Think about, if you happen to can, a non-public sector oriented, free market economic system which is designed to systematically assure that each American citizen, no matter race, ethnicity, gender, or sexual orientation, has ENOUGH PREDICTABLE INCOME to pay for respectable meals, shelter, clothes, schooling, primary transportation, and sure, well being care. In different phrases, think about, if you happen to can, a free market financial system that’s particularly designed to supply…
• No homelessness
• No folks dwelling in cockroach and rat-infested slums or ghettos
• No single mothers having to decide on between elevating their youngsters and feeding them
• No wage slaves engaged on company plantations for exploitative company dictators
• No previous people consuming pet food in an effort to pay for his or her meds
• No systematically induced anxiousness and stress as a consequence of monetary instability
• No militarized cops attempting to manage offended mobs
• No cyclical recessions or depressions, bankruptcies or dwelling foreclosures
• No want to flee inhumane dwelling circumstances by booze, medication, and psychological sickness
• No debt created whether or not client debt or governmental debt
• People who find themselves really free to meet their particular person potentials, no matter they might be
• And in the long term, no want for social security nets (i.e. Social Safety, Medicare, and Medicaid) as a result of everybody has ENOUGH PREDICTABLE INCOME to pay their payments!
Though this listing sounds nearly unimaginable, think about these FACTS. On common, the American economic system grows on the fee of $4 Trilli {Dollars} yearly. That interprets into about $12,000 for each man, lady, and youngster in America. However usually talking, the beneficiaries of this annual development are at the moment restricted to these individuals who can afford to purchase the shares, bonds, actual property, and technological developments that account for this development.
90% Lack the Alternative
Extra particularly we’re speaking about lower than 10% of Individuals who’ve the means to make the most of this comparatively predictable development, and 90% who lack the chance to take part. Thus, we now have a twenty first century wealth hole that’s wider and extra poisonous than any time because the inventory market crash of 1929 and the Nice Despair which adopted in its wake.
To make issues worse, this was the case lengthy earlier than the present pandemic oriented financial disaster raised its ugly head. In response to tens of millions of staff dropping their incomes and healthcare because of the virus, the Federal authorities has elevated unemployment advantages for a number of months, and issued so referred to as “stimulus checks ($1,200)” to tens of millions of individuals in an effort to artificially jump-start demand and to forestall the ship of state from sinking into oblivion.
Unpalatable However Vital Steps
In taking these unpalatable however essential steps the federal government has considerably elevated the already large debt load, which suggests it’s a short-term not a long-term resolution. The hope after all is to artificially resuscitate demand, which in flip ought to recreate jobs and get we the folks again to work and lead us all again to the place we had been earlier than the virus struck.
The issue is that, even earlier than the virus struck, we the folks weren’t in an excellent place. Even earlier than the virus erupted over half of all Individuals had been dwelling paycheck to paycheck, unable to afford a $500 bump within the street with out having to borrow cash in an effort to pay for it. Issues are dramatically worse than they had been a number of month in the past earlier than the virus. However the place we had been continues to be not the place to which we the persons are longing to return. So, what can we do?
The $4 Trillion Greenback Concept That Creates No Debt!
In that mild let’s recall that on common, the American economic system grows on the fee of $4 trillion {dollars} yearly. As soon as once more, that interprets into about $12,000 yearly for each man, lady, and youngster in America. However the beneficiaries of this annual development are those that can afford to purchase shares, bonds actual property, and new know-how. This usually excludes we the folks.
The query I need to increase right here is, how can we make sure that the typical American citizen has systematic entry to the possession aspect of the economic system, the place a lot of the wealth is being generated? How can the typical Joe acquire entry to that $4 trillion dollars-worth of predictable development in an effort to generate a second stream of funding revenue, whereas eliminating the concern and instability that so many Individuals endure from in as we speak’s extremely imbalanced economic system?
Paying “We the Folks” to Pull Collectively…
Think about this. What if the Federal Reserve, by native banks issued $12,000 of INSURED CAPITAL CREDIT to each American citizen yearly, together with a stipulation that these funds might solely be used to buy shares of recent and transferred capital property that had been predicted to generate sufficient future income to pay for the acquisition of those property and to create a predictable, stabilizing, residual revenue for its homeowners?
