MICHAEL HUDSON ~ J IS FOR JUNK ECONOMICS ~ 2017

~ TEOJEIANCO-‘TE’-ITOO-‘TM’- WMM-TSQ-TREME-T-P/E/L-R-O-D-ITRE ~ The Essence Of Junk Economics Is A Narrow Conceptualization Of – “The Economy” – In Terms Only Of – “The Market” – Which Merely Means – The Status Quo – The Resulting Economic Models Exclude – The Political / Environmental / Legal – Ramifications – Of – Debt – In Today’s Rentier Economies

~ FME-HTTA-AS-ATM-SAHCOGAM-TDHAAPSODALPT ~ Free Market Economist – Have Tried To Appropriate – Adam Smith – As Their Mascot – Stripping Away His Critique Of Groundrent And Monopolies – To Depict Him As A Patron Saint Of Deregulation And Lower Property Taxes

~ A-NANP-TGCI-P-WA-TGCTOMAMW-A-S-WBTO ~ Affluenza – Not A New Phenomenon – The Greeks Called It – Pleonexia – Wealth Addiction – The Greedy Compulsion To Obtain More And More Wealth – And – Specifically – What Belongs To Others

~ A-TAITSQAHTSFL-W- ‘F’-MOTBE-ECTPFDS-APLTESAEDDD ~ Austerity – The Assumption Is That Squeezing Out A High Tax Surplus From Labor – Will “Free” More Output To Be Exported – Enabling Countries To Pay Foreign Debt Service – Austerity Programs Lead To Economic Shrinkage And Even Deeper Debt Dependency

~ B-ATOWTC-BUSCAPE-R-B/UC/S-TSTFL-PECITHOTFS ~ Bailout A Transfer Of Wealth To Creditors – Bailouts Usually Save Creditors At Public Expense – Reimbursing Bankers / Uninsured Creditors / Speculators To Save Them From Loss Preserves Economic Control In The Hands Of The Financial Sector

~ B-TB-SIOAF-FM-FFR ~ Banksterism The Bankster-Subsidized Ideology Of A Financial – Free Market – Free From Regulation

~ AAHHNFA-‘BS’-I-BAITBSOF ~ Anthropologists And Historians Have Not Found Any – “Barter Stage” – Instead – Barter Appears In The Breakdown Stage Of Financialization

~ RHFBBWTITROI ~ Rentiers Have Fought Back By Wrapping Themselves In The Rhetoric Of Individualism

~ TRQI:WGWB-DOO ~ The Real Question Is: Whether Government Will Be Democratic Or Oligarchic

~ BE-AETTGRAPPSBFE-ABEPCAD ~ Bubble Economy An Economy Trying To Get Rich And Pay Pensions Simply By Financial Engineering A Bubble Economy Polarizes Creditors And Debtors

~ C-UTDTSSBOPICA-N-RMT-FC-A-WCVREASS ~ Capitalism Used To Describe The Social System Based On Promoting Industrial Capital Accumulation Now – Referring Mainly To – Finance Capitalism – And – Wealth Creation Via Rent Extraction And Asset-Stripping

~ CC-F-BO-FE-RT-IE-NTIIIIBTSFSWROFRTO ~ Casino Capitalism Finance – Based On Financial Engineering Rather Than Industrial Engineering – No Tangible Investment Is Involved In Betting That Some Financial Securities Will Rise Or Fall Relative To Others

~ CB-ASIABTLCBTOOTB ~ Central Bank A Semipublic Institution Administered By The Largest Commercial Banks To Operate On Their Behalf

~ C-TITEIFTCTEF-AEF-BTVFNBSA ~ Choice The Idea That Everyone Is Free To Choose Their Economic Fate A Euphemism For Blaming The Victim For Not Being Sufficiently Affluent

~ CS-DF-OARPIBASAB-TADSATSSFBTABTLAPLTC ~ Clean Slate Debt Forgiveness Originally A Royal Practice In Bronze Age Sumer And Babylonia To Annul Debts So As To Save Society From Being Torn Apart By Transferring Land And Personal Liberty To Creditors

~ C-PA-L/W/MR/A/OPI-ANP-TABAISL-TI-V-G-OA-C-NMBRATUTOOFC ~ Commons Public Assets Land / Water / Mineral Rights / Airwaves / Other Public Infrastructure – As Natural Monopolies They Are Best Administered In Society’s Long-Term Interest Via Government Or A Community Not Monopolized By Rentiers As The Ultimate Takeover Objective Of Finance Capital

~ ADCIIBOTIMOCI-AIIWDBBLOTBTBEWMUO-OBWDBLA-CS ~ A Debt Crisis Is Inevitable Because Of The Inherent Mathematics Of Compound Interest – At Issue Is Whether Debts Will Be Left On The Books To Burden Economies With Mathematically Untenable Overhead – Or Be Written Down By Legislating A – Clean Slate

~ ADAINATPWTEBSO-ITNIAEDU ~ A Debt Amnesty Is Necessary At The Point Where The Economy Becomes So Over-Indebted That New Investment And Employment Dry Up

~ MCAOTBDMTS ~ Most Consumers Are Obliged To Be Debtors Merely To Survive

~ ACBLAMS-IBFAD-VARWPAP ~ As Crime Becomes Larger And More Successful It Becomes Financialized And Decriminalized – Victims And Reformers Who Protest Are Prosecuted

