A Very, Very Brief Look at Mainstream Economic “Thought”

1.) “Banks are intermediaries that bring savers and investors together through the lending of customer deposits.” Translation: “The tooth fairy operates a used teeth market and brings together children who lose their teeth and people who need teeth.” 2.) “US Dollars come from the private sector and are taxed or borrowed by the US Government[…]

“Affordability” for the US Government is Never a Question of “Money”

“Affordability” for national governments like the US, UK, Canada, Japan, Australia is always in terms of real resources (iron ore, agricultural capacity, water supply, labor supply, etc.) and never “money”. If you still do not understand this concept, you will soon. Forty years of neoliberalism and nonsensical mainstream economic policy errantly focused on the finances[…]

Galileo on Trial: A brief look at what it is like to argue with mainstream economists

“Galileo. You are hereby charged with the crime of continued support of the theories of Copernicus – namely, heliocentrism, which the church has declared to be both heresy and nothing new. What say you?” “I do not feel obliged to believe that the same God who has endowed us with senses, reason and intellect has[…]

Junk Economics: A Brief Look at Mainstream Mysticism

Today’s article is a continuation of my last concerning the mainstream’s zero lower bound and loanable funds fantasies with a look at fiscal rules and other shenanigans. Fig. 1: A Mainstream Economist Coupled with the debunked Loanable Funds Theory is the mainstream assumption that the national government experiences a hard financial constraint and must fund its[…]

A Brief Note of Clarification

No, I am not saying that economic models are useless and unnecessary. I am saying that the models of Krugman and New Keynesians are useless, specifically IS/LM, the greatest advocate of IS/LM being Hicks – hence “Hicks/Hansen”. Hicks himself urged that IS/LM analysis be dropped, because IS/LM cannot describe a dynamic economy. It, therefore, made[…]