GOP, here is an aid for your Trump defense

Dear GOP;

I can’t imagine how difficult it must be to keep track of Donald Trump’s various defenses for his many misdeeds.

You have used multiple excuses in the past. And yes, I know you have created multiple excuses for Trump’s latest picadillo.

But, to help you keep track of all the dozens of exuses you have used to defend a compulsive liar, I have provided you with a concise list of excuses just for the FBI investigation.

Feel free to choose any one or use them all together, and see which one works.

This list applies only to the FBI’s investigation at Mar-a-Lago. Do not use it for other misdeeds like his insurrection, his lack of COVID response, his “stolen election” lies, his cheating on all three wives, his tax cheating, Trump U., Trump Foundation, his attempt to blackmail the president of Ukraine, his fake bone spurs, his crowd sizes, etc., etc., etc.

If you need a list of special excuses to defend any of those, please let me know. I’ll create a whole new set for you.

The Withheld Files Crime

    1. I didn’t do it
    2. It’s no big deal; they aren’t classified documents.
    3. It’s the left-wing media hoax
    4. It’s a Democrat hoax (or witch hunt.)
    5. I didn’t know the boxes were there
    6. Obama did the same thing
    7. The FBI planted those documents
    8. I didn’t know they were classified
    9. I declassified them
    10. I had a standing order to declassify them
    11. Pence (or Meadows, or Stone, etc.) was supposed to declassify them
    12. I took them home to work on them (Try not to laugh when using this one.)
    13. I meant to return them when I left office.
    14. I didn’t know I was supposed to return them (despite 18 months of requests by the National Archive).
    15. I thought those top-secret atomic files already were declassified
    16. On the advice of my lawyers
    17. The GSA mistakenly packed the boxes and moved them to Mar-a-Lago
    18. I offered to give the files back but they didn’t want them.
    19. What about Russiagate?
    20. What about Benghazi?
    21. What about Hillary’s Emails?
    22. What about Hunter?
    23. The FBI wasn’t really looking for those records; it was just a fishing expedition.
    24. The FBI agents went rogue.
    25. The judge was biased against Trump.
    26. Biden sent them.
    27. Garland didn’t know anything about it.
    28. Garland hates Trump
    29. Someone else threw those papers into my toilet.
    30. [TO BE CONTINUED IF YOU CAN THINK OF SOME BETTER ONES]

To aid the GOP in its downward helix of criminality, please send me any additional excuses they can use for the inexcusable.

Rodger Malcolm Mitchell
Monetary Sovereignty

Twitter: @rodgermitchell Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

……………………………………………………………………..

THE SOLE PURPOSE OF GOVERNMENT IS TO IMPROVE AND PROTECT THE LIVES OF THE PEOPLE.

The most important problems in economics involve:

  1. Monetary Sovereignty describes money creation and destruction.
  2. Gap Psychology describes the common desire to distance oneself from those “below” in any socio-economic ranking, and to come nearer those “above.” The socio-economic distance is referred to as “The Gap.”

Wide Gaps negatively affect poverty, health and longevity, education, housing, law and crime, war, leadership, ownership, bigotry, supply and demand, taxation, GDP, international relations, scientific advancement, the environment, human motivation and well-being, and virtually every other issue in economics. Implementation of Monetary Sovereignty and The Ten Steps To Prosperity can grow the economy and narrow the Gaps: Ten Steps To Prosperity:

  1. Eliminate FICA
  2. Federally funded Medicare — parts A, B & D, plus long-term care — for everyone
  3. Social Security for all
  4. Free education (including post-grad) for everyone
  5. Salary for attending school
  6. Eliminate federal taxes on business
  7. Increase the standard income tax deduction, annually. 
  8. Tax the very rich (the “.1%”) more, with higher progressive tax rates on all forms of income.
  9. Federal ownership of all banks
  10. Increase federal spending on the myriad initiatives that benefit America’s 99.9% 

The Ten Steps will grow the economy and narrow the income/wealth/power Gap between the rich and the rest.

MONETARY SOVEREIGNTY

The letter Donald Trump may have composed just for me

Here is the text of a letter Donald Trump may have composed just for me.

Dear Rodger,

Many people tell me I love America more than anyone ever has loved America in history, and that is why my billions of patriotic followers believe everything I tell them.

You know we all love America because you’ve seen me hug the flag and you see my followers wave flags.

