Generational Dynamics Forum - New Site

Posted Human Action Book.
https://mises.org/library/human-action-0
My wife the college graduate student tutor was glassy eyed for weeks
trying to understand a reality from the insidious deception of the demented academia walking through the
institution locally also. A journey of failure unleashed on the American Sheep.
What Sismondi conveyed as the earliest French Resistance Theories as the Role of the Burgundian Court
barely surviving the war and the distorted café intelligentsia period even Acton and Hume unbraided.
I enjoyed Minsky's works to the effect He knew was a feature and not an accident of Minsky effect as
accumulation of debt by the non-government. The Wasting.
Inflation Tax and derivatives are the feature called weapons of mass destruction
as the wasting from the 936 notes we left at capital and labor misnomers from deep well waste injection
and subsequent barge Oceanic dumping issues timeframes.
Current Coral bleaching observations was not missed by a few also very recently to dismantle the greenmask and
watermellon appropriation grifters. The Romer papers ran cover for the debt issues as we did from the
MF Global's collapse to the actual target of the LME Stock period.
This is in direct context to multiplier.
Romers work for the administration's theory of money multiplier was based on Fishers observations and it is in the forums from the 1930's.
viewtopic.php?f=14&t=2&p=3891&hilit=romer#p3891
How to generate severe stagflation in the years 2010 through 2019 right on que thanks Washington provided below. Sun Jun 21, 2009 8:29 pm
The Macroeconomic Effects of Tax Changes: Estimates Based on a new Measure of Fiscal Shocks, by Christina D. and David H. Romer (March 2007). (Christina Romer now chairs the president's Council of Economic Advisors). This study found that the tax multiplier is 3, meaning that each dollar rise in taxes will reduce private spending by $3."
In the same vein: This is from Professor Fisher's book entitled 100% Money, revised edition
published by The Adelphi Company (1936)
It was the Velvet rope period well underway from the cluster study white paper we unbraided here then.
H was instructive some key elements also as was a few more also. T

https://cms.zerohedge.com/s3/files/inli ... k=gHv-T0dH

Zone issues like Politics are no accident since FDR.
(1 + i) = (1 + r) (1 + π) fisher

thread: Rule 2a-7

February 27, 2016 at 10:20 am
I owned a ladies’ dress shop on the historic square of a Texas town that for many years had been a tourist attraction for people who lived in the DFW metroplex. From the beginning, my store earned good profits and flourished. Then the Bush crash came. Sales dropped quickly, but not from lack of traffic, but from lack of money. Higher cost merchandise, dresses, jewelry, etc. dropped off the cliff. We continued to see the same size crowds on the square as they attended our frequent events. We continued to see the same number of people coming into our store, but the number of sales tickets and amount of these tickets dropped. If I had not had enough personal capital to keep it going I would have closed immediately. But then we heard that the nearby power plant was going to add another reactor and 14,000 people would move into the area. And at about the same time the oil drilling, or fracking, was going full blast So, I rode on a little longer. But the power plant plan was dropped, the oil industry tanked, and I sold the business in 2012. Many other stores that had been on the square for many years closed and were replaced with newcomers with new money and with new dreams. Some of those stores have closed and a new cycle of dreamers has begun. Anyhow, the economic problem faced by the people in my area was a lack of demand. Plain and simple. People did not have money to spend. Ladies, longtime customers in many cases, browsed, but did not buy or they bought lower-priced goods. And the boom is not in sight.

I question whether any economic model is satisfactory when it doesn’t include the impact of political decisions designed to take away the financial wherewithal of individuals–specifically, government “trade” deals (whether WTO, NAFTA, TPP) that eliminate good-paying jobs, anti-union policies, and failure to enforce anti-trust laws. It doesn’t take a degree in economics to understand that the U.S. relies on its citizens to fuel the economy by behaving as “consumers.”

In any case, CofFEE (Center of Full Employment and Equity) has demonstrated that, with proper policies, unemployment can be driven effectively to zero, and thus it is R&R’s output gap that is too low. (A note, Kelton, economic advisor to Sanders in the Senate, is fully on board with CofFEE’s work.) --- r&r http://gdxforum.com/forum/search.php?ke ... sf=msgonly --- http://gdxforum.com/forum/search.php?ke ... sf=msgonly

It all boils down to this. R&R are essentially admitting that conventional (orthodox) macroeconomics has nothing to offer today’s economy, and claim that the use of heterodox macro, about which they know nothing, is wrong. This is the constant claim of orthodox macro, even after the entire discipline flopped on its face in 2008. Some people never learn.
NAIRU is an acronym for non-accelerating inflation rate of unemployment, and refers to a level of unemployment below which inflation rises. It was first introduced as NIRU (non-inflationary rate of unemployment) in Modigliani–Papademos (1975), as an improvement over the "natural rate" of unemployment concept, which was proposed earlier by Milton Friedman.
The Centre of Full Employment and Equity or CofFEE is an official research centre of the University of Newcastle, New South Wales, Australia, and has operated since 1998. CofFEE’s membership is drawn from the disciplines of Economics, Politics, Sociology and Geography. Y

