Arnon: Private banks create money…but ONLY AS DEBT.Why is this feature of money creation important?

Me: Because the economic goal from the perspective of every commercial agent other than finance is more profit while finance’s goal is the increase in their “product” of private indebtedness which deminishes purchasing power/available money to spend and hence there is a continual destabilizing monetary and economic conflict…unless of course finance’s monopoly paradigm is broken up by integrating monetary gifting strategically into the Debt Only system in a way that mathematically inverts that problematic trend…with a 50% Discount/Rebate policy at the various universally participated in points of terminal payment (retail sale) throughout the economy for instance.

ARRNON: What keeps strategic gifting from being consumed by commodity-essentials suppliers and landlords?

Me: In my book I suggest a new government department called The Department of Competition, Innovation, Boycotting and the Public’s Bully Pulpit which would hold weekly or more frequent press conferences exposing commercial agents who arbitrarily inflate their prices by more than a rate of 2% per annum and Congress passing legislation that taxed any revenue garnered by a higher rate by such gaming commercial agents at a rate of at least 100%. The allowed 2% inflation rate would make the Discount rate permanently 52% and any higher rate of inflation rigourously analyzed monthly would be added to the Discount rate so if the inflation rate was 3.5% the Discount/Rate would be 53.5%. The Department would end the news conference by asking the American people what they are going to do about these gamers and eroders of their new purchasing power thus suggesting that they and purchasing agents not do business with such.

“Free” market theory is largely a fetish and a misnomer for what it actually is which is a chaotic and unstable system that has no real enforceable barriers. You can’t walk into a crowded theater and yell “Fire!” because of a little thing called ethics, but you can committ greedflation and basically get away with it in economies. Competition and innovation are economic virtues and a Wisdomics-Gracenomics would reward them. Abitrary inflation is somewhere between an economic misdemeanor and first degree murder.

If a commercial agent bitches about being held responsible for arbitrary inflation when the policies of Wisdomics-Gracenomics potentially doubles the demand for their goods and services its more an ethical shortcoming than a legitimate complaint. Human systems must have known and enforceable barriors. No fetish and misnomer bull shit.

Also, if a commercial agent lies in order to receive the benefits of the 50% Discount/Rebate policy and inflates their prices by say 20-25%…it still doesn’t change the macro-economic benefits of the that policy…and the actual result of that unethical action would be that the competitors of that greedy agent would be able to easily take a huge percentage of his market share.

Steve Hummel 09/06/2026