Sunday, November 30, 2008

So, You Think Outside The Box, Do You?

The Ashkelon Desalination Plant

This is a picture of one of the worlds best water desalination plants. It is capable of producing between 100 million and 400 million cubic meters of clean drinking water per year.

With the successful passage of The MINNESOTA TRANSPORTATION ACT (MTA), Minnesota will will soon have the most modern transportation infrastructure in the world - debt free. It will also have the most stable banking system, one of the lowest costs of living, the lowest unemployment rate, highest rate of people moving from welfare to work, highest savings rate, lowest gas prices, lowest tax rates, a dominating education and technology sector and some of the most forward thinking leadership in all of the world.

Soon after (I give it 48 hours before the first phone calls start coming in) the passage of the MTA, other states will want to repeat the successful law change allowing them to fix the glitch in their own infrastructure financing. They will repair their own roads and bridges. While Minnesota has 46 bridges that are structurally deficient or functionally obsolete and in need of immediate repair or replacement, Texas has 169 and California has nearly 1,000.

Alongside the roads and bridges that the state will pay for, outright, with newly created, debt free money, other infrastructure will be directly funded as well.

One of the most important projects to move forward on is water. Obviously, essential to all US Citizens. We need a network of desalination plants that can meet the needs of the US population and meet its agricultural needs. It makes great sense to have a back-up for dry times. Not too long ago, there was such a severe drought in Georgia that people were talking about evacuating Atlanta! No back-up is a very bad plan; especially when it comes to essentials like water.

Build them.

Build them so that they can be upgraded as new technology comes online and fund them - debt free - with the same principals detailed in the MTA. Pay the contractors, engineers, designers, inspectors, truck drivers, safety personnel, heavy equipment manufacturers (if you want heavy equipment that runs on hydrogen technology - fund the research!), uniform and equipment suppliers - they will spend that money into the economy and everyone will benefit, twice - first because new money will flow in and second because we get the desalination plants.

1. Build the desalination plants - some could be offshore.

2. Build a water pipeline from the Southern California coast up through the desert, through Nevada, Arizona, Utah, down to New Mexico and across to Texas and Oklahoma .  

3. Build a new freight rail and passenger rail system to several times the safety standards that exist now. Build the most high-tech, mag-lev, solar powered, hybrid, bullet-train system our scientists and engineers can devise.

4. Transform the old rail system into a waste management system and transport all agricultural, rural and urban, non-sewage, non-medical, compostable materials, not used by the localities, out to the desert.

5. Build composting, rotating-drum, rail cars to haul the compost and spray the waste with an eco-friendly enzyme so that the material is ready to till into the sand soon after it arrives.

6. Design and manufacture HHO powered mega tillers to till the compost into the sand - it won't be long before you will have a mix of sand and loam that will grow some of the best high-heat tolerant crops in the world.

7. Irrigate with the water pipeline.

8. Now export this technology to other areas of the world so that they can provide the food and the jobs for their people.

Food shortage?
Water shortage?

The MTA is a multi trillion dollar, world wide solution.

Box? Bah!

Friday, November 28, 2008

10,000 People In A Room - Work is Not Money.

Let's suppose that you have 10 people in a room and that each of these people has ten 1 dollar bills - that's $100. They can buy, sell and trade and seem to have enough money. Some may have a few dollars more, but there is enough to go around - the money supply is adequate for commerce.

Now, imagine adding 10,000 people to that room. Would there be a shortage of money? Of course; $100 is not enough money for 10,000 people to conduct their business.

Now, suppose that the 10,000 people work very hard, 20 hours per day and that they produce multiplied truckloads of wealth - good products that everyone can use.  How much money is there in the room?

Still $100.

Work does not increase the money supply.
Producing wealth, sometimes referred to as "production", does not increase the money supply.

In today's system, only borrowing increases the money supply.

