Profligate debt is the problem, ultimately a product of overpopulation on a finite planet. Capitalism should only be a transitory stage toward democratic socialism, but we have passed that juncture blinded by wanton greed. Presently, our greed has brought us to playing Russian roulette in a proxy war that is adding billions more debt to our ledger. One way or another, it will stop.
Well said, but I am more optimistic, so I'll offer to change a few words -- "Capitalilism should only be" to "Capitalism is." Strange, that's my next article.
In attempting to be brief, I realized some aspects may not be clear. To clarify:
(1) All new money is debt, created by either bank loans or Federal Reserve Open Market Operations.
(2) If increasing GDP requires increasing the money supply, then increasing GDP requires increasing debt.
(3) The increasing economy runs on increasing debt.
(4) Government deficits do not create money; they transfer investments or apparently idle money into spending.
(5) The expression, “Taxes transfer money between the government and the taxpayers” should read, “Lowering taxes transfers spending from government to wage earner, and “Raising taxes transfers spending from wage earners to government.” Spending remains the same.
Thank you, your change is more emphatic and accurate.
Profligate debt is the problem, ultimately a product of overpopulation on a finite planet. Capitalism should only be a transitory stage toward democratic socialism, but we have passed that juncture blinded by wanton greed. Presently, our greed has brought us to playing Russian roulette in a proxy war that is adding billions more debt to our ledger. One way or another, it will stop.
Well said, but I am more optimistic, so I'll offer to change a few words -- "Capitalilism should only be" to "Capitalism is." Strange, that's my next article.
In attempting to be brief, I realized some aspects may not be clear. To clarify:
(1) All new money is debt, created by either bank loans or Federal Reserve Open Market Operations.
(2) If increasing GDP requires increasing the money supply, then increasing GDP requires increasing debt.
(3) The increasing economy runs on increasing debt.
(4) Government deficits do not create money; they transfer investments or apparently idle money into spending.
(5) The expression, “Taxes transfer money between the government and the taxpayers” should read, “Lowering taxes transfers spending from government to wage earner, and “Raising taxes transfers spending from wage earners to government.” Spending remains the same.