The human cost of following the rich: Cutting Social Security Sunday, May 29 2016 

If you are not rich, the rich do not care about you. Nor do they care about your children and grandchildren. Nor do they care about poverty and hardship. As a group (and yes, there are some exceptions), they care solely about relative status, i.e. the Gap between the rich and the rest.

Without the Gap, no one would be rich, and the wider the Gap, the richer they are.

These are the people who will follow the rich by voting to cut Social Security. Look closely. Are you in there?

monetary sovereignty

A vote for billionaire Donald Trump is a vote to cut Social Security:

Trump Supports Cutting Social Security From A ‘Moral Standpoint:’ Report
The presumptive GOP presidential nominee has been saying the opposite on the campaign trail.
05/28/2016; Daniel Marans, Reporter, Huffington Post

Donald Trump supposedly told House Speaker Paul Ryan (R-Wis.) he supports cutting Social Security but will not admit it publicly because it would hurt his election chances, according to a report in Bloomberg BusinessWeek.

(Trump) reportedly made the comments during a May 12 meeting with Ryan aimed at mending ties between the two top Republican leaders, Bloomberg reported.

“From a moral standpoint, I believe in it,” Trump said of cutting Social Security. “But you also have to get elected. And there’s no way a Republican is going to beat a Democrat when the Republican is saying, ‘We’re going to cut your Social Security’ and the Democrat is saying, ‘We’re going to keep it and give you more.’ ”

Translation: For the rich, “morality” is cutting benefits to the non-rich.

“Morality” also is lying to the non-rich about one’s intentions, because lying to the ignorant masses is no worse than lying to your dog. They don’t care. No matter what you say, they just follow you around, wagging their tails.

Ryan, who repeatedly criticized Trump before the mogul effectively secured the GOP nomination, has made proposing dramatic reductions in the popular social insurance programs a defining feature of his congressional career.

Trump policy advisor Sam Clovis had already appeared to reverse course on May 11, indicating that Trump would be willing to consider cuts as president.

Of course, what Trump reportedly said to Ryan is consistent with what he told Fox News host Sean Hannity back in 2011: “Things have to be done, but it has to be done with both parties together,” Trump said at the time. “You can’t have the Republicans get too far ahead of this issue.”

Translation: “Things have to be done,” means, “We have to cut benefits to the poor, the middle-classes and the elderly.”

“. . . get too far ahead . .. ” means “We need to sneak it through so we don’t get the blame.”

“It is really clear: Donald Trump would 100 percent go along with the Republican donor class position of cutting Social Security,” said Alex Lawson, executive director of Social Security Works, a group that promotes benefits expansion. “He openly says he will lie to the people about it because he knows that the people are against it.”

“In his eyes the ‘moral’ thing to do is to steal people’s hard-earned benefits and not talk about it,” Lawson added.

Prediction: When asked about this Trump will “Do The Trump”:

  1. Deny it (“That’s not what I said. Do you have a tape? I’ll look into it. That’s not my voice. That doesn’t sound like my voice.”)
  2. Change the subject (Hillary’s Emails will cost us more than any cuts to Social Security. My wall will reduce the number of people who illegally receive Social Security. There’s a lot of fraud in Social Security; we have to cut the fraud.”)
  3. Lie (I will not cut Social Security. I will expand Social Security. I love poor people. I employ many poor people. Some of my best friends are poor people. I never promised not to cut Social Security.)

    The Democratic party has adopted steadily more progressive positions on Social Security in recent years, arguing not only that the shortfall should be closed entirely through revenue increases — such as lifting the cap on earnings subject to Social Security taxes — but also that benefits should be expanded to address a growing retirement income deficit.

    Trump isn’t the only liar in Congress. Social Security benefits should be given to every man, woman and child in America, without “revenue increases.” In fact, FICA could be eliminated, entirely, and Social Security benefits still could be increased. (See Step #1 in the Ten Steps to Prosperity, below)

    Contrary to popular myth, and what you repeatedly have been told, FICA does not fund Social Security. Federal taxes do not fund federal spending. (State and local taxes fund state and local spending, but the federal government’s finances are different from state and local government finances.)

    The United States government cannot run short of its own sovereign currency. It is Monetarily Sovereign over the U.S. dollar. It creates dollars, ad hoc, by spending dollars.

