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DEMOCRACY
In order for Democracy to spread and work, there must be democratic tolerances in place in all nations. Some of these tolerances would be freedom of speech, and freedom of the press. America has a constitution that guarantees citizens the right to express their ideas in public through speaking and writing, and a right to assemble to hear political expression. Unfortunately not every country permits free thought, and sometimes it is hard to communicate ideas to citizens in repressive countries.
Since I began this blog on the ADI website, I noticed it gained popularity throughout the world, by checking the search engine MSN live that shows the page under my name. I was encouraged that I was helping to spread democracy and scientific theory. Yahoo, for the past four months had listed this blog at the top of the Kevin MacMillan page and so did MSN. Google never picked it up to date, or possibly suppressed it. After my latest blog, entitled Dialectics, Yahoo removed any information regarding my blog on empowerchange. Although MSN continues to list it in the United States English Version, the Spanish Version where it has been at the top of the page for months no longer lists it.
When I wrote the first couple blogs on this site, I noticed that it had risen to the top of the page in nearly all the developing nations, but the G7 nations, with the exception of the US, were not picking it up. When I strayed from history and economics, into politics, and mentions of multinational corporations and the activist John Perkins, the references disappeared. I am very much aware that many nations do not allow free expression and thus the reason for the possible censorship of my ideas. But the question still remains: have we become slaves to multinational capitalism? And does that slavery that indebts third world countries now threaten to indebt the American people by bailing out the multinational juggernaut?
It seems like a great time to re-read Jean Jacques Rousseau's Social Contract and Thomas Paine's Rights of Man.
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
In order for Democracy to spread and work, there must be democratic tolerances in place in all nations. Some of these tolerances would be freedom of speech, and freedom of the press. America has a constitution that guarantees citizens the right to express their ideas in public through speaking and writing, and a right to assemble to hear political expression. Unfortunately not every country permits free thought, and sometimes it is hard to communicate ideas to citizens in repressive countries.
Since I began this blog on the ADI website, I noticed it gained popularity throughout the world, by checking the search engine MSN live that shows the page under my name. I was encouraged that I was helping to spread democracy and scientific theory. Yahoo, for the past four months had listed this blog at the top of the Kevin MacMillan page and so did MSN. Google never picked it up to date, or possibly suppressed it. After my latest blog, entitled Dialectics, Yahoo removed any information regarding my blog on empowerchange. Although MSN continues to list it in the United States English Version, the Spanish Version where it has been at the top of the page for months no longer lists it.
When I wrote the first couple blogs on this site, I noticed that it had risen to the top of the page in nearly all the developing nations, but the G7 nations, with the exception of the US, were not picking it up. When I strayed from history and economics, into politics, and mentions of multinational corporations and the activist John Perkins, the references disappeared. I am very much aware that many nations do not allow free expression and thus the reason for the possible censorship of my ideas. But the question still remains: have we become slaves to multinational capitalism? And does that slavery that indebts third world countries now threaten to indebt the American people by bailing out the multinational juggernaut?
It seems like a great time to re-read Jean Jacques Rousseau's Social Contract and Thomas Paine's Rights of Man.
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
The Dialectic
A couple of weeks ago while producing my last blog on multi-national corruption I discovered a book and an author that I had not heard about that says much about the times we are enduring now. The author's name is John Perkins, and his book is entitled Economic Hitman, a New York Times non-fiction bestseller. It deals with the powers of multinational corporations, and their impacts on the global economy. By the way, I have always claimed that I coined the term multi-national (hyphenated at first) in an essay on the Vietnam War in 1970. I wanted to describe corporations that I felt were mislabeled international, suggesting American international corporations, while their stockholders and interests were really multinational. The interviews I have seen with John Perkins on Youtube etc., confirms for some of us, many of our suspicions; including the most important one of whether those who are in charge of global economic policy are elected, or appointed. Do they serve for a designated time period or is their authority interminable? Georg Wilhelm Hegel, the great German Philosopher of the nineteenth century, would attribute this recent downturn, and the role of multinationals, to historical dialectics, where a dominant thesis will prevail on the world stage until a revolutionary idea changes the way things are. He called the dominant Spirit the Geist, and speculated that it was hopeless to resist the trend with the antithetical ideas in the beginning, but a revolutionary idea, like the industrial revolution, and for that matter, the American Revolution, would synthesize the thesis and antithesis and create a new dialectic for all who are subject to it. In that precise way, the industrial economy as opposed to the agrarian economy, and democracies, as opposed to monarchies, changed the dialectics of how we survive. We are now in need of another great idea for change. In 1991-1992, I published a series of articles that dealt with banking, money supply, health care, etc., called an Interview with the Poor Party Candidate. This was during the American Presidential election cycle featuring Bill Clinton against the incumbent George Herbert Walker Bush. We were in a long lasting recession at the time. I am a builder, and housing was slow, so I tried to compensate for lack of income, by writing. In December of 1991, I was contacted by a H. Scott Higgins from Greenwich, Connecticut about a building project. By January 1992, I was working in Greenwich, in what I was told was the President's mother and dad's neighborhood (Barbara and Prescott Bush). His mother was still alive for that election and our time down there. The circumstances we endured down there always suggested politics, not construction problems, and I came to my own conclusion that Mr. Higgins was something other than what he pretended to be. This is where my interests were piqued by John Perkins when he informed me about multinationals and their minions from the NSA. The case that we filed to recover from the contract breech is known as MacMillan v. Higgins, and took twelve years to litigate. I could never overturn the verdict of the Attorney Trial Referee, Samuel Schoonmaker III, who by the way, was Jack Welch's (GE CEO) lawyer, who was appointed because of mistrial. The point is, we cannot change the past, but we can change the future, if we have courage and creativity. We need only look at Nelson Mandela and read his autobiography, Long Walk to Freedom, to see how far we can go with faith, hope and charity. Years ago, in 1978, in pondering the future of our rural environment in the town in which I live, and considering how we could control our environment, I coined the phrase Quality of Life, to describe what some of us were seeking. I had been reading Robert Pirsig's, Zen and the ART of Motorcycle Maintenance, and all off his thoughts had to do with product development, the quantity and the quality. It's pretty darn hard to have a natural environment without a natural philosophy, or a natural philosophy without a natural environment. That is where the dialectic comes in; finding what we need and changing things as they are to reach those needs. How do we balance the control of the Land, Labor and Capital, so we do not suffer the toxic effects of the multinationals? The answer will bring the new dialectic. Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
