JD:

potential fraud in that.

Me:  J D,

A mere numerically sufficient Dividend would simply “free” the vast majority of individuals soon to be thrown out of work by the just getting started disruptive economic forces of innovation and AI….into a second class economic status. That is why I keep suggesting that the Dividend and Discount together approximate a middle class level of income. A virtual equilibrium can be attained at virtually any reasonable level of income above the middle class level with the policies of Social Credit/Wisdomics/Gracenomics, but until the numerical amounts distributed can be reduced via rescinding of re-distributive taxation and other economic efficiencies…..they must equal purchasing power that is at a satisfactory level, otherwise you’re snatching discontent and defeat from the mouth of victory.

The Dividend and Discount mechanisms must go together or the inevitability of demand pull inflation by businesses seeing an increase in demand coming will still disequilibrate and de-stabilize the economy with such inflation. MMTers and other economic and monetary reformer’s beliefs that demand pull inflation will not occur are not looking at the situation as close or as realistically as they should. This is also part of the reason why I believe that the discount percentage needs to be large enough to produce significant price deflation. A dividend and price deflationary discount is a true integration and resolution of the polar opposites of Social Credit and Austrian economics and will hasten Douglas’s assertion that ultimately money will become a ticketing system for the distribution of production.

The Dividend and Discount mechanisms are the anatomy and component parts of a stable economic equilibrium, i.e. a + of income and a – to prices, and are also reflective not only the digital nature of debt itself, but also the debt based money system (and not coincidentally the digital nature of the top two states of consciousness that humans are capable of, namely, Knowing…and Unknowing or not Knowing) This latter is a discovery of Wisdomics/Gracenomics.

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Liam,

Yeah I liked that parasite analogy too. I have always liked Hudson because at least he has “fire in the belly”. You take guys like Steve Keen who has progressively re-discovered much of what Douglas said and yet still hasn’t cognited on the obvious policies to rectify the situation. In fact Keen has a video on his you tube channel where he carps at people because they carp about interest and correctly shows that because there is a difference between a stock of money and a flow of it…that interest can be paid and is not the problem. Of course social crediters recognize this too, but they also recognize that interest is only one of the several components of COST, EXTRA, ADDITIONAL AND DYNAMIC AS IN EVER PRESENT AND SYSTEMICALLY ROOTED COSTS, and that this is the true scope of the problem. But despite the fact that we can muddle through for long periods of time paying the additional cost of interest and also part of the “Gap” ….Keen apparently hasn’t recognized that throughout the entire period of time that we are onerously paying interest and continually failing to pay the entire Gap……the system is unethically ruling us, instead of serving us as it ethically should! It’s almost as if he’s saying that the data point that interest is mathematically payable….is more important than than the fact of enslavement of every other business model and the entirety of the population….and so is no big deal????????? At least Hudson is ethically “up in arms” about it. Part of Keen’s problem is he’s a pedant. He has to be objective. He has to be authoritative and reputable as an academic, and these are mental hurdles that must be overcome for him. And of course he also has to recognize that interest and the Gap, interest and TOTAL AND ADDITIONAL costs…are not the same thing.

Very intelligent people have these mental barriers to full and complete understanding and ethical outrage regarding the problem; other agendas, self interest, academic objectivity etc. etc. that keep them from seeing the whole truth and being appropriately outraged by it.

That’s why I like my Project Wisdom and Grace idea (maybe it should be Project Wisdom, Grace and Appropriate Outrage) that sells the idea of the Dividend (more actually and immediately available money in the consumer’s hands directly translates into more profit for them) to the small to medium sized business community. It’s a natural alliance. You have to meet people where they’re at. Where they may be open to receiving it.

Ultimately the problem is one of consciousness raising.

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The laws of thermo-dynamics actually affirm the Social Credit insight about systemic, dynamic additional costs. The economic system is utterly embedded in the temporal universe and hence is cost inflationary. The money system being basically an abstraction/and agreement is not subject to thermo-dynamics and can be utilized to equate incomes and total costs and to actually reverse the entropic trend of the economy with a price deflationary discount to retail prices.

Social Credit isn’t going to eliminate employment, simply enable us to embrace the inevitable trend of less and less employment while simultaneously creating economic stability and an actually ethical system.

More efficient Solar power and IMO discovering and tapping into the virtually unlimited potential for electrical power that surrounds the planet and that drives the entire cosmos is what is going to be the next evolution of energy. If one googles “The Electric Universe” and approaches their thesis with an open mind (because orthodoxy will close your mind so fast you won’t even notice it, and orthodoxy hides not just in economics, but perhaps even more so in the sciences of physics and cosmology)…you’ll see the potential there.

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What Keen needs to do with his Minsky software is not just run generic stocks and flows of total money, but rather the stocks and flows of total costs in ratio to individual incomes continuously and simultaneously produced. That is the truly significant metric, the actual MOMENT TO MOMENT AND CONTINUOUS monetary and economic scarcity reality and disequilibrating factor that makes continuous borrowing NECESSARY. I have implored him to look at the cost accounting datums and decipher their economic relevance, but he still just splashes around on the surface level of accounting trying to find significance in only debits and credits which actually tend to deceive one into thinking that the monetary statistics are balanced. As the largest part of his research has been to invalidate General Equilibrium Theory you would think he’d leap at my suggestion and awaken to the Social Credit insight, but so far to no avail.