    Both Democratic presidential front-runner Hillary Clinton and her rival Sen. Bernie Sanders (I-Vt.) support increasing benefits and have pledged that they will not cut the program.

    Bernie’s chief economics adviser is Stephanie Kelton, who understands Monetary Sovereignty, and is well aware that federal taxes do not support federal spending. She also is aware that the federal government never can run short of dollars.

    Presumably, she will advise Democrats on this, after the election, when it is safer to educate the masses.

    Meanwhile, those ignorant of economics, believe the politicians who tell them Social Security is going broke, and benefits must be cut, in order to “save” Social Security.

    Now go look in the mirror and ask yourself:

    1. Do I believe it will help “make America great again,” to cut Social Security benefits and to increase FICA collections?
    2. Do I believe it is in my own best interests to cut Social Security and to increase FICA collections?
    3. Do I believe the U.S. federal government is running short of dollars?
    4. Do I believe the politicians, economists and media writers, who tell me my benefits must be cut to save Social Security?
    5. Do I believe the Email I received from that Nigerian prince?

    If you answered “Yes,” to any of those questions, vote for Trump. If you’re going to be lied to and screwed, you might as well choose the best.

    Rodger Malcolm Mitchell
    Monetary Sovereignty

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    PLEASE HELP US GET THE WORD OUT
    LOOK FOR US ON GOFUNDME.COM: RODGER MALCOLM MITCHELL

    ===================================================================================
    Ten Steps to Prosperity:
    1. ELIMINATE FICA (Ten Reasons to Eliminate FICA )
    Although the article lists 10 reasons to eliminate FICA, there are two fundamental reasons:
    *FICA is the most regressive tax in American history, widening the Gap by punishing the low and middle-income groups, while leaving the rich untouched, and
    *The federal government, being Monetarily Sovereign, neither needs nor uses FICA to support Social Security and Medicare.
    2. FEDERALLY FUNDED MEDICARE — PARTS A, B & D, PLUS LONG TERM CARE — FOR EVERYONE (H.R. 676, Medicare for All )
    This article addresses the questions:
    *Does the economy benefit when the rich afford better health care than the rest of Americans?
    *Aside from improved health care, what are the other economic effects of “Medicare for everyone?”
    *How much would it cost taxpayers?
    *Who opposes it?”
    3. PROVIDE AN ECONOMIC BONUS TO EVERY MAN, WOMAN AND CHILD IN AMERICA, AND/OR EVERY STATE, A PER CAPITA ECONOMIC BONUS (The JG (Jobs Guarantee) vs the GI (Guaranteed Income) vs the EB) Or institute a reverse income tax.
    This article is the fifth in a series about direct financial assistance to Americans:

    Why Modern Monetary Theory’s Employer of Last Resort is a bad idea. Sunday, Jan 1 2012
    MMT’s Job Guarantee (JG) — “Another crazy, rightwing, Austrian nutjob?” Thursday, Jan 12 2012
    Why Modern Monetary Theory’s Jobs Guarantee is like the EU’s euro: A beloved solution to the wrong problem. Tuesday, May 29 2012
    “You can’t fire me. I’m on JG” Saturday, Jun 2 2012

