When the dollar becomes worthless, then what?
Will chits be issued? Will “time credits” be issued? Will credit/debit cards be issued that are reloadable by the government at their whim? Far fetched? Read further and THINK.
First read this:
Andie Brownlow at American Thinker writes:
The Currency of Social Justice
January 24, 2010
What happens if the dollar becomes worthless? People on the left have given serious thought to a replacement for money itself.
Many Americans believe that the Cloward-Piven strategy is not only what purposefully bankrupted New York, but also what the Obama administration is employing to erode capitalism in America. So what economic system is being erected in its place? Using Gesell and Keynesian monetary theories, as well as precedents by the Obama administration and Congress, we can see “social justice” transforming America through “green jobs” and our currency crisis.
The government is contriving a green jobs boom. Last year, the American Recovery and Reinvestment Act allocated over $500 million for entry-level and advanced training for jobs in the clean energy and health care industries. Job growth would be nice if it were controlled by the private sector, but government employment and regulation will dominate a “green energy” industry since the free market has not yet seen fit to produce this boom on its own.
The resulting expense from this artificial boom will be increased taxes to support green subsidies. In addition, the current fuel industry will be decimated by cap-and-trade legislation designed to skyrocket the cost of traditional energy methods. Our economy is not undergoing a recovery; it’s undergoing restructuring to remove the element of free-market capitalism.
So what does all of this mean for a fundamental transformation of America? In the coming months, we’ll have the largest government employment sector in American history and a labor market ominously beholden to the government for its survival. Common sense says that if the government’s income relies on taxes from the private sector, then when those jobs are gone, so is the government’s revenue to pay off its massive debts. This concept is now tritely referred to as “unsustainable.”For those on whom the consequences of “unsustainable” aren’t lost, it most likely means the collapse of our currency. As California proved last year, the government is not above IOUs. But what about a full-on economic collapse of our currency, where IOUs are no longer worth the paper they’re written on?When the government is bankrupt and on the hook for the majority of U.S. employment, it can’t just neglect government salaries for citizens. In a panic situation, otherwise considered ideal conditions by the Obama administration, there would need to be an economic system in place not based on our devalued currency.
For the restructuring of our economy to bring about social justice and economic equality, a non-negotiable currency unhindered by zero-bound interest rates must be put in place. Here’s one scenario in which an alternative currency could be introduced into our economy: Let’s use government-sanctioned Time Dollars as an outline for what a new domestic currency might look like, given the goals of the political left. I’ll call this fictitious currency “Credits.”
Fiat-backed IOUs would be replaced by time-backed salary Credits. If you worked forty hours this week at a government job, you get forty Credits. Those in the private sector who are given government subsidies or resell subsidized products would most likely be required by law to accept Credits as legal tender. The rest of the private sector, fearing loss of market share and further devaluation of the dollar, would also begin accepting and using Credits. (Initially, Credits would probably be considered “negotiable” as they’d be used in exchange for goods offered by the competitive free market. Later, government rations and price controls would rectify this “problem.”)
Credits would be advocated to the public as inflation-resistance because they would be based on an electronic credit/debit system and considered always in “sufficient” supply. It would also be non-interest-bearing, meaning the currency carries no investment potential. This discourages hoarding and makes savings accounts obsolete because there is no possibility for interest accrual.
To support existing entitlements such as welfare, disability, and retirement, there is a potential for negative interest on Credits. It would serve as an equivalent of “stamp scrip” from the 1930s to keep the currency valid. This would also discourage hoarding and provide government revenue for further redistribution of wealth.
An example of negative interest: The government applies a monthly 1% “tax/stamp scrip” on the balance of your Credit account. That tax would go to support federal entitlement programs and eventually eat away at your “savings” unless you spend them. It also prevents you from saving for your own retirement, and creates perpetual dependency on the federal government.
Chair, Change to Win
International Secretary-Treasurer, Service Employees International Union
Anna Burger JUST SO HAPPENS to be on Obama’s President’s Economic Recovery Advisory Board.
An announcement by Hilda Solis, Sec. of Labor:
Big news out of the Labor Department today — they awarded $100 million in grants to programs training workers for the green jobs of the future:
Secretary of Labor Hilda L. Solis today announced nearly $100 million in green jobs training grants, as authorized by the American Recovery and Reinvestment Act of 2009 (Recovery Act). The grants will support job training programs to help dislocated workers and others, including veterans, women, African Americans and Latinos, find jobs in expanding green industries and related occupations. Approximately $28 million of the total funds will support projects in communities impacted by auto industry restructuring.
Through the Energy Training Partnership Grants being administered by the U.S. Department of Labor’s Employment and Training Administration, 25 projects ranging from approximately $1.4 to $5 million each will receive grants. These grants are built on strategic partnerships — requiring labor and business to work together.
The grants announced today are part of a $500 million program created by the American Recovery and Reinvestment Act of 2009 — a.k.a. “the stimulus.”
For details about the individual programs awarded grants, click on over to the Labor Department’s announcement page.
