The Seven Deadly Frauds of Economic Policyffice ffice" /

By Warren Mosler

Deadly Innocent Fraud #1:

The government must raise funds through taxing or borrowing in order to spend.

In other words

Deadly Innocent Fraud #2:
With government deficits we are leaving our debt burden to our children.

Collectively, in real terms, there is no such burden possible.

Deadly Innocent Fraud #3:
Government budget deficits take away savings.

Government budget deficits ADD to savings.

Deadly Innocent Fraud #4:
Social Security is broken.

Fact: Government Checks Donít Bounce.

Deadly Innocent Fraud #5:
The trade deficit is an unsustainable imbalance that takes away jobs and output.
Imports are real benefits and exports are real costs. Trade deficits directly improve our standard of living. Jobs are lost because taxes are too high for a given level of government spending, not because of imports.

Deadly Innocent Fraud #6:

We need savings to provide the funds for investment.


Investment adds to savings

Deadly Innocent Fraud #7:

Higher deficits today mean higher taxes tomorrow.


I agree,
the innocent fraud is that itís a bad thing,
when in fact itís a good thing!!!

Any light on the above claims by Warren Mosler.........