Category Archives: The Debt Imperative

Award wining documentary filmmker, Marie-Monique Robin, interviews Thomas Greco

This interview of Thomas Greco was conducted and recorded by award wining documentary filmmaker, Marie-Monique Robin, during the 2nd International Conference on Complementary Currency Systems in The Hague, Netherlands in June, 2013. In English with French subtitles.

An open letter to the Financial Times

Dear Martin Wolf,
Your article, Strip private banks of their power to create money, highlights some of the problems of the global money and banking system, but falls short in the proposed solution.

The problem is not private money creation, per se, but the monopolization of credit (money creation) in the hands of a private banking cartel and the collusive arrangement between bankers and politicians.

In today’s world, banks get to lend our collective credit back to us and charge interest for it while central governments get to spend more than they earn in overt tax revenues, relying on the banking system to monetize government debts. These two parasitic drains on the economy, interest and inflationary government debt monetization, create a growth imperative that is destroying the environment, shredding the social fabric, and creating ever greater disparities of income and wealth.

Turning over the money monopoly to politicians (what I call the “Greenback solution”) will not change things very much. It will be the same people wearing different hats. The political process has been so thoroughly corrupted and taken over by this small elite class that political approaches to solving the money problem have no chance of passage anyway. I articulated that argument a few years ago in my Alternet article, The End of Money: Take Power Back From the Money and Banking Monopoly.

True solutions must emerge, and are emerging, from society and from associations of small and medium-sized businesses. Money is first and foremost a medium for facilitating the exchange of goods and services and other forms of real value, but the exchange function can be effectively and efficiently provided outside the banking system and without the use of conventional political money. This is being done for associated businesses through credit clearing exchanges and through the issuance of private currencies or vouchers by businesses that produce real value. Both approaches have the capacity to provide exchange media that can be used by general public as well.

So, rather than ban private issuance of currencies, such private issuance needs to be proliferated and encouraged. There needs to be competition in currency so that there will be a sufficient amount of exchange media, and so that political currencies cannot be abused without losing patronage in the market. Rather than establishing the state as the money power, we need to have a separation of money and state. That argument is more fully developed in my latest book, The End of Money and the Future of Civilization.

Best wishes,

Thomas H. Greco, Jr.

Global debt soars; no end in sight

I have often pointed out, but almost no economist is willing to admit, that central governments play an essential role as “borrowers of last resort” to keep a flawed system of money and banking from collapsing. In their collusive arrangement with the banking elite, government’s debts will be monetized through the actions of their respective central banks. This is the process of currency inflation, which is now euphemistically called “quantitative easing.”

The empirical data makes this plain to anyone who cares to look at it and put two and two together. The Bank for International Settlements has just reported that global debt has increased more than 40 percent in just the past six years. You can find more details about that in this recent Bloomberg article: Global Debt Exceeds $100 Trillion as Governments Binge, BIS Says.

When debt growth, fueled by compound interest, hits the wall of physical reality, something’s got to give.

Newsletter – March, 2014

Contents. (This edition will be timely but brief).

Back to America

My latest article

Degrowth Conference on Social Equity and Ecological Sustainability

Malaysia

Hi, Well it’s just a matter of hours now before I board my flight that will take me back to the United States. I always find other places and cultures interesting, but four months abroad has been long enough and I’m looking forward to being back in more familiar territory, seeing friends and family, and discovering what the universe has to show me next. To begin with, I’ll be enjoying the relative calm and quiet of the Arizona desert, then looking for a more permanent place to hang my hat.

