THE BLOG
of John Gelles

May 30, 2009
My e-mail to the President at whitehouse.gov/open
Is Rush Limbaugh Right ?
Is the President is Playing Politics with Recovery ?
Part II

MAGIC BULLETS,
MORAL HAZARD,
 RECOVERY TIMING

The President stands accused of foot-dragging to time economic recovery for political advantage.

The issue is how fast recovery, (that is, prosperity,) can be returned to the middle and working classes—if the President of the United States really wanted it to happen.

The critic is Rush Limbaugh—speaking for the Republican party.

That Republican party has opposed every spending program whose aim was rapid recovery that the President has proposed. So he is a false character to be making accusations in the first place.

But instant recovery of individual job and retirement income and establishment of long term protection against foreclosure of a primary residence, which is what a magic bullet is asked to do, is certainly possible in a nation with the potential full employment wealth of the United States—when it is fighting for its life against accounting numbers all alone.

In the Cold War, we faced imminent certain death from real men with real nuclear bombs. Today we face numbers without faces, weapons or power of any kind. Debt has ever proved it was made to be reorganized. Cash has ever proved it can be recalled the moment better cash is necessary. We are a nation of law. And our law has sufficient power because our people are the object of its protection.

So false and phony as Rush Limbaugh may be, he has asked why people are out of work and bills that must ve paid to protect America and its people are allowed to threaten the most powerful nation in history? The question deserves a straight answer?

The President's answer is that he is afraid of hyperinflation in the end and of moral hazard right away: if he were to pay a lot of bills, the people he bails out would quit their work and all go fishing.

And he has another answer: his National Security Agency knows what everyone is saying—but there is no agency that knows what bills to pay except for the bills of the worst economic actors in the nation.

I will not accept his answers. They appear to be based on a plan to stay in office while I get kicked out my house and on to the street. I say he should fire all his staff and get the Center for Full Employment and Price Stability at the University of Missouri, Kansas City, especially Mathew Forstater, into the Oval office for a chat. Mathew will explain how to pay some bills that bring prosperity overnight. He will explain further, how to make hyperinflation impossible with enough computation aimed at the successful financing of all the long term economic solutions the President has already designed.

We cannot worship lowest recorded cost producers when only a prize jury knows quality more often than not. Maximum feedback of current results to match with intended results must be programmed. Minimum power must be attached to greed and corruption that can never be zeroed out.

If we would balance our military requirements to our national security needs, we must also balance money and employment to these same needs and more. More will be defined by a full employment budget and a central bank that works with price controls and common purpose to attract money into indexed savings where it can, and with the sales tax authorities where money must (without doubt) be taxed away to hold its value.

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