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gumball's picture
gumball 1 year 3 days ago
#1
Quote MaxM:

http://nmpolitics.net/index/2017/11/our-government-is-lying-to-us-about-...

Many nations have tried this, all have led to hyperinflation.

chuckle8's picture
chuckle8 1 year 2 days ago
#2

As Thom points out the budget ceiling was created by the repugs to bludgeon the democrats and their social programs. One thing I wish the article would have said is that there are good and bad deficits. The measure of which deficit is happening is the debt to GDP ratio. This metric seems to be the only one that actual economists use.

chuckle8's picture
chuckle8 1 year 7 hours ago
#3

It seems that gumball should look at more data. It seems the USA has been operating without any currency except our good faith for some time. Since 2008, our inflation has been so low that Janet Y could not raise interest rates (it seems the exact opposite of hyperinflation).

gumball's picture
gumball 50 weeks 5 days ago
#4
Quote chuckle8:

It seems that gumball should look at more data. It seems the USA has been operating without any currency except our good faith for some time. Since 2008, our inflation has been so low that Janet Y could not raise interest rates (it seems the exact opposite of hyperinflation).

Did you read the article in his link?

This is the end result of what he is advocating for;

https://ca.news.yahoo.com/venezuelans-scramble-survive-merchants-demand-...

chuckle8's picture
chuckle8 48 weeks 6 days ago
#5

Yes, I read the article in his link. I have not looked at the link you provided. I just saw the link today, Jan 8, 2018. I like that MMT points out that the reason for having a currency is to pay for the commons, AKA taxes. Also, Steve Keen (student of Minsky who is trying to crown source funding for writing software to demonstrate Minsky models) likes to point out that MMT is neither modern or theory.

chuckle8's picture
chuckle8 48 weeks 6 days ago
#6

Thanks a lot gumball. I went to your provided link and started reading it. My anti-virus software it detected a threat.

chuckle8's picture
chuckle8 48 weeks 6 days ago
#7

Now to Econ 101. Currency is not the wealth of a nation. Currency is a convenient way to measure the wealth, but it is full of pitfalls. Thom reminds of us how Adam Smith (father of capitalism?) in "Wealth of Nations" describes wealth. He uses the example of a stick of wood as having no wealth. When that stick of wood is made into an ax handle it has wealth.

chuckle8's picture
chuckle8 47 weeks 2 days ago
#8

gumball - I assume it is too late for you to read this, but I will say something anyway. I essentially agree with you; especially, after listening to a caller saying we can just pay off the debt. Thom agreed and said the treasury would just print trillion dollar coins. Those approaches sound like hyperinflation on the way. However, I disagree with the whole thought process. The correct thought process is the one anyone with 4 or more economic courses under their belt (I have had only two) would use. We want to keep the ratio of debt to GDP low. It seems that history has shown the best way to keep this ratio low is large, smart deficit spending (war not smart; GI bill, infrastructure, welfare smart). I always say increase the deficit to lower the debt.

Charles53's picture
Charles53 42 weeks 6 days ago
#9

Well, the economy is not the first thing we are being lied about. There are a humongous amount of secret data and future plans we are not aware yet and probably won't ever be. Keep this in mind during the next election season.

Regards, Charles
Sheer Glamour Limited

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The Thom Hartmann Program - Aug 30th 2018

It seems it's all racism, all the time w/the GOP...Neo-Nazi robocall hits Iowa on Molly Tibbett’s murder: “KILL THEM ALL. ” Richard Wolff drops by about the National Debt. Is it a disaster or an OK thing? Also - Trump & The National Enquirer - Is the Economy Here To Serve Us Or Are We Here to Serve the economy?