Why Is the Fed Paying So Much Interest to Banks?

APR 01, 2019 TruthDig, Ellen Brown, Why Is the Fed Paying So Much Interest to Banks? A movement is also afoot to establish state- and city-owned banks that would have the ability to lend for infrastructure and other local needs. Local governments cannot get a risk-free 2.4% rate from the Fed for their demand deposits, but city- or state-owned banks …

Kalecki, Minsky, and “Old Keynesianism” Vs. “New Keynesianism” on the Effect of Monetary Policy

By Tracy Mott, SEP 11, 2019 | MACROECONOMICS Mott walks us through answers many careful readers of Kalecki, Keynes, Steindl, and Minsky knew all along. In a post co-authored with Anna Stansbury, Larry Summers repudiates economic orthodoxy in regard to whether interest rate cuts suffice to restore full employment and looks at a more “original” Keynesianism to find adequate responses to secular stagnation. Tracy Mott …

21st Century Bill of Rights

From Brand New Congress: The founders of the United States of America and those that followed established a Bill of Rights to constitute the values reflected by this great nation and those who reside within. Now more than 225 years into our nation’s founding, we recognize the current Bill of Rights falls short of securing the full scope of unalienable …

The Guardian view on a Green New Deal: we need it now. Policymakers ought not wait for economic theory to catch up with the environmental crisis

Editorial Sun 12 May 2019 The Guardian Share on Facebook Share on Twitter Share via Email The Green New Deal – In Britain it is advocated by both Tory MPs and Jeremy Corbyn; while a non-partisan Canadian coalition of nearly 70 groups are backing such a scheme. However, it has been made flesh by US Democrats, in particular the political phenomenon in the US House of Representatives, Alexandria …

Bronze Age rulers simply canceled debts. We should too.

“And forgive them their debts”: Lending, Foreclosure and Redemption from Bronze Age Finance to the Jubilee Year is about the origins of economic organization ad enterprise in the Bronze Age, and how it shaped the Bible. Hudson writes, it is moral for creditors to have to bear the risk (“hazard”) of making bad loans, defined as those that the debtor cannot …

On Paying for a Green New Deal with Modern Monetary Theory: When MMT works and when it doesn’t (toward full employment)

March 18, 2019 by Dean Baker, Hankyoreh, On Paying for a Green New Deal with Modern Monetary Theory We should perhaps not blame politicians who advocate a GND without telling us how they plan to pay for it. After all, Republican politicians have been getting elected for 40 years by promising big tax cuts without saying how they would pay for them. Still, MMT …

The Economy for the Common Good: A Workable, Transformative Ethics-Based Alternative, by Christian Felber

By Christian Felber, Vienna University of Economics and Business and Gus Hagelberg, Coordinator for International Expansion of the ECG more, February 27, 2017,  MONEY & BANKING, DEMOCRACY & GOVERNANCE This paper by Christian Felber and Gus Hagelberg, published alongside three others, is one of many proposals for a systemic alternative we have published or will be publishing here at the Next System Project. You can read it …

The latent, unused power of citizens—and the production of public collateral

The latent, unused power of citizens—and the production of public collateral, Ann Pettifor, Democracy Collaborative and Next System Project, January 24, 2019, MONEY & BANKING Introduction It was just a montage of words uttered over a video in the summer of 2018. Soon the words went viral. They helped unseat a Wall Street-friendly Democrat—one primed to be the next congressional leader. They …