    Economic growth should include the “bottom” 99.9%, not just the .1%, the only question being, how best to accomplish that. Modern Monetary Theory (MMT) favors giving everyone a job. Monetary Sovereignty (MS) favors giving everyone money. The five articles describe the pros and cons of each approach.
    4. FREE EDUCATION (INCLUDING POST-GRAD) FOR EVERYONEFive reasons why we should eliminate school loans
    Monetarily non-sovereign State and local governments, despite their limited finances, support grades K-12. That level of education may have been sufficient for a largely agrarian economy, but not for our currently more technical economy that demands greater numbers of highly educated workers.
    Because state and local funding is so limited, grades K-12 receive short shrift, especially those schools whose populations come from the lowest economic groups. And college is too costly for most families.
    An educated populace benefits a nation, and benefiting the nation is the purpose of the federal government, which has the unlimited ability to pay for K-16 and beyond.
    5. SALARY FOR ATTENDING SCHOOL
    Even were schooling to be completely free, many young people cannot attend, because they and their families cannot afford to support non-workers. In a foundering boat, everyone needs to bail, and no one can take time off for study.
    If a young person’s “job” is to learn and be productive, he/she should be paid to do that job, especially since that job is one of America’s most important.
    6. ELIMINATE CORPORATE TAXES
    Corporations themselves exist only as legalities. They don’t pay taxes or pay for anything else. They are dollar-tranferring machines. They transfer dollars from customers to employees, suppliers, shareholders and the government (the later having no use for those dollars).
    Any tax on corporations reduces the amount going to employees, suppliers and shareholders, which diminishes the economy. Ultimately, all corporate taxes come around and reappear as deductions from your personal income.
    7. INCREASE THE STANDARD INCOME TAX DEDUCTION, ANNUALLY. (Refer to this.)
    Federal taxes punish taxpayers and harm the economy. The federal government has no need for those punishing and harmful tax dollars. There are several ways to reduce taxes, and we should evaluate and choose the most progressive approaches.
    Cutting FICA and corporate taxes would be an good early step, as both dramatically affect the 99%. Annual increases in the standard income tax deduction, and a reverse income tax also would provide benefits from the bottom up. Both would narrow the Gap.
    8. TAX THE VERY RICH (THE “.1%) MORE, WITH HIGHER PROGRESSIVE TAX RATES ON ALL FORMS OF INCOME. (TROPHIC CASCADE)
    There was a time when I argued against increasing anyone’s federal taxes. After all, the federal government has no need for tax dollars, and all taxes reduce Gross Domestic Product, thereby negatively affecting the entire economy, including the 99.9%.
    But I have come to realize that narrowing the Gap requires trimming the top. It simply would not be possible to provide the 99.9% with enough benefits to narrow the Gap in any meaningful way. Bill Gates reportedly owns $70 billion. To get to that level, he must have been earning $10 billion a year. Pick any acceptable Gap (1000 to 1?), and the lowest paid American would have to receive $10 million a year. Unreasonable.
    9. FEDERAL OWNERSHIP OF ALL BANKS (Click The end of private banking and How should America decide “who-gets-money”?)
    Banks have created all the dollars that exist. Even dollars created at the direction of the federal government, actually come into being when banks increase the numbers in checking accounts. This gives the banks enormous financial power, and as we all know, power corrupts — especially when multiplied by a profit motive.
    Although the federal government also is powerful and corrupted, it does not suffer from a profit motive, the world’s most corrupting influence.
    10. INCREASE FEDERAL SPENDING ON THE MYRIAD INITIATIVES THAT BENEFIT AMERICA’S 99.9% (Federal agencies)Browse the agencies. See how many agencies benefit the lower- and middle-income/wealth/ power groups, by adding dollars to the economy and/or by actions more beneficial to the 99.9% than to the .1%.
    Save this reference as your primer to current economics. Sadly, much of the material is not being taught in American schools, which is all the more reason for you to use it.

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

    THE RECESSION CLOCK

    Recessions begin an average of 2 years after the blue line first dips below zero. A common phenomenon is for the line briefly to dip below zero, then rise above zero, before falling dramatically below zero. There was a brief dip below zero in 2015, followed by another dip – the familiar pre-recession pattern.
    Recessions are cured by a rising red line.

    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.

    ————————————————————————————————————————————————————————————————————————————————————————————————-

    Mitchell’s laws:
    •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..

    •No nation can tax itself into prosperity, nor grow without money growth.
    •Cutting federal deficits to grow the economy is like applying leeches to cure anemia.
    •A growing economy requires a growing supply of money (GDP = Federal Spending + Non-federal Spending + Net Exports)
    •Deficit spending grows the supply of money
    •The limit to federal deficit spending is an inflation that cannot be cured with interest rate control.
    •The limit to non-federal deficit spending is the ability to borrow.

    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 the rest..
    •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..

    MONETARY SOVEREIGNTY

–The creative guy who sold you the Planned Parenthood scandal myth Thursday, Sep 10 2015 

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

Mitchell’s laws:
•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..

===================================================================================================================================================================================================================================================================================

If you are outraged by Planned Parenthood, you should learn this:

James E. O’Keefe III is an American conservative activist.

O’Keefe has produced selectively edited, secretly recorded undercover audio and video encounters with public figures and workers in a variety of organizations, purportedly showing abusive or alleged illegal behavior by representatives of those organizations.

