Tag Archives: monetary policy

How Much Money is Out there?

18 Dec

PILES-OF-AMERICAN-MONEY

By Mike McGee

There’s a LOT more money floating out there in the United States (as well as in the rest of the world) than what is captured and quantified by the existing monetary measurements of the Federal Reserve (and other central banks). I call the real money and assets not measured by the Federal Reserve the “Second Economy.” Here I will focus on the United States, though the same logic may be applied to any other country which has a robust central banking system. Continue reading

Bush 43’s Biggest Mistake

18 Nov

Historical_Mariginal_Tax_Rates

By Mike McGee

The biggest mistake made by President George W. Bush was that he did not insist that the US congress impose a temporary war tax or surtax as a way of financing the incursions into Iraq and Afghanistan and the international War on Terror (including Homeland Security) after September 11, 2001.

A cursory review of history shows that at least from the time of the US Civil War in 1861, a temporary war tax or surtax was imposed by the president or by congress to pay for each American war. This includes the relatively insignificant Spanish-American War, when tariffs and other taxes were raised substantially, and temporarily, to pay for that little conflict. Continue reading