Folding Our Way Back From The Sun


Q:  If you could fold a piece of paper that was .05 mm thick, in half, 50 times, how tall would the resulting stack of paper be?

A: Roughly 100 million kilometers, or 2/3 the way to the sun.  Fold it once more and the stack would be 50 million kilometers past the sun.

In terms of solving a problem that is working against you exponentially, reversing the process can yield very large gains.  In other words, unfold the paper just one time and the problem is half the size.

Our debt is growing exponentially.  "Compound interest" is working against us. We need to undo the damage.  
The MINNESOTA TRANSPORTATION ACT will begin to unfold our debt crisis, restore stability to our banking system, create jobs and reduce taxes. In addition, it's such a simple change and we could see results the first week it's passed.

Tuesday, November 25, 2008

Buddy, Can You Spare a Trillion?

"Of course I can drink myself sober -

they are trying to borrow us
out of debt, aren't they?"
Today they are announcing that they will borrow more money,
so that they can "unfreeze credit markets" - so that they can borrow some more.

Monday, November 24, 2008

Blink... Blink...

CBS News hits an "inside the park triple"!
Not quite a home run, but still, they are getting close to the answer.

Now, we just have to change a law allowing banks to do this without increasing the debt or taxes.

This is an idea who's time has come.


Saturday, November 22, 2008

Time For An Upgrade?



The Federal Reserve Act passed the same year that sliced bread was invented - 1913.

Just The Interest!

U. S. Family of 4 Average Income
Share of Interest on America's Total Debt

By 2016, Average Household Income in America, 
will not be enough to pay the INTEREST on America's Total Debt.

Debt, Income & Interest, M W Hodges 
and U.S. Department of Commerce

Trouble at the Lemonade Stand

A game of lemons

Friday, November 21, 2008

It's This Simple

A. If money exists, it was created. All money is created by banks, when they make loans. They create brand-new money; they do not loan out deposits. If they did, you could not get your deposit until the loan was paid back!

B. Banks only create the principal when they make the loan - never the interest that needs to be paid back. Since banks create all of our money, and only as a loan, there is no money created to pay interest.
C. Money to pay interest comes from a loan made somewhere else in the system. So, we borrow to have money, then we have to borrow to pay interest on the borrowed money! And we wonder why we are in so much debt?

Lessons From Katrina


Sow the Wind,
Reap the Whirlwind.

"Naa... We've seen this before. Nothing to worry about."

"I know it looks bad, but what can we do?"

"Yeah, but, these types of things are natural."

"I just don't think about it..."

"I'm not a weather expert, so..."

"I don't know what to do!"

There is a financial storm on the horizon.
We are feeling the initial gusts now.
You can make all the excuses you can think up, and excuses that someone else thought up too. But sooner or later "We The People" will not be able to pay the INTEREST on our debt - no matter how they twist the dials or pull the levers. Forget ever trying to pay off the principal. Just the interest alone, estimates show, will be unpayable, by 2016.
Let that sink in.
What does our economy look like when over $100 trillion in debt collapses? Remember, 1 trillion seconds is 31,688 years. In some circles they are talking about a Quadrillion dollar derivatives market folding under the pressure.
Folks, seriously. We need immediate intervention; and it can't be in the form of any sort of loan - you cannot borrow/bond/tax your way out of debt.
Finger pointing, feet-dragging and jaw-jacking are not enough! Neither is claiming ignorance.
If you are an adult, it's time to have big-people thoughts on how money is created, how it's done now, and what to do about fixing it. Don't fold by saying "I really don't get it." Get it. It's your country.
There is enough information on this web site to fix it. Read it until you get it. If it just did not make sense - reread it. Email us to set up an appointment with your church. Send this site to a friend. Get the education, on money, that you were never given! It's really all right here, on this web site. Do it before you are neck deep in water and looking for someone else to blame.
Without a wealth based money system - one that is debt free and spent, not loaned, into the economy for the benefit of all Americans - we will take a direct hit from the certain and approaching storm.
Then what?

