Our economic planners, after the unprecedented economic growth produced by a more progressive tax code in the 1990's, planned the economy to deflate.
The rejection of trickle-down economics in the 90's for a more Jeffersonian model of political economy produced an environment in which new businesses flourished and labor was more in control than it had ever been by market forces. Economic growth was exceptionally strong, disconfirming the trickle-down hypothesis, and confirming the progressive tax hypothesis.
The pluralistic environment of a progressive tax code is inimical to big business which relies on regressive taxation, accumulating debt, slow growth (minimal competition), high prices (maximal inflation and profits), demand reduction (declining purchasing power), overproduction (rising inventories) and rising unemployment--stagflation and deflation, or what we have now. That's the plan. Mission accomplished.
The Hamiltonian plan entails shipping our raw materials to Asia, where it is a labor-buyer's market, and shipping cheap finished goods back. The only advantage of the free trade agreements is the labor cost advantage. Otherwise, the trade agreements are a model of inefficiency, or extremely bad planning. The result, the plan, is inflation AND unemployment for our nation, which is why it is beyond the technology of monetarism to bank our way out of it.
For a small elite of the super rich, the supra-sovereign elite in command of the global economy, the plan is a complete success. For the vast majority of Americans, it is proving to be a dismal failure, just as planned.
Now that Americans are increasingly desperate for jobs, the comparative labor-cost advantage shifts back, especially if we have state-provided healthcare. The energy cost also adds a comparative, natural, advantage for manufacturing to be closer to both its raw material inputs and its consumer market. Again, this advantage should have never been commanded away. It was a huge misfeasance, if not a deliberate malfeasance, doing tremendous harm for a very narrow benefit.
A more pluralistic model of power and political economy is clearly in order to wrest this command economy away from its commanders.
Ensuring a genuine, unconsolidated, free market mechanism in priority, beginning with a simple progressive tax code on all income without exception, is clearly in order.
John McCain is not the candidate to do that.
If you want a plan that works for the vast majority of America, its businesses, its government, with a thoroughly verifiable legitimacy that is the constitutional legitimacy of providing for the general welfare, and not a small group of would-be monarchs, vote for the conscience and competence we need to move our nation forward, Barack Obama!
Copyright 2008 by Griffith Lighton
The rejection of trickle-down economics in the 90's for a more Jeffersonian model of political economy produced an environment in which new businesses flourished and labor was more in control than it had ever been by market forces. Economic growth was exceptionally strong, disconfirming the trickle-down hypothesis, and confirming the progressive tax hypothesis.
The pluralistic environment of a progressive tax code is inimical to big business which relies on regressive taxation, accumulating debt, slow growth (minimal competition), high prices (maximal inflation and profits), demand reduction (declining purchasing power), overproduction (rising inventories) and rising unemployment--stagflation and deflation, or what we have now. That's the plan. Mission accomplished.
The Hamiltonian plan entails shipping our raw materials to Asia, where it is a labor-buyer's market, and shipping cheap finished goods back. The only advantage of the free trade agreements is the labor cost advantage. Otherwise, the trade agreements are a model of inefficiency, or extremely bad planning. The result, the plan, is inflation AND unemployment for our nation, which is why it is beyond the technology of monetarism to bank our way out of it.
For a small elite of the super rich, the supra-sovereign elite in command of the global economy, the plan is a complete success. For the vast majority of Americans, it is proving to be a dismal failure, just as planned.
Now that Americans are increasingly desperate for jobs, the comparative labor-cost advantage shifts back, especially if we have state-provided healthcare. The energy cost also adds a comparative, natural, advantage for manufacturing to be closer to both its raw material inputs and its consumer market. Again, this advantage should have never been commanded away. It was a huge misfeasance, if not a deliberate malfeasance, doing tremendous harm for a very narrow benefit.
A more pluralistic model of power and political economy is clearly in order to wrest this command economy away from its commanders.
Ensuring a genuine, unconsolidated, free market mechanism in priority, beginning with a simple progressive tax code on all income without exception, is clearly in order.
John McCain is not the candidate to do that.
If you want a plan that works for the vast majority of America, its businesses, its government, with a thoroughly verifiable legitimacy that is the constitutional legitimacy of providing for the general welfare, and not a small group of would-be monarchs, vote for the conscience and competence we need to move our nation forward, Barack Obama!
Copyright 2008 by Griffith Lighton
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