Due to his videos of ACORN workers allegedly aiding a couple in criminal planning, the US Congress voted to freeze funds for the non-profit.

The Association of Community Organizations for Reform Now (ACORN) was a collection of community-based organizations in the United States and internationally that advocated for low- and moderate-income families by working on neighborhood safety, voter registration, health care, affordable housing, and other social issues.

At its peak, ACORN had over 500,000 members and more than 1,200 neighborhood chapters in over 100 cities across the U.S.

ACORN suffered an extremely damaging nationwide controversy after two conservative activists secretly made and released videos of staged interactions with low-level ACORN personnel in several offices, portraying them as encouraging criminal behavior.

Some media publicized the videos without investigation. These videos were later found to have been partially falsified and selectively edited by the activists, James O’Keefe and Hannah Giles.

Four different independent investigations by various state and city Attorneys General and the GAO cleared ACORN, finding its employees had not engaged in the alleged criminal activities and that the organization had appropriately managed its federal funding.

Their reports described the videos as deceptively edited to present the workers in the worst possible light. The national scandal resulted in the non-profit also losing most private funding before investigations were completed.

In March 2010, ACORN (Association of Community Organizations for Reform Now) was close to bankruptcy and had to close most of its offices.

The California State Attorney General’s Office and the US Government Accountability Office found that O’Keefe had misrepresented the actions of ACORN workers.

The loss of funds had been too damaging and by March 2010, ACORN announced it was closing its remaining state chapters and disbanding.

Hmmm . . . Does this sound familiar?
–O’Keefe misrepresented.
–Funds taken away without investigation.
–A valuable organization closed.

O’Keefe seems to be a serial liar:

O’Keefe was arrested in New Orleans in January 2010 during an attempt to illegally make recordings at the office of United States Senator Mary Landrieu, a Democrat.

(He) initially was charged with malicious intent to damage the phone system, a felony. The charges were reduced from a felony to a single misdemeanor count of entering a federal building under false pretenses. O’Keefe pleaded guilty on May 26.

Sadly, and with the cooperation of the media and the gullibility of the populace, the O’Keefe nonsense continues:

This time, O’Keefe claims his latest sting operation found Hillary Clinton’s presidential campaign breaking the law, when in reality all that happened was the purchase of a t-shirt.

O’Keefe’s Project Veritas Action accused the Clinton campaign of allowing a Canadian tourist to launder money, in the form of allowing a t-shirt to be purchased.

In the video, representatives of the Clinton campaign point out to a woman from Montreal that that the campaign can’t take contributions from anyone who isn’t American.

An undercover activist from Project Veritas then makes the purchase on behalf of the Canadian.

As The Washington Post’s Dave Weigel points out: “There are just two catches. One: No one’s ever thrown the book at an American for purchasing merchandise from a campaign, then giving it to a foreigner as a gift.

Two: The person who takes the Canadian’s money and gives it to the Clinton campaign is the Project Veritas Action journalist.”

O’Keefe held a press conference September 1 to promote the video, where journalists reportedly asked him “Is this a joke?”

O’Keefe’s crew has reportedly already made multiple other attempts to sabotage the Clinton campaign.

Project Veritas last month released a video showing their operative undercover with the Clinton campaign, discussing the registration process and whether they can register people who don’t support Clinton.

A Clinton campaign staffer is then shown telling the Project Veritas operative that they will register anyone who asks, regardless of their presidential preference.

As Time reported, “Nothing in the video shows the Clinton campaign violating the law, or the campaign’s own policy.”

This approach to training volunteers is standard operating procedure across field campaigns, according to a Republican field staffer, who requested anonymity.”

Time reports that in addition to the t-shirt scheme, Project Veritas operatives approached the campaign and attempted to pass a cash donation to volunteers and interns while another told the campaign they wanted to illegally funnel donations through a third party.

These failure-laden sting attempts continue O’Keefe’s pattern of using deceptively-edited videos, childish costumes, and sometimes committing crimes, in a futile campaign to attack the left.

Even Fox News hosts have been embarrassed for O’Keefe, telling him to “give it a rest.”

O’Keefe, knowing the media is careless, the public is clueless and the right-wing is shameless, continues his “shoot-edit-release” efforts.

In recent years, conservative activists, under the guise of journalism, have been churning out undercover “sting” videos supposedly capturing reprehensible behavior by their mostly liberal targets.

Those targets have included low-level workers at ACORN, a fundraiser at National Public Radio, and now officials at Planned Parenthood, among others.

The activists release a series of videos in an effort to build a big takedown story, and the press usually plays along.

Meanwhile, activists coordinate with right-wing media players and members of Congress to generate simultaneous outrage over the clips.

The problem for the activists, and the problem for journalists who excitedly treat the clips as news, is that the videos invariably turn out to be doctored, filled with deceptive edits, and missing context in an effort to manufacture scandal.

The whole cycle has become a media cliché, but it’s one that conservative partisans cheer.

And they’re cheering again this month as the “Center for Medical Progress” releases edited clips to claim Planned Parenthood officials have been caught discussing how the organization “sells the body parts of aborted fetuses” and “haggling” over prices for “baby parts.”

Both incendiary videos have been proven to omit crucial context undermining their central claims.

If you hate Planned Parenthood, and are happy to see the right wing shut down the government unless funding for Planned Parenthood is eliminated, perhaps you should know at least a little about what this organization actually does.

Planned Parenthood Federation of America (PPFA) or often just Planned Parenthood is the largest U.S. provider of reproductive health services, with 97% of its clinical interactions focused on breast and cervical cancer screening, HIV screening and counseling, contraception, and 3% on abortion.

Services provided at locations include contraceptives; long-acting reversible contraception; emergency contraception; screening for breast, cervical and testicular cancers; pregnancy testing and pregnancy options counseling; testing and treatment for sexually transmitted diseases; comprehensive sexuality education, menopause treatments; vasectomies and tubal ligations.

They serve over five million clients a year, 26% of which are teenagers under the age of 19. According to PPFA, 75% of their clients have incomes at or below 150 percent of the federal poverty level.

The fact that Planned Parenthood serves the poor makes them a target for the Republicans, whose allegiance is to the rich.

While the abortions are legal, and comprise only a minuscule part of what PP does, the right wing wishes to “throw out the baby with the bathwater” by closing PP. For example:

Louisiana Governor Bobby Jindal has attempted to sever the contract with Planned Parenthood in his state (where no abortions are provided), at a time when there is an epidemic of syphilis in New Orleans, and where Louisiana ranks first among the states in cases of gonorrhea, second in chlamydia, and third in syphilis and H.I.V., according to the Centers for Disease Control and Prevention.

As Republican Jindal is well aware, the rich can afford prevention and treatment for these diseases.

Planned Parenthood clinics in Louisiana last year administered approximately 20,000 tests for these infections, and provided gynecological examinations, contraceptives, screening for cancer, and other services for nearly 10,000 mostly low-income patients, and there is insufficient access to medical care for the people who now can’t be seen at Planned Parenthood clinics.

Without Planned Parenthood, these tests, screenings, contraceptives and other services would not be affordable for the poor.

Aside from repeated attempts to entrap PP employees via selectively edited videos, the “pro-life” right wing has engaged in horrendous, anti-life activities:

In the US, abortion providers have often been threatened with death, and facilities which provide abortions are frequently attacked or vandalized.

Planned Parenthood clinics have been the target of many instances of violence by anti-abortion activists, including bombing, arson, and attacks with chemical weaponry.

In the self-proclaimed, “religious,” right wing world, violence, bombings, shootings, arson and chemical attacks are considered “pro-life.”

And now we await the shutdown of the government by those who wish to shut down women’s health, all in the same “pro-life” name.

If you don’t see the irony in that, you aren’t as creative as James E. O’Keefe III, video editor, convicted criminal and the guy who sold you the Planned Parenthood myth.

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
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
Monetary Sovereignty

Recessions come after the blue line drops below zero.

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.

#MONETARYSOVEREIGNTY

–Which stinking liars are stealing your children’s Social Security and Medicare? Sunday, Aug 2 2015 

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

Mitchell’s laws:
•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..

===================================================================================================================================================================================================================================================================================

Virtually all politicians are liars, as are some journalists and economists — but the scummiest low-life liars of all are the people who tell you Social Security and Medicare are running short of money and the “solution” is to cut benefits and/or increase taxes.

