CRISIS:ECONOMICILLNESSANDRECOVERY

SilvanoBorruso

Abstract
BythetermcrisisHippocratesmeanttheallouteffortbyasickbodytoexpeltheretained
toxinsthatcauseillness.Successwouldspellrecoveryfailure,death.
Theeconomicbodyisintoxicatedfalsediagnoseshavesuggestedfalseremedies,andtheyear
2008hasmarkedthebeginningofthecrisis.Butsincetheeconomicbodycannotdie,atruediagnosis,
followedbytheexpulsionoftoxicideas,wouldsenditontheroadtorecoveryprettyfast.
TheTruthofThings
Thetoxinscausingtheapparentlyintractableeconomiccrisisaretobesoughtinsemantic
confusion.Nodiagnosiscanbetrueifthesymptomsareequivocallytermednoremedycanworkfrom
suchadiagnosis.Astoxicityandconfusionreinforceoneanother,identifyingtoxinsisakintosorting
outconfusions,andviceversa.
Creditv.Money
Theperennialscarcityofamediumofexchange,stilltherefromthedaysofpreciousmetal
money,ledtousingcredit.Behindtheoriginalmeaningofcreditasbelief,trust,goodreputation,
thistermhidestodayacolossal,multiple,toxicfraud.
Firstfraud:thetermloannolongerimpliesrenouncingsomethinginordertoallowanotherto
useit.Banksrenouncenothingtheyempowertheunsuspectingborrowertoissuepurchasingpower
createdbythemoutofthinairbyprintingtwofiguresonthebankledgers:oneasloantoMrXand
theotherasdepositfromMrX.EverytimeMrXissuesacheque,newpurchasingpowerentersthe
economicstream,privatelyissuedandoutofanyofficialcontrol.Intruth,itiscounterfeiting,butlegal.
Secondfraud:thispurchasingpowerisassimilatedtomoneybyassigningtoitthesame
monetaryunitsastheofficialcurrency.Theresultisapermanentconfusionbetweencreditandmoney.
Butwhereasaunitofcurrencyisliquidbydefinition,inthatitmovesgoodsandservicesfortheamount
ofitsnominalvalueeverytimeitchangeshands,creditisnot:itmovesgoodsandservicesonce,after
whichthechequebecomesscrappaperandanarmyofclerksmustbeemployedtokeeptrackofthe
exchanges.Thoseclerksproducenothing.Somehoworotherthepublicisforcedtopayforthis
enormousparasiticactivity.Intherealworld,wegetlyingplusstealing.
Thirdfraud:theloanisgrantedatinterest.Whatjustifiesit?Withtangiblemetalorpaper