This technique, referred to as Capital Homesteading, would price American taxpayers NOTHING. It creates no authorities debt! And no client debt! And, relatively than authorities debt-backed forex, the acquisition can be backed (collateralized) by actual, productive, private-sector property
And it gained’t be inflationary. All cash created would immediately be backed (collateralized) by the total worth of personal sector property that residents would obtain insured loans in an effort to buy. Residents would really be buying newly issued, full dividend payout, voting shares of firms that want new capital property in an effort to develop.
What this may do nevertheless, is give each American citizen equal entry to the possession aspect of the American economic system, the place most of our nations’ wealth is being generated. In the long term it should assist democratize the free market.
On this second of political division and strife Capital Homesteading actually pays all Individuals to drag collectively, on the identical time, in the identical path, in direction of the identical targets! It interprets mere political discuss (equivalent to… we’re all on this collectively) into actual dwell, outcomes pushed motion!
It Systematically Counteracts Concentrated Wealth!
Over time, every American citizen will accumulate extra fairness, extra residual revenue, and profit from their funding revenue in a means that solely the rich can as we speak. Because the end result, the necessity for federally backed social security internet applications (i.e. social safety, Medicare, Medicaid, meals stamps) will steadily fade into the sundown. Extra folks will have the ability to pay taxes, which in flip decreases the load on these amongst us who nonetheless pay taxes. It systematically counteracts and impedes concentrated wealth because it steadily democratizes America’s free-market economic system!
Right now’s Disaster Wouldn’t Be a Disaster
If Barack Obama, George W. Bush, or Invoice Clinton had carried out Capital Homesteading throughout their respective administrations, as we speak’s COVOD 19/Unemployment disaster wouldn’t be a disaster. We the folks might afford keep at dwelling and nonetheless have ample revenue to climate a a lot much less extreme storm. Trump has had the identical alternative for 3 years now, however he’s proven little interest in really making America nice once more. Joe B? How about you?
Capital Homesteading In Element
I confess, this commentary has been a generalized portrait in dire want of extra element. So, for a full and detailed rationalization of how this technique could possibly be carried out, go to CESJ.ORG and take a look at the idea that Dr. Norman Kurland calls the CAPITAL HOMESTEADING ACT. It’s an ingenious thought whose time is lengthy overdue. And it’s one excellent factor that might really come to fruition as the results of this horrific COVID 19 disaster.
Addendum…
UBI vs. Capital Homesteading Comparability
Stimulus checks are successfully a short-term type of Common Fundamental Earnings (UBI), an thought which has been advocated by amongst others, former presidential hopeful and serial entrepreneur Andrew Yang, in addition to Mark Zuckerberg of Fb, and Elon Musk of Tesla. Though the instructed annual sum of money issued ($12,000 yearly) is identical as Capital Homesteading, that’s the place the similarity ends. Try the variations.
1. Because it points insured capital credit score loans which can be paid again through pre-tax future earnings, and may solely be used to purchase wealth producing capital property, Capital Homesteading creates NO GOVERNMENT DEBT and NO COMSUMER DEBT! UBI and stimulus checks create authorities debt that may finally be paid again by we the folks (not the 1% who’re spectacular at avoiding taxes) within the type of greater taxes.
2. Capital Homesteading systematically creates common capital possession alternative and entry to the technique of buying wealth producing capital property. UBI doesn’t.
3. Capital Homesteading systematically funds predictable and sustainable development of the economic system. UBI doesn’t.
4. Capital Homesteading systematically permits particular person residents to turn out to be economically empowered and liberated by capital possession. UBI doesn’t.
5. Capital Homesteading systematically permits residents to turn out to be economically impartial of the federal government. UBI doesn’t.
6. Capital Homesteading systematically generates mass buying energy by ever-broadening citizen possession of revenue producing capital. UBI doesn’t.
7. Capital Homesteading systematically creates new homeowners of superior applied sciences and inexperienced development property UBI doesn’t.
8. Capital Homesteading systematically creates a rising tax base to pay the prices of presidency, thereby eliminating deficit spending and finally paying off the at the moment large authorities debt. UBI doesn’t.
9. UBI/Stimulus checks are easy and rapid. That’s their power.
10. Capital Homesteading requires a while (often numerous years) to ensure that advantages to build up. That’s why UBI ought to begin instantly and be phased out over time in favor of Capital Homesteading.
