The Prosperity Mandate: A Sustainable Economic Recovery Plan

Thank goodness someone of the stature and sophistication of John K. Galbraith is identifying the terrible short fall of the current plans for an economic recovery.  Although he is not yet familiar with our program, he has essentially identified and is calling for a Monetary Policy as set forth by The Prosperity Mandate.

Read his article at:
http://www.washingtonmonthly.com/features/2009/0903.galbraith.html

and then take action on this site to ask your President, Senator, and Representative to study the Monetary Policy for a sustainable and renewable economic recovery.

Except from his excellent article:

Barack Obama’s presidency began in hope and goodwill, but its test will be its success or failure on the economics. Did the president and his team correctly diagnose the problem? Did they act with sufficient imagination and force? And did they prevail against the political obstacles—and not only that, but also against the procedures and the habits of thought to which official Washington is addicted?

The president has an economic program. But there is, so far, no clear statement of the thinking behind that program, and there may not be one, until the first report of the new Council of Economic Advisers appears next year. We therefore resort to what we know about the economists: the chair of the National Economic Council, Lawrence Summers; the CEA chair, Christina Romer; the budget director, Peter Orszag; and their titular head, Treasury Secretary Timothy Geithner. This is plainly a capable, close-knit group, acting with energy and commitment. Deficiencies of their program cannot, therefore, be blamed on incompetence. Rather, if deficiencies exist, they probably result from their shared background and creed—in short, from the limitations of their ideas.

Tags: Economic Recovery, economic stimulus, John Kenneth Galbraith, new monetary policy, recovery plan

These questions were asked in the popular forum Daily KOS

This plan is talking about funding the stimulus through bonds. They are just using different words.

Neal: The common thread (I was about to say bond!) between Bank CDs and Corporate or Municipal Bonds is that they are both classified as Debt Instruments. I am not sure why the semantics are the primary focus.

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Tags: current economic crisis, economic stimulus, green monetary policy, job creation, recovery plan

From an email exchange with TPM founder Neal Katz:

A few people have asked me what I think of the Prosperity Mandate, so I spent a little while looking into it and thought I would give you my impressions directly.

Frankly, I am highly skeptical of the proposal.  Though I haven’t read it in exhaustive detail (and don’t expect to be able to spend a lot of time on it), there are very many moving parts that would need to come together, and even if implemented, with no assurance they could be built quickly to scale.   The complexity is actually very high.  Too high, I believe.  As a former entrepreneur and venture capitalist, I learned to be very leery of deals that require many key things to come together to work because there are too many potential points of failure (ie high risk that is hard to mitigate) and it is hard to truly evaluate all the interactions and how they will play out.

NEAL: I can’t imagine a National Monetary Policy that would get us out of our current economic crisis not being fairly ‘complicated with a lot of moving parts’.  Seriously, can you?  If so, I would like to see how.

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Tags: Economic Crisis, economic stimulus, Fund America, National Fiscal Policy, Prosperity Mandate, recovery plan

Given the current economic crisis, news of $20 Billion in bonuses to Wall Street executives is not only exasperating and incredibly outrageous; it is a clear sign of a deeper systemic problem in our economy and society.  The core problem that needs to be addressed is not the amount of bailout funds, nor the programs that receive priority funding - important, yes, but not the core.   No economic stimulus package will work until two things are provided for, CONFIDENCE and TRUST.

Now is the time to redirect ill gotten gains and corrupted economic and social practices into the public good.  YES WE CAN!

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Tags: current economic crisis, Fund America, National Fiscal Policy, recovery plan, wall street bonuses

Finding a timely solution to the current economic crisis, is critical. Problem is, the stimulus package has to shore up the banks and under stringent oversight let them conduct effective banking.  The question is, Where is the money going to come from?  Government funding is not enough!

To be effective a recovery plan MUST become self sustainable and renewable, create MASSIVE deposits into banks, and be favorable to Big Business as much as the jobless, and fund a broad diversity of projects.

For a Democrat and Republican ENACTABLE $1 Trillion stimulus package WITHOUT $1 OF DIRECT GOVERNMENT SPENDING, and the beginning of the end to our current economic crisis, see:
www.theprosperitymandate.org

Tags: banking system, Fund America, recovery plan