Neoliberalism
uses a deceptive narrative to declare that money the government spends into the economy in excesses of the taxes it collects creates a ‘government debt’.
In fact, the money the government spends into the economy in excess of the
taxes is an income, a benefit for the private sector. Whe
Neoliberalism uses a deceptive narrative to declare that money the government spends into the economy in excesses of the taxes it collects creates a ‘government debt’. In fact, the money the government spends into the economy in excess of the taxes is an income, a benefit for the private sector. When the government issues bonds, the money the private sector uses to buy them via banks comes from a residual cushion of dollars that the government already spent into the economy but has not yet taxed back.  If this were not the case, if the government had taxed back all the money it spent into the economy, then the economy could not function. There would be no dollars in the economy, since the government is the sole supplier of U.S. dollars! In the doted rectangle in the graph you can see that the dollars paid to the government for bonds sits in a dollar asset account. When the government issues bonds it simply provides the public and institutions with a desirable money substitute that pays interest i.e. Treasury bonds. It is a swap of one kind of financial asset for another. To register this swap the government debits the dollar asset account and credits the bond account.  When the time comes to redeem (take back) the bonds, all the government does is revers the swap, and that’s all!  When you look at the total amount of finacial assets in the private sector,  these remain constant at $ 25 BN  after the payment of $ 5 BN taxes. This implies that  no lending of financial assets of the private sector to the government has taken place during the swap operation. The money was always there. The debt mountain is an illusion!
Model-SIM-GD is model-SIM from chapter 3 of Wynn Godley and Marc Lavoie's  Monetary Economics,  but modified .  Simplest model with government money that is also stock-flow consistent, but with government debt (GD) added to the system.    Households consume out of both current income (wages + intere
Model-SIM-GD is model-SIM from chapter 3 of Wynn Godley and Marc Lavoie's Monetary Economics, but modified. Simplest model with government money that is also stock-flow consistent, but with government debt (GD) added to the system.

Households consume out of both current income (wages + interest income from government bonds) and prior stock of wealth. Model assumes households only own a portion of existing government debt (equity position of government sector), so interest payment flows on government debt are defined as only those going to the households sector, the remaining proportion is assumed to be owned by the government itself and interest is paid to itself (think of a consolidated government Treasury and Central Bank as CB remits interest income, minus operational expenses, back to Treasury). The production sector is a pass through of income back to households. The production sector does not save and does not invest (i.e., buy "capital" goods from itself). 

The model is stock-flow consistent as all sectoral expenditure flows are monitored to confirm balances balance as an accounting identity, as does equity. 
Very basic stock-flow diagram of simple interest with table and graph output in interest, bank account and savings development per year. Initial deposit, interest rate, yearly deposit and withdrawal, and initial balance bank account can all be modified.  I have developed a lesson plan in which stude
Very basic stock-flow diagram of simple interest with table and graph output in interest, bank account and savings development per year. Initial deposit, interest rate, yearly deposit and withdrawal, and initial balance bank account can all be modified. 
I have developed a lesson plan in which students work on both simple and compound interest across both IM and Excel. I also wrote an article about this. Both are in Dutch, which you can translate using for example Google Translate.
Controle de uma fazenda de leite, onde o número de vacas e a quantidade de leite produzido e o custo da produção interfere no lucro.
Controle de uma fazenda de leite, onde o número de vacas e a quantidade de leite produzido e o custo da produção interfere no lucro.
Τυπική ή προκαταβολική πληρωμή δανείου;
Τυπική ή προκαταβολική πληρωμή δανείου;
Model-SIM from chapter 3 of Wynn Godley and Marc Lavoie's  Monetary Economics.  Simplest model with government money that is also stock-flow consistent.
Model-SIM from chapter 3 of Wynn Godley and Marc Lavoie's Monetary Economics. Simplest model with government money that is also stock-flow consistent.
割合を表す数以外の単位は万円です。
割合を表す数以外の単位は万円です。
Problemas  de Ratios  de   custos  fixos  diversos  multiprodutos
Problemas  de Ratios  de   custos  fixos  diversos  multiprodutos
 Macquarie University | MGMT220: Fundamentals of Business Analytics |  Assignment Task #3: Complex Systems by Ying Chen (42151619)  This simple model uses the following key factors to demostrate the behaviour within the real estate market, bank's interest rates, median sale price, and listed sale pr
Macquarie University | MGMT220: Fundamentals of Business Analytics | Assignment Task #3: Complex Systems by Ying Chen (42151619)

This simple model uses the following key factors to demostrate the behaviour within the real estate market, bank's interest rates, median sale price, and listed sale price.

Sliders located below can be used to set values to simulate the affects over time.
We are modeling future cash flows in the system consisting of three interacting parties, one of which secures deals between the two others which do not trust each other.
We are modeling future cash flows in the system consisting of three interacting parties, one of which secures deals between the two others which do not trust each other.
Simulating Hyperinflation for 3650 days.  If private bond holdings are going down and the government is running a big deficit then the central bank has to monetize bonds equal to the deficit plus the decrease in private bond holdings.  We don't show the details of the central bank buying bonds here,
Simulating Hyperinflation for 3650 days.

If private bond holdings are going down and the government is running a big deficit then the central bank has to monetize bonds equal to the deficit plus the decrease in private bond holdings.  We don't show the details of the central bank buying bonds here, just the net results.

See blog at http://howfiatdies.blogspot.com for more on hyperinflation, including a hyperinflation FAQ.
This framework can be used to evaluate the sustainability of a country's debt profile. The dynamics generated are based on the interaction and feedback between a government agent, a rating agency and the financial market in a stock-flow consistent manner.
This framework can be used to evaluate the sustainability of a country's debt profile. The dynamics generated are based on the interaction and feedback between a government agent, a rating agency and the financial market in a stock-flow consistent manner.
A simple budget planning system.  What additional complexities can you add?
A simple budget planning system.  What additional complexities can you add?
Causal loop diagram illustrating a variety of feedback loops influencing the price of oil.
Causal loop diagram illustrating a variety of feedback loops influencing the price of oil.
WIP Summary of MIchael Hudson's  Book  Killing the Host: How Financial Parasites and Debt destroy the Global Economy 
WIP Summary of MIchael Hudson's Book Killing the Host: How Financial Parasites and Debt destroy the Global Economy 
Very basic stock-flow diagram of simple interest with table and graph output in interest, bank account and savings development per year. Initial deposit, interest rate, yearly deposit and withdrawal, and initial balance bank account can all be modified in Dutch.
Very basic stock-flow diagram of simple interest with table and graph output in interest, bank account and savings development per year. Initial deposit, interest rate, yearly deposit and withdrawal, and initial balance bank account can all be modified in Dutch.
A model explaining the relationships between: an in-house advisory firm, multi-tied advisers, customers, in-house product providers, in-house sales support and business development initiatives.
A model explaining the relationships between: an in-house advisory firm, multi-tied advisers, customers, in-house product providers, in-house sales support and business development initiatives.