Sunday, December 6, 2020

We can force the issue with the Supremes

 Remember the sanctity of debt, on of the post civil war amendments?

I can prove that government debt is only safe to the extent Treasury can cover an unknown unknown of bounded amount.  I can prove to the Supremes of an irreducible cost of government, and justify the coinage power required. I can rebalance that contradiction.

So, Congress gets annoyed with the current Fed tax, and goes to the Supremes, call any sandbox pro for a witness, they can prove an unknowable cost that must be paid ex post. The Supremes rule that sanctity does not deny a residual coinage power to Treasury to cover that cost, ex post. And that, implies the boundary between power to tax and coin.

Where is Coase, he can be our lawyer.  Then the sandbox expert, done deal. Then we bring in the Nobels. We will forever stop this incessant repeated MIT scam machine.

In a way we prove the trinity of the Law to the Supremes, and that boundary needs three things. A market pricing of bonds for sanctity, a power to tax and a residual power to coin; two of them are assigned properly in the Law as written, the third, the post war amendment requires that we free up the fias, as much as possible. The debt is not secure if Treasury has no direct coinage power;  coinage risk accumulates and can only be expensed by coinage power if debt is secure.

I can win this in the Supremes, I can force Treasury to double spend. And once I do that, revenue sharing returns, just like the 70s.

No comments: