Guv of Florida? Was it him who wanted to make it legal to shoot at groups of people?
This is Florida. Having your kid come home from school in a box is every parents dream. It made Rick Scott popular.
Monday, November 30, 2020
The same nut who wants to legalize mass shootings?
DeSantis urges Congress to pass unemployment relief
Split government party in action
They fret that Warnock, Ossoff wins could lead to higher taxes
Novogratz says most Democrats in finance want split government
As deep-pocketed Democrats on Wall Street celebrate the ouster of President Donald Trump, some are privately showing little appetite for backing the party’s remaining skirmishes in Georgia.
Employees of securities and investment firms poured about $77 million into President-elect Joe Biden’s campaign and the super-PACs supporting him, more than quadruple what they steered toward Trump. But the pair of Democrats facing runoff elections in Georgia against Republican senators David Perdue and Kelly Loeffler on Jan. 5 are unlikely to see such lopsided support -- even with control of the chamber at stake.
And finance has a multi front tax battle taking place. Biden needs corporate taxes or income taxes or bank taxes. It does not matter the current economic conditions, we all know this is a ten year tax issue, and that will take precedence.
Too late dear:
Neera Tanden, Biden's Pick for Budget Office: Now Is Not the Time To 'Worry About Raising Deficits and Debt'
We already have the split government party in session, the anti-tax strategies in place, and the cost of earmarks going way up. The forces are beyond your control, you have a tax battle.
And, button up, sweetheart. This is Biden country.
Delusion of government grandeur. Dems have a bad case of it, but it ill pass when they get a big loud no on that next five trillion.. Then hey have no plan B, like Newsom, they assume grandeur of government guarantees his budget. Many of Biden's gals may be permanently lost.
Her very nomination is the first shot fired, and she is hearing,' We are not being taxed'. Her nomination is just the first of many Swamptax battles.
Button up shirts or neck line sweaters
Biden chooses an all-female senior White House press team
And if it is a shirt, wear a tie. This is Biden country, and he be looking for the 'sneak up behind and pinch booby' trick.
What if one of the gals has the natural reaction to slug the guy? Or not? If Joe ever falls down the stairs, conspiracy theories will abound.
What if Old Joe goes psychotic toddler, unrecoverable jaunting around and giggling at boobs? Jill Biden where are you?
Typical headlines in the banking trade
These banks open as mini-Swifts, connecting the correspondent bank ledger to sandbox. Stable coins are big. As stable coins, the hedge funds can make efficient over the counter trades. Now, with the contract capability, stable coins can enter more complex conditional contracts, based on future events. This is open market contracts, traders can buy and sell these contracts by entering or exiting them. Option prices inside utilize short chain dollars, stable coins, local to the bank offering the interface. All of this risk neutral, this is still all payment services, but these Swift banks are free to 'spin up ' and Eth 2.0 node, just like coin base. Running a contracts node is risk free relative to Swift accounts.
So, we are at that point, do we want American Swift bankers locked out of the market with central bank taxes? You cannot lose any more market share, we consumers cannot buy inventory every year and a half while paying taxes yearly.
They keep student loans records off site
French Protesters Set Fire To Central Bank
I was curious about this once when a college kid having student loans at this burnt bank.
I was curious about this once when a college kid having student loans at this burnt bank.
The OMB will be neck deep in the tax battle
The OMB Is More Important Than You Think
Kevin Drum actually doesn't care that this is a fake mandate.
There seems to be a deliberate attempt by the Biden tribe to convince us of a mandate that is not there, the delusion of government grandeur. Whoever believes the nonsense will be having Wile E Coyote moments once the tax battle begin in January.
The 'Who is getting taxed' question will loom in the Georgia run off elections. Having the Biden crowd tout the 'grandeur of government' is not helping the Dems.
Jason Furman be eating crow soon
The Crisis Opportunity
It is not about rates, it is about a humongous ax battle going on that will take two quarters to resolve. The entire election passed him by, it was about local and state tax increases, most of which failed.
Jason gets the 'expectation plan' from Krugman and Krugman announced that Godotists should pretend a mandate. So they are doing the 'Hicks jump shift pile one and see what sticks thing'. A complete fantasy.
It is tax time, and Furman was there ten yeas ago when it was tax time once previous. No one is getting bailed until we discover the tax assignments. There is a shit load of back taxes, a shit load of ongoing tax dodging, and a final fiat, and illegal, tax on banks.Biden’s Modest Multilateralism.
What It Will Take to Build Back a Better EconomyAnother of the Godotists preaching low rates.
It is not about rates, it is about a humongous ax battle going on that will take two quarters to resolve. The entire election passed him by, it was about local and state tax increases, most of which failed.
Jason gets the 'expectation plan' from Krugman and Krugman announced that Godotists should pretend a mandate. So they are doing the 'Hicks jump shift pile one and see what sticks thing'. A complete fantasy.
It is tax time, and Furman was there ten yeas ago when it was tax time once previous. No one is getting bailed until we discover the tax assignments. There is a shit load of back taxes, a shit load of ongoing tax dodging, and a final fiat, and illegal, tax on banks.
Another Godist, Frankel.
This will resolve into a battle of closing tax havens, a losing battle. Most of high level aggregation is about trying to suppress the leaks caused by prior over aggregation. But Jeff is up against technology, we are cutting through all the loops and leaks in over aggregated regulation. We have a Swift rebellion and Swift bankers be staying with us. Jason and Jeffrey will be stuck having tax battles, you can bet on that.
The NSA dunnit
Trump: Why Won’t Kemp Order Ballot-Signature Matches With His Emergency Powers?
NSA denied us secure identities, mostly under Trump's orders. So Kemp said, screw this crap, if the NSA wants signature checks then the NSA can come down and handle it. Why should state budgets have to expense NSA idiocy?
Appoint a left handed Lithuanian
Hispanic leaders coalesce in support of Lujan Grisham as HHS secretary
They are on that list somewhere.
Sunday, November 29, 2020
Joe Biden cannot stop the hilarity and chaos
He is too old to sort it out, and we already seem him constantly heckled into the California diversity system. ha group will mis manage, the economic team are all priored out to Godot and unable to deal with contradictions. Janet and Powell rule the roost here, and they will represent the banks, they are bankers first and foremost. That puts Powell and Yellen right in the middle of the tax battles, and they will be on that from about day one. The alternative is huge, the stimulus. Nothing is getting through the earmark gauntlet at less than 4 trillion. There is a big jump across the chasm, the zero crossing. No one in the senate will figure out a tax plan that follows such a large stimulus, and that makes the humongous difficult.
We are betting 2010. Another round of severe bank taxes. With velocity below two, the banks are an interested party, they suffer the tax without Due Process. The who pays that tax' is pushed to the front by a Swift bankers rebellion, and more power to them. The new Fed contract is being moved up front along with.