A couple of weeks ago while producing my last blog on multi-national corruption I discovered a book and an author that I had not heard about that says much about the times we are enduring now. The author's name is John Perkins, and his book is entitled Economic Hitman, a New York Times non-fiction bestseller. It deals with the powers of multinational corporations, and their impacts on the global economy. By the way, I have always claimed that I coined the term multi-national (hyphenated at first) in an essay on the Vietnam War in 1970. I wanted to describe corporations that I felt were mislabeled international, suggesting American international corporations, while their stockholders and interests were really multinational. The interviews I have seen with John Perkins on Youtube etc., confirms for some of us, many of our suspicions; including the most important one of whether those who are in charge of global economic policy are elected, or appointed. Do they serve for a designated time period or is their authority interminable? Georg Wilhelm Hegel, the great German Philosopher of the nineteenth century, would attribute this recent downturn, and the role of multinationals, to historical dialectics, where a dominant thesis will prevail on the world stage until a revolutionary idea changes the way things are. He called the dominant Spirit the Geist, and speculated that it was hopeless to resist the trend with the antithetical ideas in the beginning, but a revolutionary idea, like the industrial revolution, and for that matter, the American Revolution, would synthesize the thesis and antithesis and create a new dialectic for all who are subject to it. In that precise way, the industrial economy as opposed to the agrarian economy, and democracies, as opposed to monarchies, changed the dialectics of how we survive. We are now in need of another great idea for change. In 1991-1992, I published a series of articles that dealt with banking, money supply, health care, etc., called an Interview with the Poor Party Candidate. This was during the American Presidential election cycle featuring Bill Clinton against the incumbent George Herbert Walker Bush. We were in a long lasting recession at the time. I am a builder, and housing was slow, so I tried to compensate for lack of income, by writing. In December of 1991, I was contacted by a H. Scott Higgins from Greenwich, Connecticut about a building project. By January 1992, I was working in Greenwich, in what I was told was the President's mother and dad's neighborhood (Barbara and Prescott Bush). His mother was still alive for that election and our time down there. The circumstances we endured down there always suggested politics, not construction problems, and I came to my own conclusion that Mr. Higgins was something other than what he pretended to be. This is where my interests were piqued by John Perkins when he informed me about multinationals and their minions from the NSA. The case that we filed to recover from the contract breech is known as MacMillan v. Higgins, and took twelve years to litigate. I could never overturn the verdict of the Attorney Trial Referee, Samuel Schoonmaker III, who by the way, was Jack Welch's (GE CEO) lawyer, who was appointed because of mistrial. The point is, we cannot change the past, but we can change the future, if we have courage and creativity. We need only look at Nelson Mandela and read his autobiography, Long Walk to Freedom, to see how far we can go with faith, hope and charity. Years ago, in 1978, in pondering the future of our rural environment in the town in which I live, and considering how we could control our environment, I coined the phrase Quality of Life, to describe what some of us were seeking. I had been reading Robert Pirsig's, Zen and the ART of Motorcycle Maintenance, and all off his thoughts had to do with product development, the quantity and the quality. It's pretty darn hard to have a natural environment without a natural philosophy, or a natural philosophy without a natural environment. That is where the dialectic comes in; finding what we need and changing things as they are to reach those needs. How do we balance the control of the Land, Labor and Capital, so we do not suffer the toxic effects of the multinationals? The answer will bring the new dialectic. Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
Multi-National Corruption
As the economic contraction continues the question has arisen about blame. What is the problem? Who caused this? Where did it start? When did we first recognize impending disaster? How are we going to solve this contraction and start expanding again? Here's what I can see now that I couldn't see before.
Q. What is the problem?
A. The problem is liquidity and contraction of credit caused by overproduction of financial investment instruments by Multi-National financial corporations. These were called derivatives and there are apparently more than 100 trillion dollars invested in them globally. They were overproduced because of their high yielding return features, but their real values are now questionable, and so are hard to sell or trade. In manufacturing history, overproduction has always led to recession/depression when demand for the product is met and capital is outstripped by labor and cost the cost of doing business. But this time it is not bicycles and sewing machines that have been overproduced and invested in, it is notes and mortgages. It is really no surprise that money would be contracted faster when the products are financial.
Q. Who caused this?
A. The executives of Multi-National investment firms like Lehman Brothers, Goldman Sachs, Bear Stearns, Morgan Stanley, Merrill Lynch, and AIG. They developed and supervised the financial products, and were in the best position to profit greatly from the return on sales.
Q. Where did it start?
A. It started simultaneously, globally, as the financial corporations are multi-national.
The five biggest investment houses were based in New York, however, and it thus gave the false impression that it started in the United States. Moreover, it was not mortgage failure that began the collapse; it was the collapse of values and sales of these financial instruments that has caused the mortgage failures. When businesses failed because of lack of capital, workers were laid off, jobs disappeared, and people were no longer able to pay for their mortgages because of lack of employment and income. People who had money aggravated the liquidity problem by selling their stock investments and putting their capital in bonds and savings accounts. Essentially capital was hoarded and then became unavailable.
Q. When did we first recognize impending disaster?
A. Henry Paulson, Wall Street insider, former CEO of Goldman Sachs, and former US Treasury Secretary under George Bush, was informed through his sources, and came to the American people begging for a 700 billion dollar bailout to save the ones he loved. Of the original 350 billion entrusted to Mr. Paulson by the American people, only 100 million has been lent in the US so far because the multi-nationals are catering to their global investment community. Dubai has apparently received 8 billion dollars from the original 350 billion. An assistant US Treasury secretary recently acknowledged this fact to Congress, and explained that these corporations have international investors, and so deserve to use US taxpayer money appropriated to solve the problems in the US, in their own countries.
Q .How are we going to solve this problem and start expanding again?
A. Once the problem is understood, it becomes easier. Although the Obama administration is proceeding with scientific monetary solutions that would normally solve the liquidity problem prior to globalization, it must be recognized that the money supply cannot be inflated in the US as long as taxpayer dollars intended for the solution are leaving the country for foreign stimulations. It is like trying to blow up a leaky balloon. The effort is lost, and nobody knows where the air (money) is going to end up. Either the investment houses and large banks must go bankrupt, and the investors suffer the losses, or they must be nationalized so that the American taxpayer can receive the benefits of carrying the burden of the solution. The third alternative is that every participating country appropriate taxes from their own citizens to contribute to the bailout, to meet the user demands they make on the financial houses,.
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
As the economic contraction continues the question has arisen about blame. What is the problem? Who caused this? Where did it start? When did we first recognize impending disaster? How are we going to solve this contraction and start expanding again? Here's what I can see now that I couldn't see before.
Q. What is the problem?
A. The problem is liquidity and contraction of credit caused by overproduction of financial investment instruments by Multi-National financial corporations. These were called derivatives and there are apparently more than 100 trillion dollars invested in them globally. They were overproduced because of their high yielding return features, but their real values are now questionable, and so are hard to sell or trade. In manufacturing history, overproduction has always led to recession/depression when demand for the product is met and capital is outstripped by labor and cost the cost of doing business. But this time it is not bicycles and sewing machines that have been overproduced and invested in, it is notes and mortgages. It is really no surprise that money would be contracted faster when the products are financial.
Q. Who caused this?
A. The executives of Multi-National investment firms like Lehman Brothers, Goldman Sachs, Bear Stearns, Morgan Stanley, Merrill Lynch, and AIG. They developed and supervised the financial products, and were in the best position to profit greatly from the return on sales.
Q. Where did it start?
A. It started simultaneously, globally, as the financial corporations are multi-national.
The five biggest investment houses were based in New York, however, and it thus gave the false impression that it started in the United States. Moreover, it was not mortgage failure that began the collapse; it was the collapse of values and sales of these financial instruments that has caused the mortgage failures. When businesses failed because of lack of capital, workers were laid off, jobs disappeared, and people were no longer able to pay for their mortgages because of lack of employment and income. People who had money aggravated the liquidity problem by selling their stock investments and putting their capital in bonds and savings accounts. Essentially capital was hoarded and then became unavailable.
