Public money and massive forgiveness are the ONLY EFFECTIVE ways to economic recovery!
Economic recovery through the Bi-partisan Super Committee charged with finding $1.2 trillion in savings over ten years, or through automatic cuts kicking in by default, can have only one result: reduced availability of jobs which will have as a consequence more bankruptcies, more foreclosures, and more people on the street. This does not need to happen in these United States! The Super Committee is caught between a rock and a hard place! That is, between making the cuts or having the cuts made for them. Either way, we the people lose.
The people's losing really started on December 23, 1913 when Congress allowed a "fourth branch" of government to come into existence to control the contraction and expansion of the money supply that had been emphatically delegated to Congress in the 1776 Constitution. Congress was told then by Senator Nelson Aldrich of Rhode Island that making up this "fourth branch" of the government that we would not have more depressions! These private bankers/banks and legislators called their creation the Federal Reserve: A central bank for the United States.
This creature has become more powerful than its creator. It's stated goal was to be the lender of last resort and it's remedy was bailouts based on the government's ability to tax the people. They have used that monetary power and influence very well. Instead of the U.S. Treasury creating public money for the people, Congress continually borrows money from the private Federal Reserve, and instead of paying back the money it borrows, chooses to service an ever-increasing debt. This over time has unjustly enriched the private banking cartel at the expense of the people, with social services having to be cut in order to service the debt, definitely a job for the Super Committee!
To most of today's working public, a decision on fiscal austerity seems like the right thing to do. In reality, the paradox of thrift comes into play when there is a weak economy. Weak economies only come about because of lack of money. In a healthy economy, people have money and spend that money on new goods and services. If people overspend, they incur debt, and end up having to service debt instead. Likewise, the government has incurred and is having to service exorbitant debt. An overpaying of debt slows down an economy.
What can Congress do?
Congress can demand the U.S. Treasury to issue public money for the people. In this way, money is issued vs. borrowed into existence!
The Constitution gives Congress the power to coin money and regulate its value, and no limitation is put on the value of the coins it creates. The entire national debt could be extinguished with coins minted by the U.S. Mint, stamped with the appropriate face value. From my study and research, indications have it that a simple, efficient and a wide circulation of non-borrowed or public money can create a healthy, vibrant economy!
A way to relieve the people of overburdened debt is through a Jubilee, which throughout history resulted in the forgiveness of all debts in order to bring back into balance a healthy economic system. Eliminating people's debt will free up dollars for the purchase of goods and services, which will stimulate the economy. Our current economic system has become out of balance through a non-transparent, unregulated mortgage fiasco.
Mortgages have been traded on Wall Street as stock, created through a securitization process of the loans of approximately 62 million homeowners in the United States. It has recently been discovered that this securitization process did not follow proper procedure, which, according to two Supreme Court decisions in Massachusetts, has clouded the original titles of the homeowners' mortgages. This means that the current homeowners of homes may not have clear title to the home they are living in.
I say, just give it to them"Clear the titles and start fresh!
The only effective way forward is debt forgiveness! Austerity cannot work as that will result in decreased demand in goods and services and spending will devalue the dollar even more. With the money freed up by the debt forgiveness bill H01193, everyone in Massachusetts can have a FREE home. Hey, why not?