MMT is Social Credit for the government. Of course government is separate from and thus once removed from the individual who suffers most after credit bubbles, and also generally from a lack of consideration by theorists of all stripes. What we need is actual Social Credit itself which integrates direct financing to the individual into the the economy where Debt ONLY is the curiously monopolistc paradigm in what is allegedly a system pursuing and admiring free markets and competitive theory. I would suggest that creating free money for pols dominated by Finance, whose agenda is accomplished by austerity and dedicated to the utter triumph of the paradigm of their profit making product, i.e. Debt,…is not the most effective and freeing path to pursue. The real solution is integrating monetary grace the free and direct gift to the individual ….into consumer finance. I’m afraid MMTers as well as Keynesians of whatever stripe are nascent Social Crediters.

Every economic insight, policy or preachment short of recognizing that the concept of Grace as in monetary gifting to the individual is the new paradigm you yourself correctly say is necessary to discover…still remains and operates entirely within the mindset and paradigm of Debt ONLY, is therefore orthodox and to that degree misses the mark.

The macro economist’s job is not only to discover the disequilibrated nature of the economy it is to decipher and recommend policies that will enable the classical and correct goals of economics, namely balance, equilibrium and flow. Merely embracing disequilibrium is dada economics. Integrating the viewpoints of equilibrium and disequilibrium theory would lead to an expansion of data, a higher understanding of the discipline and possibly,…if one used something other than the orthodox scientific method and incorporated an aspect of imagination, contemplation, reversal or even the absurd, (all of which are signatures not only of good science and scientific breakthrough, but also of Wisdom)….just possibly give one an insight that could transform that discipline entirely.

Current Ideas/paradigms are all powerful mental concepts…until one looks past and beyond them. Once that occurs the absurdity and folly generally is exposed in the old paradigm so long adhered to.

The concept of Grace transformed the mental/psychological/spiritual universe two millenia ago. It’s time for that concept to transform the physical/temporal/natural universe as well.

[ (Equilibrium X Disequilibrium)  Grace ] = Integrated Balance of the Duality of Equilibrium/Disequilibrium and Grace/Flow

Corbynomics, while superior to the idiocies of austerity is still a thoroughly orthodox and incomplete policy. If you’d do all manner of infrastructure etc. spending, which god knows the UK and USA desperately need, and also implement both (remember there ARE two mechanisms in Social Credit) you’d actually attain an equilibrium…and with the macro-economic discount mechanism that is rebated back to the merchants who give the consumers the discount….you could have equilibrium AND price
deflation…with a roaring economy! All economists and economic pundits are nascent social crediters…because it much better and much faster accomplishes the the agendas of both the left and the right, and without including their mutual idiocies either.

Go figure why either would object to it? Maybe they’re both more concerned with power and control….than the freedom they say they are seeking.

The system of commerce ITSELF is the arena within which the income scarcity problem manifests itself. Creating interest free money that does not have to be paid back, but is just rolled over is not a problem, however, the moment you inject it actually into the economy itself…the problem has arisen. Also, changing the cost accounting convention which enforces that scarcity macro-economically is not actually an option because micro-economically it is an excellent knowledge and necessary signalling mechanism.  Therefore the only way to resolve the problem is to correct it…..with the actual solution of a gift of income…directly to the individual first…and then let he/she inject it into the economy. And then just to maintain the virtual equilibrium created by that gracious gift, you immersively and completely apply monetary grace within and between individuals and businesses in the economy by discounting prices to the consumer and rebating those discounts back to participating merchants. That’s Grace and that’s economic.

Integrate empiricism and complexity, and the result will be the gracious flow of the economy,  and the realization that the concept of grace as in gifting is the only full, complete and moment to moment policy answer.

Psychopaths and psychopathic systems are a bad combo. I suggest we evolve a third alternative like Distributism/Distributive Social Credit, whose paradigm is Grace and whose primary intention is individual freedom. Profit and even power and control can then fit seamlessly and almost entirely benignly…beneath those more humane and all encompassing ideas.

The generation of Five 0% $200/mo loan payments when macro-economically the system only generates $800 in income with which to liquidate those loans, results in crisis. Interest is a cost and a part of the problem, but when one understands that Debt itself/enforced re-payment under such rigged circumstances is when one sees that it is tyrannical even without interest….and that monetary grace the free gift is the integrating, balancing, freeing and necessary new paradigm.

There’s particle of truth in all valid observations. However, distraction from the most basic truth results in palliative thinking and leads to palliative policies which eventually  re-cycles and re-manifests the problem. Economic theory desperately needs the attitude of the engineer. Ironically, part of getting to that attitude is realizing the importance of integrating a philosophy based on the concept of Grace…which the present paradigm of Debt ONLY diametrically opposes and so prevents both individual freedom and systemic free flowingness.

Consider: Cost rules the micro economy. All additional costs, other than original financing disequilibrate the economy, but are actually irrelevant waste to macro. Hence policies can be crafted by macro-economists to close the gap for individuals via a universal dividend, and eliminate all additional costs except total of original financing via a discount to retail prices by merchants which in turn is rebated back to them. Thus enabling an evolution of modern technologically advanced profit making systems, virtual equilibrium, consumer retail price deflation and immanent economic freedom for the individual …all at the same time.

The directness and immediacy of effect of the dividend and discount policies fully, costlessly and completely overcome the factor of Time/reality of time lags in the economic system, and enable an actual  moment to moment balance, equilibrium and free flowingness to the economy…or as much as is possible in the temporal universe, their virtual equivalence.