On Nazinomics - Preface

One recent fad on the left is following Mossler and Galbraith's "Modern Monetary Theory." MMT wrong in all three of its assertions. It is not modern, it is not monetary, and it is not a theory, that is it generates no frame work of equations from its assertions. Instead, it is a very old idea, namely that the government can take everything you have. It is "modern" in the sense of being 20th century, in that it asserts that all money comes from the sovereign. Or "the leader." Or to use the German. Der Fuehrer. Mossler has taken the Godwin Gambit: the way to win any argument is to be a nazi. No one can tell the truth about you. The lesser version is to be an idiot. No one can call you an idiot without being rude. Mossler will make a great deal of money from MMT. He is a Nazi. If you aren't getting paid to shill for it, than you are an idiot.

MMT is wrong on virtually every point: it is wrong on history, wrong on economics, wrong on sociology. It appeals because it seems to offer a way of breaking down the barriers that face us: more and more rental claims are piling up. The top of the economy is awash in an arms race inflation, while the bottom is gripped by austerity. In one sense, in an essentiality of error sense, it might have been useful. But of course, those who have implemented it are greedy and stupid, and have botched the implementation, because instead of being a cudgel of the far left against the center-left to not deal with the right, it is now merely one more way where oxygen for good ideas, is sucked out by bad ideas.

This essay will be divided into the historical creation of currency, showing that the creation of currency contradicts the assertions of MMT. Then it will analyze the creation of the present monetary order, and the relationship between the growth of a market-state, and the command of currency. Then it will show how the functions of what we call money are both coordinate and contradictory. Then it will present a conductive/convect theory, as in a theory, as the the functioning of abstract exchange.

Of course I don't expect to convince Nazi zealots of MMT, because their eyes are fixed on the ability to inflate away the debt. However, the ability to inflate away debt is already happening, so the last part of the essay is an ugly truth: MMT is merely a demand on the part of people who do not have access to the present regime of fiat money, to get access to it, and on terms favorable to them. As with many bad ideas on the left, it is really a hope by those marginally outside of the right wing system, to be moved into it.