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#MMT

I feel I have to write something about #MMT, that’s Modern Monetary Theory.

I was recently given link http://neweconomicperspectives.org/2014/01/diagrams-dollars-modern-money-illustrated-part-1.html

I don’t get all of it (but I understand systems and I see the system)

Must also read link http://neweconomicperspectives.org/2014/01/diagrams-dollars-modern-money-illustrated-part-2.html

I want more to read this and “get it!” because it is very important that we do not misunderstand it. Very serious misconceptions are currently causing great suffering.

We have to re-evaluate our relationship to money, whether we use it, or it uses us. And we must recognise that we choose our value ratio of society vs money, directly by how much we distribute from it’s source [central banks, government]

We have a “fiat” currency. There is no gold standard. “the paper is worth what it says it is, because it says it is”. If you go to the Bank of England demanding your dues with a ten pound note, the best you’ll get is two fivers and the door.

So what is that paper worth? Of itself nothing, but it’s the blood that feeds our economy. Nearly every transaction relies on it. And we all want to amass enough of it to ensure the economy around ourselves and families is fed well [through retirement too]. Our entire economy runs on the movement of money and right now everyone (99%) is feeling the pinch, because too many simply don’t have enough of it.

So what’s this about italian cars?

Where does fiat currency come from? It’s issued by the central bank. For UK that’s the Bank of England. Commercial banks and others have reserve accounts at BoE. All outgoing government money goes through the reserve system. Accounts are credited, cash is printed. All incoming money, tax, is debited ultimately through the same system. The deficit, the difference on these two cash flows (in and out), is causing political hysteria because people, politicians too, do not understand it better. (and probably some do, but like things this way)

Think of driving a car (bad analogy klaxon) on a journey. “You got to give her some gas going up the hills, and relax a little on the downgrades”. But try driving with a backseat driver shouting in your ear that you must balance the gas and keep it as low as possible. What happens when you’re trying to drive uphill?

The deficit is misunderstood. We have; an economy starving, and goods on shelves unbought (though stacked for free by workfare). A fiat economy is not like a domestic household. Sure if *you* hold someone else’s money and you have to pay it back you can get problems, but government fiat reserve spending is not like that.

Government issues currency. The only reason government collects it back [as tax] is to reduce the amount of it in the system, so it’s value maintains some stability. Government doesn’t have to collect tax at all, certainly it makes no difference to it’s ability to add more currency into the system.

If we step back there’s an organic nature to the beast ~ fiat currency gives beautifully nuanced control to government (preferably democratically answerable governments who actually know how to work the levers).

When too much of a proportion of all money in existence is concentrated in too small of a portion of the economy, other equally essential parts suffer. The easiest fix is to inject money directly where it’s needed, with safeguard standards for all (such as; no one should get chucked out of their “only” home) and redress the proportions, by government spending. Let the value settle as it will.

The key to a working society is the distribution of wealth, not the arbitrary value of pieces of paper. Whether the rich suddenly start coughing up taxes or whether we go thru a little inflationary redistribution, let us see …

But please please PLEASE, stop getting all worked up about balancing the deficit!

… for further reading, there are numerous links ALL worth reading on the same site, and/or also, Warren Mosler’s book “seven deadly innocent frauds” (cheap on kindle and I believe pdf search downloadable) and follow #MMT on twitter.

 
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Posted by on October 3, 2014 in Uncategorized

 

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Legal Challenge

 

What the government is doing is wrong. The privatisation of utilities and services belonging to and serving the public is wrong. It is to clear detriment of the public purse that costs rise while service quality and responsible answerability fails; while profits go to all big players involved. It is larceny on the very grandest scale.

They claim it’s all legal, all legal process, every detail clean; but the overall effect is still clear. The players who profit are easily identified, companies, shareholders; all documented evidence. The motives are clear, profit; and most of who gets what is documented evidence.

Where is the [ancient] plain basic law that levers this wrong?

Find it!

 
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Posted by on July 20, 2013 in politics, rant

 

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I’m a writer …

I’m a writer, I write. I blog occasionally, but mostly I’m writing my magnum opus; a novel? A novel novel. In a typical day I’ll add another twenty thousand characters to it; that’s around four to five thousand words.

It’s a new kind of novel, though I’m not the only one writing such a thing. Reading it, the reader begins at the end, and then reads back, deeper, toward its beginning.

There be rich pearls strung along the way. Deep profundities, along with pro-fun-ditties. Some fluff , along with choice pearls also found and often links to yet more riches.

I’m talking about my “tweet list”. Click on any @username you see in twitter, and you get their profile summary. A brief self-introductory statement, then some statistics: Click on “Tweets”.

