April 19, 2021
Economists betray WeThePeople
Comment on Dean Baker on ‘Putting the debt in context’
The 3-sector Profit Law Q≡(G−T)+(I−S)+Yd implies that the greater part of macroeconomic profit Q is produced by public deficit-spending/money-creation (G−T). So, a growing public debt secures the permanent self-alimentation of the Oligarchy.#1
Because of Public Deficit = Private Profit, MMT policy is a free lunch for the Oligarchy. Stephanie Kelton's Deficit Myth is scientifically refuted and proven to be agenda-pushing for the advantage of the Oligarchy and disadvantage of WeThePeople. MMTers are scientific nullities and political fraudsters because they pose as Friends-of-the-People.#2-#4
Private financial wealth grows in lockstep with public debt. Financial wealth in turn generates interest income which is taxed from WeThePeople and handed over to the Oligarchy as long as the debt is rolled over.#5, #6
The MMT policy of deficit-spending/money-creation (for consumptive purposes) is economically a bad deal for WeThePeople. Politically, it amounts to the self-destruction of Democracy.#7 The role of the captured state is to produce sufficient macroeconomic profit. The Oligarchy, in turn, uses the opulent deficit-produced free lunches to nudge the state’s legislative, executive, judiciary institutions in its favor.
Academic economics ― left, center, right does NOT matter ― plays a supporting role in the process as the propaganda arm of the Oligarchy. Scientifically, economics is worse than worthless.
Related 'Where economics went wrong (II)' and 'The representative economist ― a cargo cult clown' and 'Economics is Not a science, economists are NOT scientists' and 'Since the founding fathers, economics is NOT science but political agenda-pushing' and 'The fatal effect of MMT policy is NOT on inflation but on distribution' and 'Political fraud and the silence of academia' and 'MMT: The fusion of Wall Street and Academia' and 'The representative economist ― a cargo cult clown'. For details of the big picture see cross-references Failed/Fake Scientists and cross-references Political Economics/Stupidity/Corruption.
For more on Dean Baker see AXECquery.