What’s wrong with money? ... Too much!
Too much to limit global warming to 1.5° ... even 2° Celsius
| Henry Ford believed, that if people understood our banking and monetary system, 'there would be a revolution before tomorrow morning'. Unfortunately, Henry Ford did not tell us what people needed to know for that revolution to occur. It was probably ... that he and his customers had to pay interest when they borrowed money ... which made the cars he was selling ... more expensive for his customers ... that upset him. ... But what must have really made him angry ... and should also make Elon Musk angry ... because he is in a very similar situation today with Tesla ... and what people - apparently - still don't understand ... is the fact ... that moneylenders keep money ... unnecessarily ... scarce ... for only one reason ... and that is to 'earn' ... that interest ... to 'earn' in fact ... unjustifiable ... |
incomes without work. |
Definition: Income without work is getting paid for someone else doing the work. (Otherwise you wouldn't get paid.) |
Every income without work ... means ... less or no ... income for those who do the work. |
The only 'work' moneylenders do, is working out how to 'earn' an income without work.* |
They even pay others to do it for them! |
Incomes without work can be 'earned' only by a ... very, very few ... but mean more expensive goods and services ... lower living standards ... and even poverty ... for everyone else. ... It has in the past ... led ... and continues ... to lead ... to a shocking: |
Global Wealth Inequality |
The REAL problem is that moneylenders have overlooked and are (knowingly?) continuing to overlook ... and what Henry Ford was, obviously, not aware of ... or he would, probably, have ... gone public ... called out the scam ... and refused to pay interest ... is the fact that |
it is impossible to pay interest on money. |
Why?
Let’s start with a basic principle of logic. ... Think of a table and a chair. ... Just because you can sit on the table ... DOES NOT MAKE THE TABLE A CHAIR ... the two are, obviously, not the same.
And that logic questions the practice of charging interest on money, when practically all money in circulation is circulating as the principle of loans. ... In fact, it turns out that banks are the world's biggest money laundries ... when they accept the principle of loans as interest for those loans.
Just because you can ‘pay’ interest with the principle of someone's loan, does not make it interest ... especially since the principle of loans does not generate additional principle ... money does not ‘grow’ ... to the contrary.
And because you are tricked into believing that you are paying interest on your loan, all you are, unfortunately, doing is paying the principle of someone’s loan YOU have earned ... and which (when you spend it) is 'lubricating' the economy ... to someone who has not earned it ... to someone for whom it is an income without work.
If it is impossible to pay interest on money, the obvious implication is, of course, that our best chance to limit global warming to 1.5° Celsius ... is to stop paying that 'interest'. ... But that is not the only reason ...
When banks accept ...The worst aspect ...
... of this reverse Ponzi scheme is that any interest charged on loans has never, can never and will never be paid and the total amount of un-payable interest ever charged ... is growing with every additional money loan ... and has now accumulated to an estimated 250 to 300 trillion US dollars global debt* ... three to four years of global GDP ... a debt of about 30 to 40 thousand US dollars for EVERY man, woman and child in the world ... including those who live on a dollar or two a day ... all expected to provide the incomes without work ... to more and more moneylenders and investors ... in a global super slavery scheme ... that is bound to collapse sooner or later with huge losses ... for those who are owed money ... as more and more people invest money in 'income without work' schemes that are not viable ... and which make life harder and poverty worse for those ... who pay more ‘income without work’ ... than the ‘income without work’ they earn ... which is, obviously, the majority.
* ... which means that most of the global debt is basically, worthless laundered money ... backed by nothing of value ... not even by equally basically, worthless spopops.
The problem is made ...
... even worse, because when suppliers of goods and services are charged interest, they include the interest charged in their prices. And the effect of that is that all who buy their goods and services ... even if they have no debt ... end up ‘paying’ the interest in those prices ... and provide an income without work for someone ... which makes EVERYONE ... who cannot pass on the interest paid ... a victim of the global, super slavery scheme.
ecoEconomics’ definition ...
... of slavery is, therefore, 'income without work' or 'income from investing money' ... but the definitions of slavery ought to be ... 'income without work' is slavery ... because in an economic system that aims to maximize incomes without work (instead of incomes from work and service), slavery is the logical and natural consequence. ... It is simply impossible that all of us can make a living without work ... most end up in some form of slavery ... if we allow incomes without work.
And then there is 'fractional reserve banking' ...
... a very smart, but callous scam ... that has been adopted by banks all over the world ... to maximize their profit and income without work ... by lending deposits ... up to ten and more times ... to earn more interest ... i.e. ... more income without work.
In other words, banks are diluting the money supply with 'money' they don't have.
