We know because of the costing/expensing system of commerce itself that the velocity of money doesn’t add a single cent to individual incomes, but what is it an indicator of? I would say simply an indicator that the economy is functioning somewhat better and hence is more profitable…probably because businesses are better able to pay their overheads and derive some additional profit from the economy which as we know from graphed statistics of velocity it (the rate of velocity) is higher in “good economic times” and lower during recessions. We also see from graphs of velocity that for the last 45-50 years the overall trend of velocity has been continuously down.

Austrian/minarchist/libertarian economists are so conditioned to austerity and a puritanical mindset that they can’t see that a modern debt jubilee could create a painless and economically democratic way to accomplish the monetary and price deflation they are always preaching. Of course you’d also have to ultimately implement a new Distributive monetary paradigm for consumer finance aka Gifting, and also utilize a tool like a retail discount that macro-economically equated total costs of consumption and total costs of production and was totally rebated back to participating merchants so that they could be whole on their overheads and profit margins making it a seamless evolution of profit making systems….and a profit making system which finally drove a stake through the heart of the real problem…the Banking and Financial system’s monopoly paradigm of Debt ONLY.  And oh yes, you might have to create some gracious but effective way of regulating/prompting a small percentage of the Banking and wealthy elite and any other small fry afflicted with the desire to make a quick buck from idiotically and anti-socially attempting to destroy such a workable, democratic and ethical evolution of the economy and money system…but isn’t it about time we applied ethical instruction and guidance to that small percentage of the population who are obsessively and compulsively insecure and hence consciously or unconsciously stupid and/or destructive?

Orthodoxy blinds, and worse yet…prevents looking…and worse even than that…prevents intellectual understanding…and worse even than that…prevents cognition itself…which worse even than that…prevents the experience of self awareness….and that ain’t good.                                                                                                                                                                            Steve Hummel

The reality is that, thanks to modern technology, we can produce everything that people can reasonably consume with profit to themselves, with only a small percentage of the adult population actually working in the formal economy.[9] This means that all of the work that goes beyond what is physically required to meet that particular objective is simply waste. Large numbers of people would be better off tending their gardens instead of getting up and going to work each morning. Their work, and the individual and corporate consumption that make it possible or tolerable, only exist because, under current conventions, work is the necessary agent in distributing the bulk of goods and services to the public. Such wasteful work has more to do with distributing incomes than it does with meeting authentic human needs. Furthermore, since unemployment has shown itself to be an intractable problem (there are always more people in need of work than jobs that can be provided), the realization of the ideal of full employment is not even possible under modern conditions. Thank God! The dearth of jobs is actually a sign of authentic economic progress.

In practical terms, the false economic ‘dogma’ of full employment serves as a societal straightjacket. By depriving people of leisure time and economic security, it continually reinforces the existing economic, social, and political landscape thus making it incredibly difficult for individuals to reflect, question, and take the effective action that alone can improve social and environmental conditions.

Many good points. However, if philosophically we awakened to the natural, psychological power of the concept and various meanings and aspects of Grace/Gifting…then a policy change perfectly reflecting that and embodied in a universal dividend and a discount to retail prices that eliminated any possibility of inflation and in fact increased individual purchasing power even more by mathematically equating the costs of consumption and production…would actually and completely effect individual economic freedom. Individual economic freedom is freedom…created by policy. A = A.

Posted to both Steve Keen’s youtube channel (a progressive,new Keynesian economist) and to Mish Shedlock (an Austrian/Libertarian blogger and pundit) regarding his correct but half baked solution to the looming bankruptcy of Illinois/Chicago:

Austrian/Libertarians and Progressives can argue into eternity about the insanities/needs of re-distributive taxation, public unions etc. etc. …..all the time missing the real solution to the problem which is to break up the monopoly on credit creation by the Banking system and breaking up the even more devastating monopoly idea/paradigm of Debt ONLY with a DIRECT TO THE INDIVIDUAL DISTRIBUTIVE NEW CONSUMER FINANCIAL PARADIGM OF MONETARY GRACE/GIFTING VIA THE POLICY OF A UNIVERSAL DIVIDEND…which just happens to accomplish the best aspects of both of their agendas.

All economists and pundits are, I’m sorry, nascent Social Crediters.

Who cares with guaranteed individual monetary and economic freedom? The increased competition and cost efficiency from technology plus quality of product and service along with that guaranteed individual freedom will tend to increase both the number of ongoingly profitable businesses and simultaneously decentralize/diffuse enterprise….all while comfotably, graciously and humanely sorting out who survives as a business entity.  So it’s all proactive and upside.

As Wisdom is BOTH the integrative process itself AND the result of such integration as well, and Grace by whatever other name is the pinnacle of that Wisdom, it follows that BOTH Wisdom AND Grace  both are, and consist of a Bothness (Duality) and a Both/Andness (BOTH an integrated/integrative Duality AND a third/thirdness, i.e a Trinity, i.e. a Unitary Wholeness/Oneness. Thus the formula:

[ ( 1 X 1)  X 1 ] = Both 3 and 1      where X is an integration (      ) is an actual Duality and [              ]  is a Trinity

An integrated Duality within a Trinity which is a Unity accurately describes Wisdom, Grace as both a concept and as a human experience, the composition and nature of the experience of Grace itself [ (Space X Time)  X Self Awareness/Consciousness ]

and virtually every situation, experience, problem, (or solution thereof, both personal or systemic)….and thus qualifies as a theory of everything. 

