The G-20?
We must try not to think of our world as being on the other side of no tomorrow, though at risk of understatement, the hour is getting late.
The biggest problem that I see us facing is the entropy that has set in with the passing climaxes of industrialization and the fossil fuel age. The age of the consumer is riding itself out, but in its path is unspeakable genocide, ecocide, and suicide.
If we could envision, educate, and communicate to the people of the planet, particularly those of the G-One (the USAers who are by far the most mad and mislead); the alternative vision of resources allocated directly to individuals and communities - based on need, and re-learn the ways of community, a "plan and implement" cooperative communitarian socialism, rather than the Imperial, Militaristic, Greed-driven, "risk and return" paradigm (or excuse), could go a long way towards turning things around.
Only idiot puppets like Obama don't understand that the Financial Game is over. The only thing left for the Financial Overlords is to keep putting money into mostly failed endeavors that will DRIVE (the fossil fuel age and automobiles are relative flukes and need to be put into historical perspective) the planet to extinction based on an insistent sucking the resources of the earth dry by insisting on the industrialization/consumption paradigm when we all should be asking for and working for an industrious/well being paradigm.
My guess is that 80% of the USA GDP is the consumption of gasoline for personal purposes. The automobile is the most destructive toy that ever disgraced the planet.
In addition to the rearrangement of the Financial Paradigm and Systems, we must also recognize and commit to the reduction of the use of the personal automobile in the USA by 80% in the next 20 to 40 years. This could be done by rebuilding communities and reallocating resources so that almost all communities are sedentary.
It's a tall order, but let's recognize the mission at hand and work diligently to educate and organize (so that we can allocate), accordingly.
Showing posts with label Financial System Reform. Show all posts
Showing posts with label Financial System Reform. Show all posts
Sunday, August 1, 2010
In Addition to “Workers’ Rights”
In Addition to “Workers’ Rights”
We have to also redefine “work”. We need to evolve from the industrial era to a modern industrious one. We need to bypass the Capitalist Plutocracy that evolved from the Bank of England into the Federal Reserve, the Capitalist Banking System, the WTO, the World Bank, their aggressive Military Industrial Complex and their subservient, yet aggressive to us, governments and commissioned militias.
We need to begin to educate and organize towards Independence from Financial Overlords and towards a cooperative communitarian vision that takes hold of the Treasuries of the world and allocates resources, based on need, to individuals and communities. We have to relearn the concept of community, but recognition is the first step towards realization.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
We have to also redefine “work”. We need to evolve from the industrial era to a modern industrious one. We need to bypass the Capitalist Plutocracy that evolved from the Bank of England into the Federal Reserve, the Capitalist Banking System, the WTO, the World Bank, their aggressive Military Industrial Complex and their subservient, yet aggressive to us, governments and commissioned militias.
We need to begin to educate and organize towards Independence from Financial Overlords and towards a cooperative communitarian vision that takes hold of the Treasuries of the world and allocates resources, based on need, to individuals and communities. We have to relearn the concept of community, but recognition is the first step towards realization.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
In Response to Raj
In Response to Raj
(In response to video and blog post on World Bank "Land Grabs" on Raj Patel's website introducing the concepts behind the book, "The Value of Nothing")
Raj et al,
Thank you for your leadership and valuable enunciation of common sense.
The Capitalist system is dead, more appropriately killing and dieing. It is the insane momentum of financial abstractions and technological "advancements" that is DRIVING (the automobile is a fluke of human history) the world to genocide, ecocide, and suicide. The Center of such a "progression" is the Military Industrial Complex led hegemony of the British Imperialist Capitalist/Industrial "culture" that saw the Bank of England transform itself to the Federal Reserve in the USA. Its' continental and colonial tyranny have manifested themselves in the World Bank and WTO, Corporate Capitalist Conglomerates and Wall Street and Main Street Financial and Land Overlords.
It is far past the 11th hour in our world, but if there is a solution, it lays in the the idea of a World Congress for Community Economic Development where we can work towards neighborhood/community, inter-community, and inter-regional solidarity and cooperation with local ecological economic redevelopment plans based on need and bypassing the International Finance "Community" as represented in the US by the Federal Reserve and participating Financial domineers and exploiters.
Save for strongholds like Kerala and Cuba, emerging Venezuela and the outgrowths of the work in these areas, we have not yet begun to organize. It is quite problematic from where I live, and throughout at least the North American continent (the only geography that I know) in that people are so firmly acculturated by the status quo that the people do not seem to have the hope, let alone the ability, to visualize an alternative economic system. The environmental damage and the momentum of entropy is so severe and the consciousness of the people so polluted and so incremental. "They've all bought into it", a friend terms it.
To each his own has become to each his own personal crisis and I wonder whether we have the educational and communication tools to reach them, that there may be, and the only hope is, a collective solution beginning with local community but extending out to world around solidarity and cooperation.
As I write this, my neighbors go their separate ways.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
(In response to video and blog post on World Bank "Land Grabs" on Raj Patel's website introducing the concepts behind the book, "The Value of Nothing")
Raj et al,
Thank you for your leadership and valuable enunciation of common sense.
The Capitalist system is dead, more appropriately killing and dieing. It is the insane momentum of financial abstractions and technological "advancements" that is DRIVING (the automobile is a fluke of human history) the world to genocide, ecocide, and suicide. The Center of such a "progression" is the Military Industrial Complex led hegemony of the British Imperialist Capitalist/Industrial "culture" that saw the Bank of England transform itself to the Federal Reserve in the USA. Its' continental and colonial tyranny have manifested themselves in the World Bank and WTO, Corporate Capitalist Conglomerates and Wall Street and Main Street Financial and Land Overlords.
It is far past the 11th hour in our world, but if there is a solution, it lays in the the idea of a World Congress for Community Economic Development where we can work towards neighborhood/community, inter-community, and inter-regional solidarity and cooperation with local ecological economic redevelopment plans based on need and bypassing the International Finance "Community" as represented in the US by the Federal Reserve and participating Financial domineers and exploiters.
Save for strongholds like Kerala and Cuba, emerging Venezuela and the outgrowths of the work in these areas, we have not yet begun to organize. It is quite problematic from where I live, and throughout at least the North American continent (the only geography that I know) in that people are so firmly acculturated by the status quo that the people do not seem to have the hope, let alone the ability, to visualize an alternative economic system. The environmental damage and the momentum of entropy is so severe and the consciousness of the people so polluted and so incremental. "They've all bought into it", a friend terms it.
To each his own has become to each his own personal crisis and I wonder whether we have the educational and communication tools to reach them, that there may be, and the only hope is, a collective solution beginning with local community but extending out to world around solidarity and cooperation.
As I write this, my neighbors go their separate ways.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
Wednesday, December 2, 2009
An Open Letter
Mike Morin
512 W.10th Avenue, #2
Eugene, OR 97401
December 2, 2009
Mr. Kenneth Lewis
President
Bank of America
Corporate Center
100 North Tryon Street
Charlotte, NC 28255
Mr. Lewis and/or whoever (else) reads this letter:
It is my sincerest Cynical hope that you all will read this letter, take it seriously, and strongly consider cooperating with the plans that I have laid out and will try now to succinctly summarize.
I am asking thee to take a leadership role in the Banking “Industry” and consider the education, communications, and actions that you can take with respect to a peaceful transition regarding the evolution to a cooperative communitarian economy that is fundamentally dedicated to meeting peoples needs and wellness in an inclusive, humane, equitable, clean, and sustainably principled manner and modus operandi.
The basic call is to convert the “private sector” to a quasi-public one, working in unity and cooperation and helping to relieve the burdens and fiscally strapped potential inadequacies of the various Public Institutions and Programs.
We need to reorganize, reallocate to and within communities and among and within economic sectors, rebuild our communities in recognition of the post-peak fossil fuel reality and the century of sprawl with a paradigm of ecological economic redevelopment.
It is my firmly held assertion that the business community with its assumptions of discount rates with the concept of the time value of money is a self-fulfilling inflationary perspective and practice where money becomes worth less, eventually worthless. Also on a finite planet, we cannot entertain the fantasy of infinite growth.
We need to move on to a new era in human evolution, that of Homa Cooperativo, where equity sharing replaces equity trading and lending.
I hope you will understand the wisdom and intelligence incorporated into this communication, share it with your compatriots, and seek further communications, elaboration, discussion, and work with me and the interests of the greater world that I represent.
Time is of the essence.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
peoplesequityunion@earthlink.net
512 W.10th Avenue, #2
Eugene, OR 97401
December 2, 2009
Mr. Kenneth Lewis
President
Bank of America
Corporate Center
100 North Tryon Street
Charlotte, NC 28255
Mr. Lewis and/or whoever (else) reads this letter:
It is my sincerest Cynical hope that you all will read this letter, take it seriously, and strongly consider cooperating with the plans that I have laid out and will try now to succinctly summarize.
I am asking thee to take a leadership role in the Banking “Industry” and consider the education, communications, and actions that you can take with respect to a peaceful transition regarding the evolution to a cooperative communitarian economy that is fundamentally dedicated to meeting peoples needs and wellness in an inclusive, humane, equitable, clean, and sustainably principled manner and modus operandi.
The basic call is to convert the “private sector” to a quasi-public one, working in unity and cooperation and helping to relieve the burdens and fiscally strapped potential inadequacies of the various Public Institutions and Programs.
We need to reorganize, reallocate to and within communities and among and within economic sectors, rebuild our communities in recognition of the post-peak fossil fuel reality and the century of sprawl with a paradigm of ecological economic redevelopment.
It is my firmly held assertion that the business community with its assumptions of discount rates with the concept of the time value of money is a self-fulfilling inflationary perspective and practice where money becomes worth less, eventually worthless. Also on a finite planet, we cannot entertain the fantasy of infinite growth.
We need to move on to a new era in human evolution, that of Homa Cooperativo, where equity sharing replaces equity trading and lending.
I hope you will understand the wisdom and intelligence incorporated into this communication, share it with your compatriots, and seek further communications, elaboration, discussion, and work with me and the interests of the greater world that I represent.
Time is of the essence.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
peoplesequityunion@earthlink.net
Sunday, October 18, 2009
The Federal Reserve?
