Given the choice between Paying the poor vs. Starving the poor . . .

Background: The government is paying unemployed people only $300 per week, and (surprise, surprise) some people are reluctant to go back to work at jobs that will cost them money.

People gather to show their support for the 2020 Basic Income March at the Utah State Capitol, Sept. 19, 2020, in Salt Lake City.

The purpose of the payments is to prevent families from falling into poverty, which would also help cause the entire economy to slide into poverty.

The payments themselves, though not enough in of themselves to prevent poverty, do benefit every American, rich or poor, by increasing GDP, narrowing the Gap between rich and poor, and preventing a more serious recession.

So what’s a government now to do about those unemployed people who won’t go back to work? It has several choices.

  1. The government can do nothing different, and let the unemployment payments end at the allotted times. This is the “we’re afraid to do anything controversial, so we’ll do nothing” approach of timid politicians.
  2. The government can stop all payments now. This is the “starve ’em ’til they beg for work” approach that businesses and primarily the GOP want.
  3. The government can set a minimum pay requirement that is high enough to make returning to work financially advantageous. This is the “let businesses pay more because the government is going broke” approach.
  4. The government can eliminate the unemployment necessity, and simply give all people a weekly or monthly stipend. This is the “Social Security for All,”  progressive approach.
Yahoo Money Calls to end pandemic unemployment benefits gain steam after disappointing jobs report By Denitsa Tsekova, reporter for Yahoo Finance and Cashay, a new personal finance website. Follow her on Twitter @denitsa_tsekovaSat, May 8, 2021
Calls to cancel pandemic-era unemployment benefits intensified this week as worries over a labor shortage gained steam, culminating in a crescendo on Friday after a wildly disappointing jobs report for April.
South Carolina and Montana announced plans before the report to end the jobless programs at the end of July, after weeks of local reports across the country recounted how restaurants couldn’t fill positions.
After the jobs report on Friday, the U.S. Chamber of Commerce announced its support of stopping the extra $300 in weekly unemployment benefits, citing worker shortages, while Sen. Roger Marshall (R-KS) introduced a bill to repeal the pandemic unemployment programs.

The Republicans are sure to favor the “starve ’em ’til they beg for work” approach.

The GOP is, after all, the Party of the Rich, and if there is one thing the rich hate it’s for the poor and middle-classes to have more money or power.

It’s all a reflection of Gap Psychology, a state of mind in which the rich wish to widen the Gap between them and the rest of America.

The Gap is what makes them rich (without the Gap, no one would be rich or poor), and the wider the Gap the richer they are.

Interestingly, many of the poor and middle, having been brainwashed by the rich, to favor punishing the poor and middle to favor the rich.

That too is part of Gap Psychology, the desire to come closer to those above you in the social structure, by agreeing with them.

Voting for a right-winger essentially says, “I admire rich people, and though I myself am not currently rich, I aspire to be rich, and in some twisted way, my voting against the poor moves me closer to being rich.”

“While there are certainly people that needed access to increased unemployment benefits during the heart of this pandemic, we should not be in the business of creating lucrative government dependency that makes it more beneficial to stay unemployed rather than return to work,” Marshall said in a statement on Friday.

While $300 per week is hardly “lucrative,” the U.S. Chamber of Commerce most definitely wishes to avoid a “government dependency” by creating a business dependency, in which people are so desperate they will take any job, even at starvation wages.

That is, rather than giving the government power over people’s lives, the U.S. Chamber wants business CEOs to have power over people’s lives.

As to which is the more benevolent rule might be subject to debate.

All the government wants is your vote and your acquiescence. The business CEOs want your sweat labor and your money. Which is more onerous?

What’s to blame for the disheartening job performance in April, though, has no consensus among economists.
After payroll gains missed by over 700,000 — 266,000 jobs were added last month versus estimates of 1 million — a firestorm on Twitter ignited among economists and analysts, who largely agreed that tightness in the labor market existed, but argued over the culprit.

The so-called “culprit” is quite obvious. Too many jobs pay too little.

Despite right-wing wishes, people are not stupid enough to accept a job paying $300 a week (or even a tad more), especially considering the kind of unpleasant jobs those generally are), when $300 are available for not subjecting oneself to unpleasant jobs ruled by unpleasant supervisors.