money,thelenderdepriveshimselfoftheamountheloans.Thereisthereforesomejustificationin
demandingcompensationforreasonsofoneofthesixtheoriesofinterest:fructification,productivity,
utility,abstinence,work,orexploitation.[1]Butcreditsonlytangibilityisafewmicrogramsofinkin
thebanksledgers.Noneofthetheoriesofinterestapplies.Letuscallitlegalextortion.
Fourthfraud:theborrowerisempoweredtoissuetheprincipal,butnottheinterest.Result:if
tenborrowersborrow1000unitseachandattheendoftheyeartheyowe11,000collectively,the
extra1000unitsmustcomeeitherfromtheirincreasedexertions,orfromswindlingeachother,orfrom
borrowingfurtherinordertopayforthelegalextortioneuphemisticallynamedinterest.Putanotherway,
thesystemisdesignedtobankruptsomeonesoonerorlater.Thebankruptborrowermusthandoverreal
wealth,i.e.thephysicalresultofhisexertion,tothelenderwhohasdonenomorethancreating
purchasingpoweratnocosttohimself.Theborrowersuffersadoubleextortion:oneofhisexertions
andanotherofhiscollateral.
Fifthfraud:thosewithoutcollateralaredeniedcredit.Assuchpeopleareinvariablyinthe
majority,creditisessentiallyandunequivocallyantidemocratic.Thosesodeprivedhavetomakedo
withcash,keptpermanentlyscarce.Theratiocash/credit,intheUKalone,is57billion(3%)versus
2,200billion(97%).Thereisnoneedtogofurthertoseethisasthemainreasonbehindwidespread
poverty.
Sixthfraud:creditisloanedatcompoundinterest,whichgrowsexponentiallyaccordingto
theformulaI=(C+x)n,whereI=accruedinterestC=capitalinvestedx=rateofinterestn=number
ofyears.Theformulaisvisiblyunsustainable.Soonerorlater,theamountpayableisboundtoovertake
thetotalamountofmeansofpaymentavailable.
Seventhfraud:everynowandthen,thefinancialauthoritiespurporttoexercisesomedegreeof
controlontheeconomybyraisingorloweringtheinterestrate.Banksdothesamebutwithoutfanfare.
Theresultisthatanyeconomicforecastbasedonsuchcontradictionsisboundtofail,whetherby
chanceorbydesignisanybodysguess.
Eighthfraud:thepublicisledintobelievingthatbankslendthemoneyoftheirdepositors.The
realityisthatonaminimalbasisofcashtheyissueagiganticamountofnewlycreatedcredit.Inother
words,nobankhasthemoneyitsaysithas.Theillusioniskeptgoingbytheirabilitytoredeema
chequeincash,whichistrueforaslongasnomorethan10%orsoofdepositorsdemandcash.Overthe
yearspeoplehavebeenconvinced/cajoled/deceivedintousinglessandlesscash,andgettingintodeeper
anddeeperdebtbyrecurringtocredit.
Thesumtotaloftheseeightfraudsisknownasthefractionalreserve.Ithasbeendrivingthe
economyoftheworldforthepast400years,sincethefoundationoftheBankofAmsterdamin1609.
Butstartingin1990orthereabouts,thingshavegoneawry.IntodaysUK8%ofcredit,or176
billionpounds,financeproduction92%,or2,024billionpounds,fuelspeculation,i.e.thebuyingand
sellingoffancypiecesofpaperwithequallyfancynamespurportingtobemoney,allofwhichinflatea

financialbubbleofhumungousproportions.
Globally,thesumtotalofcredit,whichfinancednothingbeyonditself,burstin2008,marking
theendofthelineofthescam.Nowonderweareinacrisis.
Beforeproposingremedies,itisimperativefirsttounravelthedoublemeaningthatpractically
everytermineconomicusehasacquiredoverthesepast400years.Letusbeginwithpolitical
economyandeconomics.
PoliticalEconomyv.Economics
Thetermpoliticaleconomy,inusenottoolongago,usedtobedefinedasthescienceof
productionanddistributionofwealth.Forwhateverreason,inthemid20thcenturythetermwas
droppedandchangedtoeconomics,definedastheallocationofscarceresources.Letusanalyzethe
twowords.
Tounderstandpoliticaleconomyitisnecessarytodefinewealth,atermthathasinturn
acquiredadoublemeaning.
FrdricBastiat(18011850)definedwealthsimplyasservices.Ifservicesareincorporated
intoobjects,suchobjectsbecomegoods.
ThePenguinDictionaryofEconomicsdefineswealthasastockofassetsheldbyanyeconomic
unitthatyields,orhasthepotentialforyielding,income.
Ifbyincomeweunderstandbothmonetaryandnonmonetaryinflow,thetwodefinitions
roughlycoincide.IfIenteracanebrakeandcomeoutwithabasket,thatobjectincorporatesaservice,
whichcanbeconsideredasmyincome.
Themainissueinpoliticaleconomy,however,isnotthat.Itisthatwhereastheproductionof
wealthisaphysicalprocessneedingland,labour,andrawmaterials,itsdistributionisamoralprocess,
conditionedbyhowmanyhandssucceedintakingacutbetweenproductionandconsumption.Itoffers
difficultiesofmanykinds.Letusregisterthefactandsetitaside,concentratinginsteadontheterm
economicsasdefinedabove.
Theallocationofscarceresources,wittinglyornotintroducesnotjustonebuttwo
falsehoodsinneedofimmediaterectification.
First:therearenoscarceresources.Everyscarcityisartificial,causedbyvestedinterests.Iwill
confinemyselftowhatIconsiderthemostoutrageousexample.Weearthlingsareimmersedinacosmic
seaofelectriccharges,orplasmaindarkmode.Morethan100yearsagoNikolaTesla(18561943)