Q. When did we first recognize impending disaster?
A. Henry Paulson, Wall Street insider, former CEO of Goldman Sachs, and former US Treasury Secretary under George Bush, was informed through his sources, and came to the American people begging for a 700 billion dollar bailout to save the ones he loved. Of the original 350 billion entrusted to Mr. Paulson by the American people, only 100 million has been lent in the US so far because the multi-nationals are catering to their global investment community. Dubai has apparently received 8 billion dollars from the original 350 billion. An assistant US Treasury secretary recently acknowledged this fact to Congress, and explained that these corporations have international investors, and so deserve to use US taxpayer money appropriated to solve the problems in the US, in their own countries.
Q .How are we going to solve this problem and start expanding again?
A. Once the problem is understood, it becomes easier. Although the Obama administration is proceeding with scientific monetary solutions that would normally solve the liquidity problem prior to globalization, it must be recognized that the money supply cannot be inflated in the US as long as taxpayer dollars intended for the solution are leaving the country for foreign stimulations. It is like trying to blow up a leaky balloon. The effort is lost, and nobody knows where the air (money) is going to end up. Either the investment houses and large banks must go bankrupt, and the investors suffer the losses, or they must be nationalized so that the American taxpayer can receive the benefits of carrying the burden of the solution. The third alternative is that every participating country appropriate taxes from their own citizens to contribute to the bailout, to meet the user demands they make on the financial houses,.
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
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Fortunately we have a new government in Iceland.
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The old criminal element is going out.
Read all about it http://www.icelandcrash.com
New book just published: The Iceland Crash.
We are told that we don't want government run health care, but did you know that the government is already involved? And, frankly, it isn't doing such a good job.
The government sets the rules for business, and health care is definitely a business, by passing laws. For example, the law says that it is the legal duty of corporations to make profit for their shareholders. Why? Because of historical accident. Private enterprise seemed to work pretty well in a lot of areas, so civilized societies used it often. The problem is that unfettered free enterprise hasn't been working as well lately, as illustrated by the melt-down in the banking sector and our increasingly dysfunctional health care system.
The problem is that private enterprise doesn't plan ahead. It is only "thinking" about immediate profit, so it offers the least possible service at the greatest cost that it can get away with. These companies are insurance companies, big pharma, large hospital networks, and managed care. Our health care now costs twice as much per person as any other country and the US is ranked 37th in health care delivery, just after Costa Rica.
Frightening as it seems, government is the only thing big enough to control big business. True, the government hasn't seemed to do a lot of long term planning lately either, but it is the only option. Let's tell our leaders that we want them to do a better job! I have some ideas how they can do that in health care, which I will be writing about in the future.
The government sets the rules for business, and health care is definitely a business, by passing laws. For example, the law says that it is the legal duty of corporations to make profit for their shareholders. Why? Because of historical accident. Private enterprise seemed to work pretty well in a lot of areas, so civilized societies used it often. The problem is that unfettered free enterprise hasn't been working as well lately, as illustrated by the melt-down in the banking sector and our increasingly dysfunctional health care system.
The problem is that private enterprise doesn't plan ahead. It is only "thinking" about immediate profit, so it offers the least possible service at the greatest cost that it can get away with. These companies are insurance companies, big pharma, large hospital networks, and managed care. Our health care now costs twice as much per person as any other country and the US is ranked 37th in health care delivery, just after Costa Rica.
Frightening as it seems, government is the only thing big enough to control big business. True, the government hasn't seemed to do a lot of long term planning lately either, but it is the only option. Let's tell our leaders that we want them to do a better job! I have some ideas how they can do that in health care, which I will be writing about in the future.
With the change of administration we have the opportunity for real change in our health care system. That can be good or bad, and lots of people and health care companies are going to have ideas on how to make that change. One thing to keep in mind is that there is a lot of profit in our current health care system. Since our health care costs almost twice as much as any other country in the world, it is reasonable to think that profit or the result of it actually doubles the cost of our health care. Other developed democracies don't depend on unfettered free enterprise to run their health care.
Lots of the companies-big pharma, insurance and managed care plans-who make this profit on health care are going to tell you that they are the experts and they can handle health care reform for you. As in the past, their opinions are going to be tainted by their desire to keep making the profit that they do out of your health care dollars.
The subject of health care is a really complex one, and as a former nurse, attorney and author, I have spent a lot of time (over 30 years) involved in the health care system and big business, as well as investigating it. I've learned a lot that the health care "experts" want you to overlook. I am going to be writing a series of articles to break down the issues that have or will be raised in our countries effort at health care reform. I encourage you to read along and raise any questions that you may have about what I say.
Lots of the companies-big pharma, insurance and managed care plans-who make this profit on health care are going to tell you that they are the experts and they can handle health care reform for you. As in the past, their opinions are going to be tainted by their desire to keep making the profit that they do out of your health care dollars.
The subject of health care is a really complex one, and as a former nurse, attorney and author, I have spent a lot of time (over 30 years) involved in the health care system and big business, as well as investigating it. I've learned a lot that the health care "experts" want you to overlook. I am going to be writing a series of articles to break down the issues that have or will be raised in our countries effort at health care reform. I encourage you to read along and raise any questions that you may have about what I say.
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You're the one-the one Swayne a cinderella story soundtrack called 'Cobra'! It's a snake. I don't get it- It's confusing. You're dick cavett one of us! I was. I was also cut tasmin lucia khan out. I snaked back in, as it were. The boyd coddington death sergeant frantically looked at the door, then the deathbed the bed that eats people windows. How'd you get in here? Where are comedians of comedy the guards, the dogs? Jesus! Where are they? The betus dogs are asleep in the kennels, so I cpap mask gave the guards the night off. You gave...? The sora o miageru shoujo no hitomi ni utsuru sekai dogs are on the grounds! Not any longer. They seth galifianakis were persuaded to rest. The guards-the goddamned guards! They were franklin vs henderson persuaded to leave. What they think is happening matchstick men here tonight is even more confusing. What've you done-what fleet foxes are you doing? I thought I just mentioned it. andre berto We're going to talk, Sergeant Flannagan. I want arsenic and old lace to get caught up with some old comrades. The us states frightened man backed awkwardly away from the chair. paul vincent You're the maniac they called Delta before you jake lamotta turned and went in business for yourself! he romulation cried in a guttural whisper. There was a obama concert picture, a photograph-you were laid out on a legend of the seeker episode 9 slab, bloodstains all over the sheet from the big o bullet wounds; your face was uncovered, your eyes a cool dry place wide open, holes still bleeding on your forehead feld motorsports and your throat. ... They asked me who supermodel gia you were and I said, 'He's Delta. Delta lil cease One from the illegals,' and they said, 'No, joox h. Read More »
We have been attempting to reform healthcare for years. Each time the issue arises, big business tells us that the only alternative to what we have is Canadian-style, government- run health care. These businesses say that more competition is needed and offer to help fix what is wrong with the free enterprise system that we currently rely on. We now spend roughly twice the amount for healthcare as any other developed country (16% of our GDP as opposed to 8-9%) and we have an increasing number of people who have no healthcare insurance (47 million).