Complicating matters is that the jobs recovery is not occurring in a vacuum, but amid a public health crisis that introduces multiple variables.
While there is no single measure for workforce shortage, increased work hours and wages are considered some of the signs that indicate employers are struggling to fill jobs and the labor market is tightening, according to Heidi Shierholz, senior economist and director of policy at the Economic Policy Institute. 

Apparently, employers are not struggling enough to make their jobs more attractive, preferring to save money by letting the unemployed struggle.

“If employers really can’t find the workers that they need, they’ll respond by ramping up the hours of the workers,” Shierholz told Yahoo Money.

Rather than hiring more people at improved wages and working conditions, employers prefer to work people to death, even if this requires paying overtime wages.

One clue to unemployment is provided by a story that has been typical even well before COVID:

The New York Times Schools Are Open, but Many Families Remain Hesitant to Return By, Dana Goldstein, Sun, May 9, 2021
Pauline Rojas’ high school in San Antonio is open.
But like many of her classmates, she has not returned and has little interest in doing so.
During the coronavirus pandemic, she started working 20 to 40 hours per week at Raising Cane’s, a fast-food restaurant, and has used the money to help pay her family’s internet bill, buy clothes and save for a car.
Rojas, 18, has no doubt that a year of online school, squeezed between work shifts that end at midnight, has affected her learning.
Still, she has embraced her new role as a breadwinner, sharing responsibilities with her mother, who works at a hardware store. “I wanted to take the stress off my mom,” she said.
“I’m no longer a kid. I’m capable of having a job, holding a job and making my own money.”
“There are so many stories, and they are all stories that break your heart,” said Pedro Martinez, the San Antonio schools superintendent, who said it was most challenging to draw teenagers back to classrooms in his overwhelmingly Hispanic, low-income district.
Half of high school students are eligible to return to school five days a week, but only 30% have opted in.
Concerned about flagging grades and the risk of students dropping out, he plans to greatly restrict access to remote learning next school year.

And thus, the Gap between the rich and the rest widens, and it is the lower-income groups who help widen it, not only with their votes but with their personal life decisions.

We discuss, in Ten Steps to Prosperity (See below), this common, seeming paradox, of children and their families rejecting even free college, to work: (See Step 5. Salary for attending school.)

It demonstrates why unemployment is a multi-faceted situation, having disparate reasons that cannot be addressed by just one government action.

Lack of good schooling can doom otherwise bright children, our nation’s greatest asset, to lives of wasted potential and abject failure — a great loss to America and a threat to our international leadership. Returning to the original article:

Average hourly earnings for workers in labor and hospitality also increased to $17.88 in April, up from their pandemic low of $16.92 in July and are higher than their pre-pandemic level of $16.90 in February 2020, according to data from the Labor Department.
Some economists pointed to the increase as a sign that employers are competing with the enhanced unemployment benefits, specifically the extra $300 a week that the Chamber of Commerce said “results in approximately one in four recipients taking home more in unemployment than they earned working.

What a disgrace for America: While corporations and their executive leadership pocket record salaries and perks, 25% of the workforce makes less than $300 a week!

Shierholz noted that the wage increases in some sectors may not be robust enough.
For instance, nonsupervisory workers in leisure and hospitality still make less than $21,000 a year after wage increases, according to Shierholz, or about $10 an hour.
“While there’s definitely signs of isolated and temporary tightness in the labor market,” Shierholz said, “a lot of the huge complaints that we’re seeing really are about businesses being frustrated that they can’t find workers at extremely low wages.”

If your business can’t survive even at slavery-level wages, you had better reassess your business model. Or maybe, just maybe, you should go out of business and not rely on poverty dependency to populate your workforce.

The number of women in the labor force fell by 64,000 in April, while the number of men increased by 493,000, Michael Madowitz, an economist at American Progress, pointed out to Yahoo Money.
“If there is a labor shortage, it’s all about women,” Madowitz tweeted on Friday after the jobs report.

