Economics to save our civilisation

Clive Menzies, FCSI

CISI presentation, 9th April 2013

No Effective
Demand
No Growth

Lonon !iots " Summer 2011
A #oretaste$
%reece, Ital&, 'ortu(al, Spain

%lo)al Conta(ion
*S concentration camps )uilt
to hol 2,000,000 people
%reat +epression in 1930s
le to ,,II
*S unemplo&ment pea-e at 21.
in mi"1930s
In the *S toa& /012 million on
#oo stamps 3 14. o# population

Cause #or optimism
5no6le(e is po6er

Flaws in the
economic s&stem
6ere iscovere
ecaes a(o

E7tensive ia(nosis
complete

'rescriptions )ase
on stu& o# past
civilisations

%ro6in( a6areness
o# the issues an
solutions

Internet " in#ormation

%lo)al
communication 3
people to people

+esire #or chan(e

First #la6 in the economic s&stem
,rote 'ro(ress an 'overt& in 1209

A)8ect povert& accompanies prosperit&

Location value is create communall& )ut not

share

!esources are (i#ts o# nature )ut e7tracte #or

private (ain

+ispossession #rom the lan has su)verte our a)ilit& to

thin- clearl& " Fre 9arrison, :he :raumatise Societ&

Economics " ominate )& veste interests

12 &ear propert& ;)oom an )ust< c&cles

In En(lan urin( 1400s, 100. o# the )ount& #rom the

lan 6as use #or the pu)lic (oo

=& the earl& 19th centur&, less than /.

Secon #la6 in the economic s&stem
Means to Life is conitional on emplo&ment

M&tholo(& o# #ull emplo&ment
:echnolo(& riven e7plosion in prouctivit& means
full employment is neither achievable nor desirable

:hir #la6 in the economic s&stem
Interest on mone& " usur&
Mar(rit 5enne& sho6s in her )oo-
Interest an In#lation Free Mone&

Ever&)o& pa&s interest

Interest oesn>t treat us e?uall&

Interest rives e7ponential e)t

(ro6th

+emans e7ponential economic

(ro6th 3 unsustaina)le

+iscountin( our #uture

Interest rives in#lation 6hich is

6h& 6e eman a ;time value< #or
mone&
=an-s create mone& #rom nothin( an char(e us #or usin( it
=an- create @e)tA mone& e?uals 90. o# the *5 mone& suppl&

From
Interest and Inflation Free
Money
West Germany 1!"

From
Interest and Inflation Free
Money
West Germany from 1#! to
1!

Economic s&stem emans
e7ponential (ro6th
A B Catural (ro6th
C B E7ponential (ro6th
:he e7ponential #unction
+ou)lin( the num)er o# (rains
on each s?uare ta-es
12,//D,0//,003,009,441,D14
(rains to #ill the chess)oar

+iscountin( our #uture

+iscounte cash #lo6 @+CFA is

calculate, usin( interest rates,
as the )asis #or valuin( #uture
income, iviens or receipts

A #orest is thou(ht 6orth more

as lo((e tim)er toa& than as
a thrivin( #orest in the #uture

,h& shoul mone& have a

;time value<$

Fossil #uels

Foo prouction relies on oil

Source o# pollution an con#lict

9azarous minin(

Environmental impact
E7ponential #unction poorl& unerstoo 3 reserve estimates
unrealistic an optimistic

Cheatin( in the economic s&stem

:6o )illion
people in the
6orl su##er
#rom various
#orms o#
malnutrition

Lan an propert& o6ners collect risin(

rents an capital increases, create )&
the communit& an pu)lic in#rastructure,
6ithout 6or-in( or creatin( 6ealth E

=an-s create
mone& #rom
nothin( an
char(e us #or it E
E Parasitical behaviour

A Ce6 Econom&
Funamental 'rinciples

Sharin( the surplus

@#reeA )ount& o#
lan an resources

Interest #ree mone&

Citizens income

Solutions
aA Interest Free National $urrency @possi)l&
)ac-e )& lanA 3 spent into the econom& )&
(overnment to create in#rastructure
)A 1%%& of land rents accumulated for the
common 'ood 3 to #un pu)lic services an
citizens income
cA $iti(ens Income #or all aults
Inepenent,
emocraticall&
accounta)le
Central
Monetar&
Authorit&

A ,orl 6ithout Interest

Infrastructure 3 national currenc& create to

#un evelopment 3 runnin( costs pai #rom lan
an resource rents

)rivate Enterprise 3 #une )& e?uit&

investment, co"operative an mutual moels

*ousin' 3 securit& o# tenure su)8ect to pa&ment

o# lan rents

Emplo&ment an Enterprise
alon(sie a Citizens Income

+bolition of state pension and unemployment benefits 3

)asic stanar o# livin( provie )& the citizens income

+bolition of income, corporation and employment ta-es

Wor. becomes voluntary 3 e?ualisin( the po6er )alance

)et6een emplo&er an emplo&ee

Initial proposals
Land bac.ed national currency 3 lan hel in common, )ac-in(
the national currenc&1 Spent into the econom&1 !ent pa&a)le on
all lan accorin( to location value to #un pu)lic services an a
)asic income #or all aults1
International tradin' currency / one @or moreA international
train( currencies, )ac-e )& a )as-et o# commonl& trae
commoities an resources1
Local and community currencies 3 to #oster communit& activit&1
)rivate investment and enterprise by e0uity participation "
sharin( )oth the ris-s an re6ars1
1an.in' " simple utilit& " recor values hel an conuct
transactionsF technolo(& 6ill release valua)le talent to 6or-
creativel& #or a )etter #uture1

Ma8or o)stacles to chan(e
=an-in( Interests 3 (lo)al po6er over politics, )usiness,
meia, economics an pu)lic institutions
E7clusive lan an resource ri(hts #or private accumulation
Means to Li#e is conitional on emplo&ment

Gnl& )& thin-in( i##erentl& can 6e
avoi Collapse, an :hrive

:han- &ou111
:his anal&sis an
accompan&in( ieas come
#rom the Critical :hin-in(
pro8ect at the Free *niversit&
an )uil upon the 6or- o#
man& i##erent (roups an
iniviuals1 I>m conscious o#
the enormous e)t o6e to
man& #or m& enli(htenment,
incluin( the Critical :hin-in(
(roup, Hanos A)el @le#tA, Fre
9arrison, Mar(rit 5enne&,
Michael Mainelli an the
Gccup& movement 6hich has
create the opportunit& #or
chan(e1
ContactI in#oJ#reecriticalthin-in(1or(

Sources
Internet
#reecriticalthin-in(1or(
6661henr&(eor(e1or(Kpcontents1htm @Progress and PovertyA
#reecriticalthin-in(1or(Kail&"pic-in(sK323"the"traumatise"societ&
userpa(e1#u")erlin1eKLroehri(6K-enne&Ken(lishK @Interest and Inflation Free MoneyA
positivemone&1or(
ou(lassocialcreit1comK
6e)o#e)t1com
2ther boo.s
Debt, the first 5000 years 3 +avi %rae)er
Collapse 3 Hare +iamon
Losses of Nations 3 eite )& Fre 9arrison
icardo!s La" 3 Fre 9arrison
#he $hoc% Doctrine " Caomi 5lein
&ulture!s Picnic 3 %re( 'alast
Essential viewin'
CrossroasI La)or 'ains o# a Ce6 ,orlvie6
20K20 9insi(htI CECSG!S9I' on the Frontline