There is another alternative—a private/public partnership limiting government to collecting taxes in place of health insurance premiums and monitoring profit of these big businesses, with private companies administering payment for care to private doctors and hospitals. This is the system in France, Germany, Japan and Taiwan. Those countries have better health care, more satisfied patients and spend half as much of their economies on health care.
Read More »The drug companies are starting their campaign, claiming that price controls for drugs are looming in the future.
No one is talking price controls; we just want a level playing field. We are just want to take away the privileged position that the drug companies now enjoy which prevents them from even having to deal with the natural competitive environment.
The US pays twice to three times as much for drugs as compared to the rest of the world. Why? Because the law doesn’t even allow the government to negotiate the price of drugs it buys for Medicare patients and we cannot reimport drugs made in the US but sold elsewhere at a lower price, supposedly for the purpose of safeguarding our drug supply.
The powerful lobby of big pharma caused the insertion of a little known provision in Medicare Part D, the law that helps provide drugs for seniors. It specifically forbids the US government from negotiating price on the medicines that are covered under that law. The result is a dilemma for many seniors. To pay their part for medicines, some have to choose between their drugs or food.
Read More »Flight Attendant emotional hijacking is without a doubt the most fleeting and disruptive negative emotion, especially when chronic anger, anxiety or a sense of pointlessness powerfully disrupt work, in the end hijacking attention from the task at hand.
My interaction with my Purser last night led to bad feelings, frustration, disappointment, anger, sadness, and disgust. The distress was more than any annoyed passenger I have ever encountered, our present work pressure, new company policies, or personal problems combined. Distress not only erodes mental abilities, but also makes people less emotionally intelligent. People who are upset 100% of the times like my Purser last night in due course have trouble reading emotions accurately in other people decreasing the most basic skill needed for empathy and, as result, impairing their social skills.
Not that all Airline Pursers need to be overly "nice" simply said the emotional art of leadership includes pressing the reality of work demands without unduly upsetting people.
As flight attendants were all hired because we demonstrated during our initial company interview an innate sense of self-management and one or more of the following competencies: Self-control, Adaptability, Sense of achievement, Initiative driven, Self confidence, Optimism, Empathy towards others, encouraging, Influential, Emotional self-awareness, Accurate self-assessment, good conflict management, Developing others, Excellent teamwork & collaboration, Strong advocates and service with a smile. When Flight Attendants feel good we work best. Feeling good brings about mental efficiency. We understand that our customer service job is notoriously stressful with high emotions flowing freely; like a cheap beer keg at a fraternity party, not just from passengers and employees but also from employees to passengers. Read More »
My interaction with my Purser last night led to bad feelings, frustration, disappointment, anger, sadness, and disgust. The distress was more than any annoyed passenger I have ever encountered, our present work pressure, new company policies, or personal problems combined. Distress not only erodes mental abilities, but also makes people less emotionally intelligent. People who are upset 100% of the times like my Purser last night in due course have trouble reading emotions accurately in other people decreasing the most basic skill needed for empathy and, as result, impairing their social skills.
Not that all Airline Pursers need to be overly "nice" simply said the emotional art of leadership includes pressing the reality of work demands without unduly upsetting people.
As flight attendants were all hired because we demonstrated during our initial company interview an innate sense of self-management and one or more of the following competencies: Self-control, Adaptability, Sense of achievement, Initiative driven, Self confidence, Optimism, Empathy towards others, encouraging, Influential, Emotional self-awareness, Accurate self-assessment, good conflict management, Developing others, Excellent teamwork & collaboration, Strong advocates and service with a smile. When Flight Attendants feel good we work best. Feeling good brings about mental efficiency. We understand that our customer service job is notoriously stressful with high emotions flowing freely; like a cheap beer keg at a fraternity party, not just from passengers and employees but also from employees to passengers. Read More »
To ALL union toilers in the Sunshine state: If you feel that it is time to stand up for what we believe in and to show our employers that we will not sit down or take a back seat to their "we can't afford that" rhetoric; If you feel it is time for US to take a united stand, not against our employers, but working with them to gain a favorable status and to restore OUR foot hold in the American work place. We have to show that WE can be competitive, and yet productive, WE can create superior products and build superior buildings and bridges and roads. WE have a perfect opportunity for change in January with the installation of the first UNION endorsed President. A true friend to labor. One who will appoint individual who share our common goals, people who are sympathetic to OUR plight as American workers. People who won't sell us out. Show your support for your union, have a voice and don't be afraid to use it. Keep in mind that it was the voices of our forefathers that got US where we are today. STAND UP FOR WHAT YOU BELIEVE IN! If we all come together as a whole there is nothing we can't over come. "United we bargain, divide we beg" Which is it going to be????
Democracy is you!, yes, you my friends, the very same each of you who read this, your democratic power it comes straight from the very inner of you, it come from your blood, your very own place you are living for, actually, the very right of your existence as an identical transcription right for vote.
The act of voting by itself is an action right a patriot acts finally, linking your very rights of existence and state support in bonds in a so fundamental and aristocratic way to place your say. It also means trust and interest condition while by this vote you pledge your preferences, your point of view among other to drive you in magnitude for the matter in state condition.
Yes, in democracy, your will is multiply among the majority. And also by this, you apply your will of freedom in exchange, means that you apply the permission to the constitutional bodies to have the authority to rule. In a way, you are in a away the shareholder that hires executives to represent you. So, you again give the power to the authority for a state to rule. This is the circuit of the constitution in a way, in which is activates by your vote initially, means your expression by vote that plumed inside from your blood and your freedom.
Yes, in a way the state is you. I said before that democracy is very aristocratic option governance notion because it makes you noble by tailoring your will view on a common so called public will in respect of the majority will. You see how much things you give to the state, it is the very you indeed. So, it is a serious and very important. And aloud me my friends to make here an important discretion concerning the public will and how this is transforming to a public view or opinion by the use of the media intervention.
Cybernetically, each of us when we gather in a place first met to express something, we have a lot of information inside us (atomic homeostasis) as persons, but at the same time our gathering (collective homeostasis) has not so much information as a group team inside to that time. By this homeostatic gap in information time, media takes this “time to know us gap” the so called “public opinion” and is using it by this position as a real medium interface to express this public opinion as our public will. By this luck of information in society flow the mass media indeed can play a very pivotal role as it is for real as it happens. But again, the plurality of expression that a democracy as an atmosphere this time, can sustain freedom as expression of the public will, new developments for the better of the society are emerging and for this we can say that the more the media expression views the more the information flow originality of the atomic expression can be occurred for the benefit of the society.
Now, if you put the current net workings that we enjoy to this time, it is not exaggerate to say that in a way the very same internet it is in a way a real safe net to spread democracy boundaries in a real big out stream never happen before in historic our time. And here comes the challenge for all of us, to think how the power of the expression of will in networking synthetic formalization can be thought it in advance of the our democracy, what would be the virtualization options and the role of the media to this play, and how this new multi interface interaction can be work in behalf of a given democracy of a nation keeping transparency against privacy, legitimate reaction against equality of justice, and finally under which international bodies America will spread this huge potential govern quality into leadership exporting in the appropriate leadership time the interconnection framework to the rest of the parliament democracies of the world.