Here is how it's done:
| Fractional reserve banking example | |||||
| Deposits of debt money | 10% to cover withdrawals | Debts are new deposits | |||
| Dep | Sum | Kept | Sum | Debt | Sum |
| 100 | 100 | 10 | 10 | 90 | 90 |
| 90 | 190 | 9 | 19 | 81 | 171 |
| 81 | 271 | 8 | 27 | 73 | 244 |
| 73 | 344 | 7 | 34 | 66 | 310 |
| 66 | 410 | 7 | 41 | 59 | 369 |
| 59 | 469 | 6 | 47 | 53 | 422 |
| 53 | 522 | 5 | 52 | 48 | 470 |
| 48 | 570 | 5 | 57 | 43 | 513 |
| 43 | 613 | 4 | 61 | 39 | 551 |
| 39 | 651 | 4 | 65 | 35 | 586 |
| 35 | 686 | 3 | 69 | 31 | 618 |
| 31 | 718 | 3 | 72 | 28 | 646 |
| 28 | 746 | 3 | 75 | 25 | 671 |
| 25 | 771 | 3 | 77 | 23 | 694 |
| 23 | 794 | 2 | 79 | 21 | 715 |
| 21 | 815 | 2 | 81 | 19 | 733 |
| 19 | 833 | 2 | 83 | 17 | 750 |
| 17 | 850 | 2 | 85 | 15 | 765 |
| 15 | 865 | 2 | 86 | 14 | 778 |
| 14 | 878 | 1 | 88 | 12 | 791 |
| 12 | 891 | 1 | 89 | 11 | 802 |
| 11 | 902 | 1 | 90 | 10 | 811 |
| 10 | 911 | 1 | 91 | 9 | 820 |
| 9 | 920 | 1 | 92 | 8 | 828 |
| 8 | 928 | 1 | 93 | 7 | 835 |
| 7 | 935 | 1 | 94 | 6 | 842 |
| 6 | 942 | 1 | 94 | 6 | 848 |
| 6 | 948 | 1 | 95 | 5 | 853 |
| 5 | 953 | 1 | 95 | 5 | 858 |
After 29 iterations, the last row clearly shows the result and problem of fractional reserve banking ... especially in the event of a run on banks.
In this example ... as a result of a 100 units (insert your currency) deposit ... banks have 953 units of debt ... but only 95 units (or about 10% of that debt) in reserve to cover withdrawals ... ... plus ... of course ... 858 units of outstanding loans. ... Obviously, if withdrawals were to exceed the reserve of 95 units, a bank or the whole banking system would be ... insolvent ... and, in this example, depositors would lose up to 90% of their deposits.
The problem is that ...
... this scam ... that is ... 'fractional reserve banking' ... the dilution of the money supply ... leads to inflation ... and often to several ... for moneylenders ... very convenient ... interest rate increases ... to stop the inflation ... which, of course, profits this scam. ... In fact, this scam ... is another ... this time ... very devious version of a ... Ponzi scheme: ... Increase fractional lending ... to increase inflation ... to increase interest rates ... to increase interest charged on fractional lending ... to increase incomes without work ... for moneylenders ... which, since it is impossible to pay interest on money, ... has also resulted in the huge global debt ... nobody is ever going to repay ... least of all the banks ... which are responsible for it.
What is one solution?
Governments, especially government that legally require the business community (including the banking industry) to maximize profits ... for incomes-without-work-dividends ... must, as a first step, make it illegal ... and impossible and unnecessary ... to pay ... incomes without work ... obviously ... or ... just mandate that companies buy back their shares. ... The collateral benefit of both solutions would be to stop the business community’s huge CO2 emissions ... associated with both slavery and incomes without work ... and ... lower prices for everyone.
Alas, even a government mandate will not change the fact that the global business community cannot afford to buy back its shares ... or it would have happened by now ... after all, it makes good business sense ... not only to buy back its shares ... but also to reduce its huge CO2 emissions. ... Governments should, therefore ... above all ... require the banks to facilitate the share buybacks of the business community ... especially in view of the United Nation's 'Red Alert' on climate change ... see UN Secretary-General António Guterres' message ... with added emphasis and comment ... if you are in a hurry.
But ... but ...
governments are NOT going to require the banks to facilitate the share buybacks of the business community, because it would destroy the global banking service's business model ... and, to make things worse, we are running out of time to rely on governments anyway.
In fact, every government response to the increasing threat of dangerous, catastrophic and irreversible climate change is wrong and wasted ... if it does not fix our global banking and monetary system.
If companies DO NOT start to buy back their shares immediately it will, almost certainly, make it impossible to reduce global CO2 emissions to 'Net Zero' by 2050 ... the target more and more businesses are committing to ... and that may mean the end of civilization as we know it ... because 'Net Zero Emissions' by 2050 will not avoid an unacceptable level of climate change.
ecoEconomics will, therefore, facilitate immediate, profitable share buybacks ... for company shareholders and company employees, but also for climate change activists ... who support limiting global warming to 1.5° Celsius. ... See 'Earn REAL Carbon Credits (RCC) ... for leaving fossil fuels in the ground' under 'Strategies to implement the solution'.
But just when you thought ...
... it couldn’t get worse, there is another huge problem lurking in the future as a result of incomes without work and un-payable interest.