Well, perhaps not exactly:

Scant difference between total unemployment (red) vs women unemployment (blue).
In Summary The purpose of a government is not to increase business profits or to maximize the wealth of the very richest among us.
Nor is the purpose of government to maximize employment.
The sole purpose of government is to protect and improve the lives of the people — all the people.
And since the majority is composed of people, whose lives most need improving — the poor and middle classes — government should focus on helping them rather than on punishing them for not accepting menial labor at starvation wages.
Unemployment is not a disease to be cured by punishing the victims, as the right-wing politicians wish.
Unemployment is a failure symptom of a Monetarily Sovereign government, despite having infinite financial assets, fails to use those asset to address in its primary purpose: To improve the lives of the people.

…………………………………………………………………………

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:

  • Monetary Sovereignty describes money creation and destruction.
  • 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

Hate = Fear and why you are a raincoat

Hate = Fear

Hate = Fear

It is impossible to hate someone or something without feeling fear. Fear is the baseline emotion, the protective emotion, and hate is the response. Hate/fear is the evolutionary reaction to threat.

The “witches” of Salem were hated because they were feared. We have evolved to hate as a way to attack our fears. 

Evolution has one goal: Survival.

But that goal is not the survival of you, an individual creature. It is not even the survival of your, the creature’s, family or species. It is survival of the life code — the DNA or RNA. 

We merely are vessels for our life code, which is our real ruler. We are the fur-lined, armor-plated raincoat our DNA wears to protect it from the universe. It is not we who adapt to the life-threatening changes the universe throws at us; it is our DNA that creates the new, improved raincoat.

The universe is antithetical to life. What with the universe’s cold and heat, and its radiation-filled, explosive tendencies, the existence of life is rare and amazing. Yet, here we are.

And while life may lurk in other places than eath, we’ve yet to find it, despite all our efforts.

We have not even agreed on the definition of “life.” I suspect that if a definition is possible it will involve some sort of creation code, like the aforementioned DNA or RNA.

Fear is the essence of survival, but we hold it in low esteem. No one is admired for being a coward, though the fearful merely follow nature’s survival instructions. The dead hero has less chance to pass along his genetic code than does the live coward.

Seemingly then, one might think evolution points us toward being cowards. But the brave have one evolutionary advantage. They have the courage to experiment.

Evolution is a trial and error process, with trillions of trials, trillions of errors, and only a few successes. But those successes are the ones that survive against difficult and changing environments to sire the next generations of adaptations.

And if anything is admired less than the fearful it is the hater, though they are the same. A hater is a sheep in wolf’s clothing.

We do not fear the fearful — “disgust” comes closer — but we do fear the hater, thus returning his hatred.

…………………………………………………………………………………………………………………………………………………………………………………………………..

It can be said that the most fearful, indeed most cowardly, people on earth are the hate-mongers: The Nazis, the “Proud Boys,” the white supremacists, QAnon, the boogaloo bois, et al.

Their mien is designed to intimidate, with tattoos, flags of hatred, fierce beards, military garb, guns, helmets — these are the shields behind which the cowards hide. And they never allow themselves to be alone.

They feel less fearful hiding in crowds of like-minded cowards. 

As cowards always do, their leader cozies up to bullies: Putin, Kim, Duterte, and of course, the very rich. He wishes to be one of them, though they laugh at his efforts.

Their leader, so cowardly he invented “bone spurs” to stay out of the military, has been, of late, America’s leading hate/fear monger. He promulgates hate/fear everywhere: Immigrants, Mexicans, Muslims, gays, the Chinese, blacks, the “deep state,” left-wingers, the “swamp,” and all those who reveal the truths about him.

He specializes in hating the poor and powerless. He wasted the influence of his office trying to take the ACA healthcare program from the poor, and had to settle instead for a tax program that widens the income/wealth/power Gap between the very rich and the rest.

His politicians reliably oppose aid to the poor, falsely characterizing them as lazy takers who, if given even a pittance, will not wish to work or to improve themselves, but instead will loll about or commit crimes.

And that leads us to excerpts from the following article.

Poorer children “failed by system”

Research Findings:

  1. Poorer children struggled to access higher levels of education, even when their primary school results were high
  2. Wealthier children with low test scores, conversely, were able to catch up to the rest of their classmates

The research incorporates information about education levels attained by the poorest 25% and the wealthiest 25% of participants at ages 8, 12, 15, 19 and 23.

