When Banks and Business do Central Planning

When Michael Hudson & Steve Keen talk about Banks and Businesses doing the Central Planning, we should listen.

Michael Hudson is President of The Institute for the Study of Long-Term Economic Trends (ISLET), a Wall Street Financial Analyst, Distinguished Research Professor of Economics at the University of Missouri, Kansas City and author of J is for Junk Economics (2017), Killing the Host (2015), The Bubble and Beyond (2012), Super-Imperialism: The Economic Strategy of American Empire (1968 & 2003), Trade, Development and Foreign Debt (1992 & 2009) and of The Myth of Aid (1971), amongst many others. ISLET engages in research regarding domestic and international finance, national income and balance-sheet accounting with regard to real estate, and the economic history of the ancient Near East.

Everything is Paid For in Real Terms

Hopefully, you have learned something over the month of April. If we the people can see a problem, an issue, and can come up with a solution, the only question is how do we get the resources to accomplish it.

From a modern money nation like Australia, the debt and deficit are arbitrary numbers decided between the actions of the government and the people.  It’s not the dollars that matter but the idle resources whether that be people, equipment, and/or natural and other resources.

Perceive, Conceive, Achieve.

We can see this in government responses around the world to the Corona Virus.

Job Guarantee Creates Sales & Price Stability

Each video this month follows from the previous one. Be sure to check them out in order. These videos are the foundation that Australian Real Progressives builds upon.

Spending creates Income
Income creates Sales
Sales Create Jobs

There are only two sectors that can spend and that’s the Government or Private Sector.
Overall if the Private Sector is not spending then Sales can only come from Government spending

How does the Government Spend? That’s a choice but to get the private sector to spend, a Job Guarantee is one way.

The advantage being it is not just an employment creation program but also a macroeconomic program.  It provides full employment and price stability.