Thursday, November 20, 2008

If Milk Were Money...

Where Does Milk Come From?

If you think that money comes from your job, do you think that milk comes from your refrigerator?

Seriously. Think about where money comes from, not just where you get it. And it's not "The Fed just prints it up", (see below).

Money is not created when you "work for it". Instead, your employer just pays you some of what they already have; they got that when they captured someone else's loan principal by selling something (commerce).

If your job doesn't already have someone else's loan principal, that they captured through commerce (so called, "profit"), then they borrow some, to make payroll. So, you see, the money that you get paid, is not a loan to you, but it is to someone. Now, money only exists when it's borrowed.
When you get paid, the reason they can pay you is because someone upstream took out a loan. It's the way they do it now.
You personally may not be in debt, but someone is (even if it's "the taxpayer") for you to have money. At its genesis, money comes into existence at a bank, when a loan is made.
If they can't capture someones loan principal through commerce, or can't borrow (or won't, or shouldn't so they don't), and they don't get a bailout (ha), and the employees won't work for free, then the business goes bankrupt.

What happens when there are fewer loans upstream? Turn on the news right now. Everyone is talking about it. But, nobody in "the media" is talking about how to fix it (we do). Instead they want to "inject" the economy with "liquidity" and ease the "credit markets". Or they want to "borrow money from the taxpayer" for a "stimulus package". Or they want to see widespread business failures because they are sure that those greedy businesses have overspent. They may have, but that is a separate issue. The main problem is that all money is created at banks when that new money is loaned, at interest.

What if the cows loaned all the milk?
You would have to pay it all back, in milk, plus interest.
Impossible for everyone.

Milk? It comes from a cow.
Money? It comes from a bank when a loan is made.



...the borrower is servant to the lender.

You Can Help


Send Us An Email.
We'll tell you how to help.

or find the "Contact Us" section
on the left side of this site.

Wednesday, November 19, 2008

Tic... Tic... Tic...

Time makes the debt grow.

Time does not make the money supply grow.

Monday, November 17, 2008

An Elegant and Powerful Concept

Let Us Introduce an Elegant and Powerful Concept:


Clean Capitalism is where the people own their production, the means of production and their money.

It's positive, forward thinking and pro American.

Honestly, what we have now can hardly be called Capitalism, when the people are forced to rent both their money (interest), and their property (taxes). Instead, it has become synthetic and dirtied over many years. That was not The Framer's intent; you and I, both know that.
It is our right to own the fruits of our labor. It is our responsiblity not to leave a mountain of unpayable debt to burden future generations. .It is our duty to fix it.
The good news: We Can Fix It.
Clean Capitalism, where the people own their production (property), the means of that production (business) and their money (medium of exchange), will unleash the leadership, creativity and growth of the American economy like never before - while promoting liberty, financial responsibility, and limiting massive government bureaucracy. We'll be discussing the concept on this site, using the principals laid down from the first entry and building on this elegant and powerful concept.
Read this blog from the bottom to the top - carefully, thoughtfully. Email with questions. There is high-performance, low-drag information here.

"If It's Such A Good Idea, Why Didn't Someone Think Of It Before?"

Whenever there is a break-
through idea, there are the naysayers.

What does so-and-so say about the idea?

That's never going to work.

Why, that's not how we do things around here!

You and your ideas! You'd better let the "experts" handle this.

That project of yours will never amount to anything.

The chance of it working are so slim, one might as well not even try.

Maybe they are so beaten down, it's easier to criticize a good idea. Or maybe they are out of ideas, or they are wedded to an idea that is obsolete. They either can't see it, or won't; either way, we should not look to them for leadership. They are followers. Perhaps disgruntled followers. But, followers just the same.

Leaders and innovators have vision; they have ideas. Sometimes they just need a little help getting the good idea off the ground. They need a few people to work with them, for everyone's benefit.

