January 30, 2018

Cryptoeconomics ― the best of Bill Mitchell’s spam folder

Comment on Bill Mitchell on ‘Planning public works ― history has a lot to say if we listen properly’


MMT is a failed approach. Therefore, there is absolutely no use to follow the discussion between what Bill Mitchell calls mainstream and progressives. Both sides lack sound scientific foundations, that is, the true theory. MMTers have to this day not realized that their foundational premises/balances equations are provably false.#1

To this day, in their research and communication, economists in general and MMTers, in particular, are not guided by the principles of Science but by the principles of Circus Maximus. As a consequence, in the econblogosphere, the best stuff is hidden in the spam folders, and what is openly recycled ad nauseam is soft soap, blather, gossip, propaganda, disinformation, and proto-scientific garbage.

It is long known that economists routinely violate scientific standards and simply suppress/ ignore refutation: “In economics we should strive to proceed, wherever we can, exactly according to the standards of the other, more advanced, sciences, where it is not possible, once an issue has been decided, to continue to write about it as if nothing had happened.” (Morgenstern)

It is at anybody’s guess to what extent the econblogosphere is corrupted. The problem, of course, is that spam folders are invisible to the general public. Private censorship is built into the blogging software and works without any traces.

Occasionally, there are exceptions. For those who appreciate the privilege of casting a glance into  Bill Mitchell’s spam folder, here is a sample of posts he suppressed over the last twelve months.

Needless to emphasize that Bill Mitchell’s billy blog represents not more than the tiny tip of the iceberg. The four main approaches ― Walrasianism, Keynesianism, Marxianism, Austrianism ― are mutually contradictory, axiomatically false, and materially/formally inconsistent. As a result, almost all of the econblogosphere consists of fake news, attention management, brown-nosing, wrestling exercises, buddy back-scratching, PR, slander, and cheer-leading. MMT is NO exception, it is political agenda pushing with a scientific content of zero.

Egmont Kakarot-Handtke

#1 For the full-spectrum refutation of MMT see cross-references MMT


NOTE on Bill Mitchell’s ‘Oh poor Britain ― overrun by chlorinated chickens, hapless without the EU’ on Feb 1

Bill Mitchell argues “A rising fiscal deficit is neither good nor bad. It all depends on the saving and spending desires of the non-government sector and the state of capacity utilisation. A rising deficit associated with a growing economy and full employment with stable prices is to be desired.”

The MMT swindle lies in the word “non-government sector”. There is NO such thing as the “non-government sector”, there are TWO sectors, the business- and the household sector. And the business sector does NOT save. Saving/dissaving is the balance of the household sector, profit/loss is the balance of the business sector. The word profit, though, does not appear once in Bill Mitchell’s analysis. Why? Because it holds Public Deficit = Private Profit which means that Bill Mitchell does not really care about poor Britain but about the wellness of the one-percenters.

For more on the essential flaws of MMT’s profit and employment theory see