Rebuilding our Roads, Bridges, Airports and Infrastructure
After the Napoleonic Wars, the Isle of Guernsey was left financially destitute and cut off from the Bank of England, which financed both sides of the conflict. While traditionally relying on the fiat money borrowed from the bank, the island's businesses were failing, infrastructure crumbling and people were unemployed.
Guernsey elected to coin their own money by spending it - debt free - into existence by restoring infrastructure. Since debt free money has been shown to circulate at least 9 times in an economy, the island prospered through the original infrastructure investment in the good faith and credit of the island by improving the value of its public assets.
This went on for some time until the bankers realized they weren't getting their issuing interest and campaigned against the "Guernsey." Historians recall the slogan - "Not worth a Guernsey." The island was restored to its former role of paying tribute to the bankers for the privilege to do business and survive.
What does this have to do with infrastructure?
It always comes down to the cost and availability of money and the frugal use of it. Toll roads are being more widely used, but wouldn't it be great if an infrastructure program the way of the Island of Guernsey controlled its own financial destiny for a time? By carefully spending money into existence via infrastructure building and restoration, it would circulate 9 times in the economy. An infinite range of opportunities will arise for business, banking, thrift, charity and everything else that makes a society prosperous, creating more taxable events to clear the debt and build ever more beautiful and functional things. Money must be the servant, not the master.
The alternative is what we have now: debt-based money rules as the master. All that's left to keep the system afloat (as the national debt approaches $20 trillion) is a prime interest rate near zero, and credit card interest rates for all those with less than an 800 credit score paying up to 30%. The coins in our pockets no longer “jingle” and the bills slowly slide to uselessness.
There is a sound philosophical basis to this idea of a new Political Theory of Relativity. Donald Trump with a powerful sense of beauty and efficiency is uniquely qualified to guide such a program, coming in under budget and ahead of schedule on several of his recent projects.
Hang in there! Here comes the hard part; making traditional financial institutions understand it.
I produced a chart of the three sets of three stages of how a nation Thinks, Acts and Operates. Cause and Effect starts at the top and works down, all with predictable results. On the left is money as the master. On the right we see the effects of money as the servant.
“Progressive” politically correct order is exactly the opposite of the beautifully correct order that made the United States of America great. There will always be a battle between these world views, so things will never be perfect. We must understand what it means when we say “the world is upside down.” No time better than the present to right it!!
Jerry Todd is a brilliant conservative thinker whose essays and analyses appear online at several websites including AmericaC2C.com and WEBCommentary. He has been in the environmental technology field for over 40 years, and in semi-retirement represents rainlikewater.com - Magnation Corporation water and energy saving crop enhancement technology.