What do we need the Federal Reserve for? It seems to me that, under a reformed financial/economic system, the Treasury could issue funds directly to people, communities, productive endeavors (via their local equity unions) rather than issuing money to speculative, usurious private corporations (the banks).
Friday, October 16, 2009
To AFL-CIO Regarding “Regulation” of the Financial Sector
Deregulation/Regulation is a false issue.
Regulation, is in some ways well intentioned, but in other ways a scheme of self-perpetuation of bureaucrats, some directly associated with the remaining strongholds of the AFL-CIO, AFSCME and SEIU.
That was not meant as an attack on those Unions, I invite their leaders and constituents to participate in the progress that I have in mind.
The issue of financial regulation is similar to the private (and quasi-public) sector health insurance practice of Utilization Management. It may serve a necessary "sentinel effect" on industries that are rife with greed, but at what bureaucratic costs?
Implementation of regulatory processes also qualify under the banner of futility, as do well meaning initiatives such as "truth in labeling", OSHA, and organic certification.
We don't need regulation, we need true fundamental economic/financial reform.
With regards to "nationalizing" Banks and other "investor owned" Institutions, we must be realistic concerning the inter-national composition of the investing institutions, corporations, and individuals.
Writing from a libertarian socialist point of view, I think it is necessary to clarify the objectives of any comprehensive program to re-dedicate private resources to a quasi-public mission and to consolidate equity and assets for the purposes of sharing the former and writing off the economically paralytic inflationary cost aspects of the latter.
In lieu of an economic system based on credit and equity trading, whose motivation is the underwriting of speculative ventures, and profit-taking, we need to transform our fundamentally inflationary financial/economic system to one that is based on equity sharing and meeting the needs of people in the form of community betterment.
Such a financial system would be the right hand, the resource allocation facilitating function and services of an ambidextrous ecological, democratic, economic "plan and implement" economy that would respect and favor the sovereignty of villages/neighborhoods, educate-foster-facilitate-inculcate inter-community and inter-regional equality, unity and cooperation based on the basic principles of inclusion, equity, humanity, mutualism, altruism, quality of life (in lieu of standard of living), environmental/public health and wellness, sustainability, and peace.
Such a system would seek to establish a more just balance between competitive advantage and comparative advantage with the concerns of those indigenous to all communities being paramount.
Such an economic system would recognize the necessity to embrace and implement conservation ethics for shorter term programs and projects of ecological economic redevelopment dedicated to survival pursuits and skills and its concomitant ubiquitous environmental improvement activities, and to the longer term programs and policies related to the legacy of the human race and its dominion (i.e. the recognition and respect of the resource limits imposed by a finite planet).
I call such a proposal an equity union and believe it to be a prudent and practical alternative to the extant economic/financial system. I believe such an economic rearrangement based on the fundamental mission of world unity and cooperation is the best hope for the purpose of entering an unprecedented era of peace and human progress and success.
Please respond.
Be not afraid of losing with respect to your personal private interest. There is more than a plethora of work to be done in fostering and facilitating the transition to a new financial/economic era and the avoiding the repercussions for letting the death of empire just run its course.
The first thing we must do is clarify our mission and principles. I hope that I have been clear at doing this here and among the other posts of which I have been trying to maximize circulation.
If the mission and principles are clear and desirable, then we need to form "union" with respect to their purposes, their education, their inculcation, their meaning to one and all, and the actions that we can all take to make such a purposeful, desirable world a reality.
We are in perilous times, and facing challenges that although having precedent, are unprecedented in the enormity of the fundamental change that is required. Fortunately, we have communications technology like we have never had before.
Let's not trivialize the fulcramatic shift needed in the financial/economic sector (i.e. resource allocation) by bickering about regulation, an ineffectual solution to the very real problems that we as people must address and act upon.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
Eugene, OR, USA
wiserunion@earthlink.net
(541) 343-3808
Regulation, is in some ways well intentioned, but in other ways a scheme of self-perpetuation of bureaucrats, some directly associated with the remaining strongholds of the AFL-CIO, AFSCME and SEIU.
That was not meant as an attack on those Unions, I invite their leaders and constituents to participate in the progress that I have in mind.
The issue of financial regulation is similar to the private (and quasi-public) sector health insurance practice of Utilization Management. It may serve a necessary "sentinel effect" on industries that are rife with greed, but at what bureaucratic costs?
Implementation of regulatory processes also qualify under the banner of futility, as do well meaning initiatives such as "truth in labeling", OSHA, and organic certification.
We don't need regulation, we need true fundamental economic/financial reform.
With regards to "nationalizing" Banks and other "investor owned" Institutions, we must be realistic concerning the inter-national composition of the investing institutions, corporations, and individuals.
Writing from a libertarian socialist point of view, I think it is necessary to clarify the objectives of any comprehensive program to re-dedicate private resources to a quasi-public mission and to consolidate equity and assets for the purposes of sharing the former and writing off the economically paralytic inflationary cost aspects of the latter.
In lieu of an economic system based on credit and equity trading, whose motivation is the underwriting of speculative ventures, and profit-taking, we need to transform our fundamentally inflationary financial/economic system to one that is based on equity sharing and meeting the needs of people in the form of community betterment.
