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Mitchell’s laws:
●Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
●The more federal budgets are cut and taxes increased, the weaker an economy becomes. .
Liberals think the purpose of government is to protect the poor and powerless from the rich and powerful. Conservatives think the purpose of government is to protect the rich and powerful from the poor and powerless.
●Austerity is the government’s method for widening
the gap between rich and poor.
●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.
●Everything in economics devolves to motive,
and the motive is the Gap.

The February, 2015 edition of Scientific American Magazine, contained an article by Michael E. Webber, titled, “Energy, Water and Food Must Be Solved Together. Our future rides on our ability to integrate Energy, Water, Food.”

I suggest you read it.

Some excerpts:

In July 2012 three of India’s regional electric grids failed, triggering the largest blackout on earth. More than 620 million people—9 percent of the world’s population—were left powerless.

The cause: the strain of food production from a lack of water. Because of major drought, farmers plugged in more and more electric pumps to draw water from deeper and deeper belowground for irrigation.

Those pumps, working furiously under the hot sun, increased the demand on power plants. At the same time, low water levels meant hydroelectric dams were generating less electricity than normal.

Making matters worse, runoff from those irrigated farms during floods earlier in the year left piles of silt right behind the dams, reducing the water capacity in the dam reservoirs. Suddenly, a population larger than all of Europe and twice as large as that of the U.S. was plunged into darkness.

The essence of the article is that energy, water and food not only are our three most critical resources, but the three are intimately related.

A shortage of one can create a shortage of the others.

With infinite energy, we have all the water we need, because we can desalt the oceans, dig very deep wells and move water across continents.

With infinite water, we have all the energy we need, because we can build widespread hydroelectric plants or irrigate unlimited energy crops.

With infinite energy and water, we can make the deserts bloom and build highly productive indoor farms that produce food year-round.

We do not live in a world with infinite resources. We live in a world of constraints.

The article goes on to explain that:

The most obvious measure is to reduce waste. In the U.S., 25 percent or more of our food goes in the dump. Because we pour so much energy and water into producing food, reducing the proportion of waste can spare several resources at once.

The article speaks of: Eating less meat, turning discarded food into natural gas, recycling waste water, “vertical” farms, “smart” electronics that use less power.

It speaks of desalination of brackish ground water, using the methane from fracking to power the cleaning of water, “smart” electric and water grids that waste less, “smart” food packaging that give a more accurate reading of spoilage, and on and on and on.

Personal responsibility plays a role, too. Demand for fresh salads that land on our winter plates from 5,000 miles away, creates a far-flung, energy-hungry food distribution system.

Our personal choices for more of everything just push our resources to the edge.

The energy-water-food nexus is the most vexing problem to face our planet.

If we add “global warming” to that trio, we have four major problems for which there are plenty of solutions, even with current technologies. But:

There is no shortage of water. The oceans are filled with it. There is a shortage of desalination and pipelines.

There is no shortage of food. We have millions of acres that could be cultivated, either with the addition of water or with the construction of vertical or horizontal greenhouses.

There is no shortage of energy. Above us, the sun sends down vast amounts of direct solar energy, and creates wind, wave and hydroelectric power. Below us, a huge store of geothermal energy lies waiting to be used. Plus we can create enormous amounts of nuclear energy.

There is no shortage of brainpower or labor. The world has available the potential brains and backs of billions.

So what is the problem? The problem is the perceived shortage of money.

Given sufficient money, we already have the know-how to desalinate, purify and pipe enough clean water for every use — for drinking, for farming, for hydroelectric dams.

Given sufficient money, we already have the know-how to water the deserts, build the greenhouses and ship the food to those who need it.

Given sufficient money, we already have the know-how to create enough solar farms, wind farms, tidal energy and safe nuclear energy to last forever.

Given sufficient money, we already have the know-how to eliminate the increases in CO2 and methane, the two “greenhouse gases” most responsible for global warming.

Given sufficient money, we can fund the research that will improve further, our abilities to accomplish the above.

And finally, given sufficient money, we can educate and pay our seven-billion-and-climbing world population to do the work that is called for.

It all depends on “given sufficient money,” and money is the one resource we have, not only in sufficient measure, but in infinite measure. Yet, ironically, we limit this unlimited resource by our own ignorance.

How few people understand Monetary Sovereignty? How few people understand that a Monetarily Sovereign government creates money simply by pressing computer keys?

How few people understand that a Monetarily Sovereign government not only has the infinite ability to create its sovereign currency, but the equal ability to set the value of that currency (which governments actually do all the time)?

How many people ignorantly believe that a preventable or curable inflation is worse than doing without water, doing without food and doing without energy?

We have all the assets we need: Adequate technology and the ability to improve it; adequate brainpower and the ability to use it; adequate manpower and the ability to educate it; adequate water and adequate land and a nearly infinite source of power raining down on us for the next few million years.

And here we sit, with the unlimited ability to fund these assets, yet we let our ignorant fears prevent us from saving ourselves.

Ignorance. I suspect that is what killed the Neandertals. Will it kill us?

Rodger Malcolm Mitchell
Monetary Sovereignty

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. (Refer to this.)
8. Tax the very rich (.1%) more, with higher, progressive tax rates on all forms of income. (Click here)
9. Federal ownership of all banks (Click here and here)

10. Increase federal spending on the myriad initiatives that benefit America’s 99% (Click here)

The Ten Steps will add dollars to the economy, stimulate the economy, and narrow the income/wealth/power Gap between the rich and the rest.

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.
1. A growing economy requires a growing supply of dollars (GDP=Federal Spending + Non-federal Spending + Net Exports)
2. All deficit spending grows the supply of dollars
3. The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
4. The limit to non-federal deficit spending is the ability to borrow.

Monetary Sovereignty

Monetary Sovereignty

Vertical gray bars mark recessions.

As the federal deficit growth lines drop, we approach recession, which will be cured only when the growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.