You may know . . . California is in big trouble again as state officials warn that the state may run out of money as soon as JULY: http://www.latimes.com/news/local/la-me-california-budget-crisis8-2009may08,0,7342537.story
On the national scene, things are no brighter, given that we are in the midst of 5 raging economic storms which combine to paint a very bleak picture. These storms include plunging jobs reports, housing starts that are down by 77.6%, auto sales that are down by 44%, the biggest collapse in consumer credit EVER recorded, and the reality that the big banks MUST cut back on their lending if they are to build needed capital quickly. [NB: No credit, no money supply - UNDER THE CURRENT SYSTEM!] For more on these economic storms and the three deceptions that are lulling us back to sleep: http://www.moneyandmarkets.com/five-economic-storms-raging-now-33659 If we keep going under the same debt/money system, this will only mean increasingly lower wages, fewer jobs, reduced public services, more taxes, more debt, and more "public/private partnerships" aka selling of public assets to private corporations, usually multinationals. We have a 200 year old Constitutional solution: debt free government created money!! Troubled states can play a crucial, intermediary role in making this happen on the national level, in the manner intended by the founding fathers. (Here is the most active, dedicated organization that is working on such a national proposal: http://www.monetary.org/ ) California can put itself in the forefront of the "money question", along with Minnesota, and also save itself from looming catastrophe by passing a law modeled after a Minnesota proposal that would allow the state to create debt free money by applying an accounting mechanism within the current central banking system. This debt free money would help rebuild state infrastructure, help create new jobs, and help reduce debt simply by virtue of the fact that this new money would have debt PAYING power as opposed to the debt CREATING Power our money now has. See the possibilities for California (under the state map): http://moneyaswealth.blogspot.com/2009/05/fix-it.html Here is the Minnesota bill: https://www.revisor.leg.state.mn.us/bin/bldbill.php?bill=H0888.0.html&session=ls86 And here is the Constitutional authority: http://moneyaswealth.blogspot.com/2008/10/responsibility-without-authority-is.html There is NO reason, other than ignorance, mis-information or inertia that other states in similar budgetary crisis should not follow the lead set by California and Minnesota. MEANWHILE . . . The rest of us can dedicate ourselves to making our Congressmen aware of the Monetary Reform Act, now in draft from, from the American Monetary Institute. One easy way would be to ask to be included on their email action alerts list and if possible make a donation: http://www.monetary.org/contact.htm . Again, please forward widely, gerip [Non-text portions of this message have been removed]
