All too complicated Roger and assumes the controller of debt money knows what is meant by “useful work” and can decide what are “basic human needs”. Reverse income tax can solve this in a much simpler way and governments can balance their budgets as well
Money is valued by what it can buy. So if £1 buys a coke then the value of one unit of money is one coke. My economic system is a regulated capitalist system delivered by a classical liberal laissez-faire political party. Not a faith, but perhaps a dream!
You are thinking too far out the box Roger.If, in your example, 1 unit of money is £1 then its value is 2 cokes.The value of fiat money is always what it buys. It has value in exchange. Gold money had value in use as it could be used to make jewellery as well as value in exchange
The rule government should observe regarding debt is imagine you were going to live forever how would you manage a sustainable debt. You then have all the answers you will ever need about debt. I wonder how many economists have thought about that!
Money was intended to be used in exchange, but not to increase at interest. And this term interest, which means the birth of money from money, is applied to the breeding of money because the offspring resembles the parent. ……(1)
Money is what we need to complete an efficient exchange. There was never enough gold around and the process of lending actually expanded the money supply with gold stabilising its growth. Central Banks have now taken over that role of management but not doing it particularly well
Actually what one needs to do that is a Ledger and that’s what money is it is a series of integers in a Ledger which was once known as Books of Account of the Bank or the Exchequer. Now Money is merely a Voucher, a special case of Voucher is FIAT Money, That which is Decreed to
Be necessary to pay dues ( Taxes) to the Guy with the biggest Gun, Monopoly on Violence, ( The State, Corporate or otherwise, Neighbourhood Drugs Hood, that sort of thing) It happens John That one of my main Bags is Disintermediated, Distributed Autonomous Organisations. (DAO’s)
John, I am a practical entrepreneur a doer with his eyes open. Having been Stung for several Mil by a fraudulent Aussie Bank I determined to figure the system out, I have and my response is to have developed My generally applicable demurrage self-credit system Lagom,
If you look at my Git Hub forks you will see my ingredients, Particularly if you can understand the Voucher systems for discounting and promotions and make the connection between those and the Self Credit Vouchers https://github.com/tonefreqhz
and then understand Lagom puts the Voucher programability client side into the Currency. of choice, Complementary, Local, Club or even Fiat or supra National. This is the webinair I did for our dev team 2 years ago.
If you look at the Bastiat discussion you will note that Proudhon basically says Credit can be done another way, thats what @ProfessorWerner says too and @ProfSteveKeen is I think the furthest along with showing how things currently work
Have you read Benthams In defence of Usury, the Bogus treatise upon which the Usury mistake was institutionalised into modern political economy, it is based upon an un-requited correspondence Bentham tried to have with Adam Smith which he then published. https://www.econlib.org/library/Bentham/bnthUs.html…
As you should know Richard I am very strong on Banks and their failings & Central Banks & our misplaced trust in them. I presume you meant”not intermediaries” in which case you are denying their main function as you focus on a minor outcome of this process which is money creation