Announcing the First International Conference on Modern Monetary Theory 

Economics for a New Progressive Era

University of Missouri-Kansas City

September 21–24, 2017

Conference site: mmtconference.org

With Support From

Robert Skidelsky and Morton Sosland

UMKC Economics Club

Journal of Post Keynesian Economics

Featured Speakers Include

Warren Mosler, Robert Skidelsky, Jamie Galbraith, Jan Kregel, and Randall Wray

Modern Monetary Theory has transformed the economics discipline. Its influence extends beyond economics, reaching deep into the fields of law, history, finance, banking, public policy, and philosophy. Join the world’s leading MMT practitioners, and explore the cutting edge of modern economic thinking.

Call for Papers. Submissions are welcome on any aspect of Modern Monetary Theory, such as: fiscal policy, economic development, employment policy, framing and marketing of MMT, taxation, inflation and reforming the financial system. Please send your individual abstract (200 words max) or panel submission with a short description before June 15 to [email protected].
We look forward to seeing you there!

Lawyer with Responsibility for Mortgage Crisis Appointed to Take Care of Mortgage Banks

NEP’s Bill Black appears on The Real News Network discussing Trump’s appointment of Craig S. Phillips, who contributed to the 2008 financial crisis at Morgan Stanley, to take care of FannieMae and FreddieMac. You can view with a transcript here.

The Living New Deal

Announcing the New Map of New Deal New York
Two years in the making, The Living New Deal’s newest publication, a “Map and Guide to New Deal New York,” highlights nearly 1,000 public works throughout the five boroughs and describes 50 of the city’s notable New Deal buildings, parks, murals, and other sites and artworks. The 18 x 27 inch, multi-color map folds to pocket size, while three inset maps offer walking tours of the New Deal in Central Park, and Midtown and Downtown Manhattan. Beginning this week, The Living New Deal will host events in Manhattan to celebrate the map—and New Deal New York at large. You can purchase the map, and a poster of it, here.

Culture and Space: A Case Study of the New Deal at UNC
More than any other era in US history, the New Deal supported the development of new work in the arts. Two scholars at the University of North Carolina have compiled, “The Forest Theatre, Expressive Landscape, and the New Deal at UNC Chapel Hill,” a bibliographic essay exploring the relationship between New Deal structures and cultural projects at that campus, with special focus on the relationship between space and performance undertaken at the Forest Theatre. The essay suggests potential avenues for further research into the New Deal, emphasizing the politics of place and the arts, during the New Deal era. Read the entire essay.

Provided by: The Living New Deal

April 13, 2017 Wells Fargo’s Board Investigation of Itself Amounts to a Farce

NEP’s Bill Black appears on The Real News and explains how the Wells Fargo scandal is emblematic of the bank’s corporate culture and that the fined executives are only scapegoats. You can view the video with a transcript here.

Dodd-Frank Was Designed to Fail – and Trump Will Make it Worse

By William K. Black
April 17, 2017     Bloomington, MN

William Cohan’s April 14, 2017 column in the New York Times discusses Daniel Tarullo’s swan song talk on bank regulation.  Here are the key passages from that column for the first half of my discussion.

Much to the relief of Wall Street executives, who feared and hated him in equal measure, Daniel K. Tarullo left his powerful perch on the Federal Reserve Board of Governors last week, but not before delivering one last lecture on how big banks should be regulated in his absence.

His swan song was pretty surprising, all things considered. It also went largely unnoticed, much like Mr. Tarullo himself during his eight years at the Federal Reserve. Many people have never heard of him, even though his decisions affected their lives in ways big and small.

Once described as the “Wizard of Oz,” for the power he wielded behind the scenes, Mr. Tarullo was appointed to the Federal Reserve by President Barack Obama in January 2009. At the Fed, Mr. Tarullo took over the important responsibility of regulating the big Wall Street banks, a job that, understandably, had been the purview of the president of the Federal Reserve Bank of New York. The oversight moved to Washington from New York in the wake of the financial crisis.

“It was obvious that a lot in the U.S. regulatory system had not worked particularly well before the crisis,” Mr. Tarullo said in a 2015 interview with The Wall Street Journal.

Cohan was writing about a different subject, one I discuss briefly in the second half of this article, so he did not discuss the insanity described in these four paragraphs.  Here is the short version of that insanity.

Continue reading

Ecuadorians Reject Neoliberalism in Presidential Race

NEP’s Bill Black appears on Rising Up With Sonali talking about Ecuadoreans and their choice of continuity by choosing a left-leaning government over a neo-liberal agenda in recent Presidential elections.

President of Richmond Fed Leaks Insider Information and Goes Free

NEP’s Bill Black appears on The Real News Network discussing the investigation into leaking of inside information and how it shows how banks and the Federal Reserve are riddled with conflicts of interest. You can view here with transcript.

Inequality Update: Who Gains When Income Grows?

By Pavlina R. Tcherneva
Bard College

Growth in the US increasingly brings income inequality.  A striking deterioration in this trend has occurred since the 80s, when economic recoveries delivered the vast majority of income growth to the wealthiest US households.  This note updates my original inequality chart (reproduced below) with the latest data. For earlier discussions, see e.g., here, here, and here.

Figure 1: bottom 90% vs. top 10%, 1949-2012 expansions (incl. capital gains)

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Reality Virus Infects Kansas Legislators, Brownback Immune

By William K. Black
March 28, 2017      Bloomington, MN

The good news is that the Kansas legislature, the land of the lunatics, experienced an outbreak of the reality virus (first diagnosed and named by Steve Keen among neoclassical economists).  The bad news is that the Kansas’ Crazy-in-Chief, Governor Sam Brownback, has proven immune to the virus.

Brownback decided to put Art Laffer in charge of Kansas’ taxation policy.  Even neoclassical economists roll their eyes when it comes to Laffer’s claims that dramatic tax decreases lead to significantly increased net tax revenues.  Laffer’s batting average on this claim is .000 and his “proof” of his claim is a graph (the “Laffer curve”) that he drew that contradicts reality.  Brownback knew that Laffer was batting .000 on his claims and that Laffer never drops his claims when reality (repeatedly) falsifies his graph.  To no one’s surprise, Brownback’s tax cuts produced a fiscal disaster for Kansas.

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Why did Preet Bharara Refuse to Drain the Wall Street Swamp?

William K. Black
(A co-founder of Bank Whistleblowers United)
March 20, 2017

The New York Times’ editorial board published an editorial on March 12, 2017, praising Preet Bharara as the “Prosecutor Who Knew How to Drain a Swamp.”  I agree with the title.  At all times when he was the U.S. Attorney for the Southern District of New York (which includes Wall Street) Bharara knew how to drain the swamp.  Further, he had the authority, the jurisdiction, the resources, and the testimony from whistleblowers like Richard Bowen (a co-founder of Bank Whistleblowers United (BWU)) to drain the Wall Street swamp.  Bowen personally contacted Bharara beginning in 2015*. Continue reading