tag:blogger.com,1999:blog-6245381193993153721.post3971271859183713608..comments2024-03-17T00:23:24.896-07:00Comments on Social Democracy for the 21st Century: A Realist Alternative to the Modern Left: A Refutation of Academic Agent’s “Debunking Modern Monetary Theory (MMT)”Lord Keyneshttp://www.blogger.com/profile/06556863604205200159noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-6245381193993153721.post-76194001412562177342020-04-28T03:03:16.616-07:002020-04-28T03:03:16.616-07:00wouldnt credit come first?
you dont barter with fr...wouldnt credit come first?<br />you dont barter with friends you use a credit based system. <br />hey rob help me out with moving on friday. rob helps you out and you owe him a favour. double entry bookkeeping is, <br />i create an asset of a favour and a liability of a favour. i give rob the favour in exchange for him helping me out. now i have a liability to rob. <br />thats a credit based economy using the most basic form of friendship. helping your friends out and they in turn helping you out. <br />since a liability is a balance to pay in the future time plays an important role. barter would require you for instance giving them a beer in return for helping you out. <br /><br />barter assumes no delay of payment. once a delay of payment exists then credit is the only way that can work. if they say but you can barter down the road, thats credit because its a promise to pay, not payment. fredhttps://www.blogger.com/profile/15789360244590490028noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-62728915028963467122020-04-25T10:23:47.043-07:002020-04-25T10:23:47.043-07:00An easier refutation:
GDP is the measure of our P...An easier refutation:<br /><br /><b>GDP is the measure of our PRODUCTIVE economy. GDP is the sum of household, business and government spending (and likewise the income of those sectors equals that spending, because ALL spending is someone else’s income). Our economy depends on household spending (2/3 of GDP). That spending is limited by household income (which comes only from those three sectors). Business provides that income to the extent demand (business opportunity) exists, and government provides the rest. All that’s important to the economy is maintaining this flow, and with a fiat currency (whose value, by definition, depends ONLY on currency-users perception), there are no limits other than that perception.</b><br /><br />The household spending in GDP includes EVERYTHING that people buy to consume - food, housing, healthcare, entertainment, etc. Looking at the income side of GDP, you find that neither Federal borrowing nor personal or corporate income taxes are part of that income – so they DO NOT (and never have) paid for (or “funded”) that spending. For proof, simply pull up the GDP Primer at https://www.bea.gov/resources/methodologies .edzimmerhttps://www.blogger.com/profile/02585904152433355121noreply@blogger.com