These people should be skinned alive, boiled and salted, after which painful things should be done to them.

They are paid by, and do the bidding of, the rich and powerful, to hurt the weak and powerless.

“Rich” is a comparative term. The Gap between the rich and the rest, is what makes the rich rich. Without the Gap, no one would be rich, and the wider the Gap, the richer they are.

So, it is a prime goal of the rich to widen the Gap by impoverishing the rest of us. And virtually all politicians, some writers, and some economists are only too happy to oblige the rich.

Who’s Ready for a 10% Cut to Their Social Security Benefits?
By Sean Williams, August 2, 2015

The Social Security program is designed to replace about 40% of a workers’ income.

In reality, though, nearly half of all unmarried elderly beneficiaries get 90% of more of their income from Social Security. The thought of tinkering with benefits is equally worrisome for baby boomers nearing or just entering retirement. Many were clobbered by the Great Recession, and a good chunk could be entering retirement with an inadequate amount of savings.

The Social Security program, however, isn’t in great shape. The Old-Age, Survivors and Disability Insurance Trust, or collectively the OASDI, is slated to burn through its remaining cash reserves by 2033.

If Congress can’t come to a long-term solution that involves raising additional revenue and/or cutting expenses, benefits for eligible beneficiaries will be cut by 23%.

If Social Security were a privately run program or a local government-run program, the above paragraph could be true. The program could “burn through cash reserves,” and the solution would be to”raise additional revenue or cut expenses and benefits.

But Social Security is a federally-run program, and unlike you and me and local governments, the federal government never can run short of dollars.

The author of the article, Sean Williams, is telling a great, big, fat lie, when he says, “If Congress can’t come to a long-term solution that involves raising additional revenue and/or cutting expenses, benefits for eligible beneficiaries will be cut by 23%.

Not that Congress won’t continue cutting benefits, as it already has been. But the point is, Congress doesn’t need to cut benefits.

In fact, even if FICA, the tax that supposedly funds Social Security, were cut to $0, Social Security could continue paying benefits forever — even increase benefits forever.

According to Republican presidential candidate Chris Christie, we need to make some pretty radical reforms to the entitlement program.

Christie’s recommendation to fix Social Security, like many before it, focuses on the coming generations to receive Social Security benefits and not on current retirees.

Thus, if you’re already receiving benefits, you can breathe a bit easier.

Yes, you can breathe easier, if you don’t give a damn about your children and grandchildren. Just sit back, and watch the politicians cut their benefits and increase their taxes.

Christie would like to see the full retirement age moved from age 67 to 69. He also wants to enact a raise to the minimum age at which retirees can claim benefits from age 62 to age 64.

It’s called the “work-until-you-drop (if you even can find a job at that age)” plan.

Christie’s proposal may coerce pre-retirees and Generation X to work longer, which makes sense given that we’re living longer than ever.

Sure it makes sense to the Party of the Rich. You are not rich, therefore you are a lazy good-for-nothing, who needs to be coerced to work and work and work. Heaven forbid you might enjoy a longer retirement.

In the eyes of the rich, only rich people are not lazy, so they deserve the enjoyment of a longer retirement. Not you.

Instead, you middle-class people, having been granted longer lives, are told you should be delighted to search for jobs and to labor those extra years. Strangely, most not-rich people believe it.

But Christie’s proposal also has adverse effects. It turns out that raising the retirement age could be very bad news for the nation’s poorest citizens who rely on Social Security income in their golden years.

But really, who cares about them, so long as the rich (courtesy of the right wing Supreme Court) legally are able to bribe politicians like Christie, to lie about Social Security?

As The Washington Post reports, lifetime Social Security benefits can often reflect a person’s socioeconomic status. The poorest Americans often lack access to adequate nutrition and healthcare, while the richest Americans have ample access to medical care and can make healthier food choices.

So, cutting Social Security benefits and Medicare benefits, while raising taxes, are exactly what the wealthiest nation on earth should be doing to your children and grandchildren. Right?

According to The Washington Post, which conducted an informal study last year that allowed online respondents to select which of 12 methods they’d support to fix Social Security (respondents could select all that appealed to them), boosting the earnings cap on the payroll tax proved to be by far the most popular fix.