Compact graphs and contract languages
For a couple of year I played around with th convoluyayion of two semantic graphs that had no loops. I called them compact graphs and they had three operators, grouping operators, and a descend and a branch.
The led to the convolution code over on the right among the links. The unspecified function was match, how does on pass a node or block it? Via the application specific match between two nodes.
Anyway, that is was contract languages are about except the match is a verification the signature matches that position in the contract. And the contract code is finding the set of signatures that first make it through the contract. So it really is a kind of semantic algebra, selecting the provable path through a finite semantic tree. Proof of stake signatures are on one tree, the contract is the other graph.
The object model was that any semantic graphs could be represented as a graphical database with four or five method for jump, skipping, inserting, deleting nodes, and matching nodes.
The match function may have its own minor methods to conditional matches. The general idea then is a relaunch, send off a portion of the contract to be resolved and wait for proof of stake results. The main executive was called parse, and it had sub graph capability.
Under the contracts application, each submission is a request for proof of stake. The output graph just the linear descent of public signatures of the matched parties. The final outcome would be a machine, a machine built for semantic convolution. But the compact graph format fits contracts in the real world, they do have minimal paths, without loops, especially in escrow systems. One could use an expressive contract language within Parse. Parse is just a provable code the guarantees full comvolution of two finite, compact graphs.
With a reasonably sparse abstraction, finding the main contract structures, and coding for them, we could find an entire Swift contract manager into a Spectre proofed core on a double core processor. And additionally, the same method works on public chains as long as the proof of stake miners have validation keys. We get proof of stake and proof of correction, with one language. Mix and match the two forms. A proof of work cache interpreter is a server, the proof of stake is a distributed network.
But they should match up just fine, the one can 'call' the other pretty easily. Poof of stake requires interested parties to push the contract calling, proof of correction 'calls' for validation from the party, via a proof of stake miner. in the proper order. Same protocol, different direction.
A proof of stake can be a designated fair traded pit, resulting in price; of an operation on an external ledger with congestion price. Or it might be a validated delivery contract with Fed Ex. Mostly an external ledger validating a claim.
Joe Biden is a monster tax battle
Cornyn spox: Neera Tanden has 'no chance' of being confirmed as Biden's OMB pick
Nitpicking at the edge might stall a bit, but the victory was all about a humongous bailout, and the very first debate will intercede, who is getting taxed. That as the major issue in the election and so far we have not found anyone to tax, except the banks. Biden will go tax hunting, hunting us down, each and every one.
They need a Swift server in the cloud
How do banks adopt cloud?
Large financial institutions have been slow to move data storage and computing to cloud vendors. They are liable for sensitive customer or proprietary data. Regulations around the treatment and localization of data vary.
This is changing. In Asia the most recent example is Standard Chartered. In August, it announced a five-year migration to move much of its core banking processes to cloud in partnership with Microsoft. Microsoft’s Azure will be its primary vendor in a multi-cloud vendor approach. Other banks such as HSBC have already made similar moves.
This month, the Depository Trust and Clearing Corporation – the clearing and settlement agent for U.S. capital markets – has released a white paper helping guide banks on a similar journey.
With a Swift server the bank can feed it a sequence of Swift protocols and the server generates receipts for contract finished. Think of a sequence of Swift contract as a search script. The server is a database looking for the unique receipt to match the search.
These folks never actually made it to homo sapien
The perils of a US troop drawdown to the Afghan army and tribes
Getting the ice gene is a work in progress.
OPEC in control
Coronavirus Delivers Another Blow to Embattled Shale Drillers
Likely one reason we had the inflationary jump in oil prices. Remember, it really was shale that provide the jobs during the 2010 recovery.
For the energy and mining states this is a partial reset of the value chain and then a rebuild. So, relatively speaking, these states have the same risk as the California public sector, and they have the same number of senate votes. Comparing the small energy states and dense public sector states, the senate votes are near even.
Binomials and entropy
If my binomials, two, both have p=q then
Log2 (k N), N being the number of coin tosses is entropy. But if I have two binomials sharing coin tosses, the N becomes a fraction, n1 n2, The total coins tosses drops out on a comparison. Since they share the arriving coin tosses, they are relatively prime in the number of coin tosses.
Each binomial is a sample size, and needs be sampled as -iLog(i). That is the idea of optimum portfolio, Apportion coin tosses to make this as true as possible. This is maximum entropy estimation rather than least squares.
The states and districts are not balanced at maximum entropy, we are stuck with coins tosses of about five to one. Think of the traveling salesman going from capital to capital, trying to keep the ratio. The imbalance means the p does not equal q, the two binomials will be skewed. There is an interest cost that balances them yet again if we know the number tosses. That interest cost is the is really the ratio of the net share between states and districts. If the deal is lousy, the third binomial, Pauli and his exclusions, will lower the amount paid. The Pauli exclusion says you have to make a deal now, one deal and only one deal.
Solving the government imbalance
Consider two flows of government goods, to the states and to the districts. If they were relatively prime and organized as two binomial distribution and we want their moments to match, how many cons tosses are needed? And part 2: What is the relative ratio of coins tosses.
This can be squashed onto a Lie graph, and the trick is to get the Lie graphs resolution that best matches the state/district imbalance, how often does it wobble on its orbit about the normal Lie graph. Those wobbles are you losses when you cannot always choose the maximum entropy path.
The logic
Almost in stone, we have a dictate for unbalanced government.
If anyone can get 100 million of us to agree to a three page Constitution fine. Otherwise we are stuck with the imbalance. We have to treat it as our choice, we choose to take those government losses, quick faking the philosophies. Just add the shock absorbers, it is no one's fault, create the market. Set a semi automatic inflation tax, and set your money based according the the humongous Swamp back their somewhere. Accept the anarchy of it and quit the Godot fantasies.
The Hick's jump shift is another
The government could boost money flow in downturns and we would wake up by meeting each other in the private sector. This isn't expectations, this is low interest rates make government spending profitable. But it is pretty obvious that government was involved with the downturn, ex ante, and ends up mostly bailing out its prior errors. Few in the private sector have delusions of government grandeur, we are not expecting positives.
Find the congestion, insert market. Where are the Nobels.
Get the Swift bankers free, and they gain market share back and that means better tax efficiency. That is one step faster than shadow banking. Regulate if you must, but keep it simple: fair riced entry and exit, with a review. Closed provable contracts. Then regulations can add time and amount and count limits for petty cash. The Swift banker can insert any needed regulations into contracts with little overhead. Beyond that, it is up to Congress, but Sandbox is always voluntary.
OK, the new Swift bankers are burdened with an inflating money base. But it is the tax dollar, about 10 trillion flows through the Swift system for taxes. Everyone is stuck equally.
Saturday, November 28, 2020
Living an illusion
And here’s where the fallacy of composition comes in. While I can get rid of the extra cash by purchasing bonds, stocks, commodities, real estate or foreign exchange; society as a whole cannot get rid of the excess cash by purchasing other assets. Doing so is merely “passing the buck”.
