I wish one could be sure about the whole thing. I mean if credit card debts and loans, etc. are zeroed out, well, let's go and borrow. Borrow, fast and borrow big! Trouble is, if it then doesn't happen or not in the way described, then we'd be spending the rest of our lives paying interest...
I actually like the general concept but don't see how it would be workable - without a military coup of idealists [oxymoron?]. After all, (1) would congress legislate itself out of existence? (2) if the US troops are brought home, who exactly would do the "defeating" of agressors in the Middle East? (3) where are the National banks on the planet getting the gold from to righfully claim that their currencies are backed by gold? (4) if debt is zeroed out, what happens to private investors that own shares in the then useless financial institutions? (5) if debt is zeroed out, who will pay the monies multinationals and government owe to foreigners? (6) if debt is NOT, or only selectively zeroed out, will the new US Government owe the banks and investors in gov paper the same amount it owes now, but in the new currency, and if so, where will they get the money from to pay [and to pay the interest, while we are at it]? History shows that new currencies only heal old ills on the surface unless they come with major devaluations and a complete shift in structures [point in case: when Germany issued the R-mark after the hyperinflation, they simply valued the properties the state owned and started issuing against that finite amount of actual, sellable wealth. It was a quick-fix sort of solution, but worked well enough for them to be able to have a floating conversion rate and even start issuing coin in silver again a few years later; second point in case, interestingly also from Germany: when they issued the new D-mark after WW2, everyone got only DEM 10,-- to start with and bank deposits were frozen; so whoever owned tangible assets that could be used and sold, made it big. Why, well there was a tiny amount of cash in circulation which gradually increased through government expenditure, rebuilidng efforts, wages, etc. So for a short while, despite shortage of just about everything, the economy became a buyer's market and prices remained in check - the result, what they call the German Economic Miracle]... To sum up, if the whole thing "comes to be", it'll be either very PAINFUL for a while for just about everyone [apart from cynics who hatched their bets in time and started borrowing as of today], or it will have to compromized to such an extent that it'll end up replacing a privately run fiat currency with a government run one. The only alternative to hurting everyone would be a complete revamp of everything and only a dictatorship has the resoiurces and power to force this sort of change. Which then leads to the question if the White Knights are indeed mainly interested in taking power and redistributing wealth - which by the way is not theirs to redistribute. Erasing debt and disowning shareholders in the process is about as unconstitutional as it gets, n'est-ce pas? Still, I love the idea of peace, an equitable economy and "TRAINED" governments... Alas, when a dear friend of mine wrote a white paper about about a government system that follows corporate principles, abolishes personal and capital taxes, makes every citizen a shareholder upon reaching adulthood and actually 'hires' a CEO to run the economy, he had kind men in dark suits visit him while he was shopping for a publisher... So, sorry, I don't buy it. Even if it's a great idea. Unless someone can give me satisfactory answers to the six questions above I'll stay a cynic realist. Still, I wish... RSZ --- You are currently subscribed to e-gold-list as: [email protected] To unsubscribe send a blank email to [EMAIL PROTECTED] Use e-gold's Secure Randomized Keyboard (SRK) when accessing your e-gold account(s) via the web and shopping cart interfaces to help thwart keystroke loggers and common viruses.
