… The main purpose of the media propaganda about the impending “cliff” is to create a sense of financial emergency and override popular opposition to measures the Obama administration and congressional Democrats and Republicans will put forward to avert it, including sweeping cuts in Medicare, Medicaid and Social Security.
This is bolstered by the reaction in the financial markets, where a sharp sell-off could well serve as a political club to ensure that the policies demanded by Wall Street are adopted in Washington.
Far from an emergency that requires dramatic action to slash the federal deficit, the various components of the “fiscal cliff” are all consequences of legislation passed at various times during the Obama administration and can be averted by the passage of further legislation by Congress, regardless of whether that legislation adds to or subtracts from the deficit.
Deficit reduction is not a requirement of any previous legislation, but a political mandate from the financial aristocracy, which is demanding that its two political parties take joint action to make working people pay for a fiscal crisis that is the product of the 2008 Wall Street crash and the trillions expended to bail out the banks and corporations. …
The author overlooks the real game changer here. The legislation that’s really needed, the liberation of the economic power of the american people, seems to be off most people’s radar. The idea is simple, fair and elegant. From monetary.org:
Monetary reform is achieved with three elements which must be enacted together for it to work. Any one or any two of them alone won’t do it, but would further harm the reform process. The reform has its best chance of passage in this severe monetary crisis created by the privatized money system. Considering that the same establishment controls our weapons systems, this may be humanities only chance for reform, to stop the now obvious slide of our middle class into slavery or some form of “Disney Fascism.”
First, incorporate the Federal Reserve System into the U.S. Treasury where all new money would be created by government as money, not interest-bearing debt; and be spent into circulation to promote the general welfare. The monetary system would be monitored to be neither inflationary nor deflationary.
Second, halt the bank’s privilege to create money by ending the fractional reserve system in a gentle and elegant way. All the past monetized private credit would be converted into U.S. government money. Banks would then act as intermediaries accepting savings deposits and loaning them out to borrowers. They would do what people think they do now. This Act nationalizes the money system, not the banking system. Banking is not a proper function of government, but providing the nation’s money supply is a government prerogative!
Third, spend new money into circulation on 21st century eco-friendly infrastructure and energy sources, including the education and healthcare needed for a growing and improving society, starting with the $2.2 trillion that the Civil Engineers estimate is needed over the next 5 years, for infrastructure repair; creating good jobs across our nation, re-invigorating local economies and re-funding local government at all levels.
What would this do? Take banks out of the casino business, remove most of the systemic tendencies for for boom and bust cycles and wealth concentration, bring transparency and accountability to monetary policy by taking it out of the hands of those who profit from mass misery, and last but not least, it would eliminate the national “debt” and the profit incentive for the debt aristocrats to bribe, blackmail and murder this country into perpetual war.
Some people believe this phrase only pertains to metal coins. But “coin” is used as a verb here, as in to “coin a phrase”, i.e. “invent” or “create”. I have to wonder at the motivations of people who compulsively shoehorn constitutional interpretations into the current status quo, as if the second amendment only pertains to hunting rifles and the first amendment only protects the free speech of corporate media. How much imagination or historical perspective does it take to understand the intended meaning of the words? Debt-free money was used by colonial america (until britain started counterfeiting it), Abraham Lincoln (greenbacks) and numerous other times and places in history with spectacular success. Why not now?