~ DD-P-DS-DSAF-CG-A-NBI ~ Debt Deflation Paying Debt Service Diverts Spending Away From Consumer Goods And New Business Investment

~ DP-TOODTPTOL-A/O-TOFM-TC-TCTDAIIC ~ Debt Peonage The Obligation Of Debtors To Provide Their Own Labor And/Or That Of Family Members To Creditors To Carry The Debt And Its Interest Charges

~ DP-TBUODSEG-ESMCUTDAWD ~ Debt Pollution The Build Up Of Debt Stifles Economic Growth Economic Shrinkage Must Continue Until The Debts Are Written Down

~ D-TP-DROP-ITDTCTTCC-HBOALRI ~ Demagogy The Post-Democratic Role Of Politicians Is To Deliver Their Constituencies To Their Campaign Contributors Headed By Oligarchs And Local Rentier Interests

~ D-RTAASP-EDM ~ Denial Reluctance To Acknowledge A Systemic Problem – Evidence Doesn’t Matter

~ D-TEITEITSPTFM-WRITTLIDA-MRASAFAOPB ~ Deregulation The Effect In Today’s Economies Is To Shift Planning To Financial Managers While Rentier Interests Take The Lead In Dismantling Anti-Monopoly Rules And Safeguards Against Fraud And Other Predatory Behavior

~ D-OOFI-EA-‘RM’ ~ Derivatives – Often Opaque Financial Instruments Euphemized As “Risk Management”

~ ER-TAOMPOIC(V) ~ Economic Rent The Excess Of Market Price Over Intrinsic Cost (Value)

~ EMH-AT-VV-TWIBASIFMRROEC-TPAI-TFTEFGR-TPEI-TLTESB-B/MAOR-ITV-CAAU ~ Efficient Market Hypothesis – A Tunnel-Visioned View – That What Is Bought And Sold In Financial Markets Realistically Reflects Overall Economic Conditions – The Political Aim Is – To Free The Economy From Government Regulation The Practical Effect Is – To Leave The Economy Steered By – Banks / Monopolists / And Other Rentiers In This View – Crashes Are Always Unexpected

~ RIIBO-‘TM’-NO-VI-PEOOB ~ Rising Inequality Is Blamed On “The Market” Not On Vested Interests Pushing Economies Out Of Balance

~ WTES-RL-B-L-FBPTM ~ When The Economy Shrinks Rentier Lobbyists Blame Labor For Being Paid Too Much

~ F-AITRPO-ROWIITON ~ Factoid An Idea That Reflects Popular Opinion Regardless Of Whether It Is True Or Not

~ FC-DCAPP-‘R’-THNRCOP-V-EFPTLAP ~ Fictitious Capital Debt Claims And Property Privileges “Rights” That Have No Real Cost Of Production Value Except For Payments To Lawyers And Politicians

~ FE-RSPBPFM-IONCI ~ Financial Engineering – Raising Stock Prices By Purely Financial Means – Instead Of New Capital Investment

~ FL-APTF-ER-TPOP-THNCITAOSNCOPGOS ~ Free Lunch – A Popular Term For – Economic Rent – Transfer Payments Or Prices – That Have No Counterpart In The Actual Or Socially Necessary Costs Of Producing Goods Or Services

~ FM-TTCE-AE-FO-LR/RBP/M ~ Free Market – To The Classical Economist – An Economy – Free Of – Land Rent / Usurious Banking Practices / Monopolies

~ I-AAGI-TRTROCAOWI-T-D-C/D/R-O-ECAL ~ Individualism – An Anti-Government Ideology That Rationalizes The Right Of Creditors And Other Wealthy Individuals To Deprive Consumers / Debtors / Renters Of Economic Choice And Liberty

~ JE-AP-RE-PBVI-TDTBIAPL-IOAEZ-SRS ~ Junk Economics – A Public-Relations Exercise Promoted By Vested Interests To Depict Their Behavior In A Positive Light – Instead Of As Exploitative Zero-Sum Rent Seeking

~ N-AITA-B/L/M-FAOPB ~ Neoliberalism An Ideology To Absolve Banks / Landlords / Monopolists From Accusation Of Predatory Behavior

~ N-S-IARC-ETAP-TLDWLONDIASL ~ Neo-Serfdom Interest And Rent Charges Expanding To A Point That Leaves Debtors With Little Or No Disposable Income Above Subsistence Levels

~ O-RBTF ~ Oligarchy Rule By The Few

~ P-NPOTME-APMIPUFS ~ Politics Now Part Of The Market Economy As Policy-Making Is Put Up For Sale

~ TL- ‘S’ -IATACO-LPF-SOPITPB-STOCAWE-A-DEFREAF ~ The Label Socialism” Is Applied To Any Critique Of Looting Pension Funds Selling Off Public Infrastructure To Pay Bondholders Shifting Taxes Onto Consumers And Wage Earners And Deregulating Economies For Rent Extractors And Financializers

~ DTCBP-WB ~ Debts That Cannot Be Paid Wont Be

~ TLOHITCEWNAHDTMI ~ The Lesson Of History Is That Creditor Elites Will Not Acknowledge How Destructive Their Mythology Is

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