But the public’s attempt to get rid of excess cash balances will drive up the price of a wide range of assets, leading to more total spending, more NGDP. Eventually NGDP will rise high enough so that people are willing to hold the larger cash balances, and a new equilibrium is established.
A permanent expectation of higher prices. Tricked by the peg then run.
Not what happens, Instead we get the Deja Vu and we hedge the current round of NGDP growth. We have seen it before and we know it is finite, so we make the binomial bet and hold cash till the end as this too shall pass.
Where do the central bank earnings go while it is gobbling market share? Most of us know the answer already, and it is not higher consumer prices. We know the market size, we know the Fed will run out of poop before the new expectations.
An automated S/lLwith a loss function would have the pit boss lose money to deposits, as necessary. there is no other leakage path. So if the traders cannot find opportunities to invest ahead, the pit poss raises its own L/S to keep the interest earnings flowing. Near equilbrium, the pit boss flips back from losing to gaining. Finance does risk off and on. We will get a partition as the risk on traders are not risk off traders.
Sandbox is a closed system, no leakage out the back. So there is no peg and run, and investors follow the Fed as if it were stuck in a closed system with a government profit/loss taker, it is. Why not an independent Fed and government is just another S/L account then the Fed can have a loss function.
I like the inflation tax. That tax completely frees the Swift bankers with just a fifth point monopoly fee. The alternative is the previous suggestion, let governments have accounts. We will see a government scofflaw queue anyway. Everyone will operate with higher L/S but there is still switching to maintain a neutral pit boss. The switching will be a bit more volatile. But it means government losses are visible.
Money base determined by Treasury, with a bounded rate. Powell and the Swift bankers free and clear of government regulations, except they manage the tax currency. We all pay the price for government imbalance.
That 2.8 trilliion in reserves, who own that?
About a trillion of that is unused covid stimulus, on the Treasury account. And about a trillion traces back to corporate cash, mainly the big tech firms who got the investment money. The external funds have started to exit the dash for cash and dropped a half trillion from the height.
The corporate cash is mainly stock market, skewed to big tech, due to the online nature of the shutdown. We are, or were, back to 2018. Except now we have a second lock down.
The rest of the panic is about municipalities, few of whom have the credit ability to get through this up and down. In 2018 we had the usual budget constraints, and n 2021 I expect the same. The only real change is the one time cost of covid, large, and the usual regularly scheduled tax battle, almost a replica of 2011.
Anyone who thinks Biden and Yellen can go on a stimulus spree is going to be mistaken. Nothing happens during tax battles. This will be a long and nasty tax battle at the Swamp. The genie does not go back the same way. Along with the tax battle is that Fed tax, now expected to be two percent. That is a great complicator. Retail sales taxes will be slow to recover.
Each quarter Treasury write two checks to each state, one according to districts and one per state. The split, ratio and amount decided once per year. Emergency variants allowed however the negotiations go.
Swift rebellion
Open versus closed loops
It is not a payments service vs investment service.
Both use stable network protocols, both are being incorporated into the sandbox as an integration. Banks need to market the Swift system as a full integration in the sandbox. They need to define how patty cash works. They need to work on secure personal identity/
Not all bankers are so sanguine about defending their relationships with corporate clients, however. [ As opposed to retail payment services]
Indeed, in other conversations during the BAFT event, senior bankers in Asia acknowledged pressure on their wholesale payments businesses too.
Shirish Wadivkar, managing director and global head of correspondent banking products at Standard Chartered in Singapore, describes fintech and techfin platforms as closed loops with such a high degree of control that they can determine not only pricing but all other aspects of a payment.
While banks can offer services to fintechs as they would to other banks, they are not dealing with just another counterparty.
It is not a payments service vs investment service.
Both use stable network protocols, both are being incorporated into the sandbox as an integration. Banks need to market the Swift system as a full integration in the sandbox. They need to define how patty cash works. They need to work on secure personal identity/
The disease goes beyond Nixon Shock syndrome
Do it once, but not notice that were are about to do it again? Not notice that have have done this many times.
We already knew the fraud that the Swamp was pushing, we knew exactly what fraudulent theory MIT would come up it before they even came up with it. We pointed to the fraud in real time, noted that this was a take off on the previous fraud, the so called normative economics. They got google to change the semantics, pretend P2P was something it is not. And f course they completely ignored the math gusy who told them it was fraud. People in the streets? You bet.
And they pull the same fraud! Like we won't notice. This is a bit of mass psychosis, the Post Nixon Shock disease has progressed. Powell and Yellen need to expand the Overton. I mean, we wrote their script, for chris sakes, they cannot be this dumb.
Step two in the bankruptcy
“I am very reluctant to saddle our state with that large amount of short-term debt. I believe it would be irresponsible to borrow that entire amount, given the persistent fiscal pain it would cause over the next three years, as we would struggle to repay that entire amount. Our collective intention is to repay this line of credit as early as possible, after either the awarding of stimulus by Congress or a sufficient recovery of state revenues.”
Said another way, $5 billion in additional debt, with such a short repayment period, would likely trigger the credit rating agencies to act sooner than later. Moody’s recently said in an October report, “[Illinois’] ability to weather the coronavirus pandemic without hurting its credit quality will require keeping growth of its long-term liabilities within its capacity to pay.”
Lot of code words, but they follow the same step. Illinois had the meeting of the elders. They chose a path that enters them into bankruptcy, and now have borrowed short term fund from the bankruptcy court. They have defaulted in all but name as the resulting down grade makes forward progress impossible.
Biden will be pestered increasingly for large state bailouts, California, NY and Illinois. Then he has to do a student loan deal. Biden has a nightmare.
Will taxpayers avoid the Treasury inflation tax
Yes, for most of the year. Hence the velocity has crashed, we buy from Amazon or Walmart, who maintain internal inventory turnover, then pay our taxes in Q1. The M2 velocity sitting at 1.4 tells us this.
But we will also avoid the banking tax for the same reason. And we will use the same method, shadow banking where taxable transactions are internal. Government, or central banking, are both stuck with the productivity norm, people avoid non-productive purchases.
The inflation tax is here to stay
In short, free up the banks all you like; today, in the U.S., they will continue to receive and pay fiat Federal Reserve dollars, so long as no steps are taken to actually demonetize such dollars. Banks might, of course, also offer notes and deposits denominated in other less popular but still well-established currencies; and a few might even offer gold accounts and notes. But such non-dollar bank monies will be but tiny sideshows compared to the main act. And it will be a rare bank indeed that dares to enter the base-money-creation business, the rest remaining content to leave that business to central banks.
Selgin on the need for central banks.
But he is not getting NGDP growth standard from that.
