It was announced today that Citigroup plans to cut more than 50,000 jobs. Those people won't be buying cars soon. No matter how much money the Federal Reserve prints, economic stability is now beyond reach.
In case you didn't get the memo, Osama Bin Laden won the war. His objective was to destroy the world economy based on Interest and Usury. He succeeded. With $20 of boxcutters he changed the world, and will likely be hailed as the greatest strategist and General that the world has ever seen. While I would argue the collapse was inevitable (just like it was in 1929) he has accelerated the demise of the economy as we knew it. Never underestimate your enemy.
After 1929 and 1945, the same house of cards was rebuilt. Now that it has collapsed again, the question we should be discussing is if are going to re-rebuild the same house of cards, and if not, what plan we should adopt.
Don't leave it to the higher powers that be to control the destiny of yourself and your children's children. 'We the people' have plenty of power under a local democracy.
The first thing we need to do is take a financial census within each town. How much of your town is held in mortgages; what is the total? And, secondarily, are there enough liquid assets also held by the townspeople to purchase all this debt outright. Now is a good time to purchase all this debt. Union and private pensions are driving this collapse, but these funds can be used to solve the problem.
Without local control of all the deeds, there is nothing for government to manage.
The commercial land will present a second challenge, and should probably be held in a public trust. (Separate but equal.) The Supreme Court has already ruled that a town can take land by eminent domain to protect its economic vitality. Publicly owned commercial space makes a stable economy possible.
Speculation has destroyed the economy, yet again. Don't blame the top 5%. The middle-class brought this Hell upon themselves. The opportunity for speculation has to be eliminated. If the townspeople cannot control the land within their own town, they have no control whatsoever over anything. We have replaced the King and kept the bad financial habits of centuries past.
The Status Quo is dead. Now is a good time to wake-up, stand-up and act.
A debt-free and inflation-free economy is possible.