The stimulus packages around the world are starting to run out. The IMF is now putting pressure on the worlds economies to reduce their debts and deficits. The only way they can attempt to do this is by taxing their people more or by spending less on government services. This of course will reduce the money supply and undermine any good the stimulus packages did in the first place.
In Europe, countries worst affected by the global recession are starting to go bankrupt. One by one they are starting to fall. Financial aid from the European Union and even the Monetary Fund is holding these countries from bankruptcy. Europe as a whole is now weakened even more by these individual nations. The dominoes are starting to tumble. America on the other hand is continuing to borrow more money to buy it's way out of the recession. They have no hope in paying this money back. It's only a matter of time before the obvious will happen, you can't keep borrowing money for ever.
The rest of the world is not much better. We are at the mercy of the banks. The world will continue to go bankrupt if the international bank's let it happen. One world currency is not far away. The world badly needs Social Credit, It is our only hope.
What has changed since the last post?
Governments around the world have set up economic stimulus packages to help keep their economies going. While it is true that it has prevented the world economy from going into a depression it must be considered a temporary solution only. Why! These stimulus packages have come at a great cost.
This money has been borrowed and must be repaid back. The citizens of each country will have to face higher taxes to maintain the extra costs from these new stimulus loans. When this happens the money supply will reduce significtly (The money supply increased by these stimulus packages will run out unless further stimulus packages are received. Obviously we cannot keep going down this track.
What ever monetary reform we go for, we must not use fiat money ever again. Does that mean we must go back to using some precious metal or other like gold as a standard instead? I think not. When money is created it should only be created by our governments. This money should only be created on the basis of real wealth not debt. A country should only create debt free money on the basis of its real physical wealth such as oil, minerals and land and its ability to create new physical wealth in areas such as farming, building and industry.
If we do not go down this road we will always have problems. Every country in the world trades for goods of some sort whether it is a commodity or a finished good. We do not trade money for money. The ability of each nation to create any amount of money from nothing makes a farce of this. It is the exact reason why the gold standard was used in the first place to control the amount created to avoid hyper inflation and to put a value on money. Of course we need to remove the international banks right to fraudulently create money from nothing and create spiral debt.
Of all the reforms I have seen put forward for monetary reform, only one covers what I have written so far. It’s called Social Credit It covers all the above and more. Using social credit the supply of money is kept in check and in line with production of goods and services. An Independent National Credit Office would have the job of ensuring the nation’s money supply is correct by issuing or withdrawing money as necessary in accordance with the country’s production capacity and demand. The banks will no longer have control of the purse strings of government. The government can also expand the money supply when needed by a National Dividend to the population. It is very much like the stimulus packages used lately to stimulate economies but this is issued without any debt. A national dividend would also have an important job to compensate those affected by new production methods.