We are at a crossroads on many topical complications H. To easy going forward for the confused ones to dig in as even keynes warned
for the wrong reasons.

t noted what we alluded to with the drilldown to the fisher mutliplier effect when we posted romers work.
But in fact they are bending over backwards to help governments to finance their deficits," and guess what, "this is nothing new in history."
After World War II, all countries that had a big debt overhang relied on financial repression to avoid an explicit default.
Only when inflation picks up, which is ultimately going to happen, will it become obvious that central banks have become subservient to governments." Nations "seldom just grow themselves out of debt," as so many believe is possible, "you need a combination of austerity, so that you don't add further to the pile of debt, and higher inflation, which is effectively a subtle form of taxation," with the consequence that people are going to lose their savings. Reinhart succinctly summarizes, "no doubt, our pensions are screwed."

Our sniplet was the backdrop from Jun 21, 2009, and theres, to effects and the onramp to the dialectic of thought map which was a clear representation
to why we have noted the direction and calculation under socialism which is correct and will work on that presentation of reality since it is nearing completion in context of the damages we are trending. This is why and how these cargo cult cannibals in DC will take us under, and have in "seen and unseen dialog" we understand here clearly as do a few others on task.

So yes, debt matters. But right now, other things matter more. We need more, not less, government spending to get us out of our unemployment trap. And the wrongheaded, ill-informed obsession with debt is standing in the way. new york times 2011.

I will leave that to its own merit of inertia to its funtion to utility and convey that it is what puts you at ease of preference since I like oranges and you may like apples. Since debt is a future claim to labor and the government will not ever pay it off in reality from there own history and the very words they choose to consume the fruit salad from taxes that in Fisher's and Romers own work conveys the Consumer who is the final arbiter does indeed spend or defer to saving for future consumption. They both suggest in there orthodoxy of mental work which we have forumed the realism was $1 consumer spent was $3 benefit to economy at large change. Nobody denies the current effective tax rate on record to date but the nonlinear rate debt models given us the face value nature to what we already know.

Dimon said Europe was the worst problem for the banking sector. "But the EU and euro are solid even if the states will have to be financially responsible and do all they can to develop common social policies," he said."

Business leaders are starting to brisle up. These bankers are smarter than the market Higg since it is not there money.
Note the geopolitical fruitcakes ecalations in this affair we posted as Quintus Fabius Maxim. The Leviathon is loose
and cannot be contained. Mere spectators, to the inane affairs of wisdom and humanity of the day we mentioned
pages back. I was having a focused conversation with my wife who had issue with a observation. It sumed to this.
"Man and person were not equivalent terms. A slave was not a person, but a thing; a person was a human being endowed with civil status."
We covered no man status already. When we slave to desire we are subject to consequences to a few. They will learn from
travail of lessons that cannot be tought. They consider trillions a solution as bricks into the tower of modern babel IMO.

It is no difference than this time reference:
Fri Jul 31, 2009 6:25 pm

“In the real world, banks extend credit, creating deposits in the process, and look for reserves later”.
We see who paid for that.
Their empirical conclusion was just the opposite: rather than fiat money being created first and credit money following with a lag, the sequence was reversed: credit money was created first, and fiat money was then created about a year later:

Having failed to understand the mechanism of money creation in a credit money world, and failed to understand how that mechanism goes into reverse during a financial crisis, neoclassical economics may end up doing what by accident what Marx failed to achieve by deliberate action, and bring capitalism to its knees.
Academic economics responded to these empirical challenges to its accepted theory in the time-honoured way: it ignored them.
Well, the so-called “mainstream” did—the school of thought known as “Neoclassical economics”. A rival school of thought, known as Post Keynesian economics, took these problems seriously, and developed a different theory of how money is created that is more consistent with the data.
The standard money multiplier model’s assumption that banks wait passively for deposits before starting to lend is false. Rather than bankers sitting back passively, waiting for depositors to give them excess reserves that they can then on-lend.

