Twitter: @rodgermitchell; Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell
•Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
•Any monetarily NON-sovereign government — be it city, county, state or nation — that runs an ongoing trade deficit, eventually will run out of money.
•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.
•The single most important problem in economics is the Gap between rich and poor.
•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.
•Everything in economics devolves to motive, and the motive is the Gap between the rich and the rest..
[Organizers of a Republican event withdrew frontrunner Donald Trump’s invitation after he suggested that a presidential debate moderator was tough on him because she was menstruating.]
[Trump’s top political advisor Roger Stone left the campaign on Saturday]
Well, that didn’t take long, did it?
As soon as Trump was asked a couple of questions, he showed himself to be a misogynist boor, who when confronted with facts, will ramble, dart, duck, weave and then hurl stupid insults — in short, the schoolyard bully whose wealth has bought him a few sycophants and fellow bigots, but no intelligent believers.
And now the next fool emerges:
Asked if his flat tax plan would further separate the haves from the have-nots, GOP presidential hopeful Sen. Rand Paul (Ky.) said Sunday that income inequality is the result of some Americans working harder than others, rather than economic policies.
“The thing is, income inequality is due to some people working harder and selling more things,” Paul told host Chris Wallace on “Fox News Sunday.” “If people voluntarily buy more of your stuff, you’ll have more money.”
Where does one begin to describe the idiocy of that remark? First, consider the source:
Dr. Randal “Rand” Paul is the Kentucky ophthalmologist who was elected to the United States Senate from that state in 2010.
He was born in Pennsylvania and grew up in Texas, where his father, Dr. Ron Paul, was a politically active physician who served in the United States Congress and ran for the presidency three times.
Rand Paul earned his undergraduate degree from Baylor University in 1984, and his medical degree from the Duke University School of Medicine in 1988. He practiced ophthalmology in Bowling Green, Kentucky from 1993 until his election to the Senate.
Here is a guy who never sold an ounce of “stuff” in his life. The spoiled, privileged son of a doctor and Congressman, Rand was sent to the best schools, and earned his living, first as an ophthalmologist, then as a Senator.
And this kid, who was born with a silver spoon in his mouth, says that income inequality is due to some people working harder than others??
A coal miner works harder than Rand ever did in his life. A policeman, a fireman, a landscaper, a plumber, a carpenter, a factory worker — they all work harder and earn less than this son of a politician.
What gall he has.
But, of course, he just is repeating the mantra of the Party of the Rich, who describe their wealthy benefactors as “makers,” and poor people as “takers.”
And it gets even more stupid:
Paul has proposed what he calls a “flat and fair tax,” which would put a flat 14.5 percent tax on all types of income.
An analysis by the Tax Foundation found that under the plan, households earning more than $1 million per year would see their incomes rise by 13 percent. Households earning between $50,000 and $75,000 per year, meanwhile, would see their income rise only by 3 percent.
“Doesn’t your plan massively increase income inequality?” Wallace asked.
“It’s a fallacious notion to say, ‘Oh, rich people get more money back in a tax cut,'” Paul responded. “If you cut taxes 10 percent, 10 percent of a million is more than 10 percent of a thousand dollars. So, obviously, people who pay more in taxes will get more back.”
Er, uh . . . Rand, your plan doesn’t cut all taxes 10 percent. It raises taxes on the very poor, and cuts taxes for the rich massively.
You know that, don’t you? Sure, you do.
And since you’re so eager to cut taxes, and also are eager to run a balanced federal budget, you’ll have to cut federal spending. And where will those cuts be?
Not the military, since the military is sacred to the right wing.
So that leaves cuts to Social Security, Medicare, Medicaid, food and housing for the poor (you know, those people who don’t work as hard as you do, Rand).
Flat tax proposals, which are popular with the tea party crowd, have a way of popping up during Republican presidential primary seasons.
In addition to Paul, Sen. Ted Cruz (Tex.) has proposed moving to a flat tax rate and abolishing the IRS.
Back in 2012, the flat tax banner was carried by former Texas Gov. Rick Perry and Herman Cain, who drew national attention with his “9-9-9” flat tax plan.
You’re in good company, Rand. Ted Cruz, Rick Perry, Herman Cain and Rand Paul. What a group.
Gotta love Republican Whac-A-Fool. Will we have to wait for the next Republican debate for a new, right-wing fool to stand up?
Rodger Malcolm Mitchell
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. 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.
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 growth lines rise. Increasing federal deficit growth (aka “stimulus”) is necessary for long-term economic growth.