If the Supreme USA Court doesn’t intervene in the situation the President is creating in regard to the re-opening of the Gov. USA is going to enter in a national Chaos in respect to its economic business. There is a domino theory triggered here: economic catastrophic fall of internal money fluency on other businesses that are strongly linked to a chain of reaction: banks businesses.
Wait and see.
This is how the economy works: Many ways there are to evaluate any nation economy. The most use system is a straight forward one: hiring and economist, but the one use is exactly like a dictionary: Political economy is the study of production and trade and their relations with law, custom and government; and with the distribution of national income and wealth. As a discipline, political economy originated in moral philosophy
The above is just one definition, as said in Political economy in Wikipedia, the free encyclopedia.
…what the economist does: he/she is like a tape recorder or better said, like a computer without artificial intelligence or AI (‘cause AI is under its primordial stage, it could not be used yet, to do work in scientific economy, wait and see) …’cause AI can’t not be use for that, I will tell what AI would evaluate any economy base in any currency, but just one very narrow explanation of it after exposing “political economy”. This is this: the value of a note, let us use the USA dollar note, depends on how its citizens use that note. The society of the United States of America has the practice of using the power of purchase of utensils such as a car, a living room sofa or bed sheet or dressing clothes too often. This large community keep renovating all their utensils. They build and re-built their houses, large structural buildings, cars, and apartment interiors of things such as televisions, apartment walls either redesigning them. A dollar notes in their hands has or could have the value of a thousand dollar or even more. Let us see how: the inhabitant of the apartment, when a new tech evolves, let us say, a television, the user throws away the TV already in use in the apartment and install the newest one on the market and many of them buys the so-called top of the line TV. A television that could cost 2 thousand dollars while there are other TV that could cost 9 hundred dollars and does the same as the first one mentioned here, this is call the power of purchase. Furthermore, he/she pays the delivery of the item plus its tax: $160 or $72 depending which one bought. The store that sold it makes a profit, the delivery man get pays for its delivery, let us say: $380 per weak. He pays taxes and buy a television, a car, and possible a house. There are many consumers involved here. They, the tv buyer, the store, the delivery person, they all do the same thing mentioned above. Most of them save a part of their income in benefit, in a bank making some extra income for doing that: interest upon capital invested and that pays taxes too. Here it could be that just a dollar role over different hands: from the TV buyer to the store seller then to the delivery person and from here to a bank which will do more transactions with the same dollar that moved from hand to hand. What then is the real value of that dollar? As long as that dollar keeps moving from hand to hand, that dollar by been used a thousand times, has the abstract value of a thousand dollar, just a sole physical note with the value of “ONE DOLLAR”, see here, it acquired a thousand value. If its value keeps increasing until the federal government decides to get dollar destroyed and replace it with a new dollar bill to keep rolling from hand to hand aside it is rolling in abstract value from bank to bank until it arrives into the fed bank to be “burned” and substituted by a new note. Notice that a billion-dollar notes would turn into a more than a trillion-dollar abstract value.
…and that is the social value of a note.
…politics used to hold the rolling of a note. Here in USA, there is a habit in stopping the rolling of billion of note, just like that to achieve a political will on making politics to satisfy the ego of any politician who could have the power to do so, disobeying any rule, law or moral situation, by not either paying the labour of some institution’s employee or not paying at all his/her labour, in violation of the labor laws of the nation, and it stays like that. If some none governmental leader, let’s say, the President of USA, does so, he/she is not punished but, if it is a private institution “who” does so, the institution is either confiscated by the gov via its tribunal, sold and all their workers get paid with the sale made. Lawyers make a lot of money out of this special situation, the owner of the business could be jail or something like that: pay for it. But the fed’s top one. As if he/she is above the Constitution of the USA. It had happened before, and it is happening now. Before, some fed leaders did that, but workers were pay any way and the holding of their payment were delay for truly brief time yet in violation of the laws in existence that applies to the Labour Department of USA. Here, only the Supreme Court, the Higher of Tribunals could intervene but, they are like the “Three Monkeys” do not see, hear, and speak to enact the application already in existence in the land of US.
In consequence, the nation, based on the explained above, lose of making some trillion of note value and therefore, the nation debt of USA will increase around a trillion note on top of what its debt is. For instance, if the national debt is 10 trillion notes of a value of one dollar each, the nation increases its debt to 11 trillion dollars, more than less.
Next elected gov of USA would have to confront an exceptionally large deficit in its national balance on trade be it national or international. Then the fed gov would have to borrow and borrow more and more to keep the gov solvent in business until it reaches a limit call INFLATION, and it is when the power of the nation of USA start to deflect by decreasing its presence of its militaries around the world, nearly closing dependencies like Welfare, many public institutions like public libraries which even most of them are State supported and controlled, the USA State would have less economical power to run those public libraries, and many would have to be close. And a lot of institutions that deal with the people health, police State department, the FBI, the CIA, the NSA and as lot of non-mentioned agencies that are the Colum or main vertebra that support the Nation State of the United States of America. That would result with much poverty in this socio-economic niche so call “Democracy” and could even affect the Carta Magna to change or else. Else means, to arrest anyone involved in this mess: violation of the Constitution of USA. Be it whoever be.
But the damage cannot erase. Just suffer the consequences and enact much more strict laws to avoid that to happen again. Then: lesson learnt: A WORST INFLATION THAN THE ONE IN 1933 THAT LEADED TO WAR WORLD 2 ‘CAUSE MOSTLY MANY NATIONS WENT INTO AN INFLATIONAL STATE OF WHICH ONE LEADER OF GERMANY USE TO INVADE MANY OTHERS TERRITORY. THERE ARE MANY NATIONS CONFRONTING EACH ONE TO THE OTHER ABOUT TO GO ON A FIGHT THAT INFLATION WOULD FORCE THEM TO USE NUCLEAR BOMBS AGAINST EACH ONE. A lost war.
The above is exactly what AI would prognose of the nearing economist chaos to come.
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