You can help. Just find the email address at the left of this web site. the Gold Certificate and send us an email letting us know that you want to help solve the economic mess.

It's easy to help.

It's even easier to be a naysayer.

Man! That's Velocity!

Usain Bolt is the fastest man on the planet. Running half sideways and with his shoe untied!

How fast does he need to run around the track, before he becomes two of himself?

Is that possible?

Economists are fond of the idea that if we take loans out fast enough, as the money circulates, there will be enough available for everyone to get a hold of and pay their debts - plus the interest that is owed, but was never created. In other words, if your loan principal changes hands fast enough, it becomes loan principal + interest. They call this concept "velocity".

Money can never go from hand to hand fast enough to become more money. That's like saying a man can run so fast that he becomes two men.

Recent events demonstrate what happens if the loans aren't made fast enough. Words like "credit freeze", "credit crunch" and "credit crisis" are tossed around - and so are trillions of dollars (1 trillion seconds is more than 31,000 years - this year alone, we've borrowed more than $5 trillion. Can we borrow to pay that off too?), to try and plug the obvious holes in the system that the theory of "velocity" can't describe or predict.

Velocity is an interesting theory, but in reality - in the world beyond theory - velocity is not a real answer. It merely covers up the fact that we have no permanent money system, the interest due on loans is never created and there is always more debt than money. Always.

"The Fed Just Prints It Up!"


The Federal Reserve does not print our currency. The Bureau of Engraving and Printing does; it's an agency within the Department of the Treasury.

The Bureau of Engraving and Printing prints, among other things, Federal Reserve Notes, and sells them to the Federal Reserve at pennies on the dollar - roughly 4 cents a piece.

The Federal Reserve, however, creates new money electronically, to buy the Federal Reserve Notes and other US Government Securities - each one representing more debt to the US taxpayer.
New money is also created when someone takes out a loan at a commercial bank. When a loan is taken out, they can NEVER simply count out the bills to the person taking out the loan, and give them the green paper. No, no, and again, no. The new electronic money must first be monetized through a checking account. Then, if the person who took the loan chooses, they can buy some of the paper stuff (Federal Reserve Notes) with their new electronic, checkbook, loan money. Those Federal Reserve Notes will represent their new debt.
For example: You can take out a $1,000 loan. The bank creates the new electronic money and deposits it into your account (at 10%, instantly, you owe $1,100). You can now take your checkbook and write out a check for "cash" and buy some Federal Reserve Notes to spend. The Federal Reserve Notes would be "evidence of your debt".

When you spend them out in the economy, some of them might end up in my wallet. Imagine it. Evidence of your debt, in my wallet, that I call money, and that you owe interest on.

We use debt for our money.

We can change that.

Wednesday, November 12, 2008


You Don't Have To Be An Einstein To Understand That

The Big Solutions Are Often Quite Simple.

Over $104 Trillion in debt and unfunded obligations, plus interest! And growing!

There is no way to pay our collective debt by using the formula of:
borrow+bond+tax+bailout = bankruptcy for the American people.

With a simple change in the law, we will be able to fund an infrastructure rebuild, create hundreds of thousands of jobs, drastically reduce taxes, balance budgets, while paying down our debt.

Listen to all of the "experts". They will say that they don't know how much this latest bailout will cost, they don't know if it's going to work, they don't know if this is the "bottom". They. Don't. Know. That's because they don't know what's wrong.

Here's what's wrong: We only use debt for money. We borrow our money into existence. No debt, no money.

Here's how to fix it: Stop. Stop using only debt for money. Begin funding the infrastructure rebuild with debt free money.

That's it.

A BIG idea.
That's simple.

Wednesday, November 5, 2008

The Songbooks

Find this story by clicking the link:



Tuesday, November 4, 2008


"I'm not asking you to give me money, I'm asking you to stop taking it away."
- anon.

How Can This Work? It Can't.

OK, if I am worth only $38. And then I owe $106. And ALL the money I have is $7.70, would you loan me more money?