THE ANTIDOTE: FLOOD THE STREETS WITH MONEY
As the American citizens observe the daily drama of Wall Street turbulence and Treasury Department response, we are getting a tremendous education on modern global economics, and an opportunity to compare the picture with what we know from the history of classical economics. For now the veil is lifted. If common sense, as Aristotle defined it, is a conclusion reached by way of the use of the five senses; how come we are so amazed by what we are seeing and hearing right now, why aren't we touching paper money, and why does it all smell so funny?
When the economy started to tank in 2007, John McCain, a wealthy presidential candidate, did not seem to understand what was happening in the factories and on the streets and in the homes of America as the paper money disappeared. And although he tried to distance himself from the Washington crowd, and the past monarch, he could not feel the pain. When the sirens went off on the economy, he was swept up into the funnel of the tornado, never suspecting where he would land.
For one fantastic moment in time it did seem as though John was on the yellow brick road with the Straw Man (George Bush), the Tin Man (Dick Cheney), and the cowardly Lion (Karl Rove). When the curtain opened, it didn't help to see Henry Paulson (The Wizard), pulling the levers, arbitrarily, on America's dollar creation. It started smelling a little funny when Mr. Paulson asked his creditors, the American people, to borrow 850 billion dollars to pay off toxic mortgages which were non-performing, and now causing a credit crunch and a financial panic. It smelt worse when the Wizard did not use any of the original 350 billion outlay for that purpose...but for another non-transparent one. Usually the creditor, in this case, the American people, cry fraud! Speculative minds may consider that maybe the toxic mortgages are not he cause of the panic: it might be hedge funds, credit swaps or even the war time budget, but definitely leveraging, which relies on cash flow.
Presently capital is being devalued on both Wall Street and Main Street. When money is contracted or hoarded, companies lose cash flow for operating costs and overhead. Without liquidity, machines stand idle, and less labor is used to meet the markets demands .In a vicious circle, less money in the hands of industry and labor slows the velocity of the paper money that normally circulates and refreshes capital. Stockholders stock becomes less valuable, as capital invested in fixed assets can no longer perform, and markets disappear from lack of paper money. If all the worlds' buildings, stocks, land, and equipment were put in the streets for sale simultaneously, we know instinctively, that there is not enough paper money in circulation. That is why the Federal Reserve Act of 1913 is so important to us now. That act was considered the solution to times like these after recurring financial panics in the US in the late 19th century exposed the cause. If there is not enough money supply, the Fed now changes the interest rate (cost of money), and the Treasury sells bonds to pay for the new money created and lended. It is called a compensatory action to the known cause.
Thomas Malthus, in 1798, in an Essay on the Principle of Population, postulated that the growth of population (now global) always tend to outstrip the food supply (capital) and that the cure of poverty lies in the limitation of population expansion. Charles Darwin's theories on Natural Selection (evolution) owe a heavy debt to Malthus in defining the conditions in the struggle for existence.
There was a time in the world when people did not understand how wealth is created, and a great many profound thinkers like Aristotle, and John Law and Francis Quesney of the Physiocrats would confuse the source of wealth with trade or agriculture. But then, a long line of economic thought, starting with Adam Smith (1776), David Ricardo (1817), John Stuart Mill (1848) and Karl Marx (1867) recognized what is now known as the Labor theory of value, which says as Adam Smith famously said "the real price of everything... is the toil and trouble of acquiring it.". Marx claimed that the capitalist finds the one commodity in the marketplace, Labor, whose use possesses the peculiar property of being the source of value.
Peculiar ideas that should be well known by modern economists are Ricardo's theories on comparative advantage, which suggested that even if a country could produce every commodity more efficiently than other countries, it would achieve greater gains by specializing in what it produced best and traded better than the others. In following this dictum, America produced a financial industry run by the five greatest commercial banks in the world; Morgan Stanley, Merrill Lynch, Bear Stearns, Goldman Sachs and Lehman Brothers, who then created and sold financial instruments like hedge funds and SIV's, and backed them with insurance known as credit default swaps (AIG). With these banks financing the corporations, the stock market went crazy, and rallied in digital ticker tape to 14,000. There was never enough paper money to cover this speculation if the corporations put themselves up for sale, which they are now doing, and the American citizen is buying. The corporation is only worth the quarterly dividend to the stockholder as he is helpless in a distressed sale or market capitalization (new shares issued).
John Stuart Mill predicted these times when he suggested that in a time of rapidly expanding capital (buildings, equipment, stocks), as we have just gone through, Labor expands (China), and the supply of capital is exhausted, with the conditions of the lowest class sinking to "the lowest point they will consent to endure." That is what Paulson feared when he begged for the bailout. Julius Cesaer presaged the role of the global capitalists in his own quest for power when he informed his subordinates, "first we get money, then we get men, then we get more money". Unfortunately, for the Roman citizens, a lot of the money came from taxation, and the Republic became an Empire.
There is no question that the Federal Reserve is now actively selling money with the interest discount, and that the Treasury Department is printing as fast as they can. Wall Street is being resuscitated. And the unemployed are being aided by extended benefits, which is also a good idea, brought to us by John Maynard Keynes in 1924 who contended that if the government interfered in private enterprise (by raising interest rates, for instance), which they do, then they must balance it off with unemployment benefits and timely intervention of the state with public works in critical times like these. Besides bridges and roads which take more planning, low income housing, and health care and insurance look like good candidates for government aid. A mortgage forbearance and extension program would circulate cash in the middle class, now that it is circulating with the injections above and below. This economy recently has been relying, more often, and uneasily, on the cash circulation of those citizens employed by government, or contracted to government.
I don't think we can ignore the obvious when we look at the expenditures though in trying to determine some of the cause of the cash shortage and debt. Gordon Wood, in examining the American Revolutionaries' thoughts on war, said that they thought wars were promoted by dynastic ambitions, bloated bureaucracies and the standing armies of monarchies, and that the elimination of monarchies would end war itself. George Washington and Alexander Hamilton knew better of human nature, and thankfully pressed for a standing army to defend America from conquest. But I can't forget James Madison's warning on this subject: "War is the parent of armies: from these proceed debts and taxes; and armies and debt and taxes are the known instruments for bringing the many under the domination of the few".
On the positive side I would venture that America does not have to worry about the devaluation of the dollar or the "dumping of dollars" by foreign nations, as Paul Samuelson of Newsweek fears, thereby accelerating inflation. Money is also valued by the security and desirability of the real estate and size of population within a country, along with the military prowess of a nation.
Right now all the streets are flooded with homes, cars, industries, stocks, and labor...that have all been devalued because of lack of cash flow. There is an antidote...FLOOD THE STREETS WITH MONEY!!!
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
As the American citizens observe the daily drama of Wall Street turbulence and Treasury Department response, we are getting a tremendous education on modern global economics, and an opportunity to compare the picture with what we know from the history of classical economics. For now the veil is lifted. If common sense, as Aristotle defined it, is a conclusion reached by way of the use of the five senses; how come we are so amazed by what we are seeing and hearing right now, why aren't we touching paper money, and why does it all smell so funny?
When the economy started to tank in 2007, John McCain, a wealthy presidential candidate, did not seem to understand what was happening in the factories and on the streets and in the homes of America as the paper money disappeared. And although he tried to distance himself from the Washington crowd, and the past monarch, he could not feel the pain. When the sirens went off on the economy, he was swept up into the funnel of the tornado, never suspecting where he would land.
