i've got a question for you what was it that socialists used before candles electric light bulbs this is a picture from space of south korea china and north korea so this is a truly socialist society i have been to china and believe me when it comes to just general businesses there is no resemblance to a socialist society the the the they're not communist not true communists they do not the government does not own the means of production it does not own businesses it no longer assigns housing


it no it you know private property is legal again this is not i don't know what to call it it's sort of like a one party one-party semi-dictatorship capitalist society it's very strange uh way of melding all of these things but the point here is that this is a socialist society and you know i did a video on uh the uh act that was introduced in the senate by three senators uh the make billionaires pay act and in there i talked about elon musk and stuff but the point here is that uh there are


billionaires here several of them quite a few there are lots and lots of billionaires here the only there might be one person that lives like a billionaire here and that is kim jong-un the guy that gets to uh tell everybody in that country what they're going to do where they're going to live how much they're going to make you know he's the one that gets to make the decisions and he lives like a king so there might be somebody that lives like a billionaire by impoverishing everybody else and that


happens every time true socialism or communism uh comes into practice if you look at maduro in venezuela right now that's exactly what's happening but i talked about elon musk you know elon musk little boy grows up in in south africa from in a middle class family moves to uh canada to go to school comes to the united states and moves to the bay area silicon valley gets a office sleeps in the office at night showers you know to save cash he sleeps in the office at night showers at the ymca


and codes all day and night to develop a program uh and you know so working 14 16 18 hours a day he ended up developing something that became paypal when they sold it his take was 120 million dollars from that then instead of retiring and buying a private island or something he gambles 90 percent of his own net worth on uh trying to colonize mars because he sees the possibility of human extinction from like an asteroid strike or climate change or something like that on earth so he thinks we need a backup plan


colonizing mars and then the other thing was tesla which is to trying to transition the world to sustainable energy accelerating the advent of a sustainable energy is though so those are the two goals colonized mars sustainable energy and he gambled 90 of his net worth on it so to all of the naysayers and the people that hate elon musk and tesla and so on i would like to say pick the largest thing you can figure you can think of that threatens humanity climate change uh sustainable farming practices and then


gamble 90 of your net worth on it um so the point of this uh is that uh you know that tax the billionaires uh make them pay their fair share thing alexandria ocasio-cortez aoc says billionaires need the working class the working class does not need billionaires she also believes in modern monetary theory modern monetary theory uh is the theory that since we have our own sovereign currency uh in the united states we can just print as much of we of it as we need and we can uh spend this on anything we want to


spend it on so the government can just print and print and print and spend it on whatever it wants to spend it on well there's a review here and i highly recommend just doing a search for uh this article and reading it and stephanie kelton is an economist who wrote a book recently and her ideas are making a huge splash in the world of economic thinking uh she currently serves as professor at stony brook university but more notably notably served as the chief economist on the state budget committee and that explains a lot


senate budget committee i'm sorry senate budget committee so this explains a lot of why the u.s is in such deep doo-doo as well as a senior economic economic adviser to the bernie sanders presidential campaign this background should give you some insight into her latest book the deficit myth modern monetary theory and the birth of the people's economy now i i don't know i'm gonna probably have to read this book so that i fully understand all of the theories behind it because i only have a cursory


knowledge from the articles that i've read about it and most of the articles that i've read about it is are written by somebody that comes at it from an austrian school perspective of being conservative having a fixed currency supply you've got to be careful with what you do economically because because there could be unintended consequences that are big and so um i would suggest reading this article maybe even getting this book but read it you know if you're not capable of critical analytical thought


don't read the book because it is well written and serves as an accessible insight into the world of modern monetary theory so it can be very convincing for somebody that can't see through it but so although this guy had many objections he founded a great read nonetheless but as a contribution to economic thought he found it rather questionable it also features circular logic as well as bait and switch style arguments an accessible insight into an increasingly relevant monetary theory and the world of public finance


i believe the book does just that i think he's referring to it gives this insight into relevant monetary theory in the world of public finance through circular logic and bait and switch [Laughter] so um read that but you know this was all tried years ago i mean 300 years ago to this year exactly 300 years ago there was a cataclysmic uh uh end to basically a better form of modern monetary theory that was also connected with trade and and it was called john law's mississippi scheme and in 1716


he got a bank and they did this experiment issuing paper currency and the government was able to pay back its debts they were able to run the government off of just printing currency but he also coupled the value of the currency to a new company the mississippi company they thought that there was gold in in the louisiana you know the territory that france owned was uh the louisiana purchase in the united states that was about one-third of the current united states went from mississippi from louisiana deported the you know thomas


jefferson only wanted the uh new orleans port so that we would have access to the mississippi which it was all of the supply for all the goods and so on that were being imported into the western half of the united states then because it ended pretty much at the mississippi so that was the trade route that's what uh thomas jefferson wanted and uh napoleon was involved in some wars and needed a bunch of cash so uh he threw in the rest of the louisiana purchase not just the port of new orleans but


one-third of the united current united states for an extra million dollars in gold uh so one-third of the united states and this this went on for four years and ended in a catastrophic hyperinflation that plunged all of europe into a depression that would last decades and so this was the first attempt at modern monetary theory my suggestion is if you have critical thinking and can look at things with a discerning eye and identify circular logic or identify bait and switch where there's a political you know they're


going to prove something and then they just make a political statement as their conclusion then read this book if you can't do your own thinking stay away from it because you're going to be convinced that this magical money tree mmt theory might work uh and here's one last meme to show you what modern monetary theory is today's special buy one beer for the price of two and receive the second beer absolutely free you can't give away currency without it devaluing the currency i'm sorry it just doesn't work thank you


very much for watching we'll see you next time