Tag Archives: national debt

The Money Tree


This week on Facebook: Most of those who believe in the existence of ‘A Money Tree’ and particularly those who choose to write about it (either from the political left or right), are not so naive as to believe that the State uses its fiscal policy wisely. The term money tree is used for political effect, yet regardless of political leanings most remain mute regarding the money that grows on it and where it comes from.

The issue of affordability never arises when the proposed spending relates to activities like going to war or bailing out the banks. There Is A Magic Money Tree

Countries like the UK that have their own central bank with which to create and borrow its own currency, claiming that deficit financing is part of a fiscal policy and not a problem as it is only incurred as an investment that is part of government economic policy. Those committed to the political left or right claim that their fiscal policy will encourage economic growth and resolve any deficit financing problem. The State has consistently failed to cover the costs for the future in its management of fiscal policy such that deficit financing always increases the national debt and fails in its social responsibilities.

To paraphrase Peter F. Drucker, it could he said that: The first responsibility of government is to cover the costs for the future. If this social responsibility is not met, no other social responsibility can be met. Peter F. Drucker, The Practice of Management

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The Value of Money


  This week on Facebook: In ‘The Coming Dark Ages?’ I criticised all the articles for failing to point out that (in my view) the prevalence of an economic global hegemony by Western Philosophy relied on a reserve currency in a fiat money world. Money at the centre of globalisation, whether it is trade or war that is the dominant driving force for global economic growth. I was especially critical of the article America enters the dark ages concluding that in my opinion money, war and a rising nationalism, are the most likely harbingers in any coming of a new dark age.
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Cassandra on World Debt


This week on Facebook: I am repeating myself here, in my 2011 post with the title ‘A Universal Debt!’ I recalled, “That someone looked into world indebtedness and facetiously drew the conclusion that The Earth must be in debt to the rest of The Universe. This was because every country in the world had an external debt load (barring about three). Obviously the earth is not in debt to someone else in the universe — unless you are a conspiracy theorist — but it is true that there is a global indebtedness.  What really matters, is not the debt, but the ability to pay off the debt with the interest that the debt accrues and the consequences of any inability to do this.” [sic]

All classes alike thus build their plans, the rich to spend more and save less, the poor to spend more and work less. John Maynard Keynes (1919)

For those of us living in the Western world global debt is something that the majority of its citizens do not take seriously as no end is foreseen to the ever increasing economic growth of the Western world. Today global debt is increased and the global citizenry has increased along with its indifference to deficit finance becoming the norm. Matt’s following cartoon repeats that joke, but as Yanis Varoufakis writes in his book ‘Adults In The Room’, politicians and their financiers are using world debt to ensnare us all in a global plutocracy.

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China & USA debt


This week on Facebook:  Posting an article on ‘Xi Jinping’s Vision for Global Governance by Kevin Rudd’, prompted a colleague in the USA to remark that perhaps China was not as financially stable as was assumed and that the tariffs introduced by President Trump are to China’s disadvantage. Another colleague in the USA probably shares that view and would add to it the financial, military and political superiority that is assumed by the USA. Yet it the Western World’s hunger for a continuance of their debt based economic growth that led to the post WWII hegemony of the USA is now being challenged by China. Read more of this post

Cassandra on Money & Debt


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Tax Havens: A Red Herring?


Today on Facebook: Humour? Enough already — tomorrow (Monday) is the first day of the New Year and may 2018 be a prosperous one for you all! Read more of this post

Fiscal Policy and the NUM Pension Fund


This week on Facebook: Last week’s post was about pensions  and the political fiscal chicanery that successive governments have adopted to steal pension funds and hide their connivance in keeping public sector pensions ‘off the books’. On Sunday I posted a short exert from the television series ‘Yes Minister’, which indicates that the public sector pensions deficit is not a new political issue. What is rarely written about is the financial burden of the funds required to service the pensions of politicians, but perhaps more importantly, how the pensions and contributions of politicians are not subject to the same vagaries as other pensions. Read more of this post

It’s only money!


This week on Facebook: Trying to use last weeks post on Criminals & Taxation as a link to those that may follow at some point proved to be very difficult, the reaction of a public administration’s response to economic failure is more akin to investigative journalism than a short, singular, post. So this week I focused a little bit on factors relating to Government economic policy, with particular reference to Social Security and taxation in the UK. My post last week last week illustrated some of the financial disasters that can occur when a public administration overreaches its level of competence. In an earlier post on Debt & Taxation (2013) I began: ‘The role that economic theory plays in the creation of money and the role played by all politicians in the manipulation of economic theory for the purpose of a fiscal policy, bear little relationship to the social responsibility that Drucker applied to a private enterprise.’ Read more of this post

Criminals & Taxation


This week on Facebook: Sometime in July I read that the fraud scandal carried out at Lloyds bank took the police six years to investigate at a cost £7 million (excluding the cost of the trial). The case was dealt with by the Serious Fraud Office (SFO) which, regardless of its successes and failures, as part of the public sector, has an impact on a seemingly inexorable budget deficit. It was only casually reading about the Lloyds bank case that I decided to research some of the government’s financial losses¹ for which no one, and especially not a politician or apparently any other public servant is ever held responsible. Certainly some investigative journalism usually results in a story reaching the public, it may even create a furore for a time, but the government know that any furore will eventually subsided and its cause forgotten. Yet if you are taxpayer, and even if you are not, any financial loss by the government has an impact on your well being. For a right or left leaning government, such financial losses become an excuse for increasing government debt and austerity measures. Read more of this post

Cryptocurrency, mercantilism and authoritarianism


This week on Facebook: The rise in value of cryptocurrency may be likened to an economic bubble but it is a bubble created as a result of government debts using fiat money. Last week I wrote about cryptocurrency bubbles and money and four weeks ago about the rising cryptocurrency, which led me to conclude that this is more than a speculative bubble. The rise of cryptocurrency is likely to have far reaching consequences regarding today’s governments and the money supply it attempts to control. Read more of this post

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The Land Is Ours

a Landrights campaign for Britain

The Bulletin

This site was created for members and friends of My Telegraph blog site, but anyone is welcome to comment, and thereafter apply to become an author.

TCWG Short Stories

Join our monthly competition and share story ideas...

The Real Economy

Blogs and stuff from Ed Conway

Public Law for Everyone

Professor Mark Elliott

Bleda

Am I my Brothers keeper?

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