 

Thank you, God': Trump revels in reign as absolute king of CPAC | Donald  Trump | The Guardian

Cassidy Hutchinson, ignored by all the Trump men at their peril

 

 

 

 

 

 

 

Here’s more proof of my love for America: My followers put flags in their tweets like this:

                                                           StickerTalk USA Flag Vinyl Sticker, 5 inches by 3 inchesStickerTalk USA Flag Vinyl Sticker, 5 inches by 3 inchesStickerTalk USA Flag Vinyl Sticker, 5 inches by 3 inchesStickerTalk USA Flag Vinyl Sticker, 5 inches by 3 inchesStickerTalk USA Flag Vinyl Sticker, 5 inches by 3 inches

They even carried flags into Congress when they tried to overturn the stolen election so there could be a peaceful transfer of power to me. That’s true patriotism, and it’s more than those snowflakes would do.

Here is what one of my writers told me to say about America.

MY ODE TO AMERICA

Hey, if I didn’t love America and all it stands for, I would have created a “Family Separation Policy” to rip immigrant children from their parents permanently and essentially to make them orphans. Some Never-Trumpers say that’s cruel, but I wish someone had taken my kids from me, especially DJTJ, and that other one, Brandon, or something. 

If I didn’t love America, I would have said that a soldier who gives his life for his country is a sucker, and I would have insulted a family whose child died in a war. And, for sure, I would have dodged the draft by concocting a phony story about heel spurs, which were very painful, but due to my superior health, miraculously healed.

And speaking of health, if I didn’t love America I would have told my New York doctor to write that I was in the best health of any American President in history. Make that any American in history.

If I didn’t love America and all it stands for, I would have tried to take health care from the poor by eliminating Obamacare. (Instead, I cut taxes on the rich, who don’t receive enough gratitude from the fake news.)

I would have teargassed protesters to take my picture in front of a church I never would enter, just to show people how religious I am. (So what if I held the bible upside down?)

And if I ever said anything stupid, which I never did, ever, I would have claimed I was joking or being sarcastic. You can say anything that way.

I would have lied about COVID and delayed our response, which would have contributed to the deaths of hundreds of thousands of Americans. (Unfortunately, they mostly were my followers, whom I definitely did not tell not to wear masks.)

I would be supported by nutty white supremacists like the Proud Boys. I would be a huge supporter of Vladimir Putin and Kim Jong Un.

If I didn’t love America and all it stands for, I would have cheated on all three of my wives, while denouncing the marriages of gays. 

If I didn’t love America and all it stands for, I would have said, “The concept of global warming was created by and for the Chinese in order to make U.S. manufacturing non-competitive.”

I would have claimed the election was stolen. I would have planned and urged a coup, and sent my naive followers to take over Congress, violently, but I never did, despite what all those RINOs testified.

I would have cheated on my taxes by, for instance, setting up a fake charitable foundation or by rigging the values of my properties.

I would have tried to strongarm state officials into changing votes illegally, so I still could be President.

I would have mimicked and made fun of a man who has a disability.

I would have claimed my inauguration crowd was the biggest ever (which it was).

I would immediately have taken action to stop the perfectly legal armed protests in the halls of Congress, and I would have done nothing to protect Vice President Pence (who is a coward.) I even would have said he deserved to be hung.

I would have lied, endlessly, and if questioned under oath, I would have taken the 5th Amendment, which I said only criminals do. 

If I didn’t love America more than anyone ever has loved anything, I would have claimed Mexico will pay for a wall.

I repeatedly would claim to be the greatest at everything, when in fact, I am the most humble President in history (and the greatest, too.)

Since I didn’t do any of those things, that proves my love for me America. 

Please send me your money so I can fight against everyone I’ve told you to hate.

Sincerely, your leader for life, but only if you send me money or buy my incredibly priced MAGA hats that were not made in China, despite what the label says.

Donald J. Trump

P.S. Send me money. It’s the most patriotic thing to do, and I’ll love you as much as I love America and the Proud Boys..

And there it is, exactly how the Donald may have written it.

Rodger Malcolm Mitchell
Monetary Sovereignty

Twitter: @rodgermitchell Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

……………………………………………………………………..

THE SOLE PURPOSE OF GOVERNMENT IS TO IMPROVE AND PROTECT THE LIVES OF THE PEOPLE.

The most important problems in economics involve:

  1. Monetary Sovereignty describes money creation and destruction.
  2. Gap Psychology describes the common desire to distance oneself from those “below” in any socio-economic ranking, and to come nearer those “above.” The socio-economic distance is referred to as “The Gap.”

