COVID 19 and introduction of an unconditional income supplement

.... this idea of an unconditional income supplement to all Canadians that is taxable would act similar to the idea of Jubilee. If each Canadian was given five hundred dollars per month unconditionally..... there is very little need for a bureaucracy. This idea was proposed by economist Milton Friedman. This is certainly NOT merely trickle down economics but would be like side by side economics as all thirty seven million Canadians would be able to do much more to employ each other.

Israel could adopt this idea first..... if this was done in Canada many more Breslovian Chassidic Jews would be able to make the trip to visit the remains of Rabbi Nachman and put together the financing to bring his bones from Uman in the Ukraine to somewhere in Israel.

So a family of four would get an extra two thousand dollars per month and Canadians could soon pay down their high interest loans and credit cards. The COVID 19 virus is causing a huge number of us to be humbled and closer to our families much as Isaiah predicted would occur before the Era of Moshiach would begin.

.......
If my advice is unwise.... my apologies but I am going to share this to my wall to get some feedback but I am of the belief that this virus could set in motion a Bear Market, another 1929, and in my forty or so years of researching some theories on economics I am of the belief that one of the best responses to the possible economic fall out may be:

"Five hundred dollars per Canadian per month, can this work?
I am advocating the usage of the Bank of Canada that is owned by all Canadians to finance giving five hundred dollars per month to all thirty seven million Canadians.
It will of course mean much more to poorer Canadians than to millionaires........
but it could be surprising how many stay at home wives with cheap and stingy millionaire husbands who control the purse strings of the home may find this extra five hundred very helpful indeed.
I suspect that well over eighty percent of of Canadians will spend this money reasonably well and:
1. enrol their kids in more after school programs.....
2. begin to purchase a higher percentage of organic produce vs the cheap GMO stuff
3. purchase a newer car, SUV or half ton truck
4. do renovations to their homes
5. hire landscapers to do certain projects on their properties
6. pay down their debt loads, especially the higher interest ones
7. buy a new home rather than renting
8. buy a cottage outside the city so that they can get away for weekends
9. many will choose to move to rural Canada in order to escape relatively hectic city life
10. eat at nice restaurants more often
11. I also believe that a significant percentage of Canadian women who would have chosen to have an abortion under the present economic situation will CHOOSE to keep their babies as opposed to having an abortion!
I suspect that less than ten percent of Canadians will attempt to live off this five hundred dollars / month and simply use it to drink or smoke more.
To whatever degree this happens the worst cases where these Canadians put themselves and others in danger this can be dealt with by issuing food stamps vs a monthly check."

I posted this to the wall of my local Member of Parliament to give him and his boss P. M. Justin Trudeau something to think about.

https://www.facebook.com/SeanFraserMP/posts/2637804269833837

 

Here is my understanding of what happens if my nation Canada begins to use the Bank of Canada again as
we used it from 1938 to 1974 to create an extra eighteen billion dollars per month to pay out an unconditional income
supplement of this nature.

This extra eighteen billion dollars would be taxed back into the treasury after it would turn over roughly three times so
it would soon balance the deficit and begin to pay down the national debt of Canada by about eighteen billion dollars
Canadian per month.

The key though is that it has to be created in the same manner as we used from 1938 to 1974 when then Prime Minister
Pierre E. Trudeau made what could be argued was one of the biggest errors by a sitting Canadian P. M. in this last century.

https://bettysearlyedition.blogspot.com/2015/07/how-pierre-trudeau-turned-us-into-debt.html

 

One way to market this idea to more citizens of Canada and other nations is to let people know that this is a lot less extreme than another proposal that is circulating:

https://www.change.org/p/help-disclose-humanity-s-strawman-secret-accounts-with-a-lawsuit/u/25607484

 

The Bank of Canada Must Finance our Country, Debt-Free

 

Universal basic income will never happen, even temporarily. The government at the top doesn't want the people getting used to the idea of getting free money from the government. Or, at least, not in high fund amounts. Oh, I forgot that Obama gave out a small sum in his first term, "Obama's going to pay for my gas and rent," or something. Remember that???