Central banks cannot run an S/L and engage in NGDP growth automatically; they will be hedged, and they cannot counter hedge. George and his crew of NGDP plotters need the Treasury inflation tax. If they do not get that, then they get what we have, bank taxes determined by unelected fiat, and that has never lasted.
What we have left is the monopoly tax dollar. And his recommendation to free banking is simply the act of opening up the Swift technology for free entry and exit. We already have free banking for other currencies, Swift is the laggard.
Once we negotiate a Treasury tax, then what is left for the Central Bank? It has no other roll than head of the free Swift network. The actual base money happens via double spending, there is no role left for central banks except to enforce free banking.
We have a chart that is outside our Overton window and we cannot look at that chart. I will tell you what the chart says. The central bank follows the one year treasury, always, so that government stays liquid. That chart alone tells me that NGDP targeting by central banks is unworkable. Someone will look at that chart, some one brave, and the game will be over. It is an inflation tax we need, a double spending role for Treasury.
Friday, November 27, 2020
Big clue in regulation
Refocus regulation on the risk, rather than the company
It makes no sense in this technologically enabled financial landscape to prudently regulate financial institutions and not the financial risk in the economy.
Since the 1970s beginning with money market funds, a growing universe of thinly regulated financial companies and products have been slicing off sectors of the financial services business. Nevertheless, the full weight of regulation has fallen on the shoulders of commercial banks and savings institutions, leaving a supervisory structure that is ill-suited to a system that channels risk into unregulated sectors of the economy.
Says:
Executive Director and Professor of Law, George Mason University's Scalia Law School, Program on Financial Regulation & Technology
I read part one, enough for me to believe this guy. Risk equalization in the pit reduces scofflaws.
Repub fraud
Republicans ready to become deficit hawks again under a President Biden
“I think that’s kind of getting back to our DNA. ...I think spending, entitlement reform, growth and the economy are all things that we’re going to have to be focused on next year and, yeah, I would expect you’ll hear a lot more about that,” said Sen. John Thune (R-S.D.), the No. 2 Senate Republican.
John Thune is a nobody from the disappearing state of South Dakota. Repubs are all in on more debt, especially with the return of earmarks. John is the repub shill.
A fierce winter will cure a lot of crime
Minneapolis momentum is being crushed by the crime wave
The city was rebranding for a vibrant future, but today you can't go to the grocery store without fear of being attacked.
And further the migration, California is the destination for Somali refugees from Minneapolis.
Where is my deflation?
Oil is at 45 and the ten year remains below .9%. The dollar is down, down below the precovid level.
What happened? The dollar is down and oil up because foreign dollar trade is beginning to dodge Fed taxes. The Fed, thus has to increase taxes on domestic economy to keep the ten year yield safe for Biden. But the rising oil prices will hit the covid down turn and we get a backward shock of moderation that gets oil back to 42.
The ultimate cause, Fed taxes on money is deflationary and just about everyone is getting this clue. But not the Fed:
With the economy showing signs of slowing in the face a resurgence in coronavirus cases and a return to shutdowns in some areas, there has been market speculation that the Fed could decide to boost the size of its monthly purchases.
The minutes show that while no decision was taken on what to do or when, Fed officials were keeping their options open. Some analysts believe the Fed will make an announcement on boosting the bond purchase program at its next meeting on Dec. 15-16, especially if there has been no movement by Congress to provide more economic relief to individuals and businesses.
The minutes said that many Fed officials “judged that asset purchases helped provide insurance against risks that might reemerge in financial markets in an environment of high uncertainty.”
This move was well predicted based on CBO debt predictions. We will almost certainly be looking at a two percent Fed tax for ten years. This is unaffordable for foreign investors and will drive shadow banking through the roof.
Why can't the Swift nodes spin up a Eth node?
CoinDesk Is Spinning Up an Ethereum 2.0 Node. Here’s How to Follow Our Journey
Who else? The company that offers Open Swift in the cloud should have an Eth node, as should Paypal.
Eth 2.0 does not free the Unknown Core, and it does offer BIS a method to insert regulatory clauses. What Eth needs is a competitor, another contract language different enough for various trade offs. Why not abstract a Swift contract language?
Yes you can
The technologies underlying money and payment systems are evolving rapidly. Both the emergence of distributed ledger technology (DLT) and rapid advances in traditional centralised systems are moving the technological horizon of money and payments. These trends are embodied in private “stablecoins”: cryptocurrencies with values tied to fiat currencies or other assets. Stablecoins – in particular potential “global stablecoins” such as Facebook’s Libra proposal – pose a range of challenges from the standpoint of financial authorities around the world. At the same time, regulatory responses to global stablecoins should take into account the potential of other stablecoin uses, such as embedding a robust monetary instrument into digital environments, especially in the context of decentralised systems. Looking forward, in such cases, one possible option from a regulatory standpoint is to embed supervisory requirements into stablecoin systems themselves, allowing for “embedded supervision”.
do the thing in boldface.
It can be enforced, but the sandbox needs authorization, it all ties back to a voluntary contract. (The one exception is double spending, that is a built in). This is very specific, sandbox is neutral toward contracts as long as they are provable.
The loud and clear message to the BIS is to support embedded contract enforcement, support the Core of the Unknown, Spectre himself.. Walk on the wild side, cross the Overton, think out of the box, connect the dots.
Due Process is a legal requirement in sandbox, we cannot enforce government contracts without a voluntary signature. The one exception, no double spending is a result foundry security of the unknown core.
Example of an embedded regulation. A trading sequence has a path yielding gains. Government can include a provable branch that records the taxes due. Then government's public signature will reveal the contract up to the point that taxes are due.
Those who use other trading scripts are observable on the boards, and hunted down, the same as always, but the cops contracted forensic bots.
But money is not the problem, we could get by with just petty cash. The problem is cutting the chord on the Specrre Core. That is a very scary thing to do with a bunch of superstitious humans, and cutting the core does in fact have large implications.
No one likes the New Ottomans
Watch: Moment German Commandos Intercept & Raid Turkish Ship Bound For Libya
Who wants to go back to the thirteenth century?
Thursday, November 26, 2020
Crowd it into the Next New Green Deal
Chicago area transit agency budgets bank on more federal help in 2021 – The Bond Buyer
California has a big hole to plug having already spent the tax money they planned to raised, but failed. Mayor Garcetti is trying to get out of dodge and get a Swamp job. daBlowsio has no real budget, NYC is on welfare for a long time.
"I have never in my entire career seen a budget deficit the size of what we are talking about next year. This is Armageddon type of stuff, it's beyond doomsday," Chicago Transit Authority president Dorval Carter Jr. told the Regional Transportation Authority of Illinois board at its monthly meeting Thursday. "It's unsustainable, which is why we need" additional federal dollars.Mayor Lightfoot raised property taxes and sold future tax revenues. The Illinois is borrowing from the Fed relief fund, which is an effective tax on the muni bond industry.
