Posted To Mish Shedlock’s Blog 09/18/2017

Mish:  Free Money Proposals Do Not Scale

Sure, one can do a trial and show that 20,000 or whatever sample size is better off.

However, any benefit to the trial participants must at the expense of a bigger deficit or higher taxes on everyone else.

Imagine giving 200 million people a guaranteed living wage. Who is going to pay for it?

Next, imagine all of Europe doing this coupled with freedom of movement.

Why stop there? Imagine the same program for the entire world? Free money for everyone!

Me:  Is this your so called response to the universal dividend policy? You’re more blinded by the paradigm of Debt ONLY than I thought to posit the old saw of “where’s the money going to come from?”

The problem is the universal basic income crowd and virtually all economists are only half conscious of the solution which is the additional income AND the retail product discount policy which intelligently and graciously integrates the wet dream of otherwise terminally painful Austrian economics into profit making systems, i.e. price deflation. The money will come out of nothing, ex nihilo, exactly like the banks dominatingly enforce their monopoly paradigms today…..except it will be monetary Gifting not Debt.

Integrate their paradigms of Debt, Loan and For Production ONLY with the new paradigm of Direct and Reciprocal Monetary Gifting and you’ll have freedom for the individual and for enterprise, and free flowingness for the system.

Break up your intellectual fallow ground and look at the these policies instead of simply regurgitating Austrian and libertarian orthodoxies. Look….and you might have “a genuine experience” of the present moment instead of being so stuck inside your mind.

Mish:  In one Canada example, taxes went up on some to pay for benefits for a few.
Give free money to everybody and tell me how it scales.

Understand the push here. Guaranteed income will never be enough because guaranteed “living” income is next.

There will never be enough money to pay for it. Moreover, due to inflation, living wages will keep rising and rising and rising.
Free “living wage” money for everyone is the path to hyperinfalation.

Me:  Orthodox duncery almost all around here. The set of possible constructive meaningful purposes is larger than the set of employment as meaning only. It won’t be a problem, especially if we grow two new neurons and have a cooperative effort on the part of the helping professions, the clergy and the government in making people more aware of these many constructive purposes. And if someone absolutely can’t find purpose without putting in his/her 40 hours of time a job guarantee can also easily be incorporated into economic policy.

Profit making economies will not survive their increasingly cost inflationary nature and the inevitable innovation/AI juggernaut unless the dual policies of a universal dividend and a rebated back discount to the retail product of every business model are implemented.

Look Mish. Innovate on a philosophical and paradigmatic level so that you stop being such an old orthodox fucking fogie.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s