As James Galbraith put it years ago, "It's the interest rate, stupid."
Has Trump thought his tariff proposal through? Brian gives reasons to doubt that this move would be successful in replacing the income tax or substantially affecting it.
BTW, Brian has migrated from X to Bluesky along with many others in the fields of economics and finance. Links provided at the end of the post.
Bond Economics
Whoa!… hold up!… was Marx correct? π€
Americans are increasingly voting along class lines, not racial ones. That could upend how we’ve thought about politics for decades. https://t.co/rWBJFK32BD
— The Wall Street Journal (@WSJ) November 15, 2024
Today (November 15, 2024), MMTed releases Episode 8 in the Second Season of our Manga series – The Smith Family and their Adventures with Money. Have a bit of fun with it while learning Modern Monetary Theory….William Mitchell — Modern Monetary Theory
Oh no, what will we do? "Privileged" (her words) Eva Langoria is leaving the U.S.!! What a loss. Here's Eva, lamenting for all the rest of us who will be left behind.
“Most Americans” are “going to be stuck in this dystopian country, and my anxiety and sadness is for them."
Thank you, Eva, for your fake concern. We'll try to get by in this terrible country as best as possible. But before you go, can you please take all of your Hollywood asshole friends, too? America can't stand you and your privileged elitist sanctimonious jerks from Tinseltown. Get lost. Go!!
Hopefully, this is not an empty threat by Eva, as we hear regularly from people like Alec Baldwin, Susan Sarandon, and Robert De Niro. They should take the lying, terrorist-loving, woke, anti-American mainstream media with them.
More wishful thinking from Democrat left:
Given voters’ ire at the high cost of living, it might be wrong to assume Donald Trump will simply pick up where he left off and pressure the Fed to take interest rates right on down https://t.co/Mf70bunUQr
— Bloomberg Economics (@economics) November 12, 2024
Reports Iran conspired to assassinate Trump…
The DOJ charged 3 individuals in an assassination plot against Trump. Two are in custody and one is allegedly living in Tehran — the capital city of Iran.
— johnny maga (@_johnnymaga) November 8, 2024
Some really interesting things are happening right now. pic.twitter.com/8rsDBdyjGk
6 of these m-fers just deployed to Qatar plus boomers to the region…
Maybe Trump will demand the surrender of the Iranian regime…or finally incinerate that whole goat f-ing rats nest…
Volatility premiums increasing 2 months out…
This guy a MAGA Trump insider perhaps in line for AG (probably too much to hope he gets it ππ») but it’s revealing that he mentions the bankruptcy first…
Trump’s opponents attempted to bankrupt him for non-fraud.
— πΊπΈ Mike Davis πΊπΈ (@mrddmia) November 8, 2024
And imprison him for life for non-crimes.
And take him off the ballot.
And take off his head.
Now they want “unity”?
Fuck them.
Let’s unify them in prison.
Biden 2022 rate increases were unprecedented… so you can see what they did they put the rates way up to squeeze him, then they get commie kangaroos in NYC to impose half a billion dollars civil judgement in attempt to to bankrupt him… flushing the US CRE market down the toilet bowl in the process causing mini banking crisis in March 2023 … hoping Trump somehow got caught up in the whirlpool…
So his first mission (he will never say that it is) will be to reverse all this .. which would start with quick reversal of Biden rate rate increases to benefit his position and a lot of others like him who also have been being squeezed… which means policy rate down at least to 2% pronto.. will cover it politically by saying he’s getting mortgage rates down for young households which will be an added political benefit…
Going to be interesting to see if the Fed commie deep state Monetarists are going to be the first to fight him on this part of his agenda..,
We will need weeks, months, years to fully grasp the enormity of what took place in Kazan during the annual BRICS summit under the Russian presidency.My take is that there were two tracks leading up to the meeting of BRICS+ in Kazan.
For the moment let’s cherish arguably the most appropriate definition of BRICS as a laboratory of the future: this lab, against nearly insurmountable odds, is actively engaged in creating a Sovereign Harmonious Multi-Nodal World.
On April 5, 1933, US President Roosevelt made an executive decision to create the – Civilian Conservation Corps (CCC) – which was a component of the suite of government programs referred to as the – New Deal – that defined the Federal government’s solution to the mass unemployment that arose during the early years of the – Great Depression. These programs have been heavily criticised by the free market set as being unnecessary, wasteful and ineffective. Critics assert that no long-term benefits are forthcoming from such programs. However, those assertions are never backed by valid empirical evidence. A recent study by US academics has provided the first solid piece of evidence that the CCC delivered massive long-term benefits to the individuals who participated in it. And these benefits considerably outweigh the dollars outlaid by the government. I discuss that research today. The results also point to the effectiveness of a Job Guarantee program....
Not much happening regarding MMT these days.
Herer is an anecdotal report on Russian banking. And, yes, you read that right. You get 24% not the bank.
Doctorow is an American residing in Brussels who spends a good deal of time in Russia. His wife is Russian and he is fluent in Russian. A "Russianist," he has a a PhD in history (Harvard) and is a retired business person. His reporting does not conform to the narrative.
Gilbert Doctorow—International relations, Russian affairsThe conclusion is that it’s a lot easier to talk about creating truly alternative institutions than actually doing so, which means that BRICS will likely just remain a talking club, or a “multitasking laboratory of global governance” as Kortunov diplomatically described it. That’s not to downplay the group’s role since it’s important for major and developing non-Western countries to discuss pressing issues of the evolving world order, especially economic-financial ones, but that’s not the same as what enthusiasts expected.A dose of reality. The Alt-Media got a quite a bit ahead of reality with respect to their expectations of the initial outcome.
