Daniel: That would not removed inflationary debt from circulation. It would simply recycle debt over and over while the total debt-to-GDP ratio keeps rising and rising.

What’s required is a displacement where debt-free medium allows debt based medium to be safely purged.

Me: Not correct. Your last statement is exactly what is required…and the policies of the new monetary paradigm do that in spades. How? Because instead of allowing private debt to keep building until it destabilizes the economy the 50% Discount/Rebate policy at retail sale doubles individual purchasing power and simultaneously reduces the rate of increase in debt by 75% by reducing the price/debt burden of a $500k house to $250k at retail sale and then when your $250k mortgage payment (the retail point of Finance) comes due every month the 50% Discount/Rebate pays for half of your payment so you get a $500k house for the equivalent payment of a $125k mortgage.

Daniel: You made no reference to debt-free money. Debt-free. Are you confusing interest-free for being debt-free ? Many people do.

All money created from pen & ink that is not redeemable for a debt-free asset is debt. Greenbacks were debt even at 0%. Social credit is debt.

—>>> Your last statement is exactly what is required..

You bet ! The reference was to real debt-free currency redeemable in gold, market created and market driven with MARKET PRICES. No policy changes required. The Fed can continue to do what it’s doing until the “Yin-Yang”of debt and debt-free mediums empower real economic growth where that growth can be made sustainable. It might then choose to leave the building….. maybe.

On its own and left to itself, this cannot be achieved by debt at any interest rate you choose. Creative distribution of debt won’t overcome a rising total debt-to-GDP ratio either. If you think velocity will do the trick, it won’t. Again, if debt is all we rely on, it will be inflationary.

Time is the enemy of debt. A Yin with no Yang is doomed. It cannot survive but it is required for the relationship to achieve balance and symbiosis once debt-free medium comes into circulation.

Render unto Caesar …. render unto God. The law of weights and measures cannot be ignored in this.

Me: No I’m not confusing debt with interest. The new monetary and economic paradigm concept IS MONETARY GIFTING after all. The 50% Discount/Rebate policy is the very expression of the new paradigm because it is a monetary gift of price at retail sale and a reciprocal monetary gift back to the merchant granting it to the consumer…and its points of implementation are the retail points of both the productive AND the Financial economies, the former of which is universally participated in and the latter of which is largely participated in and also the overwhelmingly debt incurring point. Do the simple math and equally simple accounting operations of the policy until you see the macro-economic and beneficial effects of the new monetary paradigm.

Social Credit’s Compensated Retail Discount (CRP) was a gift at retail sale, but the monies funding it would have been created as debt in the same way as government debt is funded by Treasuries. However the interest on treasuries is actually a monetary payment to the private sector…so its not the boogie man libertarians and also democrats try to make it. ITS THE BUILD UP OF PRIVATE DEBT THAT IS THE REAL PROBLEM. Amend The FED’s charter to create and distribute the GIFTED monies of the 50% Discount/Rebate and aligned policies and you’ll resolve the human civilization long problem in economics and the money system.

Daniel: Private debt is solved with private debt-free money owned, introduced and distributed by market participants within the real economy.

Both forms of currency must circulate and as more debt-free liquidity empowers the real economy, inflationary debt can be safely purged. It can leave circulation and be destroyed. It simply goes back to its “nothingness” because of the displacing influence.

The Yin needs the Yang. It’s doomed without it.

Me: Yes, and that is the cost reducing effect of the 50% Discount/Rebate at retail sale. In other words the consumer gets a 50% reduction, but with the reciprocally gifted monetary rebating of the entirety of that price discount back to the merchant that merchant gets their full price. Equal debits and credits that sum to zero and algebraically -50% + 50% = 0. Its not just Yin and Yang its their integration. Its not just satori its samadhi.

Daniel: Let the market apply the discount. The merchants should be pleased as punch to get gold (or silver) backed market currency as payment. They’ll compete. Believe it because monetization is gold’s greatest catalyst for real demand and a rising gold price (trade value). The merchants can pay for their own discount.

As real growth gains traction on the back of the ADDED debt-free MARKET controlled currency, fiat currency can be safely and responsibility drawn out of circulation on the basis of rising interest rates.

Government revenue (always debt based) will skyrocket too.

The liquidity comparison between debt and debt-free currencies then moves toward balance and symbiosis as the debt side deflates and the assets side gets larger.

Inflationary debt has to be purged to contribute to the balancing effect.

Render unto Caesar…. render unto God.

Me: They already use BS “discounts” based on MSFP (Manufacturer’s Suggested Fantasy Price), read wildly higher rates of return than the market is willing and able to pay so there’s no incentive or ability for them to lower their prices further…unless you implement the inflation killing, purchasing power doubling, additional demand creating policy of the 50% Discount/Rebate.

Sorry, gold is just another fantasy created by financial speculators to “deal” with the problem when there isn’t enough gold on the planet to serve as a currency. I’ve even seen gold bugs talk about virtual gold ignoring that this is just fiat currency in desguise without the solutions of paradigm change and is probably an issue created by Finance for people to wrangle over…instead of confronting and handling the real problem which is the monopoly paradigm of Debt ONLY that the banks wield. Bitcoin and its various derivations…same thing and wildly unsecure.