Such a financial system would be the right hand, the resource allocation facilitating function and services of an ambidextrous ecological, democratic, economic "plan and implement" economy that would respect and favor the sovereignty of villages/neighborhoods, educate-foster-facilitate-inculcate inter-community and inter-regional equality, unity and cooperation based on the basic principles of inclusion, equity, humanity, mutualism, altruism, quality of life (in lieu of standard of living), environmental/public health and wellness, sustainability, and peace.
Such a system would seek to establish a more just balance between competitive advantage and comparative advantage with the concerns of those indigenous to all communities being paramount.
Such an economic system would recognize the necessity to embrace and implement conservation ethics for shorter term programs and projects of ecological economic redevelopment dedicated to survival pursuits and skills and its concomitant ubiquitous environmental improvement activities, and to the longer term programs and policies related to the legacy of the human race and its dominion (i.e. the recognition and respect of the resource limits imposed by a finite planet).
I call such a proposal an equity union and believe it to be a prudent and practical alternative to the extant economic/financial system. I believe such an economic rearrangement based on the fundamental mission of world unity and cooperation is the best hope for the purpose of entering an unprecedented era of peace and human progress and success.
Please respond.
Be not afraid of losing with respect to your personal private interest. There is more than a plethora of work to be done in fostering and facilitating the transition to a new financial/economic era and the avoiding the repercussions for letting the death of empire just run its course.
The first thing we must do is clarify our mission and principles. I hope that I have been clear at doing this here and among the other posts of which I have been trying to maximize circulation.
If the mission and principles are clear and desirable, then we need to form "union" with respect to their purposes, their education, their inculcation, their meaning to one and all, and the actions that we can all take to make such a purposeful, desirable world a reality.
We are in perilous times, and facing challenges that although having precedent, are unprecedented in the enormity of the fundamental change that is required. Fortunately, we have communications technology like we have never had before.
Let's not trivialize the fulcramatic shift needed in the financial/economic sector (i.e. resource allocation) by bickering about regulation, an ineffectual solution to the very real problems that we as people must address and act upon.
In Peace, Friendship, Community, Cooperation, and Solidarity,
Mike Morin
Eugene, OR, USA
wiserunion@earthlink.net
(541) 343-3808
Tuesday, May 12, 2009
(Updated) Restructuring Financial Systems
Restructuring Financial Systems
With respect to the "nature of wealth", I think that the "quality of life" paradigm in lieu of the "standard of living" paradigm needs to be stressed."Quality of life" includes personal happiness for self, family, friends, neighbors, and all others. It includes ownership opportunities for all and everybuddy having the things they need, including health, healthy and loving relations with family, friends, neighbors, and all the people of the world. It includes peace on earth, and it includes a future for all the children of the world.
"Standard of living" implies maximizing the consumption of things.
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all.
We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms cannot be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
I am writing and talking about transitioning slowly, methodically, and with the minimum amount of friction and hardship from a dysfunctional financial system, based on self-interest, to one designed to benefit everybuddy.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
The Peoples' Equity Union concept is designed to be a grass roots, popular choice "movement". I am organizing with individuals, workers, and shopkeepers in my neighborhood, adjoining neighborhoods, and through the inter-net to whomever I can attract an interest in the concept.
The focus is primarily local, yet global at the same time. It is my dream, not a hope yet, to encourage a critical mass of people to organize locally around a unifying mission, unifying principles, unifying strategies, and unifying tactics in order to minimize the amount of executive administration at the regional and global levels.
The theory is that neighborhood locales, the neighborhood community/worker hybrid association will have maximum autonomy and will be guided only, in their inter-community and inter-economic sector relationships by regional Planning Boards and a Global Policy Committee.
We must replace the current equity trading systems, corporate conglomerate corporations, insurance companies, and usurious banking systems of the Capitalist status quo with a worldwide Peoples' Equity Union with branches in every community/neighborhood.
The goal is to be a true economic democracy: of, for, and by the people.
Housing and Property Ownership
Concurrent with financial systems reform, discussed in a previous essay where equity sharing and not-for-profit equity investing would replace the current financial paradigm of for-profit equity investing, equity trading, and usurious credit arrangements, we need to evolve to a different system with respect to residential and other real property occupation arrangements.
In lieu of rent or leases, people should be allowed to acquire equity in their abodes and business properties. For example, in the case of an apartment, if one paid $500 per month to a property management firm, let's say $50 per month would go to property maintenance, and another $40 to administration fees, insurance, etc. This would leave the resident with $410 of accumulated equity added to their account each month. If we had a large cooperative housing organization (preferably world-wide, and preferably the only form of property ownership) then when someone had to move or wanted to move, they could take their equity with them to the new property.With regards to mortgages, they are horribly usurious and should be banned. The scenario related above would also replace the current system of financing "home ownership loans".
A huge problem that we are facing now is the terrible inflation in the market values of real property (and capital assets, for that matter). If we pooled our equity, pooled our assets, and collectively wrote off our liabilities, then we could significantly write down the market values of real and capital assets.