California has a big hole to plug having already spent the tax money they planned to raised, but failed. Mayor Garcetti is trying to get out of dodge and get a Swamp job. daBlowsio has no real budget, NYC is on welfare for a long time.
Tiny sudden stops
COLUMBUS, Ohio (AP) — The infection of a single cafeteria worker was all it took to close classrooms in the small Lowellville school district in northeastern Ohio, forcing at least two weeks of remote learning.
Not only did the worker who tested positive for the coronavirus need to quarantine, but so did the entire cafeteria staff and most of the transportation crew, because some employees work on both. The district of about 500 students sharing one building had resumed in-person instruction with masks and social distancing and avoided any student infections. But without enough substitute workers, administrators had no choice but to temporarily abandon classroom operations and meal services.
Small school district, board members from the parents, no one is working the cafeteria until the tests are done. This is not solvable by a different government philosophy, not now, not on the spot. These are local stops by people who have never heard those theories.
One correct sentence in the whole fiasco
Sotomayor in her dissent also dismissed the diocese’s argument that New York’s restrictions are “impermissibly targeted at religious activity.”
Nothing targeted religion, just mass gatherings.
No one on either side noticed this mis fire, mainly because they all had ruled all over the map prior. Second, the liberal judges won't apply common sense since they all planned to leave common sense behind, later, in support of whatever tribe they represent.
But I give it to Sotomayor, at least she is willing to tackle the problem, of 'make shit up' though I can still see her hedge. She started thinking this over after she was over ruled on Due Process in the fireman's case. And, she essentially agrees with me to an extant, 'make shit up' just jams the federal courts something fierce, it is a license to 'make shit up', precisely to jam shit up. National Review and the Ghost and Goblin crowd have been one of the first offenders, but everyone is in one it.
Swift server, naturally
Konsentus today announced it has launched an international infrastructure platform with the ability to accelerate a country’s implementation of open banking.
The Konsentus Open Banking Hub (OB Hub), a SaaS based solution, runs in a national cloud infrastructure, has end to end functionality and helps create, support and secure vibrant open banking economies across the globe.
The OB Hub removes the complexity involved in setting up a central and secure open banking ecosystem within a country, enabling regulated entities to quickly and easily share data and execute payment transactions with each other.
I should have thought of it!
Like a web server but it serves up Swift transactions. It is an Open Banking standard, a standard which does the work of abstracting the necessary user functions from the set of Swift protocols. They put this on the cloud. Redneck Systems planned to give it away. They Beat us to it!
But there is no Defi here, that is on another ledger. The next step would be to abstract a contract language from the Swift semantics.
What was singled out?
The Diocese of Brooklyn, which covers Brooklyn and Queens, argued houses of worship were being unfairly singled out by the governor's executive order. It noted that in red zones, businesses deemed "essential," from grocery stores to pet shops, can remain open without capacity limits, though "non-essential" businesses had to close. And in orange zones, most businesses can open without capacity restrictions.
What protected right was singled out? I can see Due Process in deciding between essential and non essential.
No where to I see the diocese of Brooklyn restricted from carrying guns, exercising free speech or having Halloween parties. I can see them claim some activities are essential, like handing out Halloween candy everyday.
What we have is the usual, dumbshit Supremes, that has not seemed to change. We are putting real idiots on that court.
Just ignore the Supremes.
Cuomo blames new conservative majority for High Court's COVID-19 decisionTe federal judiciary is totally fouled, unusable. Out here in California we ususaly ignore them.
So, completing the picture with a central bank, an inflation tax and a downturn
The downturn is characterized by a sudden rise in deposits an sudden expenses by government, plus government will increase its inflation tax. Swift banker see a rise in deposits beyond expected from government borrowing, and government sees a smaller congestion fee for its borrowing. . The first action of government is stabilize incomes, and that means immediate deposits in consumer accounts with less debt backing it up. But government is asynchronous to Swift, the central bank equally surprised by the arrival of transfer deposits. At first, more deposits then loans, government gets a break on interest charges. What happens after is determined by government efficiency, how long can it keep rank to restore the economy.
They are a partition, the private and government value chains are relatively prime. But Swift banks know this as well as any other bank. That is the point, to a large extent, if government fouls up, they pay no bigger price than any other ledgered banks. Government generally fouls these affairs up, and that is why we pay the 2% inflation tax.
How does a sandbox S/L respond to a downturn?
The pit boss is faced with government taking out large bonds while deposits pile up. The pit boss would borrow short and lend long, essentially, ASAP to restore all inventory levels to the same uncertainty ratio. In other words, whoever blundered pays losses to everyone who didn't blunder, and pricing remains neutral. This should be a gain to the pit boss, but it will lose that gain later as inventories adjust, if rank remains.
The pit boss reacts when variance in market risk hits a point. The traders do not see events until a point and a half. That extra half step is in the contract, agreed in exchange for round robin access to the boards. But the S/L bankers wants a closed system, it needs everyone on board with smooth access to and from the S/L. Then folks who see sudden shortages will at least see sudden interest gains in their small accounts.
What is natural rate? In sandbox, the earnings from petty cash is zero, you are the only depositor and borrower. In a short chain cash, if you are not using it, then you will lose the half point pit boss error term. So the earnings on deposits should be a half point of unit variance, assuming transaction costs zero. The utility of banking is the utility of smoothing out about three points of price variance over the consumer depreciation cycles. It is what allows us to have Christmas and spring, and government imbalances; it is the variance induced by state changes, jumping around the Markov 3-tuples.
Central banks are stuck with government skew, a hard barrier. They will always do super position. Shift to one state when adjusting for government innovations, an another state otherwise. The Swift bankers will be hedged out of the sandbox if they try it. So the better solution is to let government to expose the endogenous state changes with a quick reaction inflation tax. The contract has enough flexibility to let Treasury increase the tax to 4 percent for two quarters, enough inflation to satisfy any Keynesian. But it will later be forced to drop it to one percent for a while. The Swift banks need not be impacted much except they have a renewal coming up.
Variance and points. I start with the assumption that prices vary 3% of gdp. Then I speculate on rank,, this economy has a four digit accuracy. So the pit boss error is about 3/8 of a point of GDP, or something, it is holding one and a half more capacity then Shannon, as we are adaptive. I use a quarter to a half, and that is also the range of the monopoly fee.
NGDPLT
The currency banker always wants to see two percent a year in money loses, for NGDP growth, loosing as much money as needed.
How does the currency banker lose money? The pit boss takes out loans against customer deposits. The pit boss losing money always aiming for more loans/deposits in its market account and fewer loans to deposits for customers..
The thinking is reversed in models that say lower interest charges cause spending to pull forward. Lower interest charges mean deposits are in excess. If a pit boss is putting in excess deposits then it is earning money from the market, deflationary.
