Econometrics Requires Paradigmatic Analysis & Analogy of Cosmic Consciousness

Econometrics generally apply to reductive/selective research and observations. True and actual paradigm changes however are always characterized by conceptual opposition, inversions of temporal reality and entire pattern changes…as that is what a paradigm is, a mental and temporal pattern change.

Paradigm changes are the closest thing to magic that we can experience short of what is referred to as cosmic consciousness, which experience is simply a direct integration of the normal egoistic consciousness with a higher level of awareness of the electro-magnetic milieu that is the present moment.

The Paradigmatic Process

If you want a new economic model and new purposes for it you have to look for its major outness (money, debt and banking), discern the paradigm concept of that outness and then replace it with a new concept that fits seamlessly within the legitimate structures of the pattern under consideration and yet changes its character while resolving its major outness. The means of that new conceptual implementation requires a new insight or insights.

This is the scientific, philosophical and paradigmatic process. All else may be legitimate research, but at best is only palliative reform and at worst habitual abstraction and regurgitative erudition.

The Purpose of Production and The New Paradigm

The purpose of production is consumption in the most technologically efficient, ecologically sane and ethically humane ways possible. The current monopolistic monetary and financial paradigm of Debt Only as the sole form and vehicle for the creation and distribution of money lays directly across all of these purposes and is the deepest reason that most of our economic, ecological, social and political problems are kept in suspension. Finding the right new monetary and financial paradigm concept and then implementing it is the first order of business.

Why The Retail Sale 50% Discount/Rebate Policy Is A Paradigm Change

  1. It’s at the terminal ending point of the entire economic/productive process. Thus it ends any possibility of inflation which is almost never more than a smallish single digit percentage, and so it beneficially integrates price and asset delation into profit making economic systems. Inversion is a primary signature of historical paradigm changes.
  2. Debt Only is the current monopolistic monetary and financial paradigm, and Monetary Gifting not only breaks up that monopoly, but does so with conceptual opposition. Monopolies are anathema to freedom and greater freedom is a primary signature of paradigm changes. Conceptual and/or temporal universe opposition is also a primary signature of historical paradigm changes.
  3. The 50% Discount/Rebate policy at retail sale simultaneously resolves the two most thorny problems of economics, individual and systemic monetary austerity and price inflation. New paradigms always resolve long standing problems of the old/current paradigm.
  4. The 50% Discount/Rebate policy enables the progression from the dualing ideologies of capitalism and socialism to the more free and abundant economic system of Direct Monetary Distributism. New paradigms integrate/synthesize the particles of truths in seeming/currently considered opposite perspectives so much so that they create an entirely new pattern. They are hence thirdnesses and greater onenesses of truth.

Posted To RWER Blog 12/24/2020

The QTM IS fallacious. However that doesn’t mean there won’t be higher than normal or so called “good” inflation with MMT. There will be, because what is to stop business decision makers from committing the economic vice of price inflation. Short answer: nothing, because economists and economic pundits confuse alternately goosed and restrained monetary and financial chaos with “free markets” and because palliative reforms are not pattern changes.

Money is issued against production and recalled via consumption within an accounting cycle that after the last word is financially unstable. This is referred to as “real business cycles” by neo-liberal economists that fail to perceive that for profit finance is an illegitimate business model with a monopolistic monetary and financial paradigm. Heterodox economists recognize the flaws in neo-liberalism, but have not recognized the new paradigm concept and how to best implement and regulate it.

It would be very nice if heterodox economists would wake up and die right by no longer contemplating their economic navels, realized that it’s all about “money, debt and banks” as Steve Keen says and the monetary and financial paradigm concept as I have been posting about here for years. Then they could start a mass social movement that communicates the benefits of the new paradigm to both the individual and enterprise….and most importantly would enable us to begin the green industrial policy and fiscal mega projects that might save us from climate change.

Your grand children and great grand children will appreciate your open mindedness to this and your actions regarding it.

Merry Christmas.

Reply Regarding Science On RWER Blog

GH: “I have observed two distinct temperaments at work when people comment on the attempt to do science in any field. One temperament is disappointed when the analytic method fails in the face of the complexity of reality. The other temperament is delighted because it prefers to emphasise the role of intuition in grasping the nature of the whole and resents the pretensions of the analyst in trying to break things down into comprehensible particles. Each temperament has its virtues and vices. The analytical vice is to ignore the qualifications that always pertain to the method; the “holistic” vice is to delight in mystery to the point of obscurantism. We should ideally recognise our own temperament and try to guard against its biases, though that is easier said than done.”

