Economic Miracle
At the end of 2024, global debt stood at $325 Trillion. That amount is 3.3 times the global GDP. In the USA, the federal government alone spent $1.1 Trillion on interest and debt servicing charges, an amount that taxpayers could not absorb, hence a deficit increas leading to even more interest. An economic implosion and severe recession is now unavoidable by conventional means. Correcting the hyperinflation of asset prices will melt stock values and cause massive debt defaults and bank failures. Bail-INs will protect large preferred investment brokers and enable them to seize all of the real underlying capital assets involved in foreclosures while regular ma and pa investors lose their life savings and retirement funds. Many believe when the debt bubble bursts, the economic carnage will be far worse than the 1929 depression. This collapse will help usher in the globalist takeover of the entire planet and the technocratic dictatorship that follows. “You will own nothing and be happy” (or else).
8 Steps to Save the Economy from Destruction
1) convert all outstanding debt into cash and return it to lenders
All of the debt in existence today has already been spent into the marketplace. Converting all existing debt into cash would not add any new money, it would merely convert loan assets into cash assets. All investors would have their funds returned to them. No one would lose any property.
2) abolish all fractional reserve lending and the charging of interest
Originally money and credit creation was the sole and sovereign right of government. Private banks and corporations were prohibited from leveraging loans and creating credit out of thin air. Only government treasuries could create the new money necessary to provide public services. If governments borrowed from their own central banks any interest on the loans returned to them as revenue. Government-owned central banks financed the building of nations affordably and without interest costs or taxes to the public .
Money merely represents the value of existing assets. It is a token that enables them to be traded. As long as an asset continues to exist so must the money that represents it. When new assets are created, new money must also be created to represent them. Today this new money is always created as debt. Governments transferred their most important public right to privately-owned central banks and allowed them to charge interest. Now every time new assets need to be created (think housing) new debt and interest costs are involved. Our ability to create new assets and prosper is strictly controlled by the interest costs that we can afford.
3) lenders switch their revenue model from interest-based to fee-based
Banks and lending institutions would need to convert their revenue model from interest-based to fee-based. New fees and services could be implemented to replace the loss of interest revenues. More services driven by customer choice would replace usury and monetary extortion. Banks could actually be phased out all together by the use of public credit.
4) interest-free public credit replaces private lending and implements transactional accounting and record keeping
A totally transparent online public accounting program would be used to record all financial transactions in the economy. Public accountants would manage the program. A bank-less system would be possible. Neither governments, banks or private corporations would be allowed to create new money. Only individual citizens who perform socially productive labour that benefits others and is verified by recipients would have the power to create new credits. Saved credits would be extinguished as they are spent on consumption.
5) business investment capital provided through interest-free public credit
People wishing to initiate new productive ventures need only establish the viability of their business plan with a qualified public accountant. Once approved they would be provided with a business registration number and a public account to record all of their financial transactions. All business costs would be recorded in the online accounting program but outstanding balances would not have to be paid until the business was fully operational. This system would be similar to a business line-of-credit today except that there would be no interest costs incurred. The public accountant assigned to the account when it was first approved would monitor the business performance. If after a reasonable amount of time the business was not as successful as predicted in the business plan, the accountant and the business owner would review the business plan and make adjustments. If the underperformance continued the business account would be closed.
6) match credit repayment schedules with actual asset depreciation rates
As stated earlier, as long as an asset continues to exist so must the money (credit) that represents it. There is absolutely no need to repay the current credit value of an asset. Credit repayment amounts should match actual depreciation costs. Only the portion of an asset that is consumed needs to be paid for. Under this system, superior assets that are built to last a long time will actually cost less to use than cheaply built disposable products. Eliminating planned obsolescence and increasing serviceability will also help the environment and preserve natural resources.
7) abolish all charging of profit, set prices equal to costs
Probably the biggest cause of economic instability and inflation is that real costs are publicly unknown. Consumers have no way of telling how much profit has been added to prices as goods and services move along a chain of production. Input costs are always hidden to protect the business’s competitive advantage. Profits compound along a production chain as one business’s profit becomes part of the next business’s input costs. Profit is then again added as a percentage of total input costs. It has been estimated that the accumulation of embedded profits comprise between 50% and 80% of prices. A good first step would be to require all price tags to show the true cost, net of all chain profits, to the consumer.
Certainly entrepreneurs who deliver a public benefit by bringing an original new idea to the marketplace deserve an additional reward for their creativity and initiative, but it should be calculated as a higher earning rate with extra paid-time-off. If regular workers receive an additional 25% of their total hours worked as paid rest, then an entrepreneur deserves perhaps an additional 100% of their worked hours as paid rest. This incentive would be calculated and recorded under labour hours, not a hidden profit.
8) abolish all government created money, eliminate all financial middlemen
Time-based money created directly by workers as a receipt for socially-productive labour would eliminate the need for debt-based government money and private corporate credit. Workers would no longer have to rent their energies out to “earn a living”, as if they had no right to be alive without working. A public credit accounting system would eliminate all of the financial middlemen who exploit almost every financial transaction we make.
