Tim asked for my "letter" as an alternative to the free cash proposal; not sure you all want to sign on, but here's a more detailed policy response (draft):
How to deal with the crisis
L. Randall Wray
Naomi Klein: Disaster capitalism creates crises and uses those to implement Shock Doctrine; most of the proposals coming out—writing checks to all, bail-outs for banks, hundreds of billions for corporations—are all examples of taking advantage of the shock of a crisis to further the doctrine of “free markets”. Klein argues that what usually happens in a crisis is that all the progressives get co-opted and abandon progressive policy because they see the crisis as so severe, and causing so much suffering, that they’ll settle for the Doctrine as better than nothing. Slowly but inevitably, we lose all social protection as progressives abandon their principles to deal with the immediacy of the serial crises created by disaster capitalism.
Of course you will see this agenda as “politically infeasible”—and it is infeasible if you accept the premise of the Doctrine that there is no alternative to Neoliberalism’s Disaster Capitalism.
A Great Leap Forward: Heterodox Economic Policy for the 21st Century; Randall Wray; Paperback ISBN: 9780128193808; Academic Press; Published Date: 22nd January 2020; https://www.elsevier.com/books/a-great-leap-forward/wray/978-0-12-819380-8
Macroeconomics; Author(s): William Mitchell, L. Randall Wray, Martin Watts; Red Globe Press, Macmillan International; February 2019; https://www.macmillanihe.com/page/detail/Macroeconomics/?K=9781137610669.
Why Minsky Matters: An Introduction to the work of a maverick economist, Princeton University Presshttp://press.princeton.edu/titles/10575.html
Modern Money Theory: a primer on macroeconomics for sovereign monetary systems, Palgrave Macmillan http://www.palgrave.com/page/detail/modern-money-theory-l-randall-wray/?isb=9781137539908
Thanks, Geoff, for posting this.
The contrast with our “leader” is heartbreaking for those of us in the US.
Sent from Mail for Windows 10
Thanks for the interesting discussion of what should be done to deal with the COVID
-19 pandemic. I paste below the text of President Macron’s speech of 16 March.
Compare and contrast with US and UK “leaders”.
President Emmanuele Macron 16 March 2020
“We are at war. This is a war of sanitation. We are struggling against an enemy we can’t see. We are at war. We need everyone to fight this enemy. Nobody can break this new rule.
We are at war. Everyone, every leader of all parts of French society, we call upon you to fight together. We must care for everyone. We cannot let anyone slip through the net.
Special medical services will be available for the elderly. Things will be available in your pharmacies on Wednesday.
Keep our children safe. We owe them a duty of care and safety. I assure everyone that money does not matter. We will open hotels, we will use taxis as ambulances, we will use the army and their ambulances. We will use military hospitals. We are at war.
We must take this decision to protect everyone. If you are French and overseas, come home now.
The consequences of this war will require everyone to make sacrifices.
We will support everyone economically. No company, whatever it is, will be put at the risk of bankruptcy. No individual will suffer .
We will defer all payments for taxes, rents, so nobody is left without resources.
We will massively widen social security payments.
We will work with our economic advisers to ensure security for all.
We cannot say how long this will go on. We are guided by experts. We continue to work to finding treatment.
I say to each of you I will tell you the truth at every stage of this war. If we work together as citizens, my dear people, we will accept and bear these constraints. We will all do this.
These are things which we know. A lot of things we thought to be impossible are happening. Remember this, on the day after we have finally won this war, we will never be the same. We will be stronger. We will be united. We can win this war together.”
Geoffrey M Hodgson
Professor in Management at Loughborough University London
Editor in Chief, Journal of Institutional Economics
Secretary of the World Interdisciplinary Network for Institutional Research (WINIR)
Secretary of Millennium Economics Ltd
[log in to unmask]">