The Seven Deadly Innocent Frauds of Economic Policy

Economics Economics Questions
21
  1. Is Greece currency issuer in your opinion or is It currency user in a big currency zone?

http://rodgermmitchell.wordpress.com/2010/08/13/monetarily-sovereign-the-key-to-understanding-economics/

  1. :slight_smile:

  2. look at answer 1

  3. It comes from government spending and wheter It’s deficit spending or not this is still where It comes from

  4. Look at your reasoning now, you don’t have to be a rocket scientist to see errors in It. Who said

government spending doesn’t matter? Was It you? Warren Mosler didn’t say that. He didn’t say government spending translates in lost jobs.

22

I am not an expert in economics, but I have been studying it for just over a year now. I guess I would side with Austrian Economics due to it’s grounding in precious metals as opposed to a fiat system that is currently in place.

I was given this book from a family member and thought I was going be really into it, but I was instantly turned off due to a few key fallacies right off the bat:

  1. On page 16 in the 5th paragraph he states, “It’s just like a stadium, which doesn’t “have” or “not have” a hoard of points to give out. When it comes the dollar, our gov’t working through it’s Federal agencies, the Federal Reserve and the US Treasury Dept, is the score keeper. (and also make the rules!)”
  • The Federal Reserve is NOT a Federal agency. Yes, they make the rules, but most that have studied economics will say that the Fed through it’s policies (“rules”) create the bubbles that tank the economy. The Fed is no more than an extension of of the World Bank, an offshore entity. On the following page he even goes as far to say that, “All it takes for the gov’t to spend is for it to change the numbers up in the bank accounts at it’s own bank, The Federal Reserve Bank.” So here again he tells a lie by stating that the gov’t has it’s own bank. I don’t know about any of you, but if I’m going to take someone seriously and trust their economic solution for this country, I would at least expect them to know this fact. It’s a big one to overlook in my eyes. Is he doing this to try and keep it simple? It still makes no sense and is an injustice to economic students everywhere. Beyond that, does anyone else seem to have a little problem with the government’s ability to “change the numbers up in their bank accounts”? Set economics aside for a second, this is not moral, and so it should not be. (and yes, I do know that’s how it works now).

As I continued to read, I keep seeing this fallacy repeated several times like on on page 18 when he states, “…like the federal gov’t, are now the issuer of their own currency”. No it’s not, it’s fiat currency from an extension of the World Bank.

This is why I had to stop reading the book when I hit page 23: The Federal Gov’t checks don’t bounce.

I think that the only way to stabilize the economy is for the US to take back it’s bank (that was given away in 1913) and put back in place a gold standard. Otherwise I fear we will be slaves before to long.