Me: The goal should be to practice Wisdom which is the mentally integrative process itself, the thirdness greater oneness process of integrating the particles of truths in apparent opposites and within which the set of science is entirely included.

Science-the reductive mindset/discipline of deciphering complexity is wonderful, fun and far too often a Bible beating hurdle to progress both temporally and ethically. That is why Wisdom-the scientific AND wholistic mindset/discipline must ALWAYS inform it.

The reply is always that Wisdom is also prone to orthodoxy and its idiocies, but that would be confusing Wisdom with religion which it is not, at least not of the literalistic and parochial variety.

“Good Inflation” vs The New Monetary Paradigm

The idea of “good inflation” is flawed, resides entirely within Finance’s monopolistic paradigm of Debt Only and reinforces its dominating monopolistic power. Inflation always reduces the individual’s purchasing power. If economists would only recognize the workability of the 50% discount/rebate policy at the point of retail sale then creeping inflation would be transformed into beneficial price and asset deflation, and all of the other benefits of monetary gifting like doubling everyone’s purchasing power and doubling the demand for every enterprise’s goods and services would become apparent. That’s a little too mind blowing for them, poor things, but once consciousness of a new paradigm is out of the box there’s no stopping it.

The Three Steps To The New Paradigm

I have followed all of MMT, Public Banking, Steve Keen and Michael Hudson ever since the great recession of 2008. They all make valid points and are all good reforms, however none of them alone or even together accomplish what is actually needed and that is three things: 1) The conscious recognition of the basic concept that is the new monetary and financial paradigm, 2) a breakthrough policy at a strategic point in the economic/productive process for best implementing that new paradigm and 3) a mass movement not unlike MLK’s Civil Rights Movement that communicates the obvious benefits of the new paradigm and thus herds the entirety of the political apparatus toward that implementation. You can see the entire program for this here: https://www.amazon.com/dp/B07PLNJLRN/ref=sr_1_1…

Of Paradigm Changes, Reforms, Complexity, Deep Simplicities and Actual Integrations

KZ: One of Hume’s rivals, not well disposed to favor Hume noted that despite the uncertainty of life Hume wrote and talked about, Mr. Hume found his way each day from his office to the local pub and then to his own front door. Routine and muscle memory as solutions for uncertainty. The simple things are often quite useful in explaining human actions and ideas.

Me: “The simple things are often quite useful in explaining human actions and ideas.”

Indeed, and in the actual operations that accomplish paradigm changes which are also BOTH human reality AND temporal universe changes in certainty by the way.

Like the change from unconsciousness to self awareness, from nomadic existence to homesteading and urbanization, and from ego centric and earth centric cosmology to naturalism and helio-centrism.

Me: “My point is both more mundane and at the same time infinitely expansive.”

An excellent duality….to integrate wisely…with the integratively inclusive mental discipline AKA Wisdom….and the various relevant aspects of the pinnacle natural, philosophical and unitary concept of grace….the reality of which is cosmic.

“In short, Hume was skeptical because he was socialized by a skeptical culture surrounded by cultures that taught certainty (Catholicism, French monarchy, Russian monarchy). Hume is like all of us an actor network. So what he may appear to an outside observer should never be taken at face value. Do more digging.”

Another duality. The answer is both “digging” AND integration of the particles of truths in apparently opposing realities in order to discover and perceive the resulting thirdness greater oneness that is the signature of both wisdom and paradigm change.

Also, one needs to realize that rational/logical analysis for all of its virtues has its limitations, particularly when both sides of the hypothesis has long degenerated into regurgitative orthodoxy and obsessive contentiousness…and so be willing to take the creative leap outside of that dualistic mess.

“That most economists do not excavate indicates to me they are not social scientists. What are they then?”

“That most economists do not excavate indicates to me they are not social scientists. What are they then?”

Believers….and defenders of the “faith.”

KZ: Craig, this is intended as an integration. Much like Calculus. The only way in my view to reveal that integration is to explore it. To excavate it. In this the normal sort of analysis (taking apart) is more likely to take us away from the integrated cultural creations we want to reveal and interpret. In other words, to understand we must integrate like those who created the way of life we are considering. Also, this is not a situation where being a sycophant will help us do the job. One crude way this point is made sometimes is to say we are listening to the data. Broadly speaking that is correct. But the data is complex and not easily grasped. That requires a lot more effort than is usually considered necessary for good social scientific research.

