Saturday, November 7, 2015

Taxes are only an Accounting tool.


Taxes should support economic grow


Taxes would be more effective in controlling inflation if they were increased or decreased in ratio to employment levels, productive capacity, and cost of input raw materials. When there is  high unemployment & excess productive capacity there should be low taxes on the Middle-class. When there is low unemployment and stressed productive capacity, taxes should be increased 

 Taxes should never be used to maintain a Budget surplus.  They should only be used to create a stable productive economy by maintaining a stable consumption of Goods & Service. There should be a slight bias toward steadily increasing money supply to  accommodate steady economic growth. 

Tuesday, November 3, 2015

Money is a government function


The issue of money is a function of the government


1896 – REMARKS OF WILLIAM JENNINGS BRYAN BEFORE DEMOCRATIC NATIONAL CONVENTION, CHICAGO, IL (BRYAN WAS THE DEMOCRATIC PARTY CANDIDATE FOR PRESIDENT)

"We say in our platform that we believe that the right to coin money and issue money is a function of government…Those who are opposed to the proposition tell us that the issue of paper money is a function of the bank and that the government ought to go out of the banking business. I stand with Jefferson...and tell them, as he did, that the issue of money is a function of the government and that the banks should go out of the governing business... When we have restored the money of the Constitution, all other necessary reforms will be possible, and ... until that is done, there is no reform that can be accomplished."

Sunday, November 1, 2015

Financing Basic Income Gurantee


No interest Debt
No Interest Debt



The simplest way to finance a "Basic Income Guarantee" is to levy a flat FICA tax on all income (excluding Basic income ] on both employer and employee. The tax is necessary only to balance the money circulating in the economy to the amount of available skill labor, productive capacity, and raw material. This helps control inflation when the ability to produce goods & service becomes stressed by scarcity of inputs.

The rest of the cost can just be added to the federal debt. That could be financed by the Federal Reserve System with 100 year Bonds at 1% interest. Then the Bonds can be retired from existence with no need for refinancing when they reaches maturity.