Interferes in actual production in a most dangerous manner since it is impossible to mark and measure moral hazard malinvestments from a premise of credit collapse with out marked to market seeking stabilization.
Basil Moore 1983, “Unpacking the post Keynesian black box: bank lending and the money supply”, Journal of Post Keynesian Economics 1983, Vol. 4 pp. 537-556; here Moore was quoting a Federal Reserve economist from a 1969 conference in which the endogeneity of the money supply was being debated.
Consumption of fixed capital
2005 1612.0 billion
2006 1623.9 billion
2007 1720.5 billion
2008 2032.3 billion
So, they print more and more will never be enough since there is no market signal to refer to.
is this true or false to date: http://generationaldynamics.com/forum/s ... ords=romer
This is in direct context to multiplier.
Romers work for the administration's theory of money multiplier was based on Fishers observations and it is in the forums from the 1930's.
viewtopic.php?f=14&t=2&p=3891&hilit=romer#p3891
How to generate severe stagflation in the years 2010 through 2019 right on que thanks Washington provided below.
The Macroeconomic Effects of Tax Changes: Estimates Based on a new Measure of Fiscal Shocks, by Christina D. and David H. Romer (March 2007). (Christina Romer now chairs the president's Council of Economic Advisors). This study found that the tax multiplier is 3, meaning that each dollar rise in taxes will reduce private spending by $3."
In the same vein: This is from Professor Fisher's book entitled 100% Money, revised edition
published by The Adelphi Company (1936)
There is a growing opinion among specialists in this field that the per capita money income is approximately equal to three times the per capita
money in circulation. Should this opinion be confirmed - that money and money income maintain an approximately constant ratio or even that this
would be true in the absence of great booms and depressions - we would reach the rather startling conclusion that to maintain the dollar as a
fixed fraction of per capita income would amount to the same thing as fixing the per capita supply of money and that the only statistics needed
by the Currency Commission would be those of population. We cannot, as yet, be sure that the two criteria - a fixed per capita quantity of money
and a dollar as a fixed fraction of the per capita income - are so nearly the same; but we can at least be sure that the per capita quantity plan
would not be a bad solution of the money problem. To note, this calculation exists.
We are right on target to what we already know. Also Fisher dies bankrupt and under his Family's dominion.
http://generationaldynamics.com/forum/v ... omer#p3608

MIDWAY, Ga. (AP) -- Police in Georgia have shut down a lemonade stand run by three girls trying to save up for a trip to a water park, saying they didn't have a business license or the required permits. Midway Police Chief Kelly Morningstar says police also didn't know how the lemonade was made, who made it or what was in it. The girls had been operating for one day when Morningstar and another officer cruised by. The girls needed a business license, peddler's permit and food permit to operate, even on residential property. The permits cost $50 a day or $180 per year.

Above does sum up why things are beyond repair. Also note a street vendor in China was beaten to death so wake up cheerfull idiots. Who could spend for the best benefit. We already know that answer. Romers work for the administration's theory of money multiplier was based on Fishers observations and it is in the forums from the 1930's.
http://generationaldynamics.com/forum/v ... omer#p3891
How to generate severe stagflation in the years 2010 through 2019 right on que thanks Washington provided below.
The Macroeconomic Effects of Tax Changes: Estimates Based on a new Measure of Fiscal Shocks, by Christina D. and David H. Romer (March 2007). (Christina Romer now chairs the president's Council of Economic Advisors). This study found that the tax multiplier is 3, meaning that each dollar rise in taxes will reduce private spending by $3."
In the same vein: This is from Professor Fisher's book entitled 100% Money, revised edition
published by The Adelphi Company (1936)
There is a growing opinion among specialists in this field that the per capita money income is approximately equal to three times the per capita
money in circulation. Should this opinion be confirmed - that money and money income maintain an approximately constant ratio or even that this
would be true in the absence of great booms and depressions - we would reach the rather startling conclusion that to maintain the dollar as a
fixed fraction of per capita income would amount to the same thing as fixing the per capita supply of money and that the only statistics needed
by the Currency Commission would be those of population. We cannot, as yet, be sure that the two criteria - a fixed per capita quantity of money
and a dollar as a fixed fraction of the per capita income - are so nearly the same; but we can at least be sure that the per capita quantity plan
would not be a bad solution of the money problem.

This debt issue today, and they are aware to the extent that policy error was the issue then rused of Money Stock rigidity as Capital flight was ignored.
As they say kill a chicken to scare the monkeys. They assert now that the Senators sent to end this insanity are back seat drivers and no consequence. They should be fired since balancing a check book is so difficult. Voters deserve this travail since they send them back over and over again.
The fact of the matter is you are owned.

Facts: http://money.usnews.com/money/blogs/flo ... an-anymore

Money will not come Home since basic's are this. Gold collar, White collar and Blue collar workers. Between the two party's there are none for the taxpayers who are being pushed around like vegetables on a plate. And they expect another election to be to there benefit is beyond words to express.

vincecate wrote:

John wrote: One normally doesn't think of something like the P/E ratio as being
subject to a "crash," but perhaps it's possible.

When interest rates go up the P/E ratio goes down. My bet is we see interest rates up and P/E down sometime in the next year.

http://www.scribd.com/doc/58350277/Thir ... xed-Income

Under less debt saturated scenarios I would agree. This correlation will play out on graph.
Offsett of M1 (usually) is the M1 money multiplier. Just a factor I trust...
Back in the forums we warned of Romers folly to be on the money multiplier
in this climate of malinvestment on this brutal 4th wave.

Mon Aug 03, 2009
http://generationaldynamics.com/forum/v ... omer#p3891
Now the White House conveys if there is a hurdle call. Going to be a interesting summer indeed.