The British newspaper, The Independent seems to be getting in beds with Commies lately. The evidence I elicit is the recent article (November 4, 2017) – Actually the magic money tree does exist, according to modern monetary theory – by a journalist Youssef El-Gingihy. It gives oxygen to the views of an Australian economist, one William Mitchell who espouses what is known as Modern Monetary Theory (MMT) – yes, you got it in one – another crackpot economic approach that fails to recognise that most professional economists reject it, which means it must be wrong. Right! More than two thousand people have shared the article, which means the socialist cancer is being spread by these Modern Monetary Theory (MMT) fanatics. One commentator thought it was a “rearly stupid article”. Don’t worry about the spelling error. The opinion is what mattered and it was dead-centre true. Mitchell must be one of the most stupid economists ever. Like his MMT mates who seem to be tweeting and being retweeted in ever increasing frequencies these days, which just goes to show that people can be indoctrinated to believe anything. Some comments were made on the article, which just reflected what anybody who knows anything about economics would say – you know – government spending will ultimately cause “hyperinflation” – everybody knows that. Further, one insightful commentator noted that because Britain is not at war there is “no justification to rack up big debts” – everybody knows that. Mitchell obviously wants the government to rack up huge debts, although he doesn’t actually say that. But if the government does run deficits it will obviously intend “to soft-default on debts through inflation” which will then mean “the markets will smash the pound”. Everybody knows that too. For me, I couldn’t get any traction in the comments section – most commentators seemed to be supportive of this mad professor’s crazy ideas – so I decided to E-mail him. I didn’t get any satisfaction from that either. He is obviously a commie in disguise. He said something about Chartalism. I think that was just a typo in his reply – probably he was trying to say that he was a charlatan. What is the world coming to!
This blog is short and only serves to provide a link to the video of the Q&A that followed my presentation at the British Labour Party Annual Conference Fringe Event on September 25, 2017. The presentation introduced the Reclaiming the State Project – and discusses my new book (with Thomas Fazi) – Reclaiming the State A Progressive Vision of Sovereignty for a Post-Neoliberal World (Pluto, September 2017).
In our new book Reclaiming the State: A Progressive Vision of Sovereignty for a Post-Neoliberal World (Pluto Books, 2017) – Thomas Fazi and I argue that a new progressive agenda would see the abolition of the IMF and the World Bank and the creation of a new multilateral institution that is entrusted with ensuring poor nations can access necessary funds to prevent their societies collapsing. This organisation would not be a bulwark for inflicting neoliberal policies on the poorer nations, but rather, a body that assisted nations in developing first-class health, education and environmental care capacities and infrastructure in a fully employed environment. It would help insulate such nations from the vicissitudes of global finance by supporting capital controls and other anti-speculative policy tools. The current multilateral framework dominated by the likes of the IMF and the World Bank have failed categorically in this regard. Recent research, which, in part consolidates a rich body of research going back to 1987, has found that the so-called ‘structural adjustment policies’ that accompany assistance from these organisations have materially damaged child and maternal health in the nations where these conditionality programs have been imposed. The IMF likes to talk about intergenerational fairness, especially in relation to the alleged burdens that fiscal deficits leave for future generations, but then they support and implement policies that unambiguously damage the health and well-being of children in poorer nations, while allowing real resources to be sucked out of those nations to the benefit of the global rich. A criminal enterprise.
My blog today is short as I have been travelling back home and trying to land on both feet – running! Today, you can view a video of the Berlin event on September 28, 2017 and find out what the citizens of Newcastle have been doing while I was away – going down to the beach no less. Regular blogs will resume tomorrow.