For one fantastic moment in time it did seem as though John was on the yellow brick road with the Straw Man (George Bush), the Tin Man (Dick Cheney), and the cowardly Lion (Karl Rove). When the curtain opened, it didn't help to see Henry Paulson (The Wizard), pulling the levers, arbitrarily, on America's dollar creation. It started smelling a little funny when Mr. Paulson asked his creditors, the American people, to borrow 850 billion dollars to pay off toxic mortgages which were non-performing, and now causing a credit crunch and a financial panic. It smelt worse when the Wizard did not use any of the original 350 billion outlay for that purpose...but for another non-transparent one. Usually the creditor, in this case, the American people, cry fraud! Speculative minds may consider that maybe the toxic mortgages are not he cause of the panic: it might be hedge funds, credit swaps or even the war time budget, but definitely leveraging, which relies on cash flow.
Presently capital is being devalued on both Wall Street and Main Street. When money is contracted or hoarded, companies lose cash flow for operating costs and overhead. Without liquidity, machines stand idle, and less labor is used to meet the markets demands .In a vicious circle, less money in the hands of industry and labor slows the velocity of the paper money that normally circulates and refreshes capital. Stockholders stock becomes less valuable, as capital invested in fixed assets can no longer perform, and markets disappear from lack of paper money. If all the worlds' buildings, stocks, land, and equipment were put in the streets for sale simultaneously, we know instinctively, that there is not enough paper money in circulation. That is why the Federal Reserve Act of 1913 is so important to us now. That act was considered the solution to times like these after recurring financial panics in the US in the late 19th century exposed the cause. If there is not enough money supply, the Fed now changes the interest rate (cost of money), and the Treasury sells bonds to pay for the new money created and lended. It is called a compensatory action to the known cause.
Thomas Malthus, in 1798, in an Essay on the Principle of Population, postulated that the growth of population (now global) always tend to outstrip the food supply (capital) and that the cure of poverty lies in the limitation of population expansion. Charles Darwin's theories on Natural Selection (evolution) owe a heavy debt to Malthus in defining the conditions in the struggle for existence.
There was a time in the world when people did not understand how wealth is created, and a great many profound thinkers like Aristotle, and John Law and Francis Quesney of the Physiocrats would confuse the source of wealth with trade or agriculture. But then, a long line of economic thought, starting with Adam Smith (1776), David Ricardo (1817), John Stuart Mill (1848) and Karl Marx (1867) recognized what is now known as the Labor theory of value, which says as Adam Smith famously said "the real price of everything... is the toil and trouble of acquiring it.". Marx claimed that the capitalist finds the one commodity in the marketplace, Labor, whose use possesses the peculiar property of being the source of value.
Peculiar ideas that should be well known by modern economists are Ricardo's theories on comparative advantage, which suggested that even if a country could produce every commodity more efficiently than other countries, it would achieve greater gains by specializing in what it produced best and traded better than the others. In following this dictum, America produced a financial industry run by the five greatest commercial banks in the world; Morgan Stanley, Merrill Lynch, Bear Stearns, Goldman Sachs and Lehman Brothers, who then created and sold financial instruments like hedge funds and SIV's, and backed them with insurance known as credit default swaps (AIG). With these banks financing the corporations, the stock market went crazy, and rallied in digital ticker tape to 14,000. There was never enough paper money to cover this speculation if the corporations put themselves up for sale, which they are now doing, and the American citizen is buying. The corporation is only worth the quarterly dividend to the stockholder as he is helpless in a distressed sale or market capitalization (new shares issued).
John Stuart Mill predicted these times when he suggested that in a time of rapidly expanding capital (buildings, equipment, stocks), as we have just gone through, Labor expands (China), and the supply of capital is exhausted, with the conditions of the lowest class sinking to "the lowest point they will consent to endure." That is what Paulson feared when he begged for the bailout. Julius Cesaer presaged the role of the global capitalists in his own quest for power when he informed his subordinates, "first we get money, then we get men, then we get more money". Unfortunately, for the Roman citizens, a lot of the money came from taxation, and the Republic became an Empire.
There is no question that the Federal Reserve is now actively selling money with the interest discount, and that the Treasury Department is printing as fast as they can. Wall Street is being resuscitated. And the unemployed are being aided by extended benefits, which is also a good idea, brought to us by John Maynard Keynes in 1924 who contended that if the government interfered in private enterprise (by raising interest rates, for instance), which they do, then they must balance it off with unemployment benefits and timely intervention of the state with public works in critical times like these. Besides bridges and roads which take more planning, low income housing, and health care and insurance look like good candidates for government aid. A mortgage forbearance and extension program would circulate cash in the middle class, now that it is circulating with the injections above and below. This economy recently has been relying, more often, and uneasily, on the cash circulation of those citizens employed by government, or contracted to government.
I don't think we can ignore the obvious when we look at the expenditures though in trying to determine some of the cause of the cash shortage and debt. Gordon Wood, in examining the American Revolutionaries' thoughts on war, said that they thought wars were promoted by dynastic ambitions, bloated bureaucracies and the standing armies of monarchies, and that the elimination of monarchies would end war itself. George Washington and Alexander Hamilton knew better of human nature, and thankfully pressed for a standing army to defend America from conquest. But I can't forget James Madison's warning on this subject: "War is the parent of armies: from these proceed debts and taxes; and armies and debt and taxes are the known instruments for bringing the many under the domination of the few".
On the positive side I would venture that America does not have to worry about the devaluation of the dollar or the "dumping of dollars" by foreign nations, as Paul Samuelson of Newsweek fears, thereby accelerating inflation. Money is also valued by the security and desirability of the real estate and size of population within a country, along with the military prowess of a nation.
Right now all the streets are flooded with homes, cars, industries, stocks, and labor...that have all been devalued because of lack of cash flow. There is an antidote...FLOOD THE STREETS WITH MONEY!!!
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
Thoughts on Devaluation
These thoughts are based on the premise that in order to understand philosophical concepts in economics, and to develop mechanisms to relieve economic transitions, one must pose simple questions. For us to discuss rationally what is going on now in the American economy, and how to transcend certain painful potential consequences, thus saving a little happy earth time in the process, we all need to agree on certain fundamental economic principles. What follows is an extrapolation of all that I have learned from every classical economic writer since and including Aristotle, who defined Economics as household management, and the four basic necessities as Food, Fuel, Clothing, and Shelter. I am self- taught in all of this, but the "dismal science" has occupied my thoughts for about 35 years now...apparently with good reason...self-preservation.
Q. What are the three principles of Economics?
A. Land, Labor & Capital.
Q. How is value created?
A. Labor creates all value.
Q. How is Capital created?
A. Capital is created by saving. Capital is not only gold and paper currency, but also fixed assets such as tools and equipment and buildings. It is secured by other capital in financial investments such stocks, bonds and SIVs, and credit default swaps.
Q. Where does labor come from?
A. Labor is the native populace and immigrants, and now, international workers in other countries. Labor is working class and management, who create value through extraction of resources, manufacturing, transportation and sales, with the exception being government workers who do not create value but only enforce laws and protect people and property.
