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Abraham Lincoln said “If the American people knew tonight, exactly how the monetary and banking system worked, there would be a revolution before tomorrow morning.”

What I have found is that the economy doesn’t really work the way the mainstream economists, politicians, and media tell us it does. In fact, much, if not most of it works exactly the opposite of what we are taught. Public discourse is an intentionally manufactured chaos, designed to create confusion in the minds of the public.

The Ensuing Chaos is your guide to an alternative view of how the economy really works.  It is an attempt to simplify and explain the Modern Money Framework to the layman and, from time to time, to explore the implications of that for our future. It is a humble attempt to bring clarity to the chaos.

I believe that the workings of the economic system can and should be understood by everyone, and that understanding makes possible an evolution in public policy for the benefit of the public interest at large and simultaneously for the cause of Liberty & Individualism.

It’s critical to note that the Modern Money Framework is not my creation. It is the development of the Founders of Modern Monetary Theory (MMT), themselves creating MMT from the historical evolution of past economic thinkers. MMT has recently spawned a new school called Modern Monetary Realism. Each school has it’s own emphasis and there is disagreement between them. Just as all true religions are peaceful, both schools of Modern Money are based upon the same underlying truths.

The Modern Money framework is unique in that it is based on sound accounting and a logical, consistent following of the stocks and flows of “money” in our society.  It aims to describe first how our economic system actually functions, and then assist the mind in determining your own personal policy preferences.

What this is NOT:  this is not an egalitarian, utopian fantasy.  This is not communism, socialism, fascism or any other ill-defined -ism.

You could call it Chartalism, Neo-Chartalism, or you could call it Capitalism.  Those wouldn’t be incorrect.

A current project is integrating those with an interest in Ecological and True Cost Economics into the Modern Money framework.  I believe that it is only when we combine the insights of Modern Money with an appreciation for the Natural World and the resources it provides that we will be able to fulfill our potential on Earth and our future explorations of the Universe.

This is a macro theory, and has little to say about microeconomics, although I’ve found you cannot have the latter without a consistent and accurate macro theory.  As such, it is not a ticket to wealth in the stock market or forex, although it may give you the courage of your convictions.

Please note:  I am a layman and not an academic.  Any mistakes or errors lost in translation are purely my own.  From time to time, I may have semantic disagreements with any “formal” interpretation of the theory, or may stray outside its boundaries.  For those who wish to explore the academic side of Modern Money deeper, please visit the page “Classics of Modern Theory.”

Furthermore, all the typical disclaimers apply:  This is not financial advice.  Forward looking statements will be made.  I am not a financial adviser, but should you be looking for an alternative to the volatility or small yields of the stock market, CD’s and Treasury Bonds, click here.

For those who want to learn more about me, please see “Who am I?”

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