Sharoma Hubris

Hubris

Gentlemen! We are at the dawn of a new Golden Age. A son of Germanicus has come before us! Let us put ourselves in his hands. Let the Senate vote him supreme power, and let us cry: Rome is saved! Hail Caesar!

You Remind Me Of Gold

This is the Golden Rule: He who has the gold, makes the rules.

As a way of preventing imminent revolution, the current left-right paradigm, for want of a better term for our current masters, may wish to satisfy those of a conspiracy theory bent by returning to us a Gold-backed currency. Believe me, this is another bad idea. It has been tried before, and since gold is merely a commodity (and the most intrinsically valuable one at that), it will only lead to a further scarcity in the money supply. Such enforced scarcity is the root of all social problems. Water and food are scarce across many swathes of humanity, and why? Because they are classified within the monetary system as worthwhile commodities. Before I continue:

Let me express my dream for the world: a system based purely on egalitarian distribution of all resources, full mechanisation of labour, and a complete lack of any monetary system or other abstract exchange mechanism. Since this is unlikely to occur within my own lifetime, the next best system is one of government-backed paper money, in the style of Colonial Scrip, this being the primary reason for the Revolution of 1776. If we are not permitted to access the wealth of our own planet and people, then we should at least be able to issue our own money to allow transactions and the creation, and retention, of the people's wealth.

Whilst I talk of economics, money supply and banks, this does not mean I countenance them as a final solution of the evolution of human society. No, they are stopgaps, between the ages of natural scarcity, enforced scarcity, and eventually, no scarcity. To talk of "economics" in the context of GDP and money supply, consumer demand and spending, is to confuse the actual definition of the word with the figurative nonsense ascribed to it since the age of Adam Smith.

I do not desire gold. I desire only physical and spiritual wellbeing; a stable and healthy external environment, clean water, natural foods, local production of all necessities, warmth, shelter, freedom of expression and most of all, enduring and loving human relationships. You can keep your money and your notions of wealth, but do not assume to take with them all I need to survive and prosper. That is the real theft occurring in this world. Taking from the people their wealth, their resources and attempting to sell it back, using money, the value of which is determined privately and externally.

Most monetary wealth is held in offshore banks. The average US citizenry have been bankrupt, along with their State and Federal counterparts, for a number of years now. Only a continued, and reckless, expansion of the derivatives bubble is keeping the system afloat. There is no need for a 'Gold Standard'. "Money", or legal currency, is only acceptable providing everyone agrees it is. Agreement, and unity of vision, is all that is needed to allow the issue and successful distribution of currency. The idea being put forward, even by otherwise completely credible economists, from across the political spectrum, that we must somehow be able to redeem the value of our currency in gold, or silver, or something else tangible, is to submit once more to the control of a substance being placed in the hands of the few. If the price of gold can also determine the value of the currency, then the current model of currency manipulation is still possible. Our economic masters already control the supply of all gold and precious metals. What makes you think that a currency determined in the value of gold is any better than a currency determined by the value of a few numbers on a computer? I guarantee you would still not see any of the gold.

It's just transactions!

We need a new way of looking at economics; a new system of reporting so-called growth and prosperity. Any nation today creates wealth and consumes wealth. We compare them relative to each other, then divide the amount of wealth by the population, or per capita. Capita represents one human head. So, you are left with a dollar figure. Spread across the nation. How is that measure of wealth recorded? Only by transactions. Every transaction is recorded. Economic theory is dependant wholly on the false science of economics, because people worship the numbers and the verifiable data. Yet, the numbers are based on flawed models and systems, and because our problems of unemployment, inflation, poverty gap, and all the rest of it, keep recurring, we must examine in more depth how a nation can and should control, define and distribute its money supply. Now, ideally, we would not even have a money supply, but I imagine such a world to be far in the future. The current population fears change, and such a drastic change as replacing worthless money with no money would likely confuse their entire value system. Incentive and profit motive are instilled in the blood of the west, and until the reactionary generations disappear, we are stuck with swapping pieces of paper and skipping the rope of slavery.

Paper & Promises

Money is something everyone can agree on. Pure and simple. It can be a piece of paper, a wooden stick or a piece of gold. Naturally, gold seems more desirable, because it is malleable and shiny. But for all intents and purposes, people would always accept paper. How do we know this? The US population's insistence on retaining dollar bills, and the still ubiquitous nature of paper money in everyday society.

Of course, if everyone is quite happy to use just paper money, issued only with the assertion that it is genuine and acceptable, then the banks are always going to be left with a pile of gold, or other material, and paper wealth. Fractional Reserve Banking is the basis behind every single central banking system on the planet. It makes legal the practice of a bank only having to hold 10% of their loans in reserve. If you and I loaned out nine times our wealth, and then charged other people interest on wealth we had created out of thin air, simply by noticing the general population's ability and desire to save, then we would quite rightly be charged with fraud. However, the banks operate on this principle. It should be illegal. A bank should only be allowed to loan out what they have in reserve, and there should be full disclosure of where this money came from and where it is going. If we must have banks, and if we must continue to deny that they are an abscess on the human society, then they must be publically owned and controlled, without exception. The supply of money should only be altered based on demand: if there is more demand, then it should be increased. If there isn't then it should be decreased. Not based on the whims of the unelected Federal Reserve board, but based on economic reality. There exists demand in the economy right now: demand for goods and services, yet the money isn't there. It is floating in the offshore accounts of some thief or other.

