| Subject: | Re: [socialcredit] Re: Request for William B. Ryan | | Date: | Tuesday, November 27, 2007 14:03:35 (+1300) | | From: | William Hugh McGunnigle <wmcgunn @.........nz>
|
| In reply to: | Message 5112 (written by william_b_ryan) |
Hi
Subsequent to the comments by Kristof and Bill Ryan
The observations by Bill are very valid. Much of the present world
imbalance in trade is the result of the so called "Free Trade" reforms that
are being foisted upon the world by transnational companies. The effect is
to move the centres of production away from areas with high production costs
due to high labour costs eg North America, Europe and paradoxically Japan
into areas where labour costs are considerably less eg China and India.
Removal of tarrifs puts countries with high labour costs at a distinct
disadvantage. Furthermore a large percentage of the lower labour costs in
places like China and India is bought at a considerable environmental price
because companies in those countries do not adher to the strict and
stringent environmental laws prevalent in places like Europe and parts of
North America. There is a hidden problem too in the "deskilling" of the
previous world industrial leaders labour force as the industries are moved
away. This causes widespread unemployment and this is a harbinger of civil
unrest. Unemployment always breeds crime and civil disorder.
Although a many monetary reformers think along the lines that Bill
mentions ie abolition of interest etc. This, in itself, does not address the
fundamental problem namely that consumption is dependant upon disposable
income and the only source of disposable income for the vast bulk of society
is salaries and wages. Consequently as the job market shrinks so does
income. Fiddling with the banking system and altering the rules will not
alter that problem. Similarly the Keyensian solution of deliberate
government spending on ( possibly) infrastucture to provide work to enable
people to have a living income on a spend now pay later basis only creates a
higher degree of indeptedness. The prosperity enjoyed by the Western world
since the end of WW2 has been at the expense of Western governments and
their people becoming greater and greater deptors. The USA in particular
runs the highest level of indeptedness of all. Unfortunately the present
system cannot continue without that indeptedness increasing still further
due to the facts previously stated by Bill that wages and salaries are
always less than optimum industrial output. There will always be a gap
between the two ( Prodution Gap)
Social Credit is a viable and effective way of providing the extra
finance to bridge the " production gap" and ensure that everyone can benefit
from improvements in industrial efficiency. I agree with Bill. The present
system of accounting in banking circles is very efficient. It does not need
major alterations, although I do baulk at saying it is perfect. Nevertheless
it is operating under axioms that operated in the 16th century and not the
21st century, and it does need to be updated so that the financial shortages
responsible for so much poverty in the world can be corrected. I trust that
my comments have been helpful in the discussion
Bill McGunnigle
----- Original Message -----
From: <william_b_ryan@yahoo.com>
To: <socialcredit@elistas.com>
Sent: Tuesday, November 27, 2007 8:41 AM
Subject: Re: [socialcredit] Re: Request for William B. Ryan
>I thought I gave you a serious answer, Kristof. I
> certainly didn't intend it to be a joke.
>
> The best financial reform is along the lines of
> Douglas' national dividend and retail discount
> programs.
>
> I am quite disdainful of most of what passes as
> "monetary reform," which generally involves some
> fundamental change to the structure of the financial
> system, such as the abolition of interest, and/or the
> spending of money into circulation exclusively by the
> government. The structure of the present financial
> system is itself very nearly perfect.
>
> The problem is at the macreconomic level due to a flaw
> in accounting, where the costs of production are being
> expensed against retail sales at an accelerating rate
> in respect to sales, which is explained through the A
> + B theorem, or something similar.
>
> The solution are rationally applied credits from the
> central bank to the accounts of final consumers, in a
> form of accounting adjustment, boosting effective
> demand, bringing the expensing of costs to the point
> of retail into proportionality with sales, thereby
> sustaining the rate of profit in the dynamically
> growing economy, with naturally occurring labor
> displacement.
>
> The present continuous fall to the rate of profit
> induces entrepreneurs to continually pinch off
> production short of real demand and productive
> capacity, causing the permanency of poverty in the
> midst of plenty through much waste of resources. It
> is an illusion of scarcity due to financial
> inadequacy.
>
> Beyond that I would suggest a protectionist foreign
> trade policy, protecting domestic industry against
> predatory foreign competition. The strength of the
> American economy was built during the nineteenth
> century behind a tariff wall, allowing free trade and
> competition between the states, with similar cultures
> and standards.
>
> Bill
>
>
> --- Swieto Radosci <radosc@radosc.x.pl> wrote:
>
>>
>> From: <william_b_ryan@yahoo.com>:
>> > I think I said, Kristof, that I do not call myself
>> a
>> > social crediter, but do admit to being profoundly
>> > influenced by the writings of . I do not
>> > admit to agreeing with every word that he wrote,
>> but
>> > admit to not understanding much of it. One of the
>> > purposes of this list is to help us gain an
>> > understanding of what he really wrote and said.
>>
>>
>> The undrerstanding of what C. H. Douglas wrote or
>> said is not of my
>> particular concern. More what today reformists do
>> with his inspirations and
>> inuitions.
>>
>> I agree with Douglas's general idea of the deficit
>> of purchasing power in
>> the growing areas of the globe. I calculated that
>> deficit on real numbers
>> taken from Polish corporation where I served as CEO
>> and for sure Douglas was
>> right showing us this problem comparable to the
>> unefficiency of heart-pump
>> in human body. Purchasing power leaks out of
>> producing communities and
>> producers are forced to extend specialization and
>> import-export practicies.
>> If they don't, they alternatively hang on growing
>> debt.
>>
>> Now we have world-blood deficit in many places and
>> plentitude of it in
>> others - a zero balance situation from the double
>> accounting point of view,
>> but close to heart breake from the social one. I
>> personally attribute that
>> deficit of purchasing power to logistic (energetic)
>> and educational
>> (informatic, including money as information)
>> problems of our civilization.
>> In my opinion local money could serve better than
>> "retail discount programs"
>> proposed by Douglas - as local by-passes on global
>> defficiency in money
>> distribution.
>>
>> National dividend is ok but it strongly affects the
>> way national budget is
>> created, so it is not easy to implement from
>> grassroots.
>>
>> But, William, I asked you about your personal
>> opinion on Douglas proposals
>> in present socio-legal environment and you answered
>> by a joke... Please
>> answer seriously.
>>
>> Kristof Levandovski
>
>
>
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