UPDATE (Jan. 7): It’s not really clear from the list of grantees that DOL posted on their site, so I want to point out that training programs led by CtW-affiliated unions are prominent among those that received grants yesterday. For example, New York’s Shortman Fund (which was awarded a $2.8 million grant) is operated by SEIU 32BJ; SEIU locals also participate in H-CAP Inc. (granted $4.6 million); and LIUNA is active in training programs in Virginia, Rhode Island, Michigan, and Montana that were collectively awarded almost $17 million.
“In addition, some $28 million of today’s announcement will support projects in communities impacted by the restructuring of the auto industry.
The training activities funded under these programs will be individually tailored.
Is this the “new” stealth program planned?
Obama Endorses Deficit Task Force
WASHINGTON — President Barack Obama Saturday endorsed a bipartisan plan to name a special task force charged with coming up with a plan to curb the spiraling budget deficit, though the idea has lots of opposition from both his allies and rivals on Capitol Hill.
The bipartisan 18-member panel backed by Obama would study the issue for much of the year and, if 14 members agree, report a deficit reduction blueprint after the November elections that would be voted on before the new Congress convenes next year. The 14 would have to include at least half of the panel’s Republicans — a big obstacle.
“These deficits did not happen overnight, and they won’t be solved overnight,” Obama said in a statement. “The only way to solve our long-term fiscal challenge is to solve it together — Democrats and Republicans.”
The deficit spiked to an extraordinary $1.4 trillion last year and could top that figure this year as the struggling economy puts a big dent in tax revenues. Even worse from the perspective of economists and deficit hawks, the medium-term deficit picture is for deficits hitting around $1 trillion a year for the foreseeable future.
The White House has signaled that it will take an aggressive approach to the deficit this year; it’s to be a major focus of Obama’s State of the Union speech on Wednesday and his Feb. 1 budget submission.
The task force plan would have to pass the Senate on Tuesday, where a vote had already been scheduled. Moderate Democrats want to attach the deficit task force plan to legislation to permit the government to continue borrowing money to pay for its operations. The so-called debt limit measure would allow the government to issue another $1.9 trillion in bonds — enough to finance operations into next year.
The general belief is that the task force idea will fail since many Republicans oppose the plan as a recipe for tax increases, while Democrats worry it’ll lead to cuts to Medicare and Social Security benefits. And lots of powerful Democrats say the task force would encroach on their decision-making powers.
The task force plan was offered by the top senators on the Budget Committee, Chairman Kent Conrad, D-N.D., and Judd Gregg, R-N.H., who see it as the only way for Republicans and Democrats alike to take the leap into the treacherous business of curbing the deficit with politically unpopular tax increases and spending cuts.
Much of the opposition comes from top Democrats such as House Speaker Nancy Pelosi of California and Senate Finance Committee Chairman Max Baucus of Montana, whose toes would be stepped on since the findings of the task force automatically receive a vote in both the House and Senate, eroding their power.
On Tuesday, the White House and top Capitol Hill Democrats reached a tentative accord that would have had Obama name a deficit commission using his presidential powers. But the idea was strongly opposed by Republicans such as Gregg and Sen. George Voinovich of Ohio — as well as some of Obama’s Democratic allies — since a presidentially named commission couldn’t force lawmakers to vote.
Read full article HERE.
So let’s put this in perspective and use Common Sense.
a. IF the dollar fails; would vouchers, chits, reloadable debit cards be in our future?
b. The only ones with jobs will be mainly UNIONS. Hilda Solis announces that Recovery money will be spent, partly through the Change to Win coalition in “green job traing”. My question here is: How much training does it take to use a caulking gun?
Window contracts will probably go to Serious Windows through the connection of the DOE (+Obama) to this company.
c. The whoa moment was when this was stated above in Hilda Solis’ speech. Quote: “These grants are built on strategic partnerships — requiring labor and business to work together.”
Does this mean that businesses will not get any grants UNLESS they hire Union workers?
d. NOW Obama endorses a plan to name a special task force charged with coming up with a plan to curb the spiraling budget deficit.
Sounds okay, right? EXCEPT:
The findings of the task force automatically receive a vote in both the House and Senate, eroding their (Legislative Branch) power.
I ask you: HOW can a finding receive a vote automatically in Congress?
Something’s afoot here.
New Progressive words: going forward……bold action…..we must as a nation….collectively.
Remember there are Progressive DEMOCRATS, REPUBLICANS and INDEPENDENTS.
How many times will Obama say “I”, “Progessive”, “bold action” in his State of the Union speech?
Don’t be fooled……Question with BOLDNESS and speak without FEAR.
“The liberties of our country, the freedoms of our civil Constitution are worth defending at all hazards; it is our duty to defend them against all attacks. We have received them as a fair inheritance from our worthy ancestors. They purchased them for us with toil and danger and expense of treasure and blood. It will bring a mark of everlasting infamy on the present generation – enlightened as it is – if we should suffer them to be wrested from us by violence without a struggle, or to be cheated out of them by the artifices of designing men.”