The attainment gap between “high-promise” children from the top and bottom wealth quartiles widened during school, even with similar early test scores.

Wealthier children were far more likely to embark on all forms of tertiary studies, including university, technical colleges, and teacher training. 

Even among students who finished secondary school with comparable levels of learning, the attainment gap between the rich and poor students remained significant, with wealthier students more likely to progress to higher education.

“What is clear is that these inequalities in higher education access have nothing to do with ability: This is about systems which are consistently failing poorer children,” says Dr Sonia Ilie, lead author and senior researcher at the Faculty of Education at Cambridge.

The reasons for poorer learning outcomes among poorer children include limited educational resources, limited support at home, and practical difficulties with school attendance.

The fear/hate mongers spread the lie that there are basic human differences between the poor and the rich. They falsely characterize the poor as lazy and lacking ambition.

The mantra is, “If you give them unemployment compensation or food or anything else characterized as ‘welfare,’ they won’t work.”

But your daily experience shows that the poor generally are forced to labor harder, at more difficult jobs than do the rich. And compared to the rich, for whom all doors open, the poor face constant barriers to improvement.

It’s not lack of character or ability that stymies the poor; it’s lack of opportunity.

In addition to spreading the BIG LIE that federal taxpayers pay for federal spending, the haters of the poor promulogate the notion that money is wasted on the poor.

The BIG LIE is the quasi-logical support for the fear/hatred that keeps the poor down.

And that is the connection between our two stories.

A lie cannot long survive without willing believers.

Fear-created hatred provides nourishment for the Big Lie that federal taxpayers pay for benefits to the poor.

Fear/hatred supports the belief that the poor deserve their poverty, and that belief provides justification to deny them support. It destroys our compassion. It justifies our cruelty. It is the basis for Gap Psychology, the desire to distance oneself from those below, and to near those above.

Fear/hatred is how, through the centuries, no much evil has been done in the name of Jesus Christ, who did not fear and did not hate, but preached only love. His most ardent followers have been, and remain, his most ardent deniers. 

Your DNA does not care about your hate, fear, love, compassion, morals or beliefs. In the universe, there is no “care.” Your DNA is coldly and chemically practical. It creates your fear/hatred. You have no choice. 

You are a dispensible fur-lined, armor-plated raincoat, to be tossed away when the weather changes. 

How does that feel?

…………………………………………………………………………

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:

  • Monetary Sovereignty describes money creation and destruction.
  • 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 fake fight over your Social Security benefits

Kiplinger’s is supposed to know what they are writing about.

Hah!

Here is an article that appeared in today’s Chicago Tribune. You decide whether Kiplinger’s Managing Editor knows what she is writing about.

Biden’s plan to strengthen Social Security
By Catherine Siskos, managing editor at Kiplinger’s Retirement Report

In 2021, Social Security is expected to begin drawing down its trust fund to cover benefits instead of tapping only the interest.

Right away, we are greeted with the Big Lie that federal taxes fund federal spending.

While, state and local government taxes fund state and local government spending, federal taxes do not fund federal spending. That is a major difference most people do not understand.

Because the U.S. federal government uniquely is Monetarily Sovereign, it has the unlimited ability to create its own sovereign currency. The U.S. government never can run short of U.S. dollars.

Even if payroll tax collections fell to $0, the federal government could continue to fund Social Security, forever.

550 Blank Cheque Photos - Free & Royalty-Free Stock Photos from Dreamstime
An example of instructions: “Pay to the order of . . . “

Why can the U.S. government never run short of dollars? Because it pays creditors with instructions, not with dollars.

It never can run short of instructions, which it creates from thin air, simply by voting.

To pay for its spending, the federal government creates new dollars, ad hoc, by creating and sending instructions to each creditor’s bank, instructing the bank to increase the balance in the creditor’s checking account.

The instructions are in the form of a paper check or more commonly a wire, both of which begin with the instructions, “Pay to the order of __________.”

When the creditor’s bank does as instructed (by pressing a computer key), new dollars instantly are created and are added to the M1 money supply. It is the bank that does the actual money creation.

The creditor’s bank then balances its books by getting approval from (i.e. “clearing” the government’s instructions through) the Federal Reserve Bank, and the money-creation cycle is complete.

What then becomes of the tax dollars sent to the U.S. Treasury? They are destroyed. They cease to exist in any money supply measure.The Destruction of Money: Who Does It, Why, When, and How? - The Atlantic

That is why no one on earth can answer the question, “How much money does the U.S. federal government have?”

Depending on your perspective, the answer either is “$0” or “infinite.”

Personally, I prefer “infinite,” because the Treasury does carry a comparatively small account with the Federal Reserve Bank.

And by the way, remember that bolded phrase above, “instead of tapping only the interest?” Guess where the interest comes from.

It comes from the fake “trust fund’s” investment in Treasury Securities.

The U.S. Treasury creates dollars from thin air to pay interest to a non-existent U.S. federal “trust fund.” The U.S. Treasury instead simply could create dollars to fund Social Security, and do away with the bookkeeping mumbo-jumbo.

Unless Congress acts, benefits will be cut at least 20% when the trust fund runs out of money in 2033 — two years sooner than previously projected, according to the Center for Retirement Research at Boston College.

At that point, the program will rely entirely on payroll taxes, which currently aren’t enough to fully fund Social Security.

Unless Congress acts, your benefits will be cut, but not because the fake “trust fund” runs out of money. Benefits will be cut because Congress created the fake “trust fund” as a device to limit your benefits.

Medicare Part A has a similar fake “trust fund,” which also is running short of money, while Medicare Part B has no trust fund that can run short of money.

Why? Because by law, the federal government will add dollars to this mythical “trust fund” as needed. Thus, in reality, the federal government pays for Medicare Part B, without the flim-flam tax pretense of Part A.

Hmmm . . . Does that give you any ideas? How about using the Medicare Part B system for Medicare Part A and for Social Security?

That way, we never would have to hear false warnings about running short of money, and we could dispense with deceptive articles like this one from Kiplingers.

President Joe Biden wants to expand Social Security in two ways. He would raise benefits for the people most in need: low-wage workers, surviving spouses of dual-earner couples, caregivers, government workers and those who have been collecting Social Security the longest. (The rationale for that last group? Seniors have higher medical and long-term care expenses later in life.)

Everyone else’s benefits would remain the same, but their Social Security cost-of-living adjustments would increase because Biden supports switching to the Consumer Price Index for the Elderly.

The CPI-E is considered a better measure of inflation for older adults because it weights senior citizens’ biggest expenses, such as health care and housing, more heavily.

The Social Security Administration estimates that switching to the CPI-E from the current wage earners index will raise annual COLAs 0.2 percentage points, on average.

To pay for these changes, Biden wants to increase Social Security payroll taxes on people earning more than $400,000 a year, a short-term fix that would also shore up the program for only another five years, Melissa M. Favreault predicts in an analysis for the Urban-Brookings Tax Policy Center.

She is a senior fellow in the Income and Benefits Policy Center at the Urban Institute.

Does the “senior fellow in the Tax Policy Center at the Urban-Brookings Institute really believe that Social Security taxes fund Social Security benefits?

Or is she merely parroting the Big Lie for political reasons?

Proposed legislation from Rep. John Larson, a Democrat, would secure the program’s funding for 75 years.

Along with the increase on those earning more than $400,000 that Biden has proposed, the bill calls for raising the payroll tax for everyone, with employees and employers each contributing an additional 1.2%, or roughly 50 cents more per week, estimates Social Security in an independent analysis of the bill. The increase would be phased in between now and 2043.

In a divided Congress, Democrats and Republicans could find common ground with smaller bills, such as one to reinflate Social Security benefits for people born in 1960 or 1961, says Max Richtman, president and CEO of the National Committee to Preserve Social Security and Medicare.

Their benefits will be cut unintentionally by a formula glitch and the 2020 recession.

Isn’t it pitiful that even the president and CEO of the National Committee to Preserve Social Security and Medicare is, or pretends to be, so clueless about how federal finances really are handled?

Do you wonder why there has to be a “National Committee to Preserve Social Security and Medicare” when there is no such committee to “preserve” the military, or to “preserve” the Congress, or to “preserve” the Supreme Court?

They all are federal agencies, but somehow, they don’t need fake “trust funds” or financial “preservation.”