Central banking is different since Treasury takes gains and absorbs losses. Right now the Treasury is soon taking more money from the private sector, consumer prices should be dropping, government prices going up.
Go back to S/L banker with a loss function, It will exhaust all the higher level productivty investments, and suddenly be over charging NGDP, then it switches states, and adds more deposits, lowering charges for cheaper goods. The price index splits in two, which is fine, I guess.
The sandbox S/L with neutrality is a pure productivity norm. An externally caused shift in the loans/deposits skew which suddenly appears to the pit boss. Consumer are will to take more credit to buy the new and better goods. Suppliers pay off their loans early, and the pit boss will lose money in restoring skew back to zero. That should put prices back to normal.
How did traditional theory get it backwards? They assume the currency banker is always ex ante with the deposits. When a loan is made at market price, the currency theory assumes the banker immediately makes the equivalent deposit, at market rates. But the borrower has inside information on productivity and will, ex ante, have already set up its loans/deposits to reflect this productivity gain. The borrower is making the hedged bet. That additional hedge is lost, and must be absorbed later by the currency banker.
In central banking that lost hedge gets transferred to treasury, it is the currency risk. We end up with a sever Wile E Coyote. The S/L banker is the second one to see the skew, it sees the board after every bet is placed. The pit boss thus seeing both the loan bet and the currency risk separately. It takes the loan risk and splits it across the pit to reduce skew, taking its share of price risk.
The currency banker can either lose or win. In the neutral /L banks the inventory risk, as a ratio, is equal to about 1.5 times the pit boss bounds. The pit boss bounds are always limited to constant currency risk. Price is the delivery volatility and always yield neutral inflation. So the neural pit boss accounts for entry and exit of products and assumes the 'rank', or complexity level is the same over the long run. If the S/L is wrong it will step through bankruptcy and a more accurate /L takes its place. This appears as super position along the Markov <1,y,z> chain. If the S/L banker has a loss function it appears on the <2,y,z> chain, it will have two modes, losses and gains, partitioning the price system.
Central bankers are stuck, they cannot be really neutral S/Ls. But they can reduce volatility and have a loss function with a partial partition of the Treasury inflation tax. They end up making the inflation bet, then reverberate about an inflation axis for a few yer, then make a new inflation bet. The Law makes it impossible for Congress to have an ongoing inflation betting pit because of the built in skew.
Wednesday, November 25, 2020
It is a real issue
The proposed new anti-crypto regulation by
@stevenmnuchin1 is a form of financial disenfranchisement.
The new regulation got a fake OK from MIT and now Munchkin wants to get the Wall Street fix in. Our educational institutions are in a sad state.
Go with the fat lady
Kamala Harris, Stacey Abrams among nominees for Time magazine's 2020 Person of the Year
You have your wry look and then there is fat and jolly. Go with the fat and jolly. And the short, curly works great, especially if it real.
We have gender and color covered, the next granularity down is body shape, and fat is number one on that list.
You have your wry look and then there is fat and jolly. Go with the fat and jolly. And the short, curly works great, especially if it real.
Early exits
That causes stress on the pension system. It is almost a net zero except on the margins the retirees do better.
But it leaves a split and potential union rebellion, and we see some of that today. This is similar to the Swift rebellion. The cop union battles. The Fed tax becomes law, little 'l', defacto, for a long time.
The cops came to a house of mine once
Trump pardons Michael Flynn, former national security advisor who admitted lying to FBI
Three or four of them, shocked me at the time. They wanted to talk to me, wanted in. Sure, and then I began confessing to crimes. Yes, we were to loud at some nights.
They wanted in my little office. Yes, I committed slumlord crimes of the usual sort, trying to confess.
Out the sliding door, and I began look for excuses for any stolen plants or garbage dumping from or to committed by the housekeeper.
Can we look at the garage? Oh, the old polluting car on jacks, I begin to confess again.
He looked and said, OK, we thought you had a pot grow.
I was a bit insulted, they ignored all my misdemeanors and left.
Contract provability
The model is a neutral Spectre compliant, unknown core. The provable contract can show the core thread nets to zero liability over all exits. All exits are accounted for with net liabilities determined by the path from root, which is uncovered by a public key of the participating counter party.
We have a name for this in old compiler theory, it is about assigning registers to minimize memory bandwidth. We know how to do it ex ante and run time. The trick is securing those paths, mostly by minimizing the risk of bunching with congestion markets, using pre-approved signatures. In compiler terms,those congestion market are the memory shufflers that tracks used and unused memory.
Unintended shock vs intended deal
Fed, IMF Sound Warning That More QE Could Lead To "Unintended Consequences"
Something just outside the Overton window for Fed minutes.
A split in the chain, that is the best sandbox interpretation. So, open the bidding, this is no big deal.
Conjuring ghosts is no help. Look at the cost benefits of unintended vs intended, find the suitable margin, bid a deal.
I have Drum at a half point GDP, absolutely max. My numbers come in at one to one and a half, and Powell thinks two. My anarchist self is going with Powell, minus the monopoly fee. Treasury get a mean 1.5 percent inflation tax, plus a tiny monopoly fee from the Swifters. Swifter agree to bounded, Due Process banking.
This is about sandboxers buying off the whale. Central baking cannot free Swifters until the Fed tax issue is settled. Sandbox is neutral, we can run with a double spender in Treasury, don't bother us. So, Swifters make the deal and jump on in.
Hard constraint
Americans in holiday rush despite highest COVID-19 death toll in 6 months
Bayes ruled out any solution long ago. The anarchist would say ,'We be screwed'.
The alternative is to free market home based critical covid care, teach the kids how to ventilate, give shots, pound chest, and all the rest. Otherwise, there is not time to build the market. Even the anarchists can't solve this. So, I am with Tyler on this, this is not government repression, this is a universal constraint, and everyone suddenly observes it when visible. This his the local news quick response when the hospital is just around the corner for most of us.
Debating the vaccine distribution, anarchists point of view
Distribute vaccines on firs come firs serve and distribute nano particles and freeze dries antibodies and all that ASP to whoever has the cash nearby, and directly increase production on all this stuff until it is on the candy shelves across America. Make mRNA vaccines a cosmetic product. Put freeze dried nano particle in the kitchen seasoning shelf. Inhalers in a variety of flavors. Declare total war against out white cell overlords.
In reality, this is a great sector, the benefits go way beyond covid and medicine. This is like the birth of a computing technology, and will have a doubling. Look for a bunch of specialty freeze dried in your health food store. Nasal clearing inhalers. All those spin offs are real.
Lie graphs should be a series
The Lie groups on the circular graph is a squashed version of the Markov salad bowls, the 3D geodesic points flattened. In 4D there should be Lie graphs for squashed torus, then, similar to orbitals, a squashed object with two holes, and so on; a mapping from topology to measure theory. The key connector being relative prime theory. It is as simple as canceling the moment of binomials to the constraints dimensionally determined. There is always finite round off error and distributing that causes different kinetic axis and the number of relative primes increase, each bouncing up against its Avogadro, the maximum entropy point ordered by dimension.