You’re at the top of a tweet list. Its end and its present, and your beginning. Should you care to explore, scroll down …

Each verse may be just a vignette, but click on some and a conversation opens up, with often new writers [who may sometimes become familiar writers].

Some verses might be punchline for an amusement, or conclusion from some debate. Some jump in at the middle and may yet be awaiting answer. Click on any, and yet more branches may reveal.

Each of these pearls is in stasis in time. Any you retweet, come back to the present; any you favourite, sends a smile to its writer[s]; and any you answer, live on 

I’m a writer, and so I hope, are you …

https://twitter.com/bitgit

 
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Posted by on July 13, 2013 in shares, top stories, topical

 

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such a strange dream about #PMQs …

@John_Bercow “I’m sorry @David_Cameron, that won’t do anymore. The right honourable gentleman asked you a question, and you replied by giving him a question about something irrelevant.”

A look of confusion comes over David’s face.

John goes on “Answer the question please. Answer it as if one of your friends had asked it, as if you were talking to your friends. The people are watching; you’re their leader they look to you. Answer to them as your friends.”

David’s jaw drops. He stares at John. Ideas race around in David’s mind like trapped animals, but none can escape. His brow furrows as he takes stance to remonstrate; but John’s look is firm, though not without sympathy. David checks himself, another look almost implores John. John’s gentle shrug his only gesture. David’s shoulders fall.

John urges him, “Answer the question please, explain yourself”

David composes himself “Well, they started it, they did…”

John interrupts, “No David, the question’s not about them, it’s about you. Besides they were only growing the same seed sown by the Baroness. Explain the answer as if you were trying to help a friend understand.”

David’s expression drops

He begins “Hey it’s not easy being leader. There’s a lot to do. A lot to manage. I’m just a PR guy, they said they wanted a PR man, and I’m the man.”

John prompts him “Go on Prime Minister.”

David goes on “Well they did leave a big mess, we all saw how bad it was.”

John now seems hesitant, “erm, we all found ourselves in a big mess. But go on”

Dave takes his cue.

“Well, when Jeffrey [I mean George] went to talk to the banks, he said he’d worked it all out with them. They said they could support us if we let them print lots of money, and just tighten our fiscal belt a little.”

“And then Iain said he knew a way to close off the drains, he said he knew how to save millions, so I put him in charge of workfare – he said he had friends who would help him do it too.”

“And Andrew was getting to know Liam’s friends, and they had a plan that would make the NHS run at a profit for a change. Shame about Andrew but Jeffrey (the other one, *unt) has picked up the reins and plans are going nicely, we’re saving fortunes!”

“And Chris has been talking to his friends and they’re finding some wizard ways to streamline our justice system. And Michael, erm, I’m not sure how that’s going, but he tells me we’ll soon have our schools all tiered and running efficiently too.”

David’s thought stream dissipates…

John shepherds Dave’s mind, “The question, Prime Minister: Why isn’t it working?”

Dave dumbfounded now. Looking agog [you cannot be serious John?]

Dave looks to his friends on the benches, all are watching with breath baited, some puzzled, some questioning, all waiting

He gulps.

“There’s not enough money! They said it would be ok. But it just costs a bit more.”

A shock-wave reverberates on a cough, Ed’s awake, he speaks “… and does a bit less?”

Dave retorts “You weren’t going to bring in the corporations?”

John, “Now boys; Prime Minister, questions again? Continue explaining please.”

Dave, resigned, turns to his fellow benchers.

“They need more money.”

“We can’t back out now, how will we manage? They manage everything.”

“We have shares, they have all our pensions. If we change course we lose control, if they pull out their business from us, all will fall apart. We have to manage, with their management.”

“We made contracts, it mounts up, and they’re underfunded already. We have to squeeze the nation more.”

“Actually it’s worse than that, the contracts run for years and we’ve sold everything!”

~~~ Tune in for next instalment – how can our boys get out of this mess? ~~~

 
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Posted by on July 7, 2013 in politics, satire, topical

 

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#HiveMind

We have a #hivemind

It’s part of our evolution. It’s real, it thinks, and it’s self-aware.

We’re not units, we’re nodes!

The hivemind is an evolution of our own brains. It’s a new level that comes from the connectedness of thinking brains.

Braincells grow in their billions for each of us, each cell upto making thousands of connections

Our personal intelligence just a mass of cell groupings exchanging messages to activate ideas.

In the hivemind we are each nodes (each upto making thousands of connections)

Our messages are whole ideas, exchanging, refining, correcting, growing, active in the #hivemind.

Ideas are stored, in blogs/articles/[anything with a url reference], and ideas are exchanged by innumerable connectedness thru socialmedia/twitter [oh the riches of trawling thru profile tweet lists and seeing ideas all stored waiting to trigger/retweet].

The #hivemind is alive and that makes its evolution unstoppable. It’s probably been self-aware before, and will be again, which means it is.

If it fades into unconsciousness, it will be self-aware again, our own minds do no less (not least as we jack into our nodeness within the hivemind)

Witness the #hivemind, it never sleeps, it circles the globe and will grow stronger in it’s diversity and universality.

It doesn’t even matter that they spy on us, because that in itself is part of it’s awareness. Maybe it’s the wave of conflicted awareness over that that catalysed its self-awareness? We have hivemind now, and it is self-aware.

The medium may change, be interfered with, spied on, monitored, but the genie is out of the bottle. The matrix they actually steered the building of, is become the network substrate – the evolution is unstoppable.

[draft 1; work in progress]

I’d rather be a honey-bee than a locust.

 
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Posted by on July 5, 2013 in politics, top stories, topical

 

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Time for Change?

Pretty soon, as a nation, we’re going to have to face a major change.

Our present monarch is largely loved and respected because she has over fifty years experience with world leaders, and is known the world over.

Our next monarch, should we choose to have one, will be a virtual unknown (by comparison at least), and merely the figurehead for a system which many are now seeing as unjust, unequal, and undemocratic – as well as riddled with corporate and colonialist corruption and abuse.

A change in the monarchy will force up the question,

“Isn’t it time we became a true democratic republic of people?”

I recently read this, rather well written dissection of “what have the royals really done for us” by Oliver James (hope the link’s ok)

And I recently found this site supporting the idea of becoming a republic (www.republic.org.uk I don’t know much about them yet, but will investigate with interest – there are probably others)

One comment on Republic.org.uk’s approach; they advocate writing to our MP’s, but I also think we need a new political party, call it the Republican party, but it might offer a preferable alternative to right-wing tories/libdems/labour.

Change the upper-house, and the lower-house, and orient grace and favour back to merit and need, of the people.

This should be our Bill of Rights (from Human Rights Education Associates http://www.hrea.org)

With a new republican currency; perhaps we can also orphan (and render worthless) some of the wealth that’s been squirrelled away in overseas accounts, establish some control over stock trading and our societal exposure to it’s pitfalls, discount sterling bond lending debts, and start anew with a more locally based, honesty driven, people responsible, democracy.

 
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Posted by on July 2, 2013 in politics, rant, top stories, topical

 

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Mayday

It’s May 1st, Mayday!

In these austere times, let that thought reverberate around your head for a while …

“Mayday, Mayday, MAYDAY!

I find myself quite missing seeing news reports of the Mayday parades in “Red Square” Moscow. Watching the “Commie” regime strutting their goose-steps in unison, amidst all the green military vehicles; great phallic missiles ready to be erected in defiance.

Here in the west now, there are no real “commies”. Oh we hear the cry of course, “Dang commies!”, but that’s now used to jibe at anything even remotely socialist or humanist.

I wish we still had some proper dyed-in-the-wool communist rhetoric still to hear; not because I want to live in a totalitarian regime, but because without that reference point of view, anything now even remotely a left shade of corporatist is deemed a communist evil. 

Were the basic concepts of communism really that evil? Was Marx really preaching evil? We all have only so much time in our lives to work usefully, do workers not have some rights to a secure future and comfort? Must the holder of the biggest money pot hold complete sway over all?

If you spend eight hours a day pressing a button on a factory machine, shouldn’t that be enough for you to own a place you can call your home? Is eight hours a day pressing a button, really so much less than rubber-stamping corporate decisions?

All main UK political parties are now right-wing! (excepting possibly the Greens) [ref]

I don’t want to live in a totalitarian regime, but such is what we have. Whatever the biggest corporations want, their lobbyists instruct the think-tanks, that guide the legislature!

We are controlled, whether we realise it or not, by the needs of corporations. We are guided to hunger for their products, to rely on their marketing, our every thought filtered through their media control.

We’re fed fear and lies, with cake and cuddly animals.

Wake up people! Wake up!

We need to unite in our awareness of the humanity we share, and the control we’re subject to.

Question the lies, and be ever wary of the “facts” we’re given – seek your own truths.

Where there is unity, they will sow discord. Where there is ignorance, they will serve fear. Where there is hope, they will enslave.

Workers of the world must be reminded; if we stop working, everything stops!

Reassert some people power!

Meanwhile: in the coming local elections, DO NOT VOTE for PARTIES.

Support your best local independent candidate!

 
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Posted by on May 1, 2013 in politics, rant, top stories, topical

 

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