Me: Ken,

Yes I understand this, but #1 macro-economics and neo-liberalism have been excavated 13 billion ways from the middle….and yet #2 we’re still waiting for even heterodox analysts to actually suggest a TRULY integrated difference. There ARE at least several reforms (MMT, Keen’s Minsky’s Financial Instability Hypothesis, Hudson’s Financial Parasitism, the idea of a UBI and Ellen Brown’s Public Banking) and they all circle around the core of the problem which is composed of money, debt and finance.

However, reforms are second order palliatives NOT TRUE INTEGRATIONS. True integrations directly and terminatedly deal with the core problems, and with the new insight and new or re-discovered tool (the monetary policy potential of the point of retail sale and the re-discovery of the monetary importance of double entry bookkeeping) that are signatures of the quintessential integration namely a paradigm change ….accomplish it.

And yes the problem is complex, but the research has already been done on the complexities. Keen’s calculus is revealing, but it in his own words makes one’s eyes glaze over. MMTers have said a billion times taxation’s primary function is providing value to a fiat currency NOT the sole means of funding the government or an adequate means of dealing with inflation. Ellen Brown has written hundreds of articles about the costliness and dominance of private banking. UBI is all the rage.

But virtually nothing has come of these…..because they have not cognited on the breakthrough policy and direct temporal universe operation of 50% discount/rebate monetary policies at retail sale and at loan signing. Once that occurs all of the above reforms which align with but do not execute the new paradigm can be integrated into the overall program and theory.

Remember, embracing complexity is well and good so long as it’s not a death grip, but simplicity, deep simplicity, is the key to understanding wisdom/paradigm changes.

Certainty, Uncertainty & Wisdom

KZ: One of Hume’s rivals, not well disposed to favor Hume noted that despite the uncertainty of life Hume wrote and talked about, Mr. Hume found his way each day from his office to the local pub and then to his own front door. Routine and muscle memory as solutions for uncertainty. The simple things are often quite useful in explaining human actions and ideas.

Me: “The simple things are often quite useful in explaining human actions and ideas.”

Indeed, and in the actual operations that accomplish paradigm changes which are also BOTH human reality AND temporal universe changes in certainty by the way.

Like the change from unconsciousness to self awareness, from nomadic existence to homesteading and urbanization, and from ego centric and earth centric cosmology to naturalism and helio-centrism.

KZ: My point is both more mundane and at the same time infinitely expansive. All certainties and uncertainties are contextual. Some belief or action or experience is certain or uncertain only in relation to some setting. So, neither certainty nor uncertainty are absolute. This allows us to view Hume’s deep uncertainty (skepticism) in the context of such events and beliefs as Enlightenment UK, industrializing UK, decline of religion’s importance UK, capitalism in the UK, perpetual wars with France, etc. But Hume was not skeptical about the local pub or the house where he lived. Under certain conditions these may be skeptical for some people. In short, Hume was skeptical because he was socialized by a skeptical culture surrounded by cultures that taught certainty (Catholicism, French monarchy, Russian monarchy). Hume is like all of us an actor network. So what he may appear to an outside observer should never be taken at face value. Do more digging. Social scientists do excavations. That most economists do not excavate indicates to me they are not social scientists. What are they then?

Me: “My point is both more mundane and at the same time infinitely expansive.”

An excellent duality….to integrate wisely…with the integratively inclusive mental discipline AKA Wisdom….and the various relevant aspects of the pinnacle natural, philosophical and unitary concept of grace….the reality of which is cosmic.

“In short, Hume was skeptical because he was socialized by a skeptical culture surrounded by cultures that taught certainty (Catholicism, French monarchy, Russian monarchy). Hume is like all of us an actor network. So what he may appear to an outside observer should never be taken at face value. Do more digging.”

Another duality. The answer is both “digging” AND integration of the particles of truths in apparently opposing realities in order to discover and perceive the resulting thirdness greater oneness that is the signature of both wisdom and paradigm change.

Also, one needs to realize that rational/logical analysis for all of its virtues has its limitations, particularly when both sides of the hypothesis has long degenerated into regurgitative orthodoxy and obsessive contentiousness…and so be willing to take the creative leap outside of that dualistic mess.

“That most economists do not excavate indicates to me they are not social scientists. What are they then?”

Believers….and defenders of the “faith”.