 

But isn't that the crux? In these difficult circumstances, and the need to both stabilise the economy and ensure people behave in ways to minimise spread, something akin to a basic income guarantee just makes sense. We'd at least need all rent and mortgage payments suspended. Are we concluding that the US government is irrational and cannot react to this crisis with any resemblance of rationality?

 

But what about the businesses and corporations that are losing money as this epidemic keeps them closed??? What about the ones that go out of business? What about them>??? It's not fair to them. What are we doing about them? What's a little money going to do if no one is going to spend it??

 

You're worried about corporations when people are dying? Hmm, perhaps have a re-think! By focusing on protecting employees, and helping to stop spread, we actually create positive externalities for those corporations. The crisis could be over quicker.

The science is known. Test, test and test again. Adopt strategies fine-tuned by China. The only problem is US neoliberalism and how it has ensured its people has zero protection. Even self-isolation is an impossibility for many. Time to bleedin think how dysfunctional the US economy really is.

 

Don't get me wrong. I would love to get a large lump sum of money. I would just use it to pay off some debts instead of using it in the local economy, however.

And, the ideas presented in this thread seem to be pro-people and anti-business. What's good for businesses and corporations is good for people too. So, don't express aid to just one side of this matter. That's all I'm saying.

 

Now I may be wrong but I've seen some charts and graphs that sure make it look like a joke was played on all three hundred and thirty million Americans........ and then Canadian Prime Minister Pierre E. Trudeau back in 1974 collaborated in the plan. We Canadians were using our own nationally owned Bank of Canada very effectively from 1938 to 1974 so very big banking interests knew that what was being done had to be messed up before a massive deception could be done against all Americans. The result.... somebody somewhere has to do what is longer done for us by our own banks so...... by 2014 there were seven hundred and ten trillion dollars in the worldwide Derivatives Markets. That statistic is given after the fifteen minute mark in this video....... CIA economist Jim Rickards expresses fear of a one hundred trillion dollar meltdown in the Derivatives markets alone......... and this could spread like a virus to other markets....... so...... people need to be given a reason for Optimism to stop that from happening.....

FORGET IRAN, IRAQ, UKRAINE
THIS IS WHERE WWIII STARTS...

A situation this potentially volatile can inspire governments to do what they would not do under ordinary circumstances.


Take another look at the article by Ms. Betty Krawczyk in post number one and look at thes two charts.....




My theory is that the brilliant Bank of Canada policy of 1938 to 1974 had to be messed up before this could be organized in the USA:

 

I predict that nearly fifty percent of Canadians would use the extra money to pay down their high interest debts.... mostly their credit card debt. This would actually greatly decrease their costs of living..... (the part of their costs of living that are fuelled by interest payments anyway).

Once many Canadians got their high interest debts down they would start looking at owning a second or third home.... which would become their major types of wealth but many Canadians would begin to try the stock markets which would be really good for many businesses.

 

Dennis, I'm under the impression that some of the things that people think of as wealth, such as owning a house, are actually liabilities. They only lose value and you need to pay money for their upkeep.

 

By the way, Dennis, I don't know why you're still following the project prophecy idea. It hasn't happened yet, and who knows, it might never happen. Either because it was averted, or because conditions changed so that it isn't a threat anymore.

 

A worldwide Derivatives Market of seven hundred and ten trillion dollars as of 2014 is certainly still a threat........
and I suspect that this was one of the pieces of information that was used by the people who convinced Donald J. Trump to
campaign for the office of President?!

The USA petro-dollar is still in danger but....... progress has been made to stop those who
want to devalue the USA dollar.

Sincere people who want to save the environment are often actually being used as pawns in
a much larger game of chess.