Wide Gaps negatively affect poverty, health and longevity, education, housing, law and crime, war, leadership, ownership, bigotry, supply and demand, taxation, GDP, international relations, scientific advancement, the environment, human motivation and well-being, and virtually every other issue in economics. Implementation of Monetary Sovereignty and The Ten Steps To Prosperity can grow the economy and narrow the Gaps: Ten Steps To Prosperity:

  1. Eliminate FICA
  2. Federally funded Medicare — parts A, B & D, plus long-term care — for everyone
  3. Social Security for all
  4. Free education (including post-grad) for everyone
  5. Salary for attending school
  6. Eliminate federal taxes on business
  7. Increase the standard income tax deduction, annually. 
  8. Tax the very rich (the “.1%”) more, with higher progressive tax rates on all forms of income.
  9. Federal ownership of all banks
  10. Increase federal spending on the myriad initiatives that benefit America’s 99.9% 

The Ten Steps will grow the economy and narrow the income/wealth/power Gap between the rich and the rest.

MONETARY SOVEREIGNTY

What if China dumps its U.S. Treasuries?

BACKGROUND

The number erroneously referred to as Federal “debt” is the total of outstanding Treasuries. When you buy a Treasury (T-bill, T-bond, T-note), you add to the so-called “debt.”

I say “so-called” because Treasuries are not debts of the United States, nor are they debts of taxpayers.

Treasuries are deposits into Treasury Security accounts.

They resemble bank safe deposit boxes in that the depositor, not the bank or U.S. government, owns the deposits, and the bank never touches them.

Similarly, the federal government neither uses nor even touches the dollars that are in Treasury accounts.

The federal government does not use tax dollars to pay off a T-bill, T-note, or T-bond. The dollars do not help fund federal spending. Nor are they owed by future taxpayers.

Upon maturity, the federal government returns the dollars in a T-account as though these dollars were in a safe-deposit box.

Thus the so-called federal “debt” cannot be too high, nor can it be “unsuitable” (another favorite word of debt worriers) any more than a safe deposit box’s contents can be too high or unsustainable.

The federal government pays its bills out of the General Fund, similar to a checking account, and by law, this fund cannot be negative.

As a bookkeeping device, the federal government sells enough T-securities to offset whatever would be a negative General Fund total.

This accounting trick has no practical significance because the Federal Reserve, now Monetarily Sovereign, has the unlimited ability to increase the dollar balance in the General Fund.

Quote from former Fed Chairman Ben Bernanke when he was on 60 Minutes:
Scott Pelley: Is that tax money that the Fed is spending?
Ben Bernanke: It’s not tax money… We simply use the computer to mark up the size of the account.

Statement from the St. Louis Fed:
“As the sole manufacturer of dollars, whose debt is denominated in dollars, the U.S. government can never become insolvent, i.e., unable to pay its bills. In this sense, the government is not dependent on credit markets to remain operational.”

Treasury securities are not a form of borrowing; they are not owed by the government or taxpayers and do not help the government pay its bills. So what is their purpose:

  1. They provide the world with a safe, convenient, interest-paying place to store unused dollars. This helps stabilize the value of the dollar.
  2. Because the Fed arbitrarily determines the interest at which deposits will accumulate funds, these accounts help the Fed control overall interest rates.

Among those who don’t understand Treasuries (T-bills, T-bonds, T-notes), a persistent refrain is, “What if China dumps or stops buying Treasuries?” What would the federal government do?

That is like asking a bank, what if your big, safe-deposit-box customer started taking money out of his box? The answers are:

  1. Nothing, or
  2. If the government needed to add dollars to the total “debt,” the Monetarily Sovereign Federal Reserve would buy T-securities — as many as it wished, whenever it wanted.

Alan Greenspan: “A government cannot become insolvent with respect to obligations in its own currency.”

The U.S. is not unique in its unlimited ability to create dollars. The European Union has the unlimited ability to create euros:

Press Conference: Mario Draghi, President of the ECB
Question: I am wondering: can the ECB ever run out of money?
Mario Draghi: Technically, no. We cannot run out of money.

All of the above brings us to these excerpts from an article that appeared online:

Memo to China: You Look Silly When You Threaten to Dump Treasuries, 

Americans often quote the saying of President Theodore Roosevelt, “Speak softly but carry a big stick.” In other words, it is important to make only realistic threats. 

(In that vein), threatening to dump US Treasuries is silly.