hadfoundwaysandmeansofconveyingthesechargesintomakingthemperformusefulwork,withthe
ideaofgivingfreeelectricitytothewholeworld.HisWardenclyffetowerwasthefirstofeightsuch,but
powerfulfinancialandoilinterestsgottheUSgovernmentintodestroyingthetower.Thatiswhythe
worldisfestoonedtodaywithmillionsofugly,unnecessaryandattimesdangerouspylons,millionsof
milesofwires,transformers,hydroelectricschemes,etc.HadTeslabeenheeded,energywouldbeas
freeastheair,oilwouldbeahistoricalcuriosityandnuclearenergyascientifichobby.
Second:thetermallocationhidesaninnuendo.Whoissupposedtoallocate?Inpolitical
economy,byapplyingtheprincipleofsubsidiarity,theallocatorsareheadsoffamilies,theself
employed,farmers,ownersofsmallandmediumsizedenterprises,andlasttheState.Ineconomicsthe
allocatorsaretheselfappointedallknowing,allpowerfulbureaucrats,nosingintoareasthatarenoneof
theirbusinesstonoseinto.
MoneyLiquidityv.CreditLiquidity
Apapercurrency,orcash,isliquidbydefinitionasPenguinavers.Itmeansthatsimplyby
changinghands,cashmovesgoodsandservicesbythenominalamountwrittenonit.
Credit,asseenearlier,isnotliquidbydefinition.Acertainsummovesfromanaccountto
another,once.Butthereissuchathingascreditliquidity,definedhoweverasthepresence,inthe
market,ofbuyersandsellersofwhateverpiecesofcredittheybuyandsell.Foraslongasbothparties
arepresent,creditisliquid.Whathashappenedafter2008isthatbuyershavedisappeared,andno
amountofbailouthassucceededingettingthemback.Creditliquidityisattheendoftheline.
Thetermliquiditytherefore,shouldalwaysbequalified.Touseitindiscriminatelycanonly
beduetoeitherunawarenessorfraud.Neitheriscommendableinscientificdiscourse.
Interestv.Usury
Theprincipleaccordingtowhichmoneybegetsmoneyisevidentlypragmatic,i.e.imposedby
law.Itisnotanaturalprinciple.Onlylivingthingsbegetlivingthingsaftertheirownkind.
ThefirstattemptatdefiningthetwowasmadebyPopeBenedictXIVinhis1745EncyclicalVix
Pervenit.Itdefinesinterestasthefeethatalendermaylegitimatelychargeforhisservice,andusury
asthepriceofmoneyseenasacommodity.Thedistinctionisusefulandlegitimate,butnotconclusive.
Inanycaseitisnotacceptedbytheworldofeconomics.
SilvioGesell(18621930)wasthefirsttodefineusuryasthetributethathewhoneedsmoney
asamediumofexchangemustpaytotheonewhohoardsitasastoreofvalue.Helocatedtheoriginof
usuryinthefunctionasstoreofvaluebegunwiththemonetizationofpreciousmetals,andretainedby
papermoney.Usurythereforeappearsattheexchangesandonlysecondarilyattheloans.Removing
thefunctionofstoreofvaluewouldgetridofbothusuryandinterest,thusrenderingthedistinction

