Republican Deficit Fear Strategy

Driving up deficits and then using deficit fear to stop spending on things that We the People want and need has been open Republican strategy since Reagan. Google “strategic deficits.”

Tom Wicker explained in the NY Times in 1985, in IN THE NATION; A Deliberate Deficit,

To hear Larry Speakes tell it, President Reagan emerged from anesthesia righteously demanding action on the budget deficit ”this week.” That sounds fine – except that it now appears that the deficit was deliberately created by Mr. Reagan in order to do away with Democratic social programs dating back to the New Deal.

Who says so? David Stockman, the departing Budget Director, at second hand, and Friedrich von Hayek directly. He’s the Nobel Prize-winning economist who’s been a guru of Reaganomics.

… After the Budget Director’s resignation last week, Senator Moynihan of New York said Mr. Stockman had told him that even in 1981 Mr. Reagan knew the tax cuts would mean loss of revenue, but that the President had accepted the resulting rise in the deficit in order to bring pressure on Congress to cut spending.

That sharply contradicts what Mr. Reagan then publicly argued – that cutting taxes would expand the economic base and increase revenues. In his 1980 campaign, he even contended that the increase in revenues resulting from the tax cut would pay for the military buildup he also planned.

But Mr. Moynihan said Mr. Stockman had told him that in 1981, ”the plan was to have a strategic deficit that would give you an argument for cutting back the programs that weren’t desired. It got out of hand.”

Reagan used tax cuts and spending increases to goose the economy. A good economy gets votes. Then under Dems the entire Republican media machine blasted us with deficit/debt fear to force cuts in the things government does to make people’s lives better. Cuts are bad for the economy (and people), so voters not happy with Dems.

So everything people think they uderstand about deficits and debt is just the result of decades Republican “family budget around kitchen table” propaganda.

REPUBLICANS understand this and use it. The Federal budet is NOT like a family budget.

Republicans understand our government issues its own currency. It CAN NOT go “bankrupt” because it can just issue more currency. It CAN NOT “go broke.” We can issue currency to pay for the things We the People want and need. The additional currency is money in the economy.

If we issue too much currency (too much money in the economy) we end up with inflation. So taxes soak up the excess.

Taxes are not “revenue” that is used to “pay for” spending. Taxes are useful to redistribute, rebalance the economy.

Taxes redistribute and rebalance. Is inequality rising? Raise taxes on the rich. Are billionaires and corporations exerting influence on government? Tax them back down to size. Etc.

Deficit fear is just a tool to move votes to Republicans, make the rich richer and keep We the People down.

This post is based on this Twitter thread.

Deficit Fear

Deficit fear is a gimmick to limit the benefits of democracy, used by people who oppose government. By scaring people about deficits they undermine support for government doing things to make our lives better.

But when it comes to their own spending priorities – military, etc. – the sky is the limit. They get it. They understand that deficits are not a problem, but are to be used to scare the public.

The US issues its own money. It can spend as much as it wants to on things that make our lives better. Taxes are NOT “revenue” that is used to fund things. (Note that this is federal, not state budgets. States do not issue their own currencies.)

Taxes limit inflation and redistribute the gains of the economy. Tax cuts for the rich redistribute to the top, making inequality worse.

Deficits grow the economy, with inflation being the concern if too much $$ is pushed at too few resources.

This is known academically as “Modern Monetary Theory.”

More at We CAN Have Nice Things

Holiday Card From The Johnsons

Happy Holidays from the Johnsons:

That’s our dog Paddington.

The back of the card:
Published by Sudeep Johnson
Doggie Paw Cards, Inc.
www.doggiepawcards.com
Many thanks to Paddington the little white dog, without whom this card would not have been possible.

Here is last year’s: Holiday Card From The Johnsons. (That card has a link to the previous year’s, which has a link to the previous year’s, etc…)

Evil Men With Racist Views

A song back in style

Have you heard it on the news
About this fascist groove thang
Evil men with racist views
Spreading all across the land
Don’t just sit there on your ass
Unlock that funky chaindance
Brothers, sisters shoot your best
We don’t need this fascist groove thang
Brothers, sisters, we don’t need this fascist groove thang

History will repeat itself
Crisis point we’re near the hour
Counterforce will do no good
Hot you ass I feel your power
Hitler proves that funky stuff
Is not for you and me girl
Europe’s an unhappy land
They’ve had their fascist groove thang

Brothers, sisters, we don’t need this fascist groove thang

Democrats are out of power
Across that great wide ocean
Reagan’s president elect
Fascist God in motion
Generals tell him what to do
Stop your good time dancing
Train their guns on me and you
Fascist thang advancing

Brothers, sisters, we don’t need this fascist groove thang

Sisters, brothers lend a hand
Increase our population
Grab that groove thang by the throat
And throw it in the ocean
You’re real tonight you move my soul
Let’s cruise out of the dance war
Come out your house and dance your dance
Shake that fascist groove thang
(shake it!)

There Are No Real Republican “Deficit Hawks.” Here’s Why.

Democrats are making a terrible mistake fighting the Republican tax cuts by saying they add to the deficit, that they will “blow a hole in the budget,” etc.

Why are Democrats saying this? They are using the “increase deficits” line because they think they can appeal to a few “deficit hawk” Republicans who spent the Obama years complaining about government sending and “deficits.”

It is a mistake for Democrats to think they can “get Republican votes” by mouthing Republican deficit-fear rhetoric without understanding the strategy behind their rhetoric.

Strategy: Republicans Create Deficits, Stoke Deficit Fear, Then Campaign Against Government Spending

Here’s the thing. There are no real Republican “deficit hawks.” Republicans stoke deficit fear, and then say they are opposed to budget deficits. But they always, always increase deficits. On purpose. There’s a reason.

Continue reading

Capitalism

Capitalism by definition is a system (‘ism’) designed of by and for ‘capital’ (people with money).

People with surplus money make the decisions about where to apply our economy’s resources and then reap the benefits of the investment. For themselves.

We the People are largely prohibited (privatization) from deciding where to apply resources and are charged for use of those resources.

Private roads. Private railroads. Private health care. Private energy sources. Private communication sources. Private financial resources. etc…

Russia and Democracy

Russian interference is associated with using anti-Islam propaganda and other divisive wedges to promote Trump.

The US and several countries are now ruled openly or behind the scenes by an elite of billionaire / corporate / princeling / oligarchical / kleptocrats sometimes in alliance and other times in conflict…

I’d love to see our country restore (or maybe you could say just get to in the first place) our ideal of representative constitutional democracy under rule of law, in which we all get to vote (on paper ballots), and where have reason to vote for candidates who have good, honest proposals that tell us how they would make our lives better, and who we can trust to do that and not make corrupt deals that involve enriching themselves in office or later.

I don’t know how we get there from here.

Why She Lost

I don’t think anyone can point to any particular reason “why she lost.” I think it was ALL the reasons, and it shows why we have to be on top of ALL of them.

Voter suppression, coherent message telling voters how their lives will be better, authenticity so they know you mean it, listening to and appealing to all components and regions of the traditional Dem coalition, outreach to new voters, keeping the other side from rigging things like voting machines and voter registration lists and illegal donations and activities and interference like Russia and Comey, and then delivering for your constituencies in order to help the constituencies AND the next candidate who runs. (Thanks, Obama.)

When you look at the record the Clinton campaign and Obama admin and Democratic party apparatus failed on all of those counts and still got more votes. Imagine the landslide if they’d actually been on top of all of that.