China is the second-largest foreign holder of US treasuries, only after Japan. China’s holdings of US treasury securities dropped to $980.8 billion in May, falling below $1 trillion for the first time in 12 years, according to data released by the US Department of the Treasury.

The further deterioration of China-US relations will likely have a direct impact on China’s risk appetite for holding US treasuries, and reducing holding of US treasuries could become a precautionary option.

This was the only large scale ultimatum the Global Times story presented and it’s bizarre to see that one mentioned. China and Japan have both been reducing their holdings of US Treasuries in recent years, with no adverse impact to the US government funding or the dollar.

Recent US Treasury reports show China’s holdings at $981 billion, down from a peak of $1,316 in November 2013. That current $981 billion represents only 3.2% of total US government debt.

….the real reason China cannot sell off its holdings of U.S. government bonds is because Chinese purchases were not made to accommodate U.S. needs.

Rather, China made these purchases to accommodate a domestic demand deficiency in China: Chinese capital exports are simply the flip side of the country’s current account surplus, and without the former, they could not hold down the currency enough to permit the latter.

To see why any Chinese threat to retaliate against U.S. trade intervention would actually undermine China’s own position in the trade negotiations, consider all the ways in which Beijing can reduce its purchases of U.S. government bonds…

China can buy other U.S. assets, other developed-country assets, other developing-country assets, or domestic assets. No other option is possible.

The first two ways would change nothing for either China or the United States. The second two ways would change nothing for China but would cause the U.S. trade deficit to decline, either in ways that would reduce U.S. unemployment or in ways that would reduce U.S. debt.

Finally, the fifth way would also cause the U.S. trade deficit to decline in ways that would likely either reduce U.S. unemployment or reduce U.S. debt; but this would come at the expense of causing the Chinese trade surplus to decline in ways that would either increase Chinese unemployment or increase Chinese debt.

By purchasing fewer U.S. government bonds, in other words, Beijing would leave the United States either unchanged or better off, while doing so would also leave China either unchanged or worse off.

China remains an export-depended economy (even though it is currently trying to shift its economic model).

Therefore, it needs to run a current account (or trade) surplus. If it does not, China will face either

more unemployment, for reduced exports mean that the Chinese exporters are forced to lay off workers,

or more debt, as Beijing will encourage large fiscal transfers to the households (social security, unemployment benefits, food stamps, etc.) or the creation of new businesses to mitigate the consequences of unemployment.

All this requires more money and, consequently, more debt.

This is why China purchases US Treasuries: to run trade surpluses and avoid higher debt/unemployment — not, as many think, to “help” American consumers so that they can purchase more Chinese imports.

China might make geopolitical waves by buying Japanese government debt. The yen is trading at very low levels and the Japanese central bank has had to buy over half the debt outstanding.

This is one of the steps the Federal Reserve could take and often has taken. The Japanese Central Bank is Monetarily Sovereign like the Fed and the EU.

Even if China wanted to buy Japanese debt to support Japan (as in make a point about the US failure to do much about its long-standing post financial crisis distress), it’s not clear the market is liquid enough for China to procure all that much. 

In other words, this idea of punishing the US by dumping Treasuries may be appealing to a domestic audience, which has long been unhappy about the magnitude of China’s dollar foreign exchange reserves.

But no one knowledgeable in the US will lose sleep over it.

SUMMARY

The so-called federal “debt” is not a debt. lt is the total of deposits into Treasury Security accounts, which are similar to bank safe-deposit boxes. 

Neither the federal government nor future taxpayers owe the “debt.” To pay it off, which is done daily, the Treasury simply returns the contents of these accounts to the account owners.

These accounts serve two purposes: To provide a safe, interest-paying repository for unused dollars (which stabilizes the dollar) and to help the Fed control interest rates.

Thus, there is no danger inherent in a “too-large debt.” Even if China stopped buying T-securities, the U.S. government and U.S. taxpayers would be just fine.

 

Rodger Malcolm Mitchell
Monetary Sovereignty

Twitter: @rodgermitchell Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

……………………………………………………………………..

THE SOLE PURPOSE OF GOVERNMENT IS TO IMPROVE AND PROTECT THE LIVES OF THE PEOPLE.

The most important problems in economics involve:

  1. Monetary Sovereignty describes money creation and destruction.
  2. Gap Psychology describes the common desire to distance oneself from those “below” in any socioeconomic ranking and to come nearer those “above.” The socio-economic distance is referred to as “The Gap.”