Q. Where does land come from?
A. Land is created by Nature, but claimed by entities by possession and defense. Land is held and protected by all recognized states and nations within their own borders, whether acquired by conquest, purchase, or grant, and mortgaged to banks and individuals, and taxed by government to provide the protection and services that allow nations to exist. It is valued by its protection from confiscation by government constitutions, police, judicial and defense agencies, and its proximity to highways, seas, transportation (railroads, airports, buses, trucks, ships), and markets for the four basic economic necessities (food, fuel, clothing and shelter.)
Q. How does Money (Gold and Paper) become stronger?
A. By hoarding or printing less of it.
Q. How does Labor become more valuable?
A. By increasing productivity through skill or technology, and bringing a quality product to market that is in high demand. Higher skills and advanced technology insure less competition, and less competition, means higher wages, and higher product pricing. It can also gain value by artificially limiting the labor able to perform a function, for instance, controlling the labor pool by licensing.
Q. How does Land become more valuable?
A. By securing it from confiscation, developing it with Labor, and populating it to the extent there is less available to meet the demand for it.
Q. How is Money devalued?
A. In the case of Paper money, by overprinting or cheapening it for velocity of circulation, or strategic international trading policy (currency manipulation). In the case of gold, discovering new veins of ore, which make it less scarce.
Q. How is Capital devalued?
A. By money and labor contractions, which means that capital cannot be productive without cash flow for operating costs and overhead. Without liquidity, machines stand idle, and less labor is needed to meet the markets demands, and on account of less money in the hands of labor and industry, there is less velocity of the money that circulates and refreshes capital. The owners stock then becomes devalued as capital invested can no longer perform, and markets disappear from lack of paper money.
Q. How is Labor devalued?
A. Classically, by competition from other labor markets or manufacturers that can produce a similar product for less, or also less demand for the product that labor produces through a better idea or faster and cheaper technology that displaces the workers. Also through the contraction of capital that displaces workers. Recently, through an influx of unemployed workers who will work for less in domestic markets, and expansion of the labor market through globalization recruiting workers with a low standard of living that have little past financial commitments they are tied to.
Q. How is land devalued?
A. Confiscation through foreclosure or conquest, in a state without protections of ownership. Also if the money supply is either contracted or hoarded, there is less demand and few buyers.
Q. Where did the idea of Paper Money come from?
A. The first example was Kublai Khan in China in the thirteenth century, but the idea came to the western world from John Law, a Scottish Mathematician. In 1713, he saw opportunity to bail out the kingdom of France from its foreign war debts, and started printing paper money for the bank of France to liberate trade and establish Western Commercialism, as gold was being hoarded, and the commercial interests needed a means of exchange. He based the currency on the value of Land that France held in North America west of the Mississippi River. It was known as the Mississippi "scheme".
Q. Was he successful?
A. He was until the people of France realized the insecurity of the land in Mississippi, and the bubble burst. France's paper money became worthless (the bubble popped on the real estate appreciation because of threatened confiscation). John Law ran back to Scotland.
Thomas Jefferson, the third president of the United States, made the fear a reality decades later when he threatened to confiscate it for America unless France surrendered it for 14 million American dollars. This was called the Louisiana Purchase.
Q. What is happening currently in America today that is leading to depression and devaluation of Labor and Real Estate and Capital?
A. Several forces including cheap Labor, producing products in other countries that are often subsidized industries by their governments. Also, manipulation of currencies allowing China and Japan to purchase hundreds of billions of American dollars and then withholding them from circulation, making the dollar stronger and rarer, and their own currencies cheaper for a trade advantage. Extraordinarily, American Real Estate is depreciating because of lack of liquidity through hoarding of money and loss of manufacturing. Manufacturing is lost because the Labor the American Capitalist invests in is now too expensive to sell their products. Although an auto or home cannot be made by owners of Capital or Land without the Labor factor, Labor has been discounted by globalization as international workers live in lower living conditions and are not tied to the commitments of American workers for the four basic necessities and the cost of Government. We are in debt by way of sales of Treasury Bonds to foreign dictatorships for our budget needs to support our foreign wars and size of government. Debt and taxes are the known tool by which the few control the many (James Madison).
Q. Can you recommend any solutions to cure the devaluation?
A. Redesign our home, auto, and health markets to become more inclusive. Re-tool for smaller cars, build smaller homes, and expand medical technology and opportunity.
Q. How about liquidity?
A. The Federal Reserve is lowering interest rates, which cheapens the cost of money, and sells this to individuals and corporations in need of paper money through the banking system, this is done by the sale of treasury bonds to match the money lended, which draws paper money from the buyer and puts it in the banks. This is a start. The Treasury Department is now owner of stocks in financial institutions on Wall Street and maybe next the auto industry, arbitrarily, to save these industries, but it will be paid by the taxpayer eventually when the t-bills come due; now it will inject cash flow into formerly reliable entities. Unemployment is also being extended, which is another good idea to cause greater circulation on Main Street. But we also need to create a Mortgage Extension Program for the American taxpayer who has preserved his capital in his home and business, which will allow all homeowners in America to chose forbearance for 3 months, 6 months, nine months or one year. This action will extend the life of their mortgage for that amount of time, and will encourage them not to place their homes on the market, depressing values, besides stopping a ton of foreclosures. This will further accelerate liquidity from the ground up, as people will be able to pay for the other basic necessities until the crisis passes. The forbearance language is already in place in existing mortgage contracts. All mortgagees would become eligible to choose this path. But not every homeowner would want or need the program.
A. What about non-performing banks and banks that use business income for their own purposes, such as investment in money markets during the 3-7 day holding period?
B. Threaten to revoke the Charter of any banks using business funds or federal reserve funds in the money market, and create an oversight committee to determine which banks are not lending and why.
Q. How about trickle down effect of the 850 billion dollar bailout?
A. The bailout was a bad move because the recipients of the bailout are not transparent entities, and some are foreign nations. This money will be hoarded, and will not trickle down. If money were recognized as no longer safe in these institutions, then capital would have re-invested elsewhere, for example, in land and developed Real Estate, correcting that market's free fall. The way to cure a recession/depression is to flood the streets with money so people can meet their past commitments. Cheaper money will help the middle class by allowing them to pay off old debts with cheaper dollars, and will restore the value of real estate. For example 25% more money in circulation will correct real estate by 25%, as the dollar is less valuable. It will also help trade by keeping the labor rate steady to meet past commitments but with a cheaper dollar to match the cheapness of other competing currencies. The money supply should be based on population, real estate security within a country, and historical past commitments of business, industry, and labor. More paper money in circulation will increase its velocity and restore value.
Next Week: The Antidote : Flood the Streets with Money
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
These thoughts are based on the premise that in order to understand philosophical concepts in economics, and to develop mechanisms to relieve economic transitions, one must pose simple questions. For us to discuss rationally what is going on now in the American economy, and how to transcend certain painful potential consequences, thus saving a little happy earth time in the process, we all need to agree on certain fundamental economic principles. What follows is an extrapolation of all that I have learned from every classical economic writer since and including Aristotle, who defined Economics as household management, and the four basic necessities as Food, Fuel, Clothing, and Shelter. I am self- taught in all of this, but the "dismal science" has occupied my thoughts for about 35 years now...apparently with good reason...self-preservation.
