FACTS FOR 2017: 1-23
Fact 1 for 2017: Dynamic Stochastic General Equilibrium models are always and without exception a complete load of old dingos’ kidneys*.
Fact 2 for 2017: Tax-advantaged, compulsory, private superannuation does precisely nothing to address the challenges of providing for an ageing population.
Fact 3 for 2017: MMT is NOT a license for limitless government spending.
Fact 4 for 2017: An obsession with irrelevant and pointless fiscal targets is obscuring the economic challenges we really do face.
Fact 5 for 2017: The Government sets the (true) unemployment rate.
Fact 6 for 2017: We don’t actually need money from mega-rich people to pay for government services.
Fact 7 for 2016: It is entirely unnecessary and abusive for people to be reliant on charity for food, or to face involuntary absolute poverty, in rich countries in 2017.
Fact 8 for 2017: The Australian Commonwealth Government doesn’t really have any debt at all.
Fact 9 for 2017: Capitalism worked better between 1950 and 1970 than ever before or since.
Fact 10 for 2017: There is no natural rate of unemployment and there is no natural rate of interest, unless those rates are zero.
Fact 11 for 2017: A Job Guarantee can be a vehicle for an inclusive and equitable transition to a future economy of fewer working hours and a shorter working life.
Fact 12 for 2017: Just as the deliberate pursuit of a fiscal surplus makes no sense, the deliberate pursuit by a monetary sovereign of a trade or current account surplus in pointless.
Fact 13 for 2017: The Australian Commonwealth Government cannot save its own money. It cannot save Australian dollars, and therefore it never does save Australian dollars.
Fact 14 for 2017: There has never been a stable and reliable relationship between interest rates and total spending, and therefore monetary policy has never and will never be able to deliver sustainable full employment.
Fact 15 for 2017: There are limits on the ability of banks to create credit, but they are not those limits which many people imagine to exist.
Fact 16 for 2017: Taxes imposed by a monetary sovereign don’t fund anything at all.
Fact 17 for 2017: Compulsory private superannuation is fraudulent.
Fact 18 for 2017: Every dollar (or yen, or pound…) that a monetary sovereign government ever spends is a new dollar (or yen, or pound).
Fact 19 for 2017: We need as much discussion of functional finance, job guarantees, monetary sovereignty, the flaws with orthodox economics, and related issues on mainstream media as we can get. And we need everyone with an interest to spread relevant items, as they are published, to generate maximum interest and traffic, so that the discussion can continue and be spread even more widely, so that politicians can’t ignore what is being said.
Fact 20 for 2017: Inflation is always and nearly everywhere the result of a fight over the distribution of income.
Fact 21 for 2018: A monetary sovereign never needs to privatise a state-owned asset, and should never base a decision to do so on financial considerations.
Fact 22 for 2018: Credit ratings agencies are irrelevant to monetary sovereigns, and should be ignored, when formulating fiscal policy.
Fact 23 for 2017: The Euro, as originally set up, was designed to fail in a financial crisis.
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