Hi There.You know Witchdoctor is linking sometimes some things to the Bill Mitchell MMt blog. Well, MMt is getting mainstream, big. And WD will show how the MMT starts to be a useful tool for the Oligarchy. This accounting view of certain ( and which parts are missing is the clue) sectorial balances in the complete Fiat Money (out of nothing) global value chain of hubs and platforms in a hierarchical order across the Planet of the last gasps of the Debt Driven economy, is, basically a right wing agenda of the new order of the global powers. Mmt is plain right wing agenda of reordering the global bullshit in a new framework of constant FIAT (money out of nothing) for the ruling Oligarchy.Not that the left wing agenda is any better, it is de facto a taxing hell.
A hell, and Slobanistan is the best example, where the far left including the so called center or you can pick a name, is just doing these things;
Implementing the OECD agenda of shifting tax burden from labor to the property taxes without any serious income bracket limit downwards and so targeting the overall population in a new pauperization (impoverishment) and dispossessing the huge strata of population, all in the name of the competitive market..And a new recession as a result of such stupidities since people get scared and the money is tight..
Supporting the OECD agenda for taxing without any threshold the last remnants of the wealth in peoples hands through taxing property with the same brackets as for the very rich and on the other hand detaxing work which is a competition push factor for the corporations (which pay no taxes). By detaxing work it cuts the welfare since the welfare taxes of the global salary force are the only welfare left.
The simple selling of the flat or house incurs (to come into or acquire some consequence, usually undesirable or injurious) in capital gain tax which means that if you have bought your property at 100 and after years sold it at 200 ,One hundred is taxed as your income and that is 50%. If you have planned to buy a new house with selling the old one you loose 50 and imagine the impact on such taxation on the property market, which will freeze or go berserk.The same 50% applies to taxing the stock one owns and that means that the first 10-15 years at the 3-4% stock gain you will have nothing since the 50% tax will eat all your gains, you may have only the losses.But after 15 yeas of nothing while holding your stock, you may dream how rich you will became after
!
By leveling the population to a minimum equal income as a propaganda of equality, and combining this with the OECD guidelines, the local Slobeenistan platform is getting equal in poverty and happily detaxed in their miserable wage and loosing welfare rights and heavily taxed on their property and assets, working peanuts for their ruling transcorporate masters bringing bigger profit.This is the extreme left agenda,. See any difference between? Nahhh.
But they are a canary in the mine of the new agenda…
MMt is excluding from the sectorial balances:
1.The Global, huge, Financial sector which is siphoning upstairs the debt of the states and the households and is the supra over structure of the Oligarchic wealth. Debt is good, until it goes in the right hands, regardless if the state is or is not in the austerity mode, which is just the extreme position on a same scale of events.
2.MMt (why this t as for theory is getting smaller and smaller…?)is completely excluding and disregarding, omitting, keeping the mouth shut on how the Private banks make money (links in this post) out of thin air and how they by accounting trick siphon the money received back… look all the money posts here… The Private banks make almost all the money in circulation and by omitting this actions and consequences in the process of the banks accumulating assets through the lending process (not from collecting the interest on the loan) ,MMt is a no theory…
3.The conclusion that the budget deficit equals private profit (households excluded, since they produce mostly new indebtedness)
4.Means that the overall State debt is just a corporations or Oligarchy profit.
5.Conclusion
6.If one is excluding a Job Guarantee from the Mmt, it is just a plain current system of the debt driven economy with a knowledge that the Sovereign state can produce as much debt-deficit as it wants, which equals the corporations private profit . The only limit is the inflation rise over certain brackets because this is a jeopardy for any profit.
7.Pheasants and Peasants warned,in the “a little left interpretation of mmt” they will get a job guarantee, hopefully not a obligatory one, which must not exceed the current minimum wage, and so the globalized value chain will not be perturbed…and sell some drugs and sex (rockandroll is dead) on the side to keep the standard of living…
8.There is sometimes a mention in Bill Mitchell blog, since he is a “left” proponent of mmt (why this letters are smaller and smaller..?), that the State could also work debt free financing directly the State through treasury,, but the consequences of this action on the supra financial suckers global and local level and banks is never explained.And they are huge, the guys will need to close shop…. and this is no mmt, it is another Planet.
THE CLASH PROJECTION TREND
This infamous projection should have been the beginning of the post, but things change locally, and Witchdoctor is proud for his projections as a sign of life on the Planet, they mostly work and if they do not , it is jut the sign they are too optimistic… (a kinda joke)
To understand this transposition of the dark feudal ages to a projection trend and the logic outlook, we ; dear 3 readers of the blog and all others who will find this message in the bottle when stranded on some shore in a distant future not calculating the new patterns of sea current of the climate change, we will start with some etymology. And it all revolves around Cattle, which includes all pheasant and peasants claimed by their master as property. We are deep in the Dark Ages when the shit has hit the fan. Gaigner -french, gain english, gannado- spain cattle-guadagnare italian- earn , english gain,- cattle. CAPITAL=CHATTEL=CATTLE=CAPITAL-CAPITALE, which is the head-caput (Capo, Boss) of the cattle.
Fee (REMUNERATION) – english=Vie-Dutch=Vieh-German= CATTLE
FE-ODAL (FEUDAL)= originates from Oligarch granting cattle in remuneration for land.
So YOU ARE CATTLE, ANIMALS INCLUDED AND THAT FORMS A CAPITAL! The same and identic.
