Tuesday, January 20, 2015

Bill Mitchell — Rising inequality – fundamental changes required

These are among the reforms I would introduce within the Capitalist system. They are all economically feasible in the sense that the currency-issuing government would be able to fund them and sustain them financially. 
At present they are politically infeasible, which is where the progressive argument has to focus. 
But, first, progressives have to overcome their TINA mentality when it comes to macroeconomics and abandon the mainstream ideas that have led to austerity. Claiming that they support a Robin Hood tax (for example) as a fairer way of raising income for governments to spend is not a credible progressive response. 
1. They should be advocating the wiping out of most of the financial sector. 
2. They should be educating the public that a sovereign government is never revenue constrained because it is the monopoly issuer of the currency.
Bill Mitchell — billy blog
Rising inequality – fundamental changes required
Bill Mitchell | Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at the Charles Darwin University, Northern Territory, Australia

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