The 12 options are:

Cut benefits across the board today (100%)
Raise the full retirement age (20%)
Freeze the purchasing power of benefits (95%)
Freeze benefits on a sliding scale (55%)
Change the cost-of-living adjustment (20%)
Do nothing (but cut benefits when the Trust Fund reserves are gone) (100%)
Increase the payroll tax on everyone today (100%)
Raise the earnings cap (30%)
Use the estate tax to tax health benefits (35%)
Transfer start-up costs to general revenues (100%)
Raise the return on assets by investing in the stock market (20%)
Do nothing (but raise taxes when the Trust Fund reserves are gone) (100%)

Could a survey be any phonier?

It provides 12 so-called “options,” all of which boil down to “cut benefits and/or increase taxes,” while leaving out the one true option: The federal government should pay for Social Security and Medicare. Period.

Here is what Sean Williams and all the politicians who want to cut benefits and increase taxes don’t tell you: FEDERAL TAXES DO NOT FUND FEDERAL SPENDING FICA doesn’t fund Social Security and Medicare.

President Roosevelt, who originated Social Security knew FICA was not necessary. He created FICA only to prevent politicians from eliminating the program, not to pay for the program.
fre are running out of money?

Why?

The answer: The rich don’t want the White House the Supreme Court and Congress to run out of money, but the rich do want Social Security to run out of money.

By pressing down on middle classes and the poor people’s income, the rich widen the Gap. They make themselves richer by comparison.

Whenever you hear any politician — Christie, Bush, Obama, Boehner et al — or read any article, saying that the Social Security “Trust Fund” is running short of dollars, know this: The speaker or writer is a stinking liar, who has been paid by the rich to take money from your children and grandchildren.

And pay no attention to phony claims that certain increases in FICA also will take money from the rich. The rich aren’t affected by a few dollars taken from salaries.

Many of the rich don’t even earn a salary (Have you ever wondered why FICA only is applied to salaries and not to capital gains?), A few dollars means nothing to the rich — though it can mean quite a lot to the poor and the middle.

Who is stealing your children’s Social Security and Medicare? The scummy, low-life politicians, journalists and economists — and you, if you believe their stinking lies.

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
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
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.

#MONETARYSOVEREIGNTY

–The cost of ignorance goes up, again: Social Security version Thursday, Jul 23 2015 

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

Mitchell’s laws:
•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..

===================================================================================================================================================================================================================================================================================

You regular readers of this blog know that ignorance of economics created the disaster now known as the euro. You know the euro nations voluntarily surrendered the single most valuable asset any nation can have: Its Monetary Sovereignty.

Because of their economics ignorance, the whole of the eurozone either is, or soon will be, suffering from austerity, i.e the loss of income, jobs, health care, education, housing — in short, the loss of a decent lifestyle that government is supposed to help provide.

Greece may be the most extreme example currently, but not the only and not the last.

We may shake our heads at the ignorance of people who would allow their government to surrender its most valuable asset, but we needn’t feel too superior. Despite the fact that the U.S. federal government retains its Monetary Sovereignty, and therefore cannot run short of dollars, we allow it to act as though it were monetarily NON-sovereig

We allow the government to husband its dollars like some penurious miser, straight out of Dickens.

Social Security disability fund to run dry next year.

The 11 million Americans who receive Social Security disability face steep benefit cuts next year, the government said Wednesday, handing lawmakers a fiscal and political crisis in the middle of a presidential campaign.

The trustees who oversee Social Security and Medicare said the disability trust fund will run out of money in late 2016. That would trigger an automatic 19 percent cut in benefits, unless Congress acts.

The average monthly benefit for disabled workers and their families is $1,017.

Think of it. A disabled person, too ill to work, receives a pittance: $1,017, to support his/her family. But that is too much for the politicians.

The typical beneficiary would see a reduction of $193 a month.

“Today’s report shows that we must seek meaningful, in some instances even urgent, changes to ensure the program is on stable ground for future generations,” said Jo Ann Jenkins, chief executive officer of AARP.

AARP, which supposedly helps seniors and other Social Security beneficiaries, spreads the Big Lie, that taxes fund federal spending.

It’s a lie, because even were FICA to be eliminated, the federal government could continue funding Social Security benefits, forever.