The Kazan Summit therefore wasn’t a failure, and in fact, it succeeded in its only realistic goal all along of gathering its members and partners together to discuss ways to voluntarily accelerate financial multipolarity processes such as through the increased use of national currencies. The outcome was always going to be more symbolic than tangible due to the group’s purely voluntary nature, though some observers had false expectations and thus feel bitter, but now they know what BRICS is really about.
Democrat rate policy still has US overnight risk free IOR rate at 4.9% so what is so bad about a 10yr risk free UST rate of 4.2%?
It’s still significantly inverted over time … usual Art degree moron suspects going apoplectic meanwhile a significantly inverted yield curve… hard to understand how these peoples brains work… π€
The BRICS Cross-Border Payment Initiative (BCBPI) will use national currencies, instead of the US dollar. Russia’s finance ministry and central bank released a report detailing plans to transform the international monetary and financial system.
IntroductionVoice from Russia — The trilingual blog about geopolitics and geoeconomics written by a Swiss living in Moscow
In the first part of this year’s BRICS series, we described the geopolitical environment in which BRICS is currently operating and trying to evolve. This environment has changed for the worse since the last BRICS summit in South Africa last August.
The consequence is that BRICS cannot develop freely, because on the one hand, the decisions – especially those of the USA – regarding the wars in Ukraine and the Middle East, the situation in the financial markets and finally the elections in the USA will have serious consequences for the whole world. On the other hand, the decisions of the BRICS regarding the admission of new members and the introduction of a currency (unlikely) or a payment and settlement system (likely) will also have a major impact on the overall geopolitical situation.
This article deals with the facts and figures of the current state of this organization, the figures including candidates for admission (BRICS+) and an outlook with figures including interested countries (BRICS++). In a subsequent article, we will cover the topic of a new currency and a new payment and settlement system.
In a New York Times editorial, David Leonhardt recounts Aesop’s apocryphal story about the boy and the wolf, warning that while deficit hawks have so far been wrong, the growing government debt will eventually bite. He reports the economic plans of both presidential candidates would add to the debt that will soon exceed GDP and grow to 130 percent of annual output under a President Harris, or 140 percent with a Trump presidency.Levy Economics Istitute
The story of the boy and the wolf was a fable, although it was within the realm of possibility. The fable of the debt wolf is not. While there are real world wolves—Leonhardt mentions climate catastrophe and autocratic leaders, and the authors would add rising inequality and the concentration of economic and political power in the hands of billionaires.
Today (October 18, 2024), MMTed releases Episode 7 in the Second Season of our Manga series – The Smith Family and their Adventures with Money. Have a bit of fun with it while learning Modern Monetary Theory (MMT) and circulate it to those who you think will benefit.…
Great breakdown of a great song (by The Doors) by these 2 Millennial black bros… never understood the song as a metaphor for the city of Los Angeles but yeah I get it now… makes it even better…
Short article on Stephanie Kelton's The Deficit Myth.
Daily KosToday (October 3, 2024), MMTed releases Episode 6 in the Second Season of our Manga series – The Smith Family and their Adventures with Money. Have a bit of fun with it while learning Modern Monetary Theory (MMT) and circulate it to those who you think will benefit. Episode 6 was delayed by two weeks…William Mitchell — Modern Monetary Theory
As we have been writing for over a year in this newsletter, the UK Government, as the issuer of the UK pound, can never run out of money. They can afford whatever is priced in pounds. There is never a problem finding the money. This leads to a natural and painful conclusion: Continuing austerity policies is a political choice....
Not MMT or economics as such but it is interesting in that Bill is an MMT founder so his stance on economic sociology is relevant.
There was an interesting article in the UK Guardian the other day September 26, 2024) – Take it from me (and Keir Starmer) – you should never pretend to be more working class than you are. I don’t usually agree with the journalist but this article made me reflect on a lot of things.…
Aside:
The scrutiny arises because many of these “Labour people” appear to have accumulated wealth (real estate etc), have come from well-paid jobs and network with the elites in society.
For that they are referred to, in a pejorative way, as ‘champagne socialists’.
The Ministry of Finance of the People's Republic of China (Chinese: δΈεδΊΊζ°ε ±εε½θ΄’ζΏι¨; pinyin: ZhΕnghuΓ‘ RΓ©nmΓn GΓ²nghΓ©guΓ³ CΓ‘izhΓ¨ngbΓΉ) is the constituent department of the State Council of the People's Republic of China which administers macroeconomic policies and the annual budget. It also handles fiscal policy, economic regulations and government expenditure for the state.The ministry also records and publishes annual macroeconomic data on China's economy. This includes information such as previous economic growth rates in China, central government debt and borrowing and many other indicators regarding the economy of mainland China.The Ministry of Finance's remit is smaller than its counterparts in many other states. Macroeconomic management is primarily handled by the National Development and Reform Commission (NDRC). State-owned industries are the responsibility of the State-owned Assets Supervision and Administration Commission, and there are separate regulators for banking, insurance and securities. It also does not handle regulation of the money markets or interest rates. These, together with other aspects of monetary policy, are governed by the People's Bank of China (PBC), mainland China's central bank. The Ministry, NDRC and PBC are equal in status, with their political heads all sitting on the State Council.
Interesting personal story.The discovery of a monetary approach, which, in this case, not only relates to a field that I was not familiar with, but also constitutes a total challenge to my own knowledge of public finance management, which I have practiced throughout my career, is not something trivial. So I decided to tell my own story.
