DENVER, Oct. 20 /PRNewswire/ -- The Following is the third of a six-part statement by J. Moromisato.
3. A Budget Balance to Last Forever, with Freed Money Technology and the Denver Plan
What is Freed Money?
Freed money is the newest money technology (MT3), it consists in centralizing the money creation power in the central bank (our Fed). Banks would continue taking deposits but would be authorized to lend only money borrowed from the Fed.
The current money technology (MT2) is unconstitutional, prone to collapse, and run for the benefit of the super-rich.
With a fiscal deficit predicted to top $1 trillion for the remainder of the decade, our politicians despair of ever having a balanced budget again.
"If policymakers are to put the nation on a sustainable budgetary path, they will need to let revenues increase substantially..., decrease spending significantly..., or adopt some combination of those two approaches." [http://www.cbo.gov/doc.cfm?index=11579]
None of the three solutions is viable as long as the recession effects on unemployment linger, and they are expected to last for years.
But there is the Denver Plan solution, which the mainstream media continues to ignore. It may be up to you to spread my message until the powers-that-be pay attention and do something about the dysfunctional financial system.
Freed Money would create a new stream of income for the government, from the interest charged to the banks on the lending funds borrowed from the Fed. And, it would also eliminate the need for the savings of the rich to create the crucial flow of credit into the economy.
The Denver Plan proposes increased taxes on the rich, which would recover all the money that the government had overspent. Without it, the rich will continue to accumulate upward of $1 trillion every year for the foreseeable future.
When Ben Stein complains that to increase his taxes is to punish him, he is being disingenuous: he tries to hide the fact that paying less tax is what makes him richer at the expense of the rest.
Some DORPs are accusing those who single out the rich as "socialists" and of starting class warfare. I am for free enterprise and for individual freedom, thus, hardly a socialist. As for class warfare, they are right, but the rich started it some decades ago.
(Visit http://www.DenverPlan.com for more details)
About J. Moromisato
Born in Lima, Peru, J. Moromisato became an American citizen in 1985. He has a Ph.D. in high energy physics and a Master's in economics. A Denver resident, Moromisato is the author of The Origin of Wealth and Poverty (2007), The Coming Age of Freed Money (2010). And The Denver Plan to End Unemployment (Oct 2010).
SOURCE J. Moromisato