Equilibrium is just another orthodoxy to overcome. What we should be intent upon is creating an economy that expresses “the higher disequilibrium” of greater individual and entrepreneurial freedom, and the ending of the glaringly obvious domination of the business model of Finance. Solutions are simple, conceiving and perceiving them is what is difficult.

Steve Hummel

@MH

You are completely right. The routine costs of capital depreciation, obsolesence and waste are not being accurately accounted for, and monetary policies implemented to compensate for them. As the cost accounting convention that all costs must go into price is always (and correctly from an economic standpoint) in effect, and depreciation allowances are but a “stay of execution” of those costs NOT a forgiveness of them and these are ADDITIONAL costs over and above any financial costs, then the rate of flow of total costs/prices will always tend to exceed the rate of flow of total individual incomes with which to liquidate such costs. These additional costs are considerable, and ever increasing as modern economies become more technologically advanced and capital intensive. A costless means of monetarily compensating for them both directly to the individual and also via price for businesses, whose desires to be competitively productive via technology and AI are healthy, entrepreneurial….and not their fault…in an economic system that is inherently cost inflationary.

As Wisdom is integration and you have to have at least two apparently opposing ideas in order to integrate something, so worrying about and/or fixating only on austerity as a problem….misses the mark. Not that monetary austerity itself is not a godawfully stupid and half brained thing to believe in, but integrating it with monetary abundance transforms (remember that word) austerity into prosperity….which is not profligacy by the way, but rather economy…which is what economists are supposed to be advising about…and half brain-edly failing to do so.

A sufficient and/or correctly targeted integration, according to The Cosmic Code, will result in a transformation. Now transformations are both inward and outward, and so require not only policies, but also thinking about the broader consequences of our actions (having a a sense of balance in all things wed to a sensitivity to ourselves, others and the planet as a whole). So integrating the desire for  more with the need to prevent ecological and environmental disaster is required.

Now if there’s not enough money in every individual’s hands to have one or two pairs of shoes, then you have austerity, and if you have 5 or 10 pairs of shoes and you’re just unhappily “dying” to have another 50 pair, then you’ve got a lack of integration problem. Abundance is necessary for anything to reflect Grace, but Grace is also balance and flow through time….so let us have policies which effect abundance for all…and the mental integration that makes us happy and ethical beings living on a finite planet….at the same time. (Grace, by the way, is directness to the individual, immediacy, simultaneity and so oneness/wholeness.)

Integrate monetary prosperity and a systemic sense of economy. In fact integrate everything at every moment and you’ll have continual transformation, which is one of the most concise and accurate descriptions of the state of Grace. Contemplate that.

I’m the quintessential Mr. Nobody who is intellectually curious and whose adult life studies have been the various Wisdom traditions of Mankind and economics and Money Systems. And that is why amongst a sea of ignorance, apathy, distraction, cranks on all sides and finally both orthodoxies galore and plenty of iconoclasm as well….I was uniquely qualified and lucky enough to have the right mental tools, knowledge and proclivities to recognize and fully flesh out the concept behind what the policy recommendations of every leading edge thread of reform has so far only unconsciously advocated. And that is what Wisdomics-Gracenomics and The Cosmic Code are about, the full awakening to the concept of Grace.  And luckily, sprinkled in between, several extraordinary experiences of same which helped in researching/recalling the concept and assisted in whatever self actualization of that state I have integrated into my beingness and Life.

I stand on the shoulders of giants of course. Giants like C. H. Douglas and several of his students who were very instructive when I first discovered Social Credit, and with which Wisdomics-Gracenomics  and The Cosmic Code are thoroughly aligned. I undoubtedly also came by some of my contemplativeness via my paternal grandmother Hazel Myers-Hummel who was a saint in the best tradition of such, and also from both of my parents whose individual strengths I had to work back to and re-discover.

A nice post, except there are discernable general times and places where the economy begins and ends. It begins with the individual with spendable money in his/her hands and it ends with them actually exchanging that money for goods and services at retail sale. Knowing these two points enlightens us as to where and when to implement macro-economic policy with its greatest effectiveness, and is also why a universal dividend and a discount at the point of retail sale are the best solutions to our modern economy’s most chronic problems, namely a scarcity of individual incomes and price inflation. This unvarnished insight about starting, changing and stopping is actually one of the oldest observations by Man and is referred to as the cycle of action of the physical universe mentioned in the Vedas many thousands of years ago. The economy IS complex, but it still has known places where policy can best be implemented.

Cranks can be annoying, its true. However, sometimes cranks are cranky for good reason, namely because the present system is onerous, biased and domineering and requires a new paradigm in order to make it ethical at all. And that is the more important point of course…even if the crank’s solution is piecemeal or even wrong.