unnecessary.
InvestmentinProductionv.InvestmentinSpeculation
Penguindefinesinvestmentasrealcapitalformation,lateraddingthephysicalchangein
stocks.Theresultisthatacharacterspendingdaysbeforeanarrayofcomputerscreensspeculatingon
changesinstocksiscalledaninvestoratparwiththeonewhohasmadehiscalculationsonhowto
organizeanagriculturalorindustrialconcern.
Speculation,whetherinmoneyorincommodities,isacankerthatshouldbeextirpatedfromthe
economywithoutcompunction,startingbycallingitbyitsrealname:thievingbyproxy,wherethe
proxyisthecomputerscreen.
Work,Employment(Jobs)andEconomicFreedom
NoneoftheabovetermsgetsdefinedeitherbyoldfashionedPoliticalEconomyorbymodern
Economics.Itisimportant,however,todosoifwetrulydesiretogetridofsemantichurdles,especially
confusion.
Workisanyhumanactivitythatproduceswealthasdefinedearlier.
Ajobisapaidactivity,whichmay,ormaynot,producewealth.
Economicfreedomisthechoicebetweenworkingindependentlyandforanemployer.
Withtheabovetermsundefined,thedistinctionbetweenworkandemploymentisnotmade.
Economistsroutinelyconsideremploymentastheonlyadmissibleformofwork.Penguinhasan
entryEmployment,fulldefinedasasituationinwhicheveryoneinthelabourforcewhoiswillingto
workatthemarketrateforhistypeoflabourhasajob.Independentsarestyledselfemployed,which
statisticstellushaveincreased(intheUK)from1.9(1979)to3.4(1990)to4.1million(2011).
Thistrendisnotseenaspositive.Columnistsputitthisway:
Soaringunemploymentisforcingmanyworkerswholosetheirjobtobecomeselfemployed.[2]
It may well be [that] some, having lost their jobs, categorize themselves as selfemployed but
reallyareunemployedoratleastunderemployed.[3]
Idonotthinktherehasbeenasuddensurgeofentrepreneurialzeal.Thisispeoplewhocannot
getajobpickingupbitsandpiecesofwork.Itisasignofeconomicweakness,ratherthan

strength.[4]
Thejumpislikelytoreflectpeopleresortingtoworkingforthemselves.[5]
Thelatestfiguresshowsomesignsthatthelabourmarketisstabilizing,buttheincreasein
unemploymentisunwelcome.[6]
Theprioritiescouldnotbeclearer.Thecommoninnuendoisthatnooneinhissanemindwould
opt for selfemployment given the choice. To have a job is seen in all cases preferable to working
independently.Butaperceptivereaderremarks:
Theonlywayyoucangoselfemployedorstartabusinessthesedaysisifyouhavemoney.The
onlywayyoucanhavemoneyisifyoustealit,winitorhaveitleft.Trytalkingtoyourbankabout
astartuploanevenifyouhaveagoodbusinessplanandseewhereitgetsyou.[7]
Thecatisoutofthebag.Creditisdeniedtothosewhowouldratherworkforthemselves.The
roadtofreedomisblocked.Work=employmentandthatisthat.
Thisviewissoembeddedineverybodysmind,wouldbereformersincluded,astopropose,as
theonlywayout,toinstitutionalizebeggarybyhandingoutwhattheycallCitizensdividends.[8]The
argumentrunsthatmodernadvancesintechnologyhavemadeunemploymentstructural,andtherefore
inevitable.Whatpeoplethereforeneedisanincome,regardlessofwhethertheyworkforitornot.
Noexpertstopstothinkthatwhathasforcedpeopleoutofrunningsmallconcernslike
farmingorartisanshiphasnotbeenprogressbutartificialstricturesoncashliquidity.Theartisan
cannotselltheproductsofhislabouroncredit.Heneedscashondeliverytobuyrawmaterialsand
paythewagesofhisfewdependantsandapprentices.Dittoforafarmer:hecannotaffordtotravelmiles
tocashcheques.
Theconclusion,onceagain,isthatcreditismorelikeaspannerintheworksthanahelpfora
healthyeconomyandfullemployment.Weshallharponthesamesubjectlater.
TaxingValueaddedv.TaxingValuesubtracted
Itisobviousthatgovernmentsneedmoneytocovertheirexpenditure.Buttherearetwowaysof
goingaboutit.
Inthejuridicopositivistframework,inwhichlegal=morallybinding,theStatearbitrarily
choosesthetaxbase,therateoftaxandtheamount,demandingitfromthetaxpayerwithoutconsulting
him.Likeagodofthemarketplace,theStatehasrights,butnoduties.