To get into mood first read the Global hubs and platforms of the value chain and how they get simplified in global division of labor and extraction of wealth and think why the strategists of the Oligarchs and Corporations call the basic need of the extraction of profit in this simple sectorial terms>; PROTEIN, ENERGY, WATER. The word protein instead of human food is the proof of who is the CATTLE-CAPITAL.
We are entering slowly in the transposition and in the projection with prediction of the clash of the Oligarchy and the birth of the new system in around 20 years from now, all AI, robotization included
Root conjectures of the transposition of the system
Hmm. It is fun and it is scary, brrr.you can fart freely, anyway. The tale and the projection starts in the Dark Ages, when the warring Oligarchy seized and put claims on land and people, establishing property.The first Oligarchs did not come just or only from nowhere, there was the Roman Empire crumbling and dissolving just a little before them.And the first who have put the claims on all this-land and people, the Big Oligarchs, could not control all their property claims, not enough power, armed force and money, so they Outsourced and Subcontracted their property to smaller vassals who gained privileges for keeping the property for their OVERLORD. See, does it ring a bell? War by proxy, zones of influence, pacts of any type, Warsaw, Nato, China Ceta, TTIP?
The Overlords manipulated their Subcontractors so they did not turn against them all together. False flags, etc?
But they had a big problem. The only means of extracting wealth and profit was The Land and the peasants-the people.A monoculture, a zero sum game.The only means of accumulating Of the Capital was the Cattle (people included) and Food and woods and a little else…A classic Monoculture and no diversification of making profit.So they fought and fought, killed and killed because the only means of making wealth was land, food and serfs. Nothing else to get rich, or almost.Who will grab more of the same cake-zero sum game.
And here we go further to the expansion of means of production in recent times of the “late” dark ages – the 20th Century- and the rise of Capitalism (remember Cattle?), which shifted from Cattle and Land to Capital by production of various types of manufacturing commodities, banking, finance….The BIG GAME became varied and the profits could be made on many different sectors of production and services.The Direct Clash was more soft since The Ruling Oligarchy had different sources of Income and Wealth, not only Land and Cattle.
BUT, the logic of Concentration of Extraction because of the falling law of profit , when new means of production get mature,forced the Oligarchy to tightly organize the various value chains for better competition and the inherent Monopoly outcome on any value chain was getting global and the whole regions and Continents got more and more specialized in the Corporate Rule, divided in hubs and platforms. The ROOM TO MOVE WAS GETTING SMALLER AND SMALLER AND THE CLASHES BETWEEN THE PLAYERS MORE AND MORE OFTEN.THEY WERE REACHING THE BEFORE MENTIONED ZERO SUM GAME SITUATION AS IN THE BEGINNING.
So, we are entering the final period of the new simplification of the profit extraction and wealth accumulation, as in the beginning of the Dark Ages-PROTEIN-ENERGY-WATER. The quantity of the wealth is getting fixed and defined, as in the beginning when and where there was only LAND-CATTLE AND PEASANTS.
Dear 3readers, why this clash did not happen before, like at the turn of 2000 ? Well, that is why we started with the mmt, remember that mmt?
It was the end of Breton Woods and the Rise of Fiat Money (like in the rise of the planet of the Apes) which opened new means of wealth extraction for the Oligarchy that delayed the Clash, and also the Chains of Global Value Extraction were not fixed.And there is still Africa to chop and conquer and divide or whatever you call the war there.But the rise of financial sector opened a time window and also closed it by the Debt driven economy collapse.
And then came Internet and the Data Extraction (on which in the next post , which should have been this one, get ready) Megagalactic Bubble in trillions of new Fiat…and the mmt is already losing ground even on this data fiat.This “immaterial” New Vertical Expansion of the “economic” field as way out from the zero sum cake….Bled cremeschnitte?
The next open question on how delayed the Clash will be is what will happen in the down the drain with the austerity burdened model of the Europe which is getting a piece of nothing.. Not the silk road, as the Chinese call it, it is the SPIDER WEB OF THE CHINESE (THE WEB IS ALSO MADE OF SPIDER SILK, HEHE) who will tell who is getting what in this god forgotten land… and the signs of penetration of russia as a subcontractor and the Chinese Overlord are all there, since that is the web the German economy is in…trump forgotten…
But also this new fields to crop are monopolized and the Projection can be concluded with some restrictions….
The only question remaining of when the LAST ZERO SUM GAME WILL BE PLAYED- as in the Dark Ages, but since then the game became GLOBAL AND THE ROOM IS SMALL, AND THERE WILL BE NO EXAM
RETAKE.
Conclusion of the Projection without the new global economic crisis:
Next 20 to max 30 years and the Clash is inevitable, climate change, AI, Robotization included.
!!! it is fun to make Infamous projections.especially when they get real after the authors death!
Conclusion of the Projection with the new global economic crisis:
That is easy!It will be a huge mess and the Authoritarian right wing Dark Ages with the MMTclassic Agenda of the Oligarchy will take over as the only means of survival, but it will just bring the -above- Projection of the 20-30 years little sooner, as the global zero sum cake will be established before.
CHEERS, PHEASANTs AND PEASANTS!
hhhmmm. When the Pilot Wave of rubbish hits the slit and the quantum is known… just extrapolating…
useful links here;
https://www.witchdoctor.space/2018/06/29/hijacked-truths/
https://www.witchdoctor.space/2016/10/29/framed-in-a-framework/
https://www.witchdoctor.space/2016/11/02/framed-in-a-framework-part2/