For instance, who cares whether interest can be mathematically paid under ideal conditions when its (and other costs) enable a single business model to dominate and manipulate individuals, national economies and entire geographical regions? Holding up this sort of erudite idiocy as insight is all too prevalent in modern, intellectually fragmented and compartmentalized higher education. Integration of the particle of truth and rejection of untruth/half truth as always is the process and evolution toward Wisdom and a gracious unity.

The Cosmic Code, Wisdom and the cultivation of Grace are beyond debate. What is the value of half of a mindset as opposed to its whole? Or dynamic and vibrant present moment experience as opposed to the distracted, self destroying and dis-integrative state that passes as normal?

Moderns for the most part stumble around in the dark and call it knowledge or even enlightenment. The intellectual fragmentation, psychological damage and societal devolution of such habitually sophomore tendencies is staggering, but everyone is a sophomore at one point in their lives. The real responsibility for such psychic waste and inability to socially evolve lies with the “leadership” of society. Break up your intellectual and psychological fallow ground and quit being so afraid of being a fool. It’s the fools who evolve society and enable humanity to survive more prosperously, more deeply and more graciously. The fools like the first shepherds and farmers, like Copernicus, like Maxwell and Tesla….and like Lao-tse, Gautama and Jesus. Take the modern formula of the Cosmic Code and just practice it….and keep on practicing. Start by looking, looking outwardly. Then unburden yourself of the several sticking points that have you pinned to frustration, inaction or self destruction….and then just focus on your strengths, your abilities and your dreams. Wisdom and Grace has always been there waiting for you to discover it, develop it and grow it. Then you too can know what is beyond debate.

The beauty of Grace is twofold. It enables one to experience Life more openly and more deeply, and yet, remain entirely unscathed by it.  There is no downside to cultivating Grace and graciousness.                                                                                           Steve Hummel 08/22/2016

All of you are correct of course about what is occurring (the ripping off of the individual and small to medium sized businesses), but none of you are awakening to the solution which is to break up the TBTF Banks/FED/Corporations with global reach evil triumvirate with monetary policies that free the individual, guarantee abundant individual incomes even as tech and AI destroy it and change the entire direction of the macro-economy from cost inflationary to price deflationary….just like Austrian economics only dreams of doing with its pitifully orthodox adherence to a completely de-bunked general equilibrium and refusal to integrate truths from apparently opposing perspectives.

Mish you really have an opportunity to be the smartest, most open minded and progressive pundit (progressive in its real and positive sense, not just liberal orthodoxy) by paying objective attention to what I am saying and affirming it. Your buddy Steve Keen has made some statements recently and over the last year or so that begin to incorporate some of what I have said here and on his sites for years (for instance that depreciation is a correct factor to consider in monetary theory, and that the economy’s actual problems are a ratio of costs to individual incomes) ….it’s just that he hasn’t cognited on the perfect macro-economic policies to resolve the situation….mostly because he and nearly everyone else has at best a spotty knowledge of the philosophical concept which his and every other major reform (unconsciously) has as the basis for their policy recommendations. And I’m the only person who has both the philosophical clarity and acquired economic knowledge to understand and integrate that concept fully.

So please consider it. When I publish my book and begin speaking about these matters and how they are in the interests of businesses and 95% of individuals….you might look a lot smarter than you have up until now.

Mish:  Please stop promoting your book in progress. As for Keen, he is profoundly wrong on solutions and I would debate him on that. He does understand the problem.

Me:  Ah, so no debate, just retort. Why not debate me? Of course you will debate Keen….and you’ll both end up in a contentious stand still….because neither one of you has the intention of integrating truths, but rather just asserting your own total rightness. Integration of truths, not compromises that include/enforce half truths/untruths is what is required. Mental integration of truths is the very process of Wisdom itself, otherwise it wouldn’t be Wisdom…..but it takes the willingness to abandon orthodoxy. Keen is close because he’s iconoclastic, but his iconoclasm is incomplete, mostly because he lacks a full awareness of the philosophical concept that he’s partially already advocated. That concept is the epitome of Wisdom and the essence of unification itself, and the new paradigm/philosophy that Keen himself has said the new economics needs. Only problem is it’s absurd to the modernist and the orthodox. If you study actual paradigm changes that is what every paradigm change is….absurd and completely irrelevant and impossible….until it’s finally recognized as universal truth.

As each of the leading threads of economic and monetary reform have as their primary policy recommendation an aspect or aspects of the philosophical concept of Grace, all I am advocating is full and complete consciousness and application of that concept to policy. And as the state of Grace is synonymous with fully integrated human consciousness itself, that way we can have a fully conscious theory and application of economics and money systems.                                                                  Steve Hummel 08/21/2016