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My latest article

I spent a good amount of time over the past few weeks writing an article that I was invited to submit for publication in an online journal, Transformation, published by Open Democracy. I’m pleased to announce that my article, Money, debt and the end of the growth imperative was published yesterday. You can read it here,

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Upcoming Degrowth Conference on Social Equity and Ecological Sustainability. Call for papers extended to March 14th

A recent message from Birte Ewers announces that the 4th International Degrowth Conference to be held in Leipzig Sept 2-6, and that the original deadline for submissions of short papers has been extended. The deadlines for other formats have expired but deadline for “short papers” is now March 14th. The review process will be concluded by the end of April. See the conference website at http://leipzig.degrowth.org/en/http://leipzig.degrowth.org/en/ and the Call for Papers at  http://leipzig.degrowth.org/en/call-for-papers/ for details.

About The Conference:

4th International Degrowth Conference on Social Equity and Ecological Sustainability – Bridging movements and research for the great transformation.

The International Degrowth Conference has reached its fourth venue. Since Paris 2008 the debate on how to move away from a growth-oriented economy towards a more sustainable society has drawn world-wide attention. The fourth international conference will take place in a country that is considered as the European engine of economic growth.

Different traditions of growth critique, such as the concept of a post-growth society stemming from the German-speaking community and the French and Southern European degrowth debate, are invited to a fruitful dialogue. The conference seeks to bring practitioners, activists and scientists together and encompasses various formats for presentations, interaction, workshops, and exchange.

The 4th conference will address following thematic threads (abstracts for short papers can be submitted to any of them):

- Organizing Society (Emancipatory politics, participation, institutions)

- Building a social and ecological economy ((Re-)productivity, commons, society-nature relations)

- Living conviviality (Buen vivir. Open knowledge. Convivial technology)

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Malaysia

For my current journey in Southeast Asia, Malaysia (Kuala Lumpur) serves as both my entry point and exit point. Flights to and from KL tend to be cheaper even than Bangkok, and I always enjoy spending some time in Penang, which is only about a 4 ½ hour bus ride from KL Thailand is easily reached from there.

Malaysia is quite a developed country, though it still has some third world charm, as well as annoyances, like the roar of motorbikes zipping around through every available space, making it difficult and dangerous for pedestrians to cross the streets. Sidewalks, if they exist at all are usually obstructed by parked motorbikes, or food stalls, or even workshops that flow out into the public spaces.

One interesting thing about Malaysia is language. Almost everyone speaks some English and signage is usually in both English and Bahasa Melayu, or Malay language, which derives many words from English. Malays have developed what seems to me to be a very reasonable pattern of phonetic spelling.

Here are a few familiar English words with their phonetic Malay spelling, which I think we should adopt.

Complex

Kompleks

Bus

Bas

Central

Sentral

College

Kolej

Bicycle

Bisikal

Community

Komuniti

Counter

Kaunter

My pictures from my November visit to Penang

https://picasaweb.google.com/112258124863172998784/201311Penang?authuser=0&authkey=Gv1sRgCMnztYHzp4268gE&feat=directlink

Pictures from my February/March visit to Penang and Kuala Lumpur have not yet been uploaded.

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Joke of the month

Certainly not original, but here it is; some of you may appreciate it.

You know you’re old when you and your teeth no longer sleep together.

May you enjoy this season when life springs anew,

Thomas

Money, debt and the end of the growth imperative

My latest article, Money, debt and the end of the growth imperative, was published today (March 3) in the online journal, Transformation. Read it here. –t.h.g.

New video describes “A flaw in the monetary system”

This is an excellent video–clear, concise and accurate. If you want to understand why we have recurrent financial crises, dire want amidst plenty, and why debts keep growing faster than ability to pay them, this is a great place to start.–t.h.g.

“The new film ‘A Flaw in the Monetary System?’ depicts in 7 ½ minutes consequences of interest and compound interest in the financial world in descriptive graphics. It illustrates the systematic redistribution of money from the majority to the wealthy.”

See it here: https://vimeo.com/71074210

 

End poverty by ending the corrupt central banking system

Thirteen year old Victoria Grant speaks truth to power in calling for a massive change in the way we do money and banking. Brilliant!

Corrupción Extrema, la causa de la Extrema Pobreza. subtítulos en español