Wide Gaps negatively affect poverty, health and longevity, education, housing, law and crime, war, leadership, ownership, bigotry, supply and demand, taxation, GDP, international relations, scientific advancement, the environment, human motivation and well-being, and virtually every other issue in economics. Implementation of Monetary Sovereignty and The Ten Steps To Prosperity can grow the economy and narrow the Gaps: Ten Steps To Prosperity:

  1. Eliminate FICA
  2. Federally funded Medicare — parts A, B & D, plus long-term care — for everyone
  3. Social Security for all
  4. Free education (including post-grad) for everyone
  5. Salary for attending school
  6. Eliminate federal taxes on business
  7. Increase the standard income tax deduction, annually. 
  8. Tax the very rich (the “.1%”) more, with higher progressive tax rates on all forms of income.
  9. Federal ownership of all banks
  10. Increase federal spending on the myriad initiatives that benefit America’s 99.9% 

The Ten Steps will grow the economy and narrow the income/wealth/power Gap between the rich and the rest.

MONETARY SOVEREIGNTY

The good bad news about the Inflation Reduction Act

Now that Senator Sinema has signed on, the Inflation Reduction Act will pass by the scant majority of 51 to 50, including the Vice President’s vote.

Sinema had opposed closing the so-called carried interest tax loophole. Carried interest is treated as a long-term capital gain. Because it’s taxed at a lower rate than ordinary income, private equity, venture capital, and hedge fund operators benefit.

Presumably, she is in bed with those people.

Giving these over-paid number pushers an extra benefit is an anathema to anyone who wants the Gap between the rich and the rest narrowed. So, on that basis, the loophole should be closed.

But it is a federal tax, and federal tax dollars do not fund anything — they are destroyed upon receipt. So whatever reduces federal taxes (i.e., leaves more money in the private sector) benefits the economy.

The dollars you use to pay federal taxes are part of the M2 money supply measure. When those dollars reach the U.S. Treasury, they cease to be part of any money supply measure. Those dollars are destroyed.

When the government spends, it creates new dollars, ad hoc.

Because the Monetarily Sovereign Treasury has the infinite ability to create dollars, there is no answer to the question, “How much money does the Treasury have?” Thus, no measure includes Treasury dollars.

So, there is good and bad in that loophole, but on balance, including the loophole is good because it benefits the entire private sector.

If the Committee for a Responsible Federal Budget’s numbers are correct, and federal deficits are reduced by $305 billion, that would be recessionary.

 

Reducing deficit growth causes recessions (vertical gray bars) which are cured by increased deficit growth.

Even worse than deficit growth reduction is debt reduction. That leads to depressions:

1804-1812: U. S. Federal Debt reduced 48%. Depression began 1807.
1817-1821: U. S. Federal Debt reduced 29%. Depression began 1819.
1823-1836: U. S. Federal Debt reduced 99%. Depression began 1837.
1852-1857: U. S. Federal Debt reduced 59%. Depression began 1857.
1867-1873: U. S. Federal Debt reduced 27%. Depression began 1873.
1880-1893: U. S. Federal Debt reduced 57%. Depression began 1893.
1920-1930: U. S. Federal Debt reduced 36%. Depression began 1929.
1997-2001: U. S. Federal Debt reduced 15%. A recession began 2001.

The CRFB predicts the federal debt would be reduced by nearly $2 trillion. 

This means the federal government will take $2 trillion from the private sector (aka “the economy”) and destroy those dollars.

The most popular measure of an economy is Gross Domestic Product (GDP). It measures the total spending by the federal government  everyone else in America, plus the net dollars flowing in from across our borders.

Mathematically, for GDP to grow, the private sector must have more dollars. A growing economy requires a growing supply of dollars; when the dollar supply shrinks, GDP shrinks. Simple arithmetic.

When GDP shrinks for two or more months, we call that a “recession,” and if the recession is exceptionally severe, we call it a “depression.”

[Depressions are often defined as recessions lasting longer than three years or resulting in a drop in annual GDP of at least 10 percent.]

The CRFB predicts a depression, though you wouldn’t know it from the tone of their article.

The Congressional Budget Office (CBO) just released its score of the Inflation Reduction Act (IRA) of 2022, legislation which would use Fiscal Year (FY) 2022 reconciliation instructions to raise revenue; lower prescription drug costs; fund new energy, climate, and health care provisions; and reduce the budget deficits.