To what degree are supposedly Green organizations being used to....
....get at the thirty five TRILLION dollars worth of oil and natural gas reserves in the Arctic?

Or to set the stage for the devaluation of the USA petro - dollar which is in some danger due to the 4.3 trillion USA petro - dollars in the hands of China, George Soros, Iran, Europe and Russia?

GLOBAL INVESTING HOT SPOTS Russia and China vie to beat the US in the trillion-dollar race to control the Arctic

 

It isn't difficult. France has just frozen bills and pumped in 500 billion quids.Whether that money goes to "yeah but, I'll pay off debts" Beavis and Butthead types is irrelevant. Most will go to those that need it. Most will go to positive behavioural change.

Cretinous comment. Pro-people is, by definition, pro-business. The days of neoliberalism, market fundamentalism that destroys both business and well-being, are numbered. It shouldn't take a bleedin pandemic mind you. Its economic rationality.

 

And an increase in disposable income in the hands of all Canadians and Americans would soon help every successful and ethical business. Economist Milton Friedman wanted to see this done unconditionally to all citizens....... so that little or no extra bureaucracy would be needed......... He felt that this was a necessary first step in order to free Canadians and Americans from the welfare state that is set up in such a way that makes it very difficult for them to break free.

This would soon lead to a decrease in women feeling forced to choose to have an abortion and soon Canadians and Americans would have larger families which..... .would make our economies less dependent on immigration.

 

Friedman focused on work disincentives though. He was also talking out of his arse. Its an analysis based on avoiding "corner solutions" in labour supply analysis. It ignores that real work disincentive effects, as actually shown by the same labour supply analysis, are focused on the rich.

During this crisis I am increasingly annoyed at the old ways of thinking. Its those old ways that have delivered a people without any protection from the pandemic. Shove Friedman. He was a right wing cretin that was happy to take South American dictator's dosh.

 

Thank you for this..... I have to admit that I finally settled on this idea of an unconditional income supplement after being so confused by somewhat similar ideas that I just knew that I knew that I had to come up with a simplified version of this that could be explained to almost any audience. I also knew that I had to get this into the heads of people who would tend to be biased against this sort of thing:

Would a Basic Minimum Income dramatically reduce abortions?

 

I don't give a toss either way

 

You're wrong that pro-person is pro-business. And it's the government's job to protect businesses and corporations from you the people. Fortunately, they are doing a good job of it.

 

Then you have an idiotic position.

Crikey, you're a sheep of the perfect order. The establishment would hug you if they gave a toss!

 

Wow, I saw a news article that will make you very happy:

Cash handouts are gaining support in Congress as best virus fix
https://www.msn.com/en-us/money/mar...s-as-best-virus-fix/ar-BB11h0VD?ocid=msedgntp

 

Not enough. Look to Spain and France for basic responses. The US is a capitalist slug in comparison.

 

You need to look at MMT.

http://www.politicalforum.com/index.php?threads/mmt-overcoming-the-political-divide.569365/page-2

Basically, sovereign currency issuing governements are constrained by resources and the economy's productive capacity, NOT money (...and deficits).

So a public sector can fund itself to implement specific social programs - without taxing or borrowing -, and operate alongside a private sector, to create maximum efficiency in the overall economy as represented in the sum of BOTH sectors.

[In MMT, taxation is a means of avoiding excess demand on resources, not a source of funding social programs.

 

Wow!!!!

May I quote this directly into a couple of other discussions that I have going that are somewhat similar to this one?

Sometimes it helps us if we can at least attempt to understand the possible motivation behind truly unusual errors by political leaders. I think that Malthusian economic theory and philosophy may have played a huge role in convincing Prime Minister Pierre E. Trudeu in 1974 to make what I consider to be one of the biggest errors by a sitting P. M. in the last century.

Did P. M. Pierre E. Trudeau save the world environment?

HOW PIERRE TRUDEAU TURNED US INTO DEBT SLAVES