Q. What are the three principles of Economics?
A. Land, Labor & Capital.
Q. How is value created?
A. Labor creates all value.
Q. How is Capital created?
A. Capital is created by saving. Capital is not only gold and paper currency, but also fixed assets such as tools and equipment and buildings. It is secured by other capital in financial investments such stocks, bonds and SIVs, and credit default swaps.
Q. Where does labor come from?
A. Labor is the native populace and immigrants, and now, international workers in other countries. Labor is working class and management, who create value through extraction of resources, manufacturing, transportation and sales, with the exception being government workers who do not create value but only enforce laws and protect people and property.
Q. Where does land come from?
A. Land is created by Nature, but claimed by entities by possession and defense. Land is held and protected by all recognized states and nations within their own borders, whether acquired by conquest, purchase, or grant, and mortgaged to banks and individuals, and taxed by government to provide the protection and services that allow nations to exist. It is valued by its protection from confiscation by government constitutions, police, judicial and defense agencies, and its proximity to highways, seas, transportation (railroads, airports, buses, trucks, ships), and markets for the four basic economic necessities (food, fuel, clothing and shelter.)
Q. How does Money (Gold and Paper) become stronger?
A. By hoarding or printing less of it.
Q. How does Labor become more valuable?
A. By increasing productivity through skill or technology, and bringing a quality product to market that is in high demand. Higher skills and advanced technology insure less competition, and less competition, means higher wages, and higher product pricing. It can also gain value by artificially limiting the labor able to perform a function, for instance, controlling the labor pool by licensing.
Q. How does Land become more valuable?
A. By securing it from confiscation, developing it with Labor, and populating it to the extent there is less available to meet the demand for it.
Q. How is Money devalued?
A. In the case of Paper money, by overprinting or cheapening it for velocity of circulation, or strategic international trading policy (currency manipulation). In the case of gold, discovering new veins of ore, which make it less scarce.
Q. How is Capital devalued?
A. By money and labor contractions, which means that capital cannot be productive without cash flow for operating costs and overhead. Without liquidity, machines stand idle, and less labor is needed to meet the markets demands, and on account of less money in the hands of labor and industry, there is less velocity of the money that circulates and refreshes capital. The owners stock then becomes devalued as capital invested can no longer perform, and markets disappear from lack of paper money.
Q. How is Labor devalued?
A. Classically, by competition from other labor markets or manufacturers that can produce a similar product for less, or also less demand for the product that labor produces through a better idea or faster and cheaper technology that displaces the workers. Also through the contraction of capital that displaces workers. Recently, through an influx of unemployed workers who will work for less in domestic markets, and expansion of the labor market through globalization recruiting workers with a low standard of living that have little past financial commitments they are tied to.
Q. How is land devalued?
A. Confiscation through foreclosure or conquest, in a state without protections of ownership. Also if the money supply is either contracted or hoarded, there is less demand and few buyers.
Q. Where did the idea of Paper Money come from?
A. The first example was Kublai Khan in China in the thirteenth century, but the idea came to the western world from John Law, a Scottish Mathematician. In 1713, he saw opportunity to bail out the kingdom of France from its foreign war debts, and started printing paper money for the bank of France to liberate trade and establish Western Commercialism, as gold was being hoarded, and the commercial interests needed a means of exchange. He based the currency on the value of Land that France held in North America west of the Mississippi River. It was known as the Mississippi "scheme".
Q. Was he successful?
A. He was until the people of France realized the insecurity of the land in Mississippi, and the bubble burst. France's paper money became worthless (the bubble popped on the real estate appreciation because of threatened confiscation). John Law ran back to Scotland.
Thomas Jefferson, the third president of the United States, made the fear a reality decades later when he threatened to confiscate it for America unless France surrendered it for 14 million American dollars. This was called the Louisiana Purchase.
Q. What is happening currently in America today that is leading to depression and devaluation of Labor and Real Estate and Capital?
A. Several forces including cheap Labor, producing products in other countries that are often subsidized industries by their governments. Also, manipulation of currencies allowing China and Japan to purchase hundreds of billions of American dollars and then withholding them from circulation, making the dollar stronger and rarer, and their own currencies cheaper for a trade advantage. Extraordinarily, American Real Estate is depreciating because of lack of liquidity through hoarding of money and loss of manufacturing. Manufacturing is lost because the Labor the American Capitalist invests in is now too expensive to sell their products. Although an auto or home cannot be made by owners of Capital or Land without the Labor factor, Labor has been discounted by globalization as international workers live in lower living conditions and are not tied to the commitments of American workers for the four basic necessities and the cost of Government. We are in debt by way of sales of Treasury Bonds to foreign dictatorships for our budget needs to support our foreign wars and size of government. Debt and taxes are the known tool by which the few control the many (James Madison).
Q. Can you recommend any solutions to cure the devaluation?
A. Redesign our home, auto, and health markets to become more inclusive. Re-tool for smaller cars, build smaller homes, and expand medical technology and opportunity.
Q. How about liquidity?
A. The Federal Reserve is lowering interest rates, which cheapens the cost of money, and sells this to individuals and corporations in need of paper money through the banking system, this is done by the sale of treasury bonds to match the money lended, which draws paper money from the buyer and puts it in the banks. This is a start. The Treasury Department is now owner of stocks in financial institutions on Wall Street and maybe next the auto industry, arbitrarily, to save these industries, but it will be paid by the taxpayer eventually when the t-bills come due; now it will inject cash flow into formerly reliable entities. Unemployment is also being extended, which is another good idea to cause greater circulation on Main Street. But we also need to create a Mortgage Extension Program for the American taxpayer who has preserved his capital in his home and business, which will allow all homeowners in America to chose forbearance for 3 months, 6 months, nine months or one year. This action will extend the life of their mortgage for that amount of time, and will encourage them not to place their homes on the market, depressing values, besides stopping a ton of foreclosures. This will further accelerate liquidity from the ground up, as people will be able to pay for the other basic necessities until the crisis passes. The forbearance language is already in place in existing mortgage contracts. All mortgagees would become eligible to choose this path. But not every homeowner would want or need the program.
A. What about non-performing banks and banks that use business income for their own purposes, such as investment in money markets during the 3-7 day holding period?
B. Threaten to revoke the Charter of any banks using business funds or federal reserve funds in the money market, and create an oversight committee to determine which banks are not lending and why.
Q. How about trickle down effect of the 850 billion dollar bailout?
A. The bailout was a bad move because the recipients of the bailout are not transparent entities, and some are foreign nations. This money will be hoarded, and will not trickle down. If money were recognized as no longer safe in these institutions, then capital would have re-invested elsewhere, for example, in land and developed Real Estate, correcting that market's free fall. The way to cure a recession/depression is to flood the streets with money so people can meet their past commitments. Cheaper money will help the middle class by allowing them to pay off old debts with cheaper dollars, and will restore the value of real estate. For example 25% more money in circulation will correct real estate by 25%, as the dollar is less valuable. It will also help trade by keeping the labor rate steady to meet past commitments but with a cheaper dollar to match the cheapness of other competing currencies. The money supply should be based on population, real estate security within a country, and historical past commitments of business, industry, and labor. More paper money in circulation will increase its velocity and restore value.
Next Week: The Antidote : Flood the Streets with Money
Note: Kevin MacMillan is a builder from North Conway, and an amateur sleuth in Economic workings. All, of course, based on completely speculative knowledge and past experience
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