Inthejuridiconaturalistframework,however,theStatehaswelldefinedduties,tofinance
whichitneedsmoney.Thedutiesare:government,theadministrationofjustice,lawandorder,defence,
representationabroadandfinance,includingissuingameansofpaymentforpeopletopaytaxes.Only
thislastdutyisunderscrutinyhere.
Asthingsstand,themodernStatedoesnotfulfilthisduty.Instead,andwithoutconsultingthe
public,theStateborrowscreditissuedbyprivatebanks,andtaxesvalueaddedbypeoplesworkto
paytheinterestdemanded.Insodoing,theStateinstitutionalizessevenoftheeightfraudsmentioned
earlier.Themathematicallycertainresultofthispracticeisthatthetotaldebtwillsoonerorlaterovertake
theamountofmoneyavailable,eventuallykillingthegoosethatlaysthegoldenegg.
TheStateextortswhatisduetopeopleslabourtogiveittosomewhowriteonapieceofpaper
Youowemesomuch,withtheonlytoilofhittingafewkeysonacomputerkeyboard.
Suchextortionoccursinfourtriedandtruewaysthatsuckbloodoutoftheeconomyof
productiontoconveyittounproductiveelements,anumberofthemwithpowerofarrestanddetention
overthosewhofeelunjustlysqueezedoftheirdue.Notsurprisingly,thosewhocan,defendthemselves
byingeniouslyevadingtax.ThefourwaysofStateextortionare:
1.IncomeTax,whichhitsproduction
2.Indirecttaxation,whichhitsconsumption
3.CustomsandExcise,whichhitsinternationaltrade
4.AndVAT,whichhitsdomestictrade,andofwhichbelow.
ThatVATisthemostabsurdandcounterproductiveofalltaxeswasknownin16thcentury
Spain,whereitwascalledalcabala.Itquicklybecameclearthatcompliancecostsexceededthe
revenue,andsoitwasscrapped,giventheevidenthurttotheeconomy.
Thisremainstrue,butthemodernStatebypassestheproblembyimposingthecompliancecosts
ontheeconomicoperators,withoutpayingthem.Inotherwordsitreintroducesslavery,which
surreptitiouslyreturnsthroughthewindowafterhavingbeenshownthedoorduringtheprevious
millennium.VATfurthercripplestheeconomyofproduction,sincetheeconomicoperatorsareforcedto
diverttheirattentionfromtheirworktocarryoutthetasksimposedonthembytheRevenueAuthority.
AsJamesRobertson(1928)putit:
Afterparadiselost,youcanalmostimagineSatansittingdownwithBeelzebub,Moloch,Belial
andtherestofhiscabinet,todesignthemostdamagingtaxsystemtheycouldpersuadethehuman
racetoadopt.Couldtheyhavedonemuchbetterthanwhatwehavenow?[9]