It also points at, validates and affirms all realities in the formula and in Life as a whole and so should govern both the terminally religious and the terminally scientistic against picking up their own perspective and monopolistically, exclusively and exclusionarily trying to score six touchdowns with it in an attempt to dominate everyone and everyone’s thinking. After all humility is a necessary component of Grace/graciousness and

[ (Science X Religion)  X  Self Awareness/Consciousness ]  fits perfectly within the formula.

Finally, the above equation doesn’t actually make any value judgement about which of the three realities it points at is the primary one…although Self Awareness/Consciousness/Thought does kind of tend to be a priori to action….and action is only possible in Space and Time, i.e. the physical universe. But again, humility is an essential aspect of Grace/graciousness, and so we’re all better off living with that little bit of ambiguity…at least while we are incarnate.  Kind of points at the relevance and Wisdom of Ecclesiastes 12: 13   (sorry, my little interpretations in parentheses)

“Let us hear the end of the whole matter: Fear (Love) God, and keep his commandments: for this is the whole duty (unavoidable consequence of being incarnate) of man.”

Addendum and Cognition

The formula actually can and should be expressed as A Unity Which is also a Trinity including an Integrated Duality

Both 1 and  3 = [ 1 X  (1 X 1) ]   when considering the individual,

and as An Integrated Duality Within A Trinity Which is Both a Duality and a Unity

[ (1 X 1) + 1 ] = Both 3 and 1  when considering the physical universe itself and/or a temporal universe process

The Trinitarian/Unitarian concept is actually primary in each, but as the individual for whatever reason (outward or inward distraction and/or inward impediment) has always tended to ignore/overlook/invalidate/miss/not be in a full, natural or continuing state of  the fact of his/her basic conscious nature the formula

Both 1 and 3 = [ 1 X  (1 X 1) ]   places the emphasis on conscious awareness first thereby invoking it instead of last and so it being an after thought.

Similarly, as science and the scientific mindset considers that it can and should only observe effects it tends to become habituated to effect and forget cause/consciousness and so the inverted formula of

[ (1 X 1) + 1 ] = Both 3 and 1   becomes a reminder of the subtle but essential third reality. 

The FED, Austrian/min-archist, Keynesian and neo-liberal economists alike could learn a lot from the methods of C. H Douglas. Douglas was the modern equivalent of an “efficiency expert” and an engineer who was not classically educated in economics. This was his great advantage, as economics like many of Man’s “sciences” is riven with false orthodoxies. As a result of being an engineer Douglas was disposed to look for a solution, and so did the scientific thing and actually looked at the empirical cost and monetary facts of commerce and then did the calculus of their relationship. Hence his A + B theorem. Nearly every current economist has never done the same, hence they miss the dynamic cost inflationary nature of the lower bound of price. Hence they also fail to realize that Keynesian stimulus actually merely hides and palliates this most basic and inherent aspect of commerce/the economy itself. Dynamics are good and necessary, but if both the upper bound of price and the lower bound of cost/price are dynamic…your models are never going to be accurate until you factor the effects of both ends of it. The cost inflationary nature of commerce itself is the “credit accelerator” because if you don’t throw more money into the economy continually via lending and Keynesian stimulus a modern technologically advanced economy would forth rightly go into a deflationary spiral due to insufficient aggregate demand, and with innovation and AI just getting started with their disruptive effects on aggregate demand…there is no logical way to proceed but the accurate assessment of the problem, the economically valid policies and the individually freeing effects….of Social Credit.

So if we implement Social Credit the vast majority of theoretical economists and their pundits will have to “get another job” …or more importantly re-train their minds to accept and enjoy the leisure Social Credit would bless them with. Hey, the guys who shoveled up the horse pucky before the internal combustion engine coughingly came into being had to readjust their thinking and get re-trained….and they never had the advantage of a dividend and a discount to help them through that process. And Hey again, I can vouch for re-inventing yourself. When I got totally burned out as a nurse smashing 6 pills in apple sauce and trying to get poor old folks who didn’t know where they were at to ingest them I started a boutique residential window cleaning service and it turned into the best job I ever had. Worked outside doing something physical to keep me in shape, was my own boss and as I used to (jokingly) tell my wife, “I make 70-100 dollars per hour…making desperate housewives happy” 🙂

A wonderful and inspirational video. My hat goes off to you Francois and to the Pilgrims of St. Michael. One little quibble. Interest is not all costs that go into prices and so in the final analysis is not the entire problem, but your testimony and intent to further the gracious cause of Social Credit and so free us from our economic and monetary entrapment and enslavement I absolutely  affirm.

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Just to add, the idea, the paradigm of Debt ONLY is contrary to and does not allow for Grace or of the economic and monetary idea of grace/Gifting, and so indeed IS the even deeper problem.