–The “Extend and Pretend” austerity magic show. How to end debt by borrowing.

Twitter: @rodgermitchell; Search #monetarysovereignty
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Mitchell’s laws:
which ultimately leads to civil disorder.
●The penalty for ignorance is slavery.
●Everything in economics devolves to motive.









Here are excerpts from the Los Angeles Times:

Spain exits bailout program
By Lauren Frayer, January 23, 2014









Does this surprise anyone — except maybe the Spanish people?






And how will that debt be paid? How, indeed.

From El Pais









Rodger Malcolm Mitchell
Monetary Sovereignty

Nine Steps to Prosperity:
1. Eliminate FICA (Click here)
5. Salary for attending school (Click here)
6. Eliminate corporate taxes (Click here)
7. Increase the standard income tax deduction annually
9. Federal ownership of all banks (Click here)


10 Steps to Economic Misery: (Click here:)
1. Maintain or increase the FICA tax..
5. Cut financial assistance to the states.
6. Spread the myth federal taxes pay for federal spending.
8. Never prosecute any banker for criminal activity.
9. Nominate arch conservatives to the Supreme Court.
10. Reduce the federal deficit and debt

Two key equations in economics:
1. Federal Deficits – Net Imports = Net Private Savings

Monetary Sovereignty Monetary Sovereignty



One thought on “–The “Extend and Pretend” austerity magic show. How to end debt by borrowing.

  1. Hooray! Spain has “exited the bailout program!”

    TRANSLATION: The Spanish government cannot borrow any more money from the Troika, or from Spanish banks. Therefore the government must now borrow by selling bonds.

    But don’t worry “Foreign investor confidence in the country has been restored.”

    TRANSLATION: The vultures are circling. Spain already has more than $50bn worth of orders for a new 10-year government bond. This means another $50 billion in debt, which means more austerity and “bailouts” (i.e. debt bombs). The austerity will open the door to more privatization, in which the vultures will grab valuable public assets for little or nothing. Spain will continue to be destroyed.

    In southern Spain, three quarters of young people are without work. The corporate media calls this a “recovery.” Even “progressives” claim that austerity is finally “working.” True, things will get much worse before they get worse, but prosperity is just around the corner. Just a few more leeches and the anemia will be cured.

    Last Monday (20 Jan 2014) Spanish police arrested a man in the garage of his house outside Toledo, and grabbed €310,000 in counterfeited notes. The man, 66, had been operating for two years. If you’re going to create money out of thin air (and use it to enslave whole nations) then you had better do it with a computer keyboard. Printing notes is illegal, unless you pass out the notes as loans.

    Corruption, however, is not illegal. The northern city of Burgos (Spain) is $680 million in debt, yet hotel owners have arranged for the city’s people to go another $11 million in debt to convert a street into a tree-lined boulevard. Since the city of Burgos cannot pay this debt, the hotel owners will take private ownership of the boulevard when it is finished. Sweet!


    One bit of amusement comes from up north, in Finland, whose self-righteous government has long enjoyed scolding countries like Spain. Now, because of the euro currency, Finland’s economy has been contracting for the last two years, and its unemployment has been exploding. Nokia had to sell its cell phone business to Microsoft, and today Nokia reported plunging fourth-quarter sales and shrinking profit margins. Prime Minister Jyrki Katainen has vowed to impose more austerity (spending cuts and tax increases), which will lead to more debt and austerity.

    Corporate management is exploiting the situation to crush Finnish workers as never before, saying that if workers accept further cuts in wages, then Finland’s economy will recover by exporting to…ah…wherever. Of course, lower wages will further kill the consumer economy, but so what? This is a “recovery.”


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