Republicans and Democrats have no breakout ideas to re-inflate jobs and housing. Apparently “Debt Ceiling Smackdown” didn’t impress interest rates or stock indexes. After speculators cause severe market crashes deliberate deficit spending, correctly targeted, could “reflate” housing and jobs. Read “The 7 Deadly Innocent Frauds of Economic Policy,” free online. Instead, Washington threatens austerity. Put events in perspective: Panic destroyed about $13 trillion (30%) of household wealth. Then businesses snuffed 8.5 million jobs. The Federal Reserve offered banks $16 trillion credit. Puny $152 billion + $787 billion “stimuli” couldn’t possibly replace $13 trillion lost.
To redintegrate impoverished Americans the U.S. could print sufficient greenbacks, money without debt, to buy foreclosed houses. Devaluation of currency helps debtors. Rent those houses out. Pay unemployed renters even for temporary low productivity public service jobs. That’s “General Welfare Targeted Reflation” without more debt or raising taxes. China could at most call for a new world reserve currency. Paper money is kept scarce to make people work. Both national parties fueled by corporate funding, support this and the parasitic business of killing jobs for cheaper workers elsewhere so American wages are driven lower. All the following monetary theorists might, at this time, advocate or accept this approach: Ellen Brown, (The Web of Debt) Stephen Zarlenga, (The Lost Science of Money) Thomas Greco, (The End of Money and the Future of Civilization) J.W. Smith (Economic Democracy) and Richard C. Cook, (We Hold These Truths.)
What will Americans do for decently paid jobs in future? Maybe 280 million of us won’t have jobs manufacturing anything, and won’t be paid enough even to buy imports. We need greenbacks, legislated Shared Job Programs, industrial policy and government as Employer of Last Resort. Voters, de-register from both national party parasites. They are equally sacrificing us to a Mammon made of paper!
