EVERETT DEMBOSKY: Congress could learn from this book
Learn why the government doesn’t need your tax dollars in order to spend, why it can’t go broke, what a deficit really means, why Social Security is not broken, why trade deficits don’t take away jobs, why the government doesn’t need savings to invest, why Clinton’s surplus was not a good thing and why politicians (including the president), the media and most economists don’t “get” how the monetary system works.
Or, if they do get it, they think there’s no point in trying to explain it to the “average” American who (a) isn’t interested or (b) is too stupid to understand it. I disagree. Most Americans, regardless of party affiliation, are interested and are smart enough to understand that the federal government is not the same as a state or a household. They’re also smart enough to sense that this Congress is doing something wrong.
You may think, as I did, that you have a basic grasp of how the U.S. monetary system works, but you will be in for a surprise if you educate yourself by reading Warren Mosler’s book, “The Seven Deadly Innocent Frauds of Economic Policy.” It’s not a big book and it’s not boring.
Who is Warren Mosler? According to the public policy analyst who put me on to reading this book, Mosler is a well-known and respected genius in the field of economics. He is a self-taught economist who has worked in banking and finance for over 40 years.
His book is proof that he is also an adept teacher who draws from our own experiences to clearly explain the monetary system, using facts not theory! Nevertheless, there are some elected officials who are apparently not smart enough to wrap their minds around the way the global economy functions.
In terms of education, the present Congress is the most uneducated ever. They would do well to read Mosler’s book. They would then have the choice to tell the truth instead of muddying the water to win elections. They would lift the ill-conceived sequestration that is killing jobs, reverse their thinking on cutting spending, stop wasting time trying to “defund Obamacare” and stop sacrificing the country to their lack of understanding of how finance works in a world without a gold standard.
Mosler wrote this nonpartisan book for ordinary people. Anybody with a Kindle can buy it for a dollar. Amazon.com also has inexpensive hard copies.