Codeword for a split in the Swift chain
“Several participants noted the possibility that there may be limits to the amount of additional accommodation that could be provided through increases in the Federal Reserve’s asset holdings in light of the low level of longer-term yields, and they expressed concerns that a significant expansion in asset holdings could have unintended consequences.”
Fed minutes, taken out of context by me.
Sandboxers should see this as yet another debate on ledger protocols by miners. Swift will not split, Yellen and Powell both know the issues. Swift will emerge stronger, it will be jumping right in the sandbox, bet on that. There will be no 'MIT faking it', this time.
For a technologist, my model is the following: What are the abstractions of the Swift protocols that make the most flexible interface to the new contract languages, of which Swift will one. From the total package, create the macro, mini, and micro Swift bank versions, fill in the sandbox layers. Keep the time and count limit functions everywhere so it always resolves.
Monefiscals
Progressives are raising objections to the Biden team’s pick for overseeing the transition at a key regulatory agency in the White House, arguing the official has been too sympathetic toward President Trump’s deregulatory efforts.This group is the same old group with a different name, the Next New Green Dealers, as opposed to Diane and the Previous New Green Dealers. We are still sorting out the entries and exits from Diane's version, AOC does not know she is debating a previous version of herself. But entry and exit happen, one funeral at a time.
Bridget C.E. Dooling, a research professor at George Washington University, has been tapped to help with the agency review team at the Office of Information and Regulatory Affairs (OIRA), which reviews all executive branch regulations before they can be enacted.
Critics say they’re concerned with Dooling’s prominent role given that the center where she works, George Washington’s Regulatory Studies Center, has received funding from both the Charles Koch Foundation and ExxonMobil and has long been viewed as conservative-leaning.
John nails it
A libertarian would require competition and free entry into banking which we do not have. If people want ESG funds, there are plenty of them that directly steer investments to whatever socially conscious ends people want. The real point of the OCC rule is to try to stop the Fed from requiring de-banking of unpopular industries by inventing fictitious risks.
Fictitious risk is OCC code word for stable coins, flash loans and the rest. OCC does not want Swift banks locked out of the new sandbox markets.
John's one other comment about free entry and exit has a corollary, all the banking theories will fail unless the condition is at least assumed in the alternatives. If you do not have free entry and exit, somewhere, then your theory has no algebra, you cannot even talk about outcome possibilities.
The alternative, monefiscals, Next New Green Deal stuff; all that cannot predict outcomes until they have a free entry and exit predictor in their model.
A philosophical note. My free exit and entry base predictor requirement is often called the libertarian premise as John noted. Libetarians get blames for a lot of mathematical requirements. If we should blame anyone, blamed the anarchists, they are the one making new chaos.
The bounded model is a fuzzy but constant market size. At the fundamental, the model is embedded in a boundary containing market of unknown size. And the fundamental answer will be the stable entry and exit congestion at the model boundary. This is known as the error coefficient in liner least squares. In sub atomic, known as the vacuum expectation. In the general case, that is what stabilizes the Markov relative prime sets, seen as round off errors.
Tuesday, November 24, 2020
Run a short chain Swift register in your store
If you are Starbucks with regular arrivals. Then your local Swift will let you down load the Swift official short chain cash ledger. Customers can move from S/L to short change option. That means the congestion manager will optimally keep your short chin full at the Starbucks for fastest speed and optimum interest flow. You get your coffee hedged, courtesy of your local Swift bank, all done over WiFi.
Customer experience. You an o onto a Starbucks today and order vi the smart phone. There is the noticeable delay in turn around, but it is convenient. Then the clerk gets the order and confirms. With cash, digital, the order is done and appears on the register screen as soon as you hit you button. She can actually find you as you are the one hitting the phone. Each customer sees the green light of orders pending, they swap spots in line with their neighbors, they are all in sync with the system. It is eliminating that extra step, that step moves order and back, one step apart; and we can make it coincident, instant.
It becomes like yelling across the bar for the waitress. In fact, that will happen, the customer yelling if she is ready. Then one push of the button, and her order goes up, paid for instantly. Like throwing the gal twenty.
Their first visit with the snake
New Mexico Governor Shuts Down Grocery Stores With New Public Health Order
The virus was discovered and we shut down before it reached many of the interior, sparse states. I noticed the effect in my hick town of Fresno. Some of missed the snake, it got stuck rolling around the big cities, then snuck back out and hit the interior. Not a wave, but a nasty long snake.
I digress. The difference is we can see the vaccines coming o we are more urgent to shut down. We don't care the critics because the arrival times start Q1.
Layering the coinage with due process in mind
The bottom, the pure no arbitrage sandbox I have layering of three, S/L account, short chain cash, and petty cash. The last category is something a qualified Swifter can carry with them as bearer cash.
What do i need to be a qualified Swifter and carry cash? I need have same thing any other money system needs, and autonomous bot in my hand. I get that free, comes from the foundry built in. Due Process steps in because if a Swifter can be qualified for limited petty cash, then it is a restriction to deny it. We have reduced the Swift system to the constraints: ledger methods, methods to make short chain cash, and petty cash is already onboaed, cannot be disabled, only limited.
Otherwise a safe abstraction of the Swift rule set can easily be fit within an app that utilizes the unknown core, handheld, biometric security.
Due Process banking is an extremely useful regulation
Really enforced by Law within the Swift contract system?
You are kidding me, that means the constitution guarantees me the right of market priced entry and exit into any Swift account, or license. In sandbox, we assume automated discovery and hedging for arbitrage, but to haven it legally enforced by Law is like a miracle marketing tool for Swift bankers. It makers the ta dollar have even more utility than just a tax tool.
It is a two way street, this is a monopoly contract from the US chambers. If you get cheated or excluded within a Swift system, you will have an appeal process, within Swift. No other free currency can guarantee this except by contract law. Railroads and income tax agents have been stuck with this, but for Swift banking this is a great service to customers. A way to work the scofflaw problem with an internal bankruptcy, leaving the authorities out.
We can license the macro swift bank, a separate entity attached to a correspondent, but having limited time, amount and count. Let them have full freedom, subject to Due Process. That would be their trademark, Due process banker. Keep your cash account low, under the radar, and have very low cost banking and contracts. Online biometric sign up. Offer sales lending with vendor fees, integrate anonymous, point to point, ledger swaps across he ledger space. Tie into ther Eth chain with option liquidity, put up their own proof of stake chain and sell OTC services, and so on and so on and so on.
I keep getting excited abut freeing up the Swift bankers, just to see how they do in sandbox. I have this idea of franchises, limited, but fast Swift offices. What exactly would be the opti,um market capacity of a migrating S/L, like a color operator lightening the financial landscape. A pure liquidity machine, ledgered up to valid US tax dollars.
