Monetary Reform and Some July 4th Thoughts (part one of two)
While most economists are content with receiving their paychecks and not "rocking the bankers boat," there are a few valiant souls who feel it's their duty to do more - much more. One is Prof Kaoru Yamaguchi, of Japan. (Phd Berkeley; prof at Doshisha University)
Yamaguchi is again a featured presenter at the System Dynamics International Conference for the fourth year in a row; this year held at the Massachusetts Institute of Technology.
This represents real progress, because Yamaguchi is one of those economists urging serious monetary reform of our banking and monetary systems along the lines advocated by the American Monetary Institute and introduced by Dennis Kucinich into the 112th Congress as the NEED Act (National Emergency Employment Defense Act). As such it went through over 2 years of examination and helpful "tweaking" by the non-partisan Congressional Legislative Counsel responsible for banking and currency laws.
The essential element of Yamaguchi and Kucinich's approach is that using bank credit/debt in place of government issued money is the crucial destabilizing feature of banking systems around the World and must be reformed if we are to avoid the kinds of financial turmoil seen around the World.
Stated from a technical point of view, what's known as fractional reserve accounting must be ended, and banking which should remain private, must be based on real government issued money, not bank created debt. It is not a problem to figure out how to do this - the Kucinich bill (HR 2990 of the 112th Congress) does that admirably, with a gentle, and seamless overnight transition; and its only 12 pages long! Take a look.
The problem is getting this crucial measure through the banker's and Wall Street crowd's power lobbying, and through the monetary miseducation of most economists, admitted to now even by The Bank of England - that will be part 2 of this offering! On his way back to Tokyo Prof. Yamaguchi stops in Chicago on July 28 to repeat the presentation for the American Monetary Institute, at the Chicago Temple, at 7PM. All are welcome, even economists, but please email email@example.com so we can arrange refreshments. Prof. Yamaguchi is also addressing our AMI 11th Annual Monetary Reform Conference in Chicago Sept. 10-13.
Some Thoughts on another struggle we faced
This 4th of July as we struggle for monetary reform and independence from Banker control - obviously, whoever controls the money system over time controls the nation - we also proudly celebrate our declaration of independence from the tyranny of a mad Brit King. A small group of dedicated, courageous men and women achieved that victory against the world's most powerful military of their time.
It was a victory that appeared extremely improbable at best, as they pledged their lives to fight for its success. And as events and battles were fought, the possibility of a favorable outcome grew even smaller. But at the right moment, help from France turned the tide and the British were defeated.
Defeated militarily, but not monetarily. For soon after the Constitution was ratified, in 1791 the 1st Bank of the United States, a privately owned and banker controlled central bank was put through Congress by Treasury Secretary Alexander Hamilton, modeled on the private Bank of England. The gang around that bank were more dangerous than King George 3rd; and the Hamilton people thereby insinuated into the New World forces representing the most evolved secular form that evil had attained in the Old World. We are still facing that exact same problem now! Thanks a lot Hamilton!
Jefferson fought the bank, helping to bring it down and Burr killed Hamilton over public insults (Gore Vidal's novel "Burr," said Hamilton had accused Burr of incest!). But banker issued money gained a foothold in America. It's still here, in control of our system. It's the root cause of most of our social and economic problems. Whenever it caused crises in the past, our government had to (and did) come to the rescue. The current monetary, banking and economic crisis, still threatening to take the world economy down into depression, and destroy the lives of billions of people, is the banker's latest atrocity. What has been rescued, are the big banks, not our citizens. "We" have not been bailed out. "We" have been "sequestered!"
This continuing crisis for many millions of our people gives an important opportunity to reform our monetary system and eliminate the privilege banks have to create what we use for money, when they extend loans; to eliminate their power to cause financial crises and obscenely concentrate wealth into undeserving hands. Part two will show why the economists have not been helpful.
Director, American Monetary Institute