Or maybe you would say, "You're broke already!"

Maybe you would recognize that my debt already exceeds my ability to pay.

Same thing for our country. Just say Trillions after the amounts - the math is the same.

Q: What is the natural outcome of using debt for your money?
A: More debt.


$38 Trillion - Value of America's Total Wealth
$53 Trillion - Total Debt (Government/Business/Personal)
$53 Trillion - Unfunded Liabilities (Like Social Security)
$7.7 Trillion - America's Total Money Supply, April 2008

Saturday, November 1, 2008


"The Government should create, issue and circulate all the currency and credits needed to satisfy the spending power of the Government and the buying power of consumers. By the adoption of these principles, the taxpayers will be saved immense sums of interest."
- President, Abraham Lincoln

The Creation of Money

It's clear, if money exists, it had to be created. It was not in Eden nor is it a product of evolution. It's man made.

Once it's created, it has to move into our economy.

Consider this: There are only 3 ways to get money into the economy.
  1. Gift it in
  2. Loan it in
  3. Spend it in
Each method has its own set of consequences.

FIRST, suppose that money is gifted in.
Gifting money into the economy would mean that they print up a bunch of money and hand it out. Perhaps a wagon load of money is parked on every street corner. You go pick up a handful when you need it. Or they give you money, maybe by check or electronic deposit. But that money does not need to be paid back - it's a gift.

If you did not produce anything in order to facilitate the new money creation, in a very short time, there would be more money than there is stuff to buy. Some economists say, that would cause inflation (later, we will discuss the bigger cause of inflation).

Additionally, many people would chose not to work - why work when all I have to do is walk down to the corner and grab a handful of money? As people stopped working, soon, there would be shortages in food - and everything else too! Lots of money with no production is a disastrous way to run an economy.

CONSEQUENCES: 1. An unmotivated work force. 2. Lack of innovation. 3. Social decay. 4. Severe drop in production. 5. Economic collapse.

That's gifting the money into the economy.

SECOND, new money is currently loaned into the economy.
New money is created each time a loan is made.
New money!

When you get a loan to buy a car or a house, the bank creates new money and loans it to you, putting it into your account, so that you can make your purchase. When you buy a new pair of shoes on your credit card, the bank creates new money and you pay the shoe store. None of that money comes from any one's savings account. They never loan out a person's savings account for a house mortgage - your savings would then be unavailable for 30 years! It's not done that way. Instead, what you get is newly created money when the loan is made.

QUESTION: When you borrow that money for the house, car or shoes, does the bank also create the money that you own for interest? Banks are the only place that new money comes from - do they create the interest they want back on the loans that they make?

ANSWER: Never. That money comes from loans taken out by someone else.

That's the glitch. Money to pay interest is never created. Therefore, we can never get out of debt. What we owe is always more than what has been created.

Oh, we can personally shift the debt off of ourselves and onto another. Or, we can get money to pay interest that exists in our economy through massive bankruptcies, identity theft and fraud, but we cannot pay the loans plus the interest due on the loans - with only the loans.

CONSEQUENCES: 1. Ever increasing debt. 2. Financial hardship for everyone. 3. The debt-money system institutionalizes corruption. 4. Boom-bust-bailout cycles that end in economic collapse.

THIRD, we can create the money, debt free, interest free, tax free and inflation free and spend the new money into the economy to pay for our infrastructure needs.

That's right. We could create the new money that we need to pay for our needed infrastructure rebuild. How? The same way it's done now, except for one thing - it wouldn't be done as a loan!

CONSEQUENCES: 1. Decreased bank default rate and increased liquidity. 2. Stabilized economy and jobs created. 3. Decreased taxes, increased savings and balanced budgets. 4. Lower fuel costs 5. Increase in overall spending power. 6. Safer, cleaner roads and bridges. 7. Energy independence. 8. Showcase Minnesota Leadership.