We want to save Swift
It is a great ledger system for the tax dollar. An ATM retail monopoly fee of a half point for Treasury is fine.
We would rather the monetarian/fiscalarian would partition their theories, they can both be true for independent agents.
Mixing the two is friggen up the Swift system, bad news. Technology gives us an opportunity to expand the Swift market, make it fair and available at low transaction fees for anyone. That has a value, a business plan in which we would allow an inflation tax for Treasury, over a period long enough so all parties can abuse it. Seriously, locking up the Swift system is really a very bad idea. Freeing Swift is well worth a small inflation tax, finite renewable.
This is exactly the problem we had with radio spectrum, the problem the Nobels solved, exactly that problem. Due Process banking is meant to be a natural, hardly noticed, universal, and neutral accounting system. We really need a better partition here, someone propose an idea. Let's make a market, Swift vs Treasury, let's find that allowable inflation tax and free Swift in the deal.
Taxes will pick up everywhere. Like wealthy whales see that regulated banking provides a voluntary path to control taxes. That is Swift is not a direct tax collector. The the whale has a Wile E Coyote because of real productivity growth within the Swift money system. That growth defeats his hedge, and he has to move his capital into market.
That money velocity is market share, we may not have a dip except the Sift system is losing market share. Velocity is moving elsewhere, including into different liquidity systems. We want Swift to compete well, much better then the other boneheads. We want Swift bankers intimately involved with contract, verification, oracle duties, automation and collect good fees for doing so.
You have to put it in a legislated account
Mnuchin Plans to Put $455 Billion Beyond Yellen’s Easy Reach
Yellen will give it back to the lending program where it will, again, sit on reserve balances, then it expires, and is returned to reserve balances.
There is now debt backing up that money, so by putting that money in reserve balances, that money avoids taxing itself to pay its own debt costs, a perfect tax dodge, except we don't tax Treasury. One solution is take that money and buy back some debt. Then the money self cancels, get deleted from the chain.
Mr.Munchkin, you can do nothing except leave it to drift back into reserve balances.
You have no legislative authority, thus no place to hide it until you get a budget. We are not making budgets with you anymore. This guy is bonehead. The opposition will create a virtual account with 455 billion, called the 'Munchkin is an idiot account'. Perfectly legal, and it owns all of those tiny little miniscule accounts pumped by the Munchkin without legal authority.
This is how the Munchkin made money, trading on some government induced hedge and using insider information. None of these Trump boneheads are on the side of Due Process banking.
A Treasury spokesperson confirmed a Bloomberg report saying that the reclaimed money will be put into the Treasury's General Fund, but denied that moving it out of the Exchange Stabilization Fund would put the funds off limits.
The funds are tied to expiring Fed lending programs for mid-size businesses, municipal bond issuers and other borrowers, the spokesperson said, adding that any new use, including renewing the facilities, would require congressional approval.
Yellen will give it back to the lending program where it will, again, sit on reserve balances, then it expires, and is returned to reserve balances.
There is now debt backing up that money, so by putting that money in reserve balances, that money avoids taxing itself to pay its own debt costs, a perfect tax dodge, except we don't tax Treasury. One solution is take that money and buy back some debt. Then the money self cancels, get deleted from the chain.
Munchkin is an idiot, and here is a rule:
Money in a treasury account that cannot be allocated by legislation is money that stays in the treasury account. There is no authority, nowhere, in double entry accounting,that can move it from the Treasury account except our friends in the chambers.
The part of the sequence in which we have huge tax battles
Rich Americans Scrambling To Buy 'Golden Passports' To Second Country
The global economy is a snake of super wealthy avoiding taxes. They wind around, moving themselves and capital to minimize unexpected tax jolts.
They and the tax agents have started the cat and mouse, and it goes on for at least a quarter. maybe two. It is a higher energy level events because it requires coordination with California, which has opposite spin in the Pauli sense. Last time it all boiled down to an income tax referendum in California, followed by last hour tax deal in the Swamp. We have to do that, at a minimum, but it is now complicated by union battles and Swift banker rebellion. Made worse by the loss of so many tax hikes this election.
Local politicians want those taxes
But local users and suppliers are notorious tax dodgers.
However, it is a nice export market for California. And fairly harmless. Fresno grows good stuff.
Faking it with Janet
This is Selgin's chart trying t make out Janet's rate decisions.
My chart for this period. I have many other charts for each period back to 1980 and the result is always the same. The Fed follows the one year.
This is the chart Janet worries. That peak in remits came in 2015, and she wanted that to drop, not rise. This is Selgin's claim, normalization. Her only choice to normalize was to raise the target to match the one year, that is always the only choice, there has never been another choice.
Almost everything else we hear is some obscure chart to match some obscure theory and we miss forest for trees.
Then he will love the Hunter dossier
Biden NSA Pick Called Steele Dossier 'Perfectly Appropriate'
Coming to a news room near you.
Cops lose that union battle
Seattle City Council cuts police department budget nearly 17 percent
A win for social workers in this case.
A split in the Swift block chain
OCC fights de-banking. Fed moves to climate.
The OCC in favor of Due Process banking, the Fed want monetary fiscal union. The Due Process bankers want connected into sandbox. Very few of the pros are really clued into the process.
This may be a first, a real bona fide bankers strike by the Due Process bankers. I would expect these rebel bankers to open virtual offices in tax havens where they can operate in sandbox.
We need name for monetary/fiscal Godotism. I suggest montefisco banking.
Fellow deflationist
Inflation: A Misguided Fear
Dave Beckworth's main claim is the Fed expanding its S/L facilities to other central banks, short cutting the Swift network. Thus the more liquid banking creates more demand for US dominated reserve assets. And that leads to a seigniorage, tax increase. Boils down to congestion pricing.
But the dollar index is now down to pre-covid levels. The international rush to safety has collapsed and the seigniorge tax remains high. The rush to safety is apparent in deleveraging consumers who want to buildup deposits in response to the second consecutive crash. But they too will find other tax free investments over time. But the seigniorage tax remains.
We are still deflationary, the cause is still the siegniorge tax. That tax remains for 15 years, the time needed for the Swamp to rollover its past debt, now costing over 2% per year. The siegniorage tax should peak at about 1.5% of the economy.
The question is, how long will we tolerate a 1.5% banking tax. Dodging taxes is a major law of economics. This is what worries Powell and Yellen. The Swift banks have to sit out half their market for 15 years, and will not survive the sandbox taking all that Swift share.
On the political side, it is soon that Yglesias and Drum discover this regressive flat tax is not on the talking points. And this is a 15 year, non legislated, flat tax generated by an unelected group. At some point even the Alt-Right could get clue. Then we have internal party differences with the centers of both parties liking the idea of a tax they do not need to vote on. In between is the Swift bankers union.
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