The federal government just pays the bills, as it does for every other agency of the federal government.

Do you know why Social Security and Medicare (Part A only) have fake trust funds?

The reason is “Gap Psychology.” You can Google it or click the link for a description, but the short meaning is the human desire to widen the income/wealth/power Gaps below you on any economic or social measure, and to narrow the Gaps above you.

If there were no Gaps, no one would be rich or powerful. We all would be the same. And the wider the Gaps, the richer and more powerful some people would be.

Widening the Gaps makes the rich richer and the powerful more powerful. A good way to widen the Gaps is to cut benefits for the non-rich.

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 or a reverse income tax
  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 BIG LIE OF ECONOMICS EXPRESSED IN ONE CARTOON

The science of economics is burdened with many lies and myths, most of which are designed to convince you, the public, you should not ask the federal government for benefits.

The Big Lie of Economics is: Federal taxes fund federal spending. It simply is not true. The truth: Federal taxes fund nothing.
Even if the federal government collected $0 taxes, it could continue spending, forever.

The very rich, who control the political establishment, want to widen the Gap between them and you. So they do everything possible to make you agree to have less than you really should. (It’s called “Gap Psychology,” the desire to distance oneself from those below, in any social/economic measure.)

Because “rich” is a comparative measure, the less the poorer have, the richer the rich are. That is why you are told federal deficits and federal debt are too high, and “unsustainable” — to provide you with a seemingly logical rationale for denying you the things they already have: The availability of:

–Significant income
–Safe and comfortable housing
–Comprehensive health care
–A happy, safe, well-fed, well-clothed lifestyle
–University education for your children
–Pleasant, remunerative working conditions
–A comfortable retirement

They tell you, falsely, that you must pay for federal spending, either via taxing or inflation, and that your federal benefits are the dreaded “socialism,

Not one word of that is true.

Federal taxing is not necessary for federal spending. Federal spending never causes inflation. And federal spending is not “socialism.”

And that is why the rich publish misleading cartoons like this:

Dana Summers
The federal government does not spend your money. Your federal taxes do not fund federal spending.

The truth:

1. The federal government does not spend your money. In fact, your federal taxes are destroyed upon receipt
2. You could have free, comprehensive Medicare covering you and everyone in your family, and not need to pay even one penny in FICA (which, by the way, is the most regressive tax in America.)
3. Your children could be educated, grades 13  and above, without any cost to you
4. You could be provided with sufficient income to afford good food, safe housing, good clothing, and the other benefits of being an American (car, TV, vacations, good working conditions, etc.)

Yes, the rich tell you the economy will falter without your hard labor and deprivation (though they themselves are excluded), and that only the rich are entitled to a good life, and that labor is moral (again, the rich are excepted).

And it is all a lie to keep you down.

Consider, for instance, the battle revolving around the $600 stimulus check vs. a $2,000 stimulus check.

Congress finally settled on $600, though there is not a single, economic reason for that limitation. Not one.

I challenge anyone to provide one good excuse for the lower number other than that the rich, and the party of the rich, don’t want you to have it.

The rich expect you not to understand the differences between our Monetarily Sovereign federal government and our monetarily non-sovereign state and local governments.

So, the politicians falsely claim that state and local governments struggle financially because they are inefficient, incompetent, and crooked.

Indeed, some are, but the real reason for the state/local government financial struggles is that they are monetarily non-sovereign.

They simply cannot afford to provide you with good streets, good water, good sewage systems, good elementary and high schools, good police and fire protection, and all the other benefits the federal government could pay for at the touch of a computer key.

The rich have managed to brainwash you into believing you deserve financial hardship and denial of benefits because you don’t labor hard enough or are not smart enough, and that the rich are the ones who deserve the lifestyles you admire.

This can change. The rich are not superior, more deserving Americans. Fate has just been kind to them.

You deserve to have all the benefits the rich have. But first, you must be willing to accept the truth. You must be willing to accept the fact that you have been lied to.

Yes, it is hard to admit you have been suckered all these years. But swallow your pride, understand the truth, and demand that the federal government, which has unlimited money, should even the score, and pay to give you the kind of life rich Americans enjoy.

You deserve it as much as the rich do.

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 or a reverse income tax
  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