But back to measuring wealth. Today, all decisions are made with regard to the GDP figure. Politicians are concerned only with their own short term survival, and they use quarterly economic statistics to determine if they are doing a decent job or not. The trouble is, GDP is only a measurement of the number of transactions, and therefore unrelated to the general wealth and wellbeing of the population. If there are more sick people, and they buy more drugs and medical treatments, then GDP increases. If there are more crimes, and more police overtime hours logged, and more prisons built, and more prisoners fed, and more outside contractors hired to feed them, then GDP increases. GDP doesn't measure wealth. It measures the whole corrupt mess we find ourselves in today, and it is used to determine the value of a nation and dictate every single decision. For without the incentive of profit, none of our capitalist masters would rise from their beds. And there is profit in every transaction. That's why you are taxed every single time: you are taxed when you are paid, you are taxed to store this money in the bank, you are taxed when you spend it, and you are taxed when you save it.

In 2010, ExxonMobil, the wealthiest corporation in the world by certain measures, paid precisely zero percent Federal income tax. How much did you pay? Why must the poor subsidize the rich? You are a slave. You need to wake up and take back what is yours. Are you not human? Are the people around you not your brothers? Is this planet not yours too? Why do you accept this? Why?

You see, wealth is not the number of transactions divided by the population. Understand that most economic statistics focus on GDP, and certainly all also factor in unemployment and a whole host of other statistics, such as consumer spending by age, race, marital status, etc. They are all rooted in the measure of transactions. So the value of 'wealth' is the sum of the transactions. The transactions, though, are actually a subset of the wealth. Money was not designed to, and is inherently unable to, conceptualize any other notion than as a reserve, convenient commodity. If it can be literally created out of thin air, then everything we think we know about a nation's wealth and status is, quite simply, complete nonsense. Yes, we think we can just conjure wealth up, providing there are people to eat, work and sustain a stable, healthy environment (Demand), yet money does not transmit anything accept its own value as a commodity. Think about it: in any monetary exchange you have in person, is the concept of value defined by the quality of the products, the experience of the transaction and the physical environment, or simply the monetary exchange that took place?

Money does not value the wealth, it is merely a reflection of it. Thus, the more transactions, the more money is needed to supply the system. The up and down cycle in the number of transactions is another arena. Again, whether or not the recessions and depressions are planned or random is another argument, whereas I just want to talk about how to create our own money system without gold, which is of course what we shall have to do once a gold standard currency is returned to us, and we are in abject poverty once more.

Take it back

Do you want to be a slave forever? Do you want to swap paper promises for gold and silver coin? Do you want the measure of your personal wealth to be measured externally? If your currency is backed with gold, silver or what some fat cat decides, then you are still a slave. If your government has power to issue coin, then they decide; that's all very well, providing you trust your government, and are assured they are not lobbied incessantly by third party interests. A gold-backed currency is still a currency valued by external measures, and who controls all the gold? Yes, the same people. A commodity can be controlled and held in scarcity, so the money supply will still expand and contract based on the whims of those atop the pyramid. Lincoln's greenbacks were issued in response to this external control of the money supply. Retraction of the money supply is simply the method by which the so-called masters consolidate the wealth in their offshore accounts. Think about it. Who takes your house when you cannot afford the loan repayments? Who issued the loan? Who didn't even have the money themselves when you promised to pay them interest for 30 years? They will not stop until they privately own every single house, plot of land, farm, warehouse, resource, everything - they will not stop! But they may appear to concede power to pacify the population. If they return to us a gold-backed currency, then I guarantee the money supply will remain low: empty factories will continue to sit idle, as millions remain unemployed. What's missing in the equation? Where did the trillions of dollars of stimulus money go (backed and guaranteed by the tax revenue of our children)?

Gentlemen, I have had men watching you for a long time and I am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter, I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves!

Wake Up!

Just think about it. Millions of unemployed, skilled, workers, and countless empty and abandoned factories. Why is the west suffering? Why are the factories empty and the workers unemployed? Where is the money? Capitalism does not encourage the deployment of capital. In fact, at the moment, people are holding on to what little capital they have left, and the banks are not investing it where it is needed, and where the suffering is greatest. There still remains worldwide demand for vehicles, tractors, mining equipment, etc - bypassing of the Federal Reserve notes could get the US working again; once again, this is where the greenback becomes relevant. The Federal Reserve exists to prevent the US Government, and therefore people, from issuing their own currency, free of the debt and interest of a Federal Reserve note. These are dire times. Once the current workforce is unemployed for a significant length of time, or dies off, then their skills die with them. You will never see large manufacturing again in the United States unless measures are taken very soon. Of course, total mechanisation is coming, but since the population is conditioned to labour, then they are stuck with a feeling of worthlessness and unfulfilled servitude.

Commodity prices are up. Australia is boosting its export revenues by simply exporting raw materials via its still-intact primary industry. The UK could be cashing in on this by exporting its coal reserves to the emerging economies, yet the mines were shut down and the expertise of the miners lost many years ago now. The capital needed to restart this industry is lacking. This just one example; thank Thatcher and her cronies for this lost opportunity to claw back some wealth in desperate times.[*]

[*] This is said with a degree of sarcasm, since I do not at all condone the strip-mining of this planet.