Letusnowask:isitpossibletoinnovatetaxation:
Accordingtojustice,i.e.thatgiveseveryone,includingtheState,onesdue?
Cheaply,i.e.withouthavingtoemployanarmyofnonproductivebureaucrats?
Efficientlytothepointofenticingthetaxpayersintopayingwithoutevenconsideringevasion?
Asaworkinghypothesis,letusimagineshiftingthetaxbasefromvalueaddedbyhuman
exertiontovaluesubtractedfromthecountrysnaturalresources,andthereforefromStatesovereignty.
Letmeexplain.
Suchnaturalorcommonresourcesareland,water,air,theelectromagneticspectrumand
airspace.Ishallconsiderlandonly.
Theownerofacarparkedinacentralzonepaysfortherighttooccupyasurfaceareaofabout
10squaremetres.At1/h,eighthoursofoccupationwouldcost8/day,or80pence/m2xday.
Itisajusttax.Thequidproquoisimmediateandobvious.Themotoristdoesnotownthe
10m2hetemporarilyoccupiesthem.AndwhetherheparksaRollsRoyceorajalopyneartoscrapping,
hepayshis80pence/m2xday.
Supposenowthatthesamezonesported10km2ofcommercialbuildings,eachassimilabletoa
permanentlyparkedcar.Atthesamerate,thesebuildingswouldcontribute80million/daytothe
municipalcoffers.
Theimportantpointisnotthefiguresbuttheprinciple.Thegroundrent,regardlessofwhat
standsonit,isbroughtintoexistencenotbythemotorist,butbytheexertionsofthosewho
workaroundthearea,i.e.bypopulation.Justicedemands,therefore,that100%ofthefruitsoflabour
shouldgotothosewholabour,and100%ofthegroundrentshouldbetaxedandreturnedto
thecomunitythathascreatedit.

ThisisthesolutionofHenryGeorge(18391897)goingback130yearsandreaffirmedbySilvio
Gesell(18621930)inhisNaturalEconomicOrderatthebeginningoflastcentury.
Theallroundadvantagesofsuchtaxationwouldbehuge:
Therewouldbeareturntocollectivelybargainedtaxation,whichwasnormalbeforethe
revolutionaryStateoverturnedit

Itwouldbeinfinitelyeasierandcheapertocollecttaxfromafewthousandmunicipalitiesthan
havingtorummageintothepocketsofmillionsoftaxpayers
Evasionwouldbeimpossible:landcannotbehidden
Dittoforspeculation.Theoccupiersofanemptyplotwouldbeforcedtodevelopitsoasnotto
payinvain,orwouldcedeit,butatcost
Recalcitrantlandlordswouldbepunishedsimplybywithdrawingprotectionfromtheiroccupied
areasandbydenyingthembureaucraticpublicservices
Thefiscalunit:squaremetreintown,hectareoracreinthecountrysideorevensquarekilometre
inuninhabitedwasteland,wouldturntheentirenationalterritoryintoafiscallyproductivearea
Therentwouldbeminimalandperfectlyadjustabletopublicexpenditure,giventhesizeofthe
taxbase
Twoequalsurfacesinthesameareawouldpaythesameamount,sothatthemorewealthone
producedthelesstaxonewouldpayproportionally.
Andthefourformsofextortionthatusurpthenameoftaxcouldeasilybescrapped.
Valuesubtractedbyhoardingcouldalsobetaxed,aswasfamouslydonein193233bythe
mayorofWrgl,thelittleAlpinetownthatflauntedstabilityofpricesandprosperityinthefaceofthe
GreatDepression.ThelocallyissuedWorkCertificateswerefreeofdebt,forbeingissuedbythe
municipality,andfreeofinterest,forhavingzerostoreofvalueandthusbeingapuremediumof
exchange.
OneSizefitsAllv.MonetaryFlexibility
TheEurozonecrisisisalaughableexampleoftheconsequencesoftheProcrusteanprinciple
appliedtomonetarypolicy.
Intimeswhenpeoplewerefreertothinkandtoact,theyhadrealizedthatnocurrencycould
possiblyattainstabilityatoncewithdomesticpricesandwithforeignexchangerates.Theyhadtherefore
devisedmultiplecurrencysystems:InFrance,forinstance,thekingsmoney,madeofpreciousmetal
andacceptedinpaymentoftaxes,wassupplementedbymanytypesofmreauxmadeofleather,glass,
leadandothernonpreciousmetalstoservethelocalmarkets.
Between1865and1915amorepracticalmethodwasresortedto.FiveEuropeancountries:
France,Belgium,Italy,SwitzerlandandGreeceformedtheLatinCurrencyUnion.Alongsidetheir
nationalcurrencies,theyadoptedasinglefivefrancsilverpieceaslegaltender,usedexclusivelyfor
foreigntransactionsamongthemselves.Thefivefrancpieceaccountedforabout40%ofthemonetary