ONLY about 10% of the global debt is backed by REAL money in circulation. ... In other words, creditors can never withdraw all the money owed to them ... unless more worthless money is printed and put into circulation ... causing more inflation and devaluing the money already in circulation even more ... and shareholders can never cash in the real value of their share holdings ... especially not with devalued money. ... Surely reason enough for SHAREHOLDERS to take advantage of ecoEconomics’ facilitated company share buybacks ... and to invest the payback in the transition to the renewable energy industry with its many more opportunities.
Unfortunately ...
... because it is possible, attractive and challenging to earn incomes without work ... we are already facing humanity’s biggest and really most serious problem and challenge.
In view of already noticeable climate change, there is, right now, far too little money being invested to avoid ... dangerous ... catastrophic and ... irreversible ... climate change.
Why?
Because it does not provide incomes without work for investors.
Obviously, compensating the fossil fuel industry for its shutdown and any stranded assets cannot be financially profitable ... and any incomes without work would just add to the cost of mitigating climate change. In other words to earn incomes without work from a crisis like climate change is immoral ... and if we cannot pay for ... possibly the only guarantee we still have NOT to exceed 1.5° C ... and compensate the fossil fuel industry for its earliest possible shutdown and any stranded assets ... then there is, not only, something seriously wrong with money, but also with our banking and monetary system ... especially now that it has been shown that it is also impossible to pay interest on money ... and a revolution like Henry Ford had in mind is ... long overdue.
However ...
... let's try and support ecoEconomics' alternative solutions, to what Henry Ford ... probably ... had in mind ... first ... especially since he didn't have to worry about the effect of what he had in mind ... on the global climate ... but also because governments ... according to the first of seven social sins ... are part of the problem and face several challenging conflicts of interest ... if they don't or can't resolve them first.
Seven social sins: politics without principles, wealth without work, pleasure without conscience, knowledge without character, commerce without morality, science without humanity, and worship without sacrifice. - Mahatma Gandhi
Rousseau argued, on similar grounds, that no citizen should “be wealthy enough to buy another, and none poor enough to be forced to sell himself” or herself.
Mahatma Gandhi's social sin of 'politics without principle' ... and Rousseau's argument ... present many governments with very difficult problems ... and questions of principle ... when they have to decide ... how to respond to the problems in the banking and monetary system ... especially the question of whether charging and paying interest is a crime ... and how to secure future funding ... when it is impossible to borrow and pay 'interest' on borrowed money ... and ... what to do about the current government debt.
But the answer to those problems and ... questions of principle ... is very easy and simple: ... All governments have to do is open their 'REAL Carbon Credits' account and offer government creditors to repay any remaining principle of the government debt ... with REAL Carbon Credits ... if they don't accept that offer ... remind them of Mahatma Gandhi's fifth social sin ... 'Commerce without morality'.
In fact, if governments open a 'REAL Carbon Credits' account ... ecoEconomics will take over all government 'interest' bearing debts ... to immediately leave more fossil fuel in the ground ... and to limit global warming ... see: 'But that is not all' ... in ... 'Convert fossil fuels to REAL Carbon Credits'.**
Mahatma Gandhi's social sin of 'politics without principle' ... and Rousseau's argument ... present many governments with another huge problem ... because most of the social security they provide ... is an income without work for its beneficiaries ... which is not paid out of any government profits ... but out of taxes. ... Taxpayers will and should, therefore, object and refuse to fund social security 'income-without-work' payments ... and governments ... standing for 'politics with principles ... ought to ensure that current social security recipients can, in future, look after their wellbeing themselves ... which is, of course, possible with a 'REAL Carbon Credits' account ... with the added benefit of reducing government's CO2 emissions ... see again: 'Convert fossil fuels to REAL Carbon Credits'.**
Comment:
If you don't have a job, if you rely on social security, if you live from payday to payday, if you pay interest, if you are afraid to quit your job ... you have sold yourself ... you are no longer free. ... But what are you going to do about it?
Tip: Start earning 'REAL Carbon Credits'.**
Apart from that ... governments should just govern ... because politicians are not good at managing economies.
Finally:
If you agree that it is impossible to pay interest on money ... stop paying 'interest' ... with something that is NOT interest ... stop paying back your loans when you have repaid the principle of your loans ... or ... offer your moneylenders to repay any remaining principle of your loans ... with REAL Carbon Credits ... as part of ecoEconomics' ... zero ... no interest ... global ... debt conversion ... to immediately reduce ... your and your moneylenders ... global CO2 emissions ... and if they don't accept your offer ... remind them of Mahatma Gandhi's fifth social sin ... 'Commerce without morality'. ... The same response is also due from the business community and all levels of government.
See also:
* Let's put it this way ... compared to the work you do to pay 'interest', does someone for whom interest is an income without work, do any comparable work that is really serving and benefiting you ... justifying you paying any interest at all? ... Moneylenders ought to, for a change, do some work that actually benefits the community.
** Strategies to implement the solution ... and ...
... demand to pay for everything ... in future ... with what can be defined as ... REAL money.