Mixed bag:

  1. Raising revenue is bad. That means “take more dollars from the private sector.” The federal government neither needs nor uses the dollars, while the private sector does both, need and use.
  2. Lowering prescription drug costs would be good if it meant the government was going to pay. Unfortunately, it means the pharmaceutical companies will pay. Dollars will be shifted around in the private sector, and fewer will be available for research and development.
  3. Fund new energy is good if “new energy” will mean “renewable” and “non-polluting.”
  4. The climate and healthcare provisions seem good, depending on how they are implemented. One good thing, the Affordable Care Act will be strengthened financially.
  5. “Reduce the budget deficits” is bad, bad, bad.

Unfortunately, getting the bill through the reconciliation process was legally and politically necessary. But reducing deficits does not reduce inflation. 

Inflation is caused by shortages of crucial goods and services, most often oil and food. The only part of the Act that comes even close to reducing inflation is the “fund new energy” part, and again, we’ll have to see how that is implemented.

To call the bill the “Inflation Reduction Act” is both humorous and cynical, but that’s government.

Based on the CBO score, the legislation would reduce deficits by $305 billion through 2031 – including over $100 billion of net scoreable savings and another $200 billion of gross revenue from stronger tax compliance.

Again, that’s $305 billion taken from Gross Domestic Product at a time when the economy is in a recession and needs more, not fewer dollars.

Because the prescription drug savings would be larger than new spending, CBO finds the legislation would modestly reduce net spending by almost $15 billion through 2031, including by nearly $40 billion in 2031.

It’s unclear what the above paragraph is saying, but either $15 billion or $40 billion will be taken from pharmaceutical companies, a loss for the economy.

Once fully phased in, the plan would also slightly cut net taxes by about $2 billion per year – with expanded energy and climate tax credits roughly matching the size of new tax increases.

Cutting taxes benefits the private sector.

The legislation would generate nearly $300 billion of net revenue over a decade.

Translation: The legislation would generate nearly $300 billion of net loss for the economy over a decade.

Unlike prior versions of this reconciliation bill, such as the House-passed Build Back Better Act, this legislation would reduce deficits. Along with other elements of the bill, it is likely to reduce inflationary pressures and thus reduce the risk of a possible recession.

The above paragraph is wrong. Reducing deficits does not reduce inflationary pressures, and it absolutely does not reduce the risk of a possible recession.

Federal deficits (blue) do not correspond with inflation (red).

SUMMARY Inflation, i.e., a general price increase, is caused by shortages, not federal deficit spending.

Federal deficit spending can cure inflation when the spending helps cure the shortages. Example: Deficit spending to fund more oil/gas production.

Deficit reductions mathematically lead to GDP reductions by taking dollars from the private sector.

The Inflation Reduction Act will do many things, some good and some bad, but it will not reduce inflation.

——-//——-

[No rational person would take dollars from the economy and give them to a federal government that has the infinite ability to create dollars.]

Rodger Malcolm Mitchell
Monetary Sovereignty

Twitter: @rodgermitchell Search #monetarysovereignty
Facebook: Rodger Malcolm Mitchell

……………………………………………………………………..

THE SOLE PURPOSE OF GOVERNMENT IS TO IMPROVE AND PROTECT THE LIVES OF THE PEOPLE.

The most important problems in economics involve:

  1. Monetary Sovereignty describes money creation and destruction.
  2. Gap Psychology describes the common desire to distance oneself from those “below” in any socio-economic ranking, and to come nearer those “above.” The socio-economic distance is referred to as “The Gap.”

Wide Gaps negatively affect poverty, health and longevity, education, housing, law and crime, war, leadership, ownership, bigotry, supply and demand, taxation, GDP, international relations, scientific advancement, the environment, human motivation and well-being, and virtually every other issue in economics. Implementation of Monetary Sovereignty and The Ten Steps To Prosperity can grow the economy and narrow the Gaps: Ten Steps To Prosperity:

  1. Eliminate FICA
  2. Federally funded Medicare — parts A, B & D, plus long-term care — for everyone
  3. Social Security for all
  4. Free education (including post-grad) for everyone
  5. Salary for attending school
  6. Eliminate federal taxes on business
  7. Increase the standard income tax deduction, annually. 
  8. Tax the very rich (the “.1%”) more, with higher progressive tax rates on all forms of income.
  9. Federal ownership of all banks
  10. Increase federal spending on the myriad initiatives that benefit America’s 99.9% 

The Ten Steps will grow the economy and narrow the income/wealth/power Gap between the rich and the rest.

MONETARY SOVEREIGNTY