massineachcountry.Excessordefectofthepieceindicatedatradeimbalance,tobecorrectedby
adjustingpricessoastorestorethebalance.TheGreatWarcausedtheUniontocollapse.
SilvioGesell(18621930)mentionstheUnioninhisNaturalEconomicOrder(1906),wherehe
pointsoutthatthefunctionofthefivefrancpiecewasnotduetoitsbeingmadeofsilver,asthe
acceptedsuperstitionbelieved,andthatitcouldhavefunctionedjustaswellhaditbeenmadeofpaper.
HeproposedanInternationalValutaAssociationworkingonthesameprinciple.[10]
AtBrettonWoodsJohnMaynardKeynes(18831946)resurrectedtheidea,callingthe
internationalcurrencyBancor.Asiswellknowntheideawasshotdown,andtheUSdollarwasimposed
ontheworldasreservecurrency.Theresultsarebeforeoureyes.
In2001theEurowassimilarlyimposedonanumberofEuropeancountries,whichhave
increasedto17todate.Thestructuralimpossibilityofitsperformingthetwofunctionshasremained,
andagaintheresultsarebeforeoureyes.
Thequestionis:whynotreapplytheprincipleoftheLatinCurrencyUnionwiththeEuroasthe
fivefrancpiecealongsideeachcountrysnationalcurrency?Thesolutionworkedfor50years.What
destroyeditwasthewar,notintrinsicdefects.Whywouldntthatbepossible?
Theproblemisthatpossibledoesnotmeanfeasible.Vestedinterestsofallkindswould
opposenotonlyjusttaxation,butalsothemuchneededreformsmootedaboveandlistedbelow:
1.Extirpatebankcredit,givingbacktocredititstimehonouredmeaning
2.Taxvaluesubtractedfromnaturalresources
3.Issuedoublecurrency:domesticcurrencyfreeofdebtandofinterestandtradecurrency
atleastfreeofdebt.
AsLordActon(18341902)saidwhenLordChiefJusticeofEngland,1875:
Theissuewhichhassweptdownthecenturiesandwhichwillhavetobefoughtsoonerorlateris
ThePeoplevs.TheBanks.
Theproposedremedieswouldmarkthevictoryofthepeople.Applyinganythingelsewould
markthatofthebanks.
SilvanoBorruso

20thJanuary2012

[1]ListedinthesameorderasinGesellsNaturalEconomicOrderPartFive.
[2]BeckyBarrow,DailyMail15thDecember2011.
[3]MichaelSaunders,ofinvestmentbankCitigroup.
[4]JohnPhilpott,oftheCharteredInstituteofPersonnelandDevelopment.
[5]VickyRedwood,chiefUKeconomistattheconsultancyCapitalEconomics.
[6]ChrisGrayling,employmentMinister,UK.
[7]DailyMailwebsite15thDecember2011.
[8]ThefirsttoproposethiswasC.H.Douglas(18791952).
[9]TheAlternativeMansionHouseSpeech,4thSeptember2000.james@jamesrobertson.com.
[10]PartFourChapter8