THE MONETARISTS AND THE EVOLVING CRISIS, subtitled WAKE UP, AMERICANS; WE ARE LOSING OUR GREAT NATION William H. James, Ph.D., Author www. buildusanow.com
A SOLUTION FOR THE NATIONAL DEBT PROBLEM. Some politicians and monetary “authorities” make the solution to the national debt problem seem very simple; that is, either raise taxes or reduce public spending. However, that advice is unrealistic for many reasons including the fact that neither remedy deals with the basic causes of the national debt problem which are these: in relation to current national and world realities, and under current national monetary and banking procedures, it is mathematically certain that societal and national debt problems will develop. Pertinent national and world realities will change very slowly. It is therefore obvious that for resolving the national debt problem first priority should be given to actions for a constructive reform of the nation’s monetary and banking procedures.
WHAT IS A BASIC PROBLEM? For an answer, follow this line of reasoning. Most or all money in the U.S. is created and issued on the basis of interest-bearing debts. This means, for example, that a new $100,000 mortgage puts $100,000 of new money into circulation but the repayment of that $100,000 to a bank over years, plus compound interest, takes much more than $100,000 out of circulation. In brief, more money is taken out of circulation than is put into circulation and the difference, in each case, is the interest cost. All debts in the nation are doing the same thing, there are millions of debts, a shortage of money throughout the nation is mathematically certain to develop, millions of personal and business failures occur, the national government increases the national debt in order to issue more money—“stimulus” money—to relieve the shortage of money in circulation, some big banks profit so much that they award bonuses to their top personnel, and the national debt now exceeds $16 trillion.
RESOLVING THE DEBT PROBLEM. If a person has an obesity problem he is often encouraged to modify his food diet. The nation has a debt problem, so I have long recommended that the nation should modify its debt diet. Basically, that is what I recommend in Chapter 17 of my book; that is, create a development facility—a new National Economic Development Bank (NEDB)—which creates debt-free, economically oriented, and asset-based money for funding a massive national infrastructure program for the construction and modernization of public capital assets throughout the nation. This program would not create new public debts, would help to decrease current national and state debts, vastly increase jobs, and would also undergird the construction and modernization of roads, bridges, flood control projects, water systems, sewer systems, hydroelectric power projects, public buildings, and much more. This program would resolve the national debt problem, neutralize the negative impact of the interest factor, reduce poverty, avoid austerity, and strengthen society. This program would be limited only by the availability of domestic and imported resources, the supply and skills of labor, management abilities, advances in the sciences and technologies, and the capabilities of our national leaders.
BE AWARE OF A LURKING THREAT FROM THE INTERNATIONALISTS, including those in the U.S., to act through multinational organizations such as the IMF to control nations, including the United States. In our current increasingly dangerous world, the U.S. should be a free, independent, and powerful nation in control of its own monetary and banking system.
(Please see my website www.buildusanow.com for more info about my book and for buying it as a paperback, ebook, Kindle or Nook from Outskirtspress.com, Barnesandnoble.com, or Amazon.com. Also, please post your comments and send this message to others. WHJ 10/20/12)