Senator Kaine Is A Great Pick for Clinton’s VP


Those of your following my campaign know I think Secretary Clinton is unfit on many dimensions to become President. Voting for her is as dangerous as voting for Trump. It’s just a different sort of danger. Voting for Clinton is voting to get absolutely nothing correctly fixed for the next four to eight years.

This is in large part a statement about Secretary Clinton’s failure to formulate the policies that are essential to properly fix our renegade banking system, our insanely dysfunctional tax system, our totally insolvent and incomprehensible Social Security system, our healthcare system that, in its own convoluted way, seeks to provide everyone a basic policy, but operates with incredible waste at maximum expense, leaving our children facing astronomical taxes, an energy policy that is accelerating, not mitigating climate change, an educational policy that retains separate and unequal, and to address the threat from two foreign enemies — North Korea and Iran — who will shortly be able to drop a nuclear bomb in a theatre (or anywhere else) near you.

In addition, Clinton is at total war with the Republicans. She will face implacable opposition from Republicans staring day 1. Hence, even if she knew what to do, which she most certainly does not, she could not make it happen. I don’t blame her relationship with Republicans solely on her. I think Republicans share the greatest blame for their incessant, extreme, and irresponsible diatribes against first President Clinton, President Obama, and now Hillary. But that’s the situation. She will be a lame duck the minute she takes office.

All this said, Tim Kaine is as good a choice for VP as Clinton could have made. If you go to www.theinformact.org, you’ll see that Democratic Senator Kaine co-sponsored The Inform Act with Republican Senator Thune. The Inform Act requires the Congressional Budget Office, the Office of Management and Budget, and the General Accountability Agency to do proper fiscal accounting, namely infinite horizon fiscal gap accounting.

The import of this bill, were it passed, is that all government obligations would be put on the books. Right now, only 10 percent of our actual IOUs are so recorded. This is why when Clinton or Trump start talking about our fiscal condition, they are speaking about the trees, not the forest.

The use of traditional deficit accounting upon which Clinton and Trump and their advisors rely represents a form of financial and fiscal malfeasance that goes miles beyond anything Charles Ponzi, the Enron Corporation, or Bernie Madoff could have conjured.

Tim Kaine understands exactly the depth of our fiscal problem — the fact that our infinite horizon present value fiscal gap is $200 trillion large and growing by roughly $5 trillion per year.  He also understands that we can’t continue with business as usual. I am very proud to tell you that I was the primary impetus, along with a millennials group, named Kick the Can, for initiating The Inform Act. I encouraged Kick the Can to recruit members of Congress to introduce the bill and I drafted much of the bill language. I also joined Senators Thune and Kaine in a press conference announcing the introduction of the bill. I’m also very proud of the over 1,300 economists, including 17 Nobel Laureates in Economics, who, at my urging, publicly endorse The Inform Act. You can see all the endorsements at www.theinformact.org. You can also add your own endorsement to the website.

Unfortunately, to date, only a handful of Senators and members of the House have endorsed The Inform Act. No surprise. Both parties are and have long been fully engaged in disguising our nation’s true fiscal condition. Were they to do otherwise, they would be forced to admit they’ve have spent the postwar engaging in massive fiscal child abuse.

Today the situation is far worse not simply because the infinite-horizon fiscal gap — our government’s credit card bill — is colossal and growing at leaps and bounds, but also because the Congressional Budget Office is censoring the long-term projections needed to continue to calculate the fiscal gap. I’m publicly calling on Keith Hall, the new CBO Director, to release the CBO’s 2016 Alternative Fiscal Scenario forecast, which is essential to that end. Keith Hall’s failure, to date, to do so is an act of perfidy. And if he wishes to learn exactly what the economics profession thinks about his decision to sell out our children, he can start by calling the 17 Nobel Laureates who have publicly demanded that the CBO do infinite-horizon fiscal gap accounting.

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