This is the "Chair of the Council of Economic Advisors" to Joe Biden...and he has no clue whatsoever. No wonder we are all fucked. Just watch and tremble:
Interestingly a lot of the wiseacres in the comments don't either.
There are some interesting questions asked...The one that is never answered properly is "Why does the government borrow money at interest ( leading to accumulating debt) when it could just print it without?"
The answer is that capitalism can't exist without feu. The interest is in effect a form of tribute: a submission to the idea that money should always be governed by private ownership...even though it's simply not. Interest yeilding gilts and Treasuries are merely notes of submission to the private gods of Capital...there is no real objective explaination however hard you might look.
(1) A consortium of private banks called “the fed” creates the money in the economy and releases it into the economy as debt. So these banks control the amount of money in the economy overall, and earn interest on essentially all the money in the economy
(2) Government revenues (a separate thing) come from taxation.
(3) Where government expenditure exceeds the amount raised via taxation (it always does), the government also borrows the difference from whoever purchases government bonds.
on May 12, 2024, 12:22 am