Public Banking Conference: June 2-4, 2013 – Public mortgages, credit pays all state taxes
by Carl Herman http://www.washingtonsblog.com/2017/03/2-minute-video-people-owe-20-trillion-01-demonocracy-demand-monetary-reform-public-banking-1000000-per-us-household-benefits-01-arrests-massive-f.html#more-66419

Public Banking Institute is having our 2013 conference in San Rafael (Northern California) on June 2, 3, 4 to publicly present solutions in banking and money worth tens of trillions of dollars to Americans. You literally have nothing more valuable to attend to (registration info here).  Among public banking’s available benefits:

•  State budget deficits end as state-owned banks create at-cost credit. The US has only one state with increasing budget surpluses: the only one with a state-owned bank.

0.       State taxes are entirely paid with ~5% public mortgages and credit.

0.       Trillions in taxpayer surpluses are returned from documented government CAFRs (Comprehensive Annual Financial Report) as at-cost credit replaces rainy-day funds.

0.       Truth in banking opens debt-free money: US national debt is ended forever, and we have full employment for the best infrastructure we can imagine (documentation here, here, here).

Truth in banking and money can open truth everywhere: unlawful US wars can end, poverty can end, trillions of more dollars returned in the broader economy, and even truth from corporate media.
State taxes are entirely paid with ~5% public mortgages and credit: I took a quick look at California average household debt with mortgages (~$315,000) cars, college, and credit cards (here, here, here, and 15-year mortgages would also greatly save taxpayers). A 5% interest charge for California’s ~12 million households would generate ~$150 billion each year. California’s state budget is ~$100 billion/year.

This prima facie cost-benefit analysis seems to show state taxes could entirely be paid with public credit, and demands public consideration. Governor Brown knows of this option; he vetoed the bill to document the benefits of a state-owned bank. Therefore, public demand such as through our Public Banking Conference seems vital to create credit and money for the public’s good. In context of the above bullet points: Florida economist and Governor candidate Farid Khavari documents that 2% mortgages, 6% credit cards, and 3-4% commercial and vehicle loans would replace all state taxes. A floating interest rate could also cover state budget deficits.

0.       California’s Comprehensive Annual Financial Report (CAFR) shows ~$100 billion in surplus taxpayer accounts that dwarf the $16 billion budget deficit. California also has ~$500 billion in claimed “investments” for pension costs. But the state received only $1 billion net from $500 billion “invested” (one-fifth of one percent) while Wall Street investors received over $2 billion in fees. The entire state has ~14,000 different government entities with CAFR taxpayer surplus totals conservatively data-sampled at the game-changing sum of $8 trillion ($650,000 surplus assets per California household). The idea of a state budget deficit in light of this sum is tragic-comic!  Monetary reform creates debt-free money to directly pay for public goods and services. Because infrastructure returns more economic benefits than costs, we have astounding triple benefits: government could become employer of last resort for infrastructure investment (creating full employment), falling prices because economic output increases more than infrastructure investment cost, and the best infrastructure we can imagine. Creating debt-free money is certainly another tool to end state budget deficits (documentation here, here, here).

Being on a roll for Truth also frees other money: unlawful US wars can end, poverty can end that also increases productivity, and trillions of more dollars returned in the broader economy from other areas of parasitic oligarchic behaviors “covered” from public understanding by corporate media.

Each of the bullet-point topics will have its own article to explain in detail within the context of public banking, along with an open letter to economics teachers/professors, and a final call to the public for their action. Those links will be added at my hub articles at Washington’s Blog and Examiner.com as I complete them.

--=--=-=-==--=-=-=-=-==--=----=---==--=-=-=-=-=----------=2-minute video: ‘We the People’ owe $20 trillion to .01% demonocracy? Demand monetary reform & public banking for $1,000,000 per US household benefits, and .01% arrests for massive fraud to call debt ‘money’ OR kiss your assets goodbye Posted on March 26, 2017 by Carl Herman.entry-meta Demonocracy’s sharp 2 minutes of the tragic-comic mathematical certainty for a society that creates what is used for money as debt; just as certain as adding negative numbers forever causes only and always increasing aggregate debt until a system collapse:

US Debt of $20 Trillion Visualized in Stacks of Physical Cash

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We the People endure endless criminal actions under a .01% rogue state empire, with rhetoric by both political parties’ “leaderships” most accurately defined by bestselling Yale Professor emeritus Harry Frankfurt as bullshit: the inversion of objective factual reality.

This can also be characterized as corporate media “covering” a “