More on Equity Union(s)
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning would serve the needs of the people.In local and inter-community equity unions, equity sharing would be the modus operandi. People with funds being held in credit unions would have the option of investing in primarily worker owned community betterment projects based on the principles of quality of life, equity (which means ownership, and also means equality), humanity, and sustainability (which means there will be an economy and natural resources for the youth and the children, and for generations to come).
If the inflation spiral can be removed (and the cost of real and capital assets brought back to earth), then indigent and poor workers could hope to increase their equity holdings and quality of life assets and equity investors could hope to get their money back. Some endeavors, beyond poor workers enrichment, would be not-for-profit. That is, profits made beyond a pre-determined return to the poor workers, would be re-invested in more such worker/community betterment hybrid businesses (preferably cooperatives).
Equity investments in community businesses could not be sold to others, but could be bought back at par value (the price of the share of the stock when it was invested). Such would be discouraged, and disallowed if it was a qualified low-income/low wealth equity investor who may or may not if they were allowed to collect (limited) personal dividends.
Equity Union branches in low income/low wealth neighborhoods would be allowed to set up a (501)(c)(3) to receive donations to an equity fund for their neighborhoods, to be kept in a local Community Development Credit Union and the funds allocated (equity grants) by a Board committed to community betterment and the likely success of the endeavor(s).
With respect to the "nature of wealth", I think that the "quality of life" paradigm in lieu of the "standard of living" paradigm needs to be stressed."Quality of life" includes personal happiness for self, family, friends, neighbors, and all others. It includes ownership opportunities for all and everybuddy having the things they need, including health, healthy and loving relations with family, friends, neighbors, and all the people of the world. It includes peace on earth, and it includes a future for all the children of the world.
"Standard of living" implies maximizing the consumption of things.
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all.
We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms cannot be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
I am writing and talking about transitioning slowly, methodically, and with the minimum amount of friction and hardship from a dysfunctional financial system, based on self-interest, to one designed to benefit everybuddy.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
The Peoples' Equity Union concept is designed to be a grass roots, popular choice "movement". I am organizing with individuals, workers, and shopkeepers in my neighborhood, adjoining neighborhoods, and through the inter-net to whomever I can attract an interest in the concept.
The focus is primarily local, yet global at the same time. It is my dream, not a hope yet, to encourage a critical mass of people to organize locally around a unifying mission, unifying principles, unifying strategies, and unifying tactics in order to minimize the amount of executive administration at the regional and global levels.
The theory is that neighborhood locales, the neighborhood community/worker hybrid association will have maximum autonomy and will be guided only, in their inter-community and inter-economic sector relationships by regional Planning Boards and a Global Policy Committee.
We must replace the current equity trading systems, corporate conglomerate corporations, insurance companies, and usurious banking systems of the Capitalist status quo with a worldwide Peoples' Equity Union with branches in every community/neighborhood.
The goal is to be a true economic democracy: of, for, and by the people.
Housing and Property Ownership
Concurrent with financial systems reform, discussed in a previous essay where equity sharing and not-for-profit equity investing would replace the current financial paradigm of for-profit equity investing, equity trading, and usurious credit arrangements, we need to evolve to a different system with respect to residential and other real property occupation arrangements.
In lieu of rent or leases, people should be allowed to acquire equity in their abodes and business properties. For example, in the case of an apartment, if one paid $500 per month to a property management firm, let's say $50 per month would go to property maintenance, and another $40 to administration fees, insurance, etc. This would leave the resident with $410 of accumulated equity added to their account each month. If we had a large cooperative housing organization (preferably world-wide, and preferably the only form of property ownership) then when someone had to move or wanted to move, they could take their equity with them to the new property.With regards to mortgages, they are horribly usurious and should be banned. The scenario related above would also replace the current system of financing "home ownership loans".
A huge problem that we are facing now is the terrible inflation in the market values of real property (and capital assets, for that matter). If we pooled our equity, pooled our assets, and collectively wrote off our liabilities, then we could significantly write down the market values of real and capital assets.
More on Equity Union(s)
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning would serve the needs of the people.In local and inter-community equity unions, equity sharing would be the modus operandi. People with funds being held in credit unions would have the option of investing in primarily worker owned community betterment projects based on the principles of quality of life, equity (which means ownership, and also means equality), humanity, and sustainability (which means there will be an economy and natural resources for the youth and the children, and for generations to come).
If the inflation spiral can be removed (and the cost of real and capital assets brought back to earth), then indigent and poor workers could hope to increase their equity holdings and quality of life assets and equity investors could hope to get their money back. Some endeavors, beyond poor workers enrichment, would be not-for-profit. That is, profits made beyond a pre-determined return to the poor workers, would be re-invested in more such worker/community betterment hybrid businesses (preferably cooperatives).
Equity investments in community businesses could not be sold to others, but could be bought back at par value (the price of the share of the stock when it was invested). Such would be discouraged, and disallowed if it was a qualified low-income/low wealth equity investor who may or may not if they were allowed to collect (limited) personal dividends.
Equity Union branches in low income/low wealth neighborhoods would be allowed to set up a (501)(c)(3) to receive donations to an equity fund for their neighborhoods, to be kept in a local Community Development Credit Union and the funds allocated (equity grants) by a Board committed to community betterment and the likely success of the endeavor(s).
Wednesday, January 14, 2009
Updated Reforming Financial Systems
Reforming Financial Systems
With respect to the "nature of wealth", I think that the "quality of life" paradigm in lieu of the "standard of living" paradigm needs to be stressed."Quality of life" includes personal happiness for self, family, friends, neighbors, and all others. It includes ownership opportunities for all and everybuddy having the things they need, including health, healthy and loving relations with family, friends, neighbors, and all the people of the world. It includes peace on earth, and it includes a future for all the children of the world.
"Standard of living" implies maximizing the consumption of things.
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment.
Ideally, credit should only be used as a last resort, much more preferably not at all. We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms cannot be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
I am writing and talking about transitioning slowly, methodically, and with the minimum amount of friction and hardship from a dysfunctional financial system, based on self-interest, to one designed to benefit everybuddy.At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
The Peoples' Equity Union concept is designed to be a grass roots, popular choice "movement". I am organizing with individuals, workers, and shopkeepers in my neighborhood, adjoining neighborhoods, and through the inter-net to whomever I can attract an interest in the concept.
The focus is primarily local, yet global at the same time. It is my dream, not a hope yet, to encourage a critical mass of people to organize locally around a unifying mission, unifying principles, unifying strategies, and unifying tactics in order to minimize the amount of executive administration at the regional and global levels.
The theory is that neighborhood locales, the neighborhood community/worker hybrid association will have maximum autonomy and will be guided only, in their inter-community and inter-economic sector relationships by regional Planning Boards and a Global Policy Committee.
The goal is to be a true economic democracy: of, for, and by the people.
With respect to the "nature of wealth", I think that the "quality of life" paradigm in lieu of the "standard of living" paradigm needs to be stressed."Quality of life" includes personal happiness for self, family, friends, neighbors, and all others. It includes ownership opportunities for all and everybuddy having the things they need, including health, healthy and loving relations with family, friends, neighbors, and all the people of the world. It includes peace on earth, and it includes a future for all the children of the world.
"Standard of living" implies maximizing the consumption of things.
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment.
Ideally, credit should only be used as a last resort, much more preferably not at all. We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms cannot be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
I am writing and talking about transitioning slowly, methodically, and with the minimum amount of friction and hardship from a dysfunctional financial system, based on self-interest, to one designed to benefit everybuddy.At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
The Peoples' Equity Union concept is designed to be a grass roots, popular choice "movement". I am organizing with individuals, workers, and shopkeepers in my neighborhood, adjoining neighborhoods, and through the inter-net to whomever I can attract an interest in the concept.
The focus is primarily local, yet global at the same time. It is my dream, not a hope yet, to encourage a critical mass of people to organize locally around a unifying mission, unifying principles, unifying strategies, and unifying tactics in order to minimize the amount of executive administration at the regional and global levels.
The theory is that neighborhood locales, the neighborhood community/worker hybrid association will have maximum autonomy and will be guided only, in their inter-community and inter-economic sector relationships by regional Planning Boards and a Global Policy Committee.
The goal is to be a true economic democracy: of, for, and by the people.
Sunday, January 4, 2009
Transitioning to an Equity Union
I am writing and talking about transitioning slowly, methodically, and with the minimum amount of friction and hardship from a dysfunctional financial system, based on self-interest, to one designed to benefit everybuddy.
The Mondragon Community Cooperative is very successful, but like all eutopian (according to Lewis Mumford, the word "eutopian" means "good place") experiments it finds itself compromised by the surrounding Capitalist world, which forces it to compete and unfortunately compromise the social and economic values that it is chartered to uphold.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets.
For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all.
We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms can not be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
I'm a Work kin for peace and cooperation,
With much love and care,
Mike Morin
The Mondragon Community Cooperative is very successful, but like all eutopian (according to Lewis Mumford, the word "eutopian" means "good place") experiments it finds itself compromised by the surrounding Capitalist world, which forces it to compete and unfortunately compromise the social and economic values that it is chartered to uphold.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets.
For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all.
We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms can not be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
I'm a Work kin for peace and cooperation,
With much love and care,
Mike Morin
Saturday, December 27, 2008
Communications
With respect to the very large issue of the communications industry, again, the issue is the control of economic resources.
We need to start in all neighborhoods/local communities and build, or acquire and renovate, community centers that would serve to facilitate public meetings, intra and inter-community communications (internet-access, inter and intra-community radio and tele-conferencing, community television (associated with educational programming to be discussed later) and distribution space to facilitate the distribution of essential goods and services to walkable neighborhoods (whenever possible - meaning that rural communities would be very difficult to impossible to make "walkable" - although clustering of farmsteads would consitute a walkable neighborhood) as a very important focus of all our plans and further economic activity.
As the master of understatement, I assert that there is almost unlimited growth potential for the improvement in educational, and secondarily entertainment, media. A Communications Committee, working in concert with other economic sectors within the context of a highly principled ecological economic plan could request and receive non or not-for-profit "investments" from the Peoples' Equity Union. Neighborhood/Community allocations would be controlled by associated "branches", metropolitan and regional decisions controlled by appropriate administrative units, and matters of world-wide scope be decided by an appropriate Committee.
By the way, that is how I would propose all Peoples' Equity Union funds be allocated to all sectors of the economy. The decision-making process has to be primarily from the bottom to top. By that I mean, control of resources within a community and to a community begins with the community. Of course there will be transition issues as the current competitive advantage in the Capitalist economy is held by an inter-regional elite. All decisions of fund allocations will be subject to adherance to the mission, principles, strategies, and tactics of the Plan.
Classroom education needs to be reformed accordingly, as well. I'd like to discuss this in more detail at a later time or date.
I most certainly welcome and look forward to discussion on these and all related matters.
With much love and care,
Mike Morin
(541) 343-3808
We need to start in all neighborhoods/local communities and build, or acquire and renovate, community centers that would serve to facilitate public meetings, intra and inter-community communications (internet-access, inter and intra-community radio and tele-conferencing, community television (associated with educational programming to be discussed later) and distribution space to facilitate the distribution of essential goods and services to walkable neighborhoods (whenever possible - meaning that rural communities would be very difficult to impossible to make "walkable" - although clustering of farmsteads would consitute a walkable neighborhood) as a very important focus of all our plans and further economic activity.
As the master of understatement, I assert that there is almost unlimited growth potential for the improvement in educational, and secondarily entertainment, media. A Communications Committee, working in concert with other economic sectors within the context of a highly principled ecological economic plan could request and receive non or not-for-profit "investments" from the Peoples' Equity Union. Neighborhood/Community allocations would be controlled by associated "branches", metropolitan and regional decisions controlled by appropriate administrative units, and matters of world-wide scope be decided by an appropriate Committee.
By the way, that is how I would propose all Peoples' Equity Union funds be allocated to all sectors of the economy. The decision-making process has to be primarily from the bottom to top. By that I mean, control of resources within a community and to a community begins with the community. Of course there will be transition issues as the current competitive advantage in the Capitalist economy is held by an inter-regional elite. All decisions of fund allocations will be subject to adherance to the mission, principles, strategies, and tactics of the Plan.
Classroom education needs to be reformed accordingly, as well. I'd like to discuss this in more detail at a later time or date.
I most certainly welcome and look forward to discussion on these and all related matters.
With much love and care,
Mike Morin
(541) 343-3808
Friday, December 26, 2008
A “Double Payer” Economy and Health Care System
A single payer health care system paid for by tax revenues?
Single payer should be double payer with the “private” financial sector uniting into an Equity Union to cooperate with governments to fund all sectors of the (ecological) economy.
Who the hell pays taxes anyway?
People on payroll and their employers, that's probably about all. Those people, to a great extent should be relieved of that unfair burden.
Large companies use creative accounting schemes and there are just too many businesses, diversified corporations with diversified investment portfolios, equity investors, stock traders, medium and small contractors and businesses, etc. for the IRS to keep up with it all.
I don't think that much of the taxes that the government(s) would expect are actually being collected.
Why not pay, a well-managed capitated health care system directly out of the treasury and funds allocated by the Equity Union, supplemented by voluntary contributions from the wealthy and relatively wealthy?
An Equity Union (the pooling of ownership assets worldwide) could promote the active participation in a health fund. The Equity Union and the Treasur(ies) could make allocations on behalf of individuals in communities. The sum of payments to the community funds would be the budgeted amounts from which the capitated Regional HMOs would make their delivery decisions, consistent with a larger plan and well deliberated medical policies, which include a long-term plan for eliminating the plethora of unnecessary care, as well as taking all profits out of the delivery systems.
The equity fund and the treasury could allocate funds based on need, or the treasury could allocate to those in poor communities with little to no or negative equity (based on property values, and the amount of equity personally held in all property (real, capital, and personal)). People in wealthy communities, over their head in debt should be encouraged to move to poorer communities with some, if not all debt, forgiven.
In the new economy, there would be no debt and all would make equity payments instead of rent and mortgage interest payments.
Debt forgiveness should be part of the transition plan as should the writing down of real property values and the value of capital assets.
A double payer health care program would be part of a larger effort to invest in human and community improvement in poor areas and the transition of wealthy neighborhoods from standard of living wealth zones, to quality of life wealth zones (in all communities).
Don't tell me that it is too complicated. Have you ever seen the internal workings of Accounting, Information, Finance, and Marketing systems within large capitalist conglomerates, banks, governments, insurance companies, etc.? Like reducing the redundancy in health payment systems, a Peoples' Equity Union would save great amounts of money by eliminating profits (certain sectors such as health would be non-profit and sectors such as community improvement would be not-for profit), eliminating Marketing costs (save logistics), and greatly reducing redundancy in administrative costs in all sectors of the economy. It would actually be a simplified system with the ability to cooperate with social/environmental equity and sustainability goals. An Equity Union as a quasi-public organization (a NGO) would greatly reduce the need for big government(s).
Coordinated with an explicit Ecological Economic Plan, such Financial Systems Reform would go a long way towards the hope of realizing a peaceful, equitable, and sustainable world.
Workers' Compensation and Social Security programs need to be maintained.
The environment is the entire world and each individual’s relationship to their world. The environment is not an issue. It is THE issue.
Single payer should be double payer with the “private” financial sector uniting into an Equity Union to cooperate with governments to fund all sectors of the (ecological) economy.
Who the hell pays taxes anyway?
People on payroll and their employers, that's probably about all. Those people, to a great extent should be relieved of that unfair burden.
Large companies use creative accounting schemes and there are just too many businesses, diversified corporations with diversified investment portfolios, equity investors, stock traders, medium and small contractors and businesses, etc. for the IRS to keep up with it all.
I don't think that much of the taxes that the government(s) would expect are actually being collected.
Why not pay, a well-managed capitated health care system directly out of the treasury and funds allocated by the Equity Union, supplemented by voluntary contributions from the wealthy and relatively wealthy?
An Equity Union (the pooling of ownership assets worldwide) could promote the active participation in a health fund. The Equity Union and the Treasur(ies) could make allocations on behalf of individuals in communities. The sum of payments to the community funds would be the budgeted amounts from which the capitated Regional HMOs would make their delivery decisions, consistent with a larger plan and well deliberated medical policies, which include a long-term plan for eliminating the plethora of unnecessary care, as well as taking all profits out of the delivery systems.
The equity fund and the treasury could allocate funds based on need, or the treasury could allocate to those in poor communities with little to no or negative equity (based on property values, and the amount of equity personally held in all property (real, capital, and personal)). People in wealthy communities, over their head in debt should be encouraged to move to poorer communities with some, if not all debt, forgiven.
In the new economy, there would be no debt and all would make equity payments instead of rent and mortgage interest payments.
Debt forgiveness should be part of the transition plan as should the writing down of real property values and the value of capital assets.
A double payer health care program would be part of a larger effort to invest in human and community improvement in poor areas and the transition of wealthy neighborhoods from standard of living wealth zones, to quality of life wealth zones (in all communities).
Don't tell me that it is too complicated. Have you ever seen the internal workings of Accounting, Information, Finance, and Marketing systems within large capitalist conglomerates, banks, governments, insurance companies, etc.? Like reducing the redundancy in health payment systems, a Peoples' Equity Union would save great amounts of money by eliminating profits (certain sectors such as health would be non-profit and sectors such as community improvement would be not-for profit), eliminating Marketing costs (save logistics), and greatly reducing redundancy in administrative costs in all sectors of the economy. It would actually be a simplified system with the ability to cooperate with social/environmental equity and sustainability goals. An Equity Union as a quasi-public organization (a NGO) would greatly reduce the need for big government(s).
Coordinated with an explicit Ecological Economic Plan, such Financial Systems Reform would go a long way towards the hope of realizing a peaceful, equitable, and sustainable world.
Workers' Compensation and Social Security programs need to be maintained.
The environment is the entire world and each individual’s relationship to their world. The environment is not an issue. It is THE issue.
Wednesday, December 24, 2008
Reforming Financial Systems
People:
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all. We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms can not be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
Please help.
With much love and care,
Mike Morin
Eugene, OR
USA
(541) 343-3808
The current Capitalist dominated system is dysfunctional both from an equity/fairness and economic and natural resource sustainability perspective.
The dominant paradigm in Capitalist financial business operations uses something called the discount rate which assumes that money will be worth less (eventually worthless) in the future, thus creating a necessity to extract profits exceeding a "hurdle" rate leading to unfair and unwise exploitation of both workers and natural resources, and to rampant inflation.
The use of credit is not a good business or personal practice. In business, it should be discouraged because creditors have first claims on net revenues and hold liens on real property and capital assets. For "consumers", the use of credit is unwise because the system is set up to extract profits from interest thus assuring that when consumers use credit that they are losing money relative to inflation. Certainly the current foreclosure crisis in the USA is ample evidence of the inflation and the unfairness and unhealthiness of the mortgage lien process.
Credit Unions and Mutual Insurance companies are in theory attempts to institute non-profit economic democracies for their respective industries. However, because of the need to compete for customers, both of these relatively progressive financial service organization types are forced to play the same game that is basically destructive to individuals, families, communities, and the natural environment. Ideally, credit should only be used as a last resort, much more preferably not at all. We should replace all aspects of the extant financial system with an Equity Union. In some ways, a mutual insurance company is similar to an equity union. However, because such companies are required to realize profits in order to compete for "policy holders" (really investors), the companies that comprise the portfolios of the mutual insurance firms can not be not-for-profit, can not be mutual organizations themselves.
In a not-for profit Equity Union financial services system based on principles of mutuality working in concert with ethical, wise, knowledgeable, and intelligent community, inter-community, inter-regional, and worldwide planning there would certainly be an important role for financial service workers.
A major impediment to such an Equity Union would be the competitive advantage of the current financial sector and the fear of the friction of change to those individuals and organizations. Dealing with this sector of "the" economy, it would be more feasible with regards to Capitalist resistance and more humane, to orderly and peacefully transition to an Equity Union, coordinated with ecologically sound economic planning.
At risk of understatement, it will take a huge amount of work to educate folks to the need and benefits of such change and to communicate the basic Plan. Transition Planning will also be a very difficult process, but I see no alternative to the current, impending and worsening global economic, political, social, and natural environmental collapse.
Please help.
With much love and care,
Mike Morin
Eugene, OR
USA
(541) 343-3808
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