On March 30, 2013, Paul Krugman writes in The New York Times:
Contrary to almost everything you read in the papers or see on TV, debt doesn’t directly make our nation poorer; it’s essentially money we owe to ourselves. Deficits would indirectly be making us poorer if they were either leading to big trade deficits, increasing our overseas borrowing, or crowding out investment, reducing future productive capacity. But they aren’t: Trade deficits are down, not up, while business investment has actually recovered fairly strongly from the slump. And the main reason businesses aren’t investing more is inadequate demand. They’re sitting on lots of cash, despite soaring profits, because there’s no reason to expand capacity when you aren’t selling enough to use the capacity you have. In fact, you can think of deficits mainly as a way to put some of that idle cash to use.
Yet there is, as I said, a lot of truth to the charge that we’re cheating our children. How? By neglecting public investment and failing to provide jobs.
Again, Paul Krugman misses the solution, while getting right the idea of public investment and the reality of inadequate demand, he fail to connects economic growth with expanded, universal private ownership of FUTURE productive capital investment. Instead, his focus is on JOBS CREATION rather than OWNERSHIP CREATION.
He is, as are conventional economists, oblivious to the REAL problem, which is that tectonic shifts in the technologies of production means that less people are needed to perform work tasks, and the focus of discussion should be on creating private ownership in FUTURE productive capital investment. The choice is OWN or Be Owned with less opportunity to attain a viable income to support an affluent lifestyle. Otherwise income inequality, unemployment and underemployment, and widening poverty will persist. ONLY through expanding and creating universal private ownership of FUTURE economic growth will we be able to put the nation on a path to prosperity, opportunity, and economic justice.
To achieve an affluent lifestyle for EVERY American the policies of the Federal Reserve need to be redirected in accordance with Section 13 so that the Federal Reserve makes available monies to underwrite new productive capital formation with the stipulation of creating new capitalists owners of FUTURE productive capital wealth. Without such reform, the wealthy ownership class will continue to benefit and amass more concentrated ownership.
Sign the Petition at http://signon.org/sign/amend-the-federal-reserve.fb27?source=c.fb&r_by=3904687
Sign the Petition at http://signon.org/sign/reform-the-federal-reserve.fb23?source=c.fb&r_by=3904687
Sign the WhiteHouse.gov petition at https://petitions.whitehouse.gov/petition/amend-federal-reserve-act/GYqvqGr6
http://www.pdacommunity.org/component/content/article/99-supercommittee/2872-cheating-our-children