Just as the U.S. federal government never can run short of its own sovereign currency, the dollar, agencies of the federal government never can run short of dollars, unless Congress wills it.

In more bad news for beneficiaries, the trustees project there will be no cost-of-living increase in benefits at the end of the year. It would mark only the third year without an increase since automatic adjustments were adopted in 1975.

Separately, about 7 million Medicare beneficiaries could face a monthly premium increase of at least $54 for outpatient coverage. That works out to an increase of more than 50 percent — for outpatient coverege.

Day by day, month by month, the middle- and lower-income groups are squeezed, just as in Greece, and for no good reason.

The annual report card on the financial health of Social Security and Medicare shows that the federal government’s largest benefit programs are feeling the strain of aging baby boomers as they both approach milestone anniversaries.

“The strain” is another way of saying that more people are growing older, and they need the kind of help a 1st rate government is supposed to provide. Why else would we have a government?

There was some good news in the report: The trustees said Social Security’s retirement fund has enough money to pay full benefits until 2035, a year later than they predicted last year. At that point, Social Security will collect enough in payroll taxes to pay about 75 percent of benefits.

Medicare’s giant hospital trust fund is projected to be exhausted in 2030, the same date as last year’s report. At that point, Medicare taxes would be enough to pay 86 percent of benefits.

The Big Lie continues — the pretense that like you and me (who are not Monetarily Sovereign), the government can run short of dollars to pay its bills. It cannot.

Advocates for seniors say that gives policymakers plenty of time to address both programs without cutting benefits. But some in Congress note that the longer lawmakers wait, the harder it gets to address the shortfall without making significant changes.

Nonsense. It’s not hard at all. Simply acknowledge the federal government’s ability to support Social Security at any desired level, and while making that admission, get rid of the worst tax in U.S. history: FICA.

There is an easy fix available for the disability program: Congress could shift tax revenue from Social Security’s much larger retirement fund, as it has done in the past.

President Barack Obama supports the move. And acting Social Security Commissioner Carolyn Colvin said shifting the tax revenue “would have no adverse effect on the solvency of the overall Social Security program.”

There would be no adverse effect, simply because the U.S. government has the unlimited ability to support Social Security.

But why will Congress not admit this simple truth? Here’s the clue:

Republicans say they want changes in the disability program to reduce fraud and to encourage disabled workers to re-enter the workforce.

In January, Sen. Rand Paul, R-Ky., suggested that a lot of slackers are on disability. Paul, who is running for president, joked that half the people getting benefits are either anxious or their back hurts.

And there you have it. The Republican party of the rich, spreads the cruel lie that disabled people are fraudulent fakers and slackers, who need to be “encouraged” to re-enter the workforce.

Note the simpering laughter of Republican Rand Paul, slandering those unfortunate, disabled people. As if life weren’t difficult enought for them, a liar like Paul has to heep on the scorn. This is the kind of cruelty to the afflicted one has come to expect from Republicans. 

Here is Doctor Rand Paul, who grew up in luxury. He received his medical degree from the renowned Duke University School of Medicine. His father also was a doctor, a U.S. Congressman, who ran for President three times. This is the privileged Rand Paul who sneers at the poor, the aged and the disabled, from his lofty perch on high.

If the retirement and disability funds were combined, they would have enough money to pay full benefits until 2034, the trustees said.

Or, the federal government simply could pay the benefits.

The Medicare premium increases would affect Part B, which provides coverage for outpatient services.

For about 70 percent of beneficiaries, premium increases cannot exceed the dollar amount of their Social Security cost-of-living adjustment, or COLA. Because no COLA is currently expected for next year, increased costs of outpatient coverage would have to be spread among the remaining 30 percent.

Translation: The Monetarily Sovereign federal government is running out of money, but the disabled and the poor have plenty of money. So cut federal spending while forcing the people who can afford it least, to pay more.

Why does the government get away with it? Because the electorate is ignorant of economics reality. The people have been brainwashed into believing the federal government can run short of dollars, and/or that any increases in federal spending will cause a Zimbabwe-esque hyperinflation (another part of the Big Lie.)

Just as the Greek people suffer for their economics ignorance, so to do we Americans suffer for ours.
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
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
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.

#MONETARYSOVEREIGNTY

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