% are being cut.
Try it. It’s easy. It might help you, your children and your children’s children.
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 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
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:
1. Federal Deficits – Net Imports = Net Private Savings
2. Gross Domestic Product = Federal Spending + Private Investment and Consumption – Net Imports
THE RECESSION CLOCK
Vertical gray bars mark recessions.
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
#Monetary Sovereignty - Mitchell 
The same people who argue that a government cannot spend more than the taxes it receives, blame the high unemployment on technology, claiming that machines are doing the work that humans used to do.
Those people fail to understand that technological advancements are a huge deflationary force. Inflationary pressures that could result from higher Federal Government deficits would be offset by these advancements.
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Well, I tried and emailed her. I don’t expect a response.
It’s too bad “spending” has become identified with waste or loss or disappearance. You get it back as increased production, profits and lower unit costs. Mass production works. Where are the Ph.Ds and no bull laureates?
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You probably won’t hear from her, but that doesn’t matter. What matters is that she receive lots of Emails telling her to learn what Monetary Sovereignty means.
Quantity counts in this case.
Thanks for joining in.
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I sent an e-mail to Senator Warren. I doubt that she or any of her staff members will read it, but I know that they use simple computer applications to track the statistical incidence of key words like “student loans” or “Social Security.” As Rodger says, this is a numbers game.
Oh, and speaking of Social Security….
THE PRICE OF HATE
I will explain the title of this comment at midway point, and again at the end.
I have always said that the 1% and their servants don’t want to kill Social Security. They want to privatize it, so that 1% can get a direct and permanent flow of billions of dollars from the US government and US taxpayers.
Americans will receive $863 billion in Social Security benefits in FY 2014. With privatization, the US government will double or triple that $863 billion figure, while the private companies cut SS benefits in half. The difference between money collected from the US government and benefits paid to Americans will be called “administrative expenses,” and will go to the rich executives of the private companies, who will use it to gamble on Wall Street. The SSA’s own website says that, “By 2033, the number of older Americans will increase from 46.6 million today to over 77 million.”
Moreover, with privatized Social Security, the $11.5 billion that is now used to fund the Social Security Administration will instead go to the rich owners, as will billions in FICA tax revenue. (In 2004 the US government collected and destroyed $700 billion in FICA revenue.) Eighty percent (and growing) Americans pay more for FICA taxes than they do for federal income taxes.
Privatization is inevitable, for several reasons, most of them based on HATE…
[a] Average Americans smugly defend the Big Lie that the US government is “broke.”
[b] Average Americans prefer hatred to survival. Despite having “paid into” Social Security (another lie), they believe the lie that, “The SS trust fund is broke because lazy freeloaders took all our money.”
[c] Average Americans hate the poor more than they hate the rich. Instead of demanding the removal of the $113,700 cap on income subject to the FICA (which would make no difference, since FICA doesn’t pay for SS), average Americans prefer to hate “lazy Blacks and Mexicans” for “stealing all their Social Security.” Instead of demanding that the FICA tax be collected on unearned income (e.g. capital gains and stock dividends) average Americans prefer to blame their suffering on Jews, or Muslims, or gays, or “homophobes,” or…whatever.
[d] Average Americans live in denial, saying, “They could never get away with privatizing Social Security.”
[e] The US Supreme Court has ruled that corporations can exercise their “free speech rights” – that is, legally bribe politicians in the open, for all to see.
And now comes this…
The National Academy of Public Administration (NAPA) is a congressionally-funded organization that counsels politicians on how they can get away with privatizing various aspects of the US federal government.
The US Congress commissioned seven members of NAPA to do a “study” of Social Security to make sure that Social Security’s future is “secure.” The seven members include current and former employees of IBM, Cisco, and Grant Thornton International (a gigantic British accounting firm) plus career bureaucrats and the editor of Government Executive magazine.
Since these organizations would reap trillions in profits if Social Security were privatized, the panel issued a report that strongly recommends closing all Social Security field offices, and privatizing Social Security.
IBM and ACS already got the contract to privatize Indiana. These companies closed all the unemployment offices, the Food Stamp offices, and the Medicaid offices, reducing them to useless call centers staffed by minimum-waged slaves. IBM and ACS also “reformed” Child Protection caseworkers, such that they all lost their jobs, or became Temp Workers, doing the same jobs they did before, but with no benefits, or health insurance, or sick leave. And with privatization, Indian taxpayers now pay much more for these services. (Indiana is a right-wing “red” state.)
>>> This is the price that people pay for being right-wing hate-mongers. <<<
The NAPA report on Social Security is full of euphemisms. Instead of firing all workers, it recommends a “smaller workforce.” Instead of closing all field offices, it calls for “reduced physical infrastructure.” Instead of outsourcing, it calls for a “shared services model with external partners.” Instead of privatization, it calls for “A dispersed workforce that is no longer working in centralized, traditional offices.” And so on.
Since mid-2010 (which was also the beginning of global austerity mania), about 11,000 employees of Social Security have been fired, and 60 SS offices have been closed, plus 533 temporary mobile offices. The closing are arbitrary, and do not take into account such factors as whether public transportation exists to the next-closest office.
The NAPA report recommends firing the rest of the employees (except the most senior and highly paid SS officials) and closing the rest of the SS offices. All SS functions will be transferred to the Internet, allowing for human contact only “in very limited circumstances.” (The Social Security Administration served more than 43 million visitors at its field offices in fiscal year 2013.)
The online user portal for Social Security is already terrible, and will become much worse with privatization. Already it informs people signing up for online access that they are subject to eligibility verification by Experian. That’s the corrupt credit-rating firm that is currently the subject of a multi-state investigation, plus a lawsuit on behalf of the people of Mississippi. If you have any outstanding debts from cell phones, credit cards, student loans, and so on, Experian tells the government to deny you Social Security. (I myself will never get Social Security because of my student loan default.)
Students were enslaved via the student loan scam. The next victims will be the elderly, 90 percent of which depend on Social Security. We are all being forced to dig our own graves.
Soon the mass migration will be out of the USA, not into it, and the guards will be on the other side of the wall.
Once again, average Americans will pay the price for being right-wing hate-mongers.
More info here…
http://ourfuture.org/20140624/a-secret-plan-to-close-social-securitys-offices-and-outsource-its-work
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On a related note, the blog below has a good article on six things that should never be privatized: prisons, fire departments, running water, Social Security, Medicare, and utilities such as gas and electric.
http://www.salon.com/2014/05/29/6_things_that_should_never_be_privatized_partner/
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Speaking about generalizing. “Right-wingers”? You are a right-winger from where I sit.
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You are similar to criminals who suddenly when faced with their own demise find the lord and seek forgiveness. You were a republican; a right-winger; more than likely a Reaganite. Now suddenly you’ve had a revelation and are a champion of justice and the common man.
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Interesting observation. In 1980 I actually voted for Reagan, because I thought Carter had been an ineffectual president. But I very quickly developed doubts about Reagan. Nineteen months into his first term, Reagan fired nearly 13,000 air traffic controllers, and I fully realized the gravity of my error. I shifted left, and I kept shifting left, until now I consider myself to be a left-wing extremist.
So yes, 34 years ago I was incredibly stupid — but fortunately my illness was brief and temporary (unlike yours).
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Well, this beats some fool continually ranting about gold, socialists and communism. What do you expect though, chasfa is one of those “debt-free” money folks. Ideological obstinateness knows no political bounds, as you’ve repeatedly pointed out.
I do think you are kind of hard on the NEP folks though. I believe Randy Wray’s most recent post was reasonably sound and I do not feel he ‘s KRUGMANIAN in any sense. Semantics aside (“federal spending”), it seems to me most of the UMKC folks really do believe deficits only depend upon the prevailing circumstances (sectoral balance/imbalance), and that deficits themselves, are neither “good” nor “bad.”
I still voted for Carter shortly before the polls closed, even though the prognosticators had declared Reagan the winner as of 4PM, PST. A protest vote, I guess.
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