47°F
weather icon Clear

Political choices dictate nation’s economy

Since March 16, I’ve been at home on the computer sharing educational materials as much as possible with as many folks as possible on social media sites, sending them personal messages and calling them. I’ve done this because, believe it or not, I’ve seen education work wonders.

Because I’ve been on this planet for a good number of years, I’ve learned much and have a good idea of the difference between reality and perception. I’m nowhere near perfect, but I’m pretty good at knowing when someone is talking out of their ear or when a person’s opinion doesn’t pass the common sense test.

The education I’ve been sharing deals with economics, a subject I never delved into, but was introduced to accidentally in early 2019 when I heard about modern monetary theory. Look, I know the word economics isn’t going to have you jumping up and down with excitement, but that’s what happened to me. In the time it took to watch a video presentation, my life changed dramatically.

Today’s economic system works in a manner where solutions to problems everyone repeatedly called complex, could actually be tackled.

The more I learned about modern monetary theory, the more I understood that poverty, the health of the planet, lack of medical care, unemployment and other life and death issues are about political choices. So we have to ask if the 535 members of Congress are making political choices that benefit those who elect them or do those choices benefit only a few.

The COVID-19 pandemic has demonstrated that Congress can spend money for what it chooses and not raise taxes to do so. There is no stash of money tucked away somewhere from which Congress dips into in order to spend. It doesn’t work that way. Congress has the power, given to it by the Constitution, of what is called the public purse.

Congress has the power, the authority to spend on whatever is chooses. The U.S. government honors the payments for those expenditures. If Congress says we’re spending $3 million at this company, the company gets a check for $3 million, or their bank account is credited $3 million. That’s what happens. This is how transactions work every day. If you know another way, please let me know.

Before Congress spends, it doesn’t say: “Oh, wait! We have to go find the money we’re going to spend. We have to borrow it or bring in taxes to pay for it.” Nope, that is not how the system works.

The government books, its balance sheet, record a debit and everything that is nongovernmental records a credit. That credit stays out there in the economy until some of it is taxed back by the government. Debit on one side. Credit on the other.

On March 6, H.R. 6074 became law and provided $8.3 billion in emergency funding for federal agencies to respond to the coronavirus outbreak.

Here is a list of more bills under consideration: https://www.govtrack.us/congress/bills.

As I write this, a $3 trillion coronavirus package was presented by House Democrats. By the time you read this, we could know if the bill passed.

The bills are out there, and it’s not chump change. Taxes haven’t been raised. The federal government didn’t put a few trillion on the American Express card. Spending happens because Congress creates the spending. It’s not about printing currency. Accounts are credited and debited electronically. The U.S. issues the currency. Congress authorizes the spending and recipients get their “money” electronically or by check, which can be turned into cash.

The cash or electronic payments have value because the government accepts it for payment of taxes. Sellers of goods and services accept U.S. dollars, checks or electronic payments and you receive goods and/or services. That’s the system.

Since I have been passing this economic information along, I realize all too well, that some people are accepting, others not. I share to benefit all, not some. Still interested? Call me.

Rose Ann Miele is a journalist and was public information officer for Boulder City for nine years. She is the national outreach director for Real Progressives. She can be reached at roseannrab@hotmail.com or at 702-339-9082.

Don't miss the big stories. Like us on Facebook.
THE LATEST
Job guarantee would help millions

Do you get tired of all the suffering and dying we cause each other? I sure do. What do we do about it? Here’s what I do: read and learn. I read and learn how we can solve problems, not just talk, rant and rave on social media and share unfounded opinions with others.

Pets have special place in our hearts, lives

Over $95.7 billion — no, it’s not how much we spent on recent elections — it’s how much we Americans spend each year on our pets, our “fur babies,” our “four-footed friends,” “our cuddly companions,” our… well, you get the picture.

Trump doesn’t require reality to act

Is America finally able to understand the consciousness of Donald Trump based on his behavior? To assist, I am able to ascertain the consciousness of human beings according to Theosophical tradition.

Varying opinions vital to democracy

Periodically, I have to remind readers that the “articles” featured on this page are not news stories. They are opinion pieces.

Time to focus on truth

We are into the first week of a new year that brings new promises and continuing challenges. Of great promise are vaccines against the COVID-19 virus. The city has already received and administered hundreds of doses to health care workers and first responders. The progress that will be made depends on how many doses of the vaccine are available. The city paramedics and the hospital staff will work to provide the vaccine based on the priorities established at the state level. More information is available at www.southernnevadahealthdistrict.org.

Here’s to a better 2021

Today is the last day of 2020. I know I am not the only one who is eager to see this year end.

’Twas the baking before Christmas

A few years ago, many readers commented how much they enjoyed my column about holiday baking and requested that I make this an annual tradition. As you read this, I will be at home, enjoying the fruits of my labor after spending a week’s vacation knee-deep in flour, sugar and spices, in the true spirit of this message.

Public schools need to open

What do the library, post office, police department and public schools have in common? They are all owned by the citizens. All are open for business except, of course, schools. Schools in particular were built using funds collected from taxes that all of us paid. All of the expenses to run these institutions along with teacher’s salaries are paid by us as well.

Celebrate power to get things done

As I write this, a picture comes into my mind. It’s a Sunday in December, 22 years ago, when I wrote my first holiday piece for the Boulder City News and the Henderson Home News. It was the day after the Boulder City Christmas parade. It was 7 a.m.; I was sitting at my desk typing and a light snow was falling.