Hello Fellow Economic Reformers:
Today's greetings come to you in big red letters because of the current debt-ceiling crisis that threatens to unravel our debt-repayment mechanisms, send interest rates soaring for both government and individuals, and destroy the AAA rating of the United States, possibly forever. We have NEVER defaulted on our national debt, yet this is what the mostly clueless Tea-Party* inspired Republicans, and the mostly clueless, often spineless, Democrats intend to do to We, the American People.
This would do something else Mehrling is perhaps unaware of - it would guide the country much closer to a true understanding of the Money System, as promulgated by movies like The Money Masters and Stephen Zarlenga; namely that money is a legal creation of a Federal Government , whose value is determined by the quantity of it. Is this too radical a notion to allow to seep out to the American public? Time, but not much time, since there is a August 2 debt drop-dead deadline, will tell. After August 2, and perhaps before, American's credit rating will be slashed, Social Security checks will stop going out and military personnel will stop being paid, unless a law is passed exempting them, among many, many, other bad things, some of which cannot be unwound even IF the Congress comes to its senses.
Now, of course, we who have studied George know that lowering the debt will just mean more debt in the future as the Landowner "takes all that remains." And cutting entitlements will only make some less able to pay the Landowner, while others will still be paying "all that remains." Still, the crisis is NOW, and we will not get a Georgist solution in the next two weeks, so something must be done .
* People who align themselves with Tea Party goals represent just 28% of those surveyed in a USA Today/Gallup poll conducted in March 2010, 26% were opponents, and 46% were neither. [ 176 ] A CBS News/New York Times poll in September 2010, in sharp contrast, showed 19% of respondents supported the movement, 63% did not, and 16% said they did not know. In the same poll, 29% had an unfavorable view of the Tea Party, compared to 23% with a favorable view. [ 178 ] The Center for American Progress, a progressive group, used this poll to assert that the Tea Party movement holds views that differ from those the general public. Indeed.
A further study by the Center shows that:
Stay tuned for some major new initiatives this Fall. They won't be easy, and unfortunately, they won't be quick (can the world wait?), but they are necessary.
In the meantime, 14 states have Public Banking Bills, partly in an effort to circumvent reserve-rich banks who collect interest from the Federal Reserve instead of lending, and recall efforts are underway for many of Wisconsin's legislators (so much for the unstoppable rightward train), despite the fact that, as former president Bill Clinton put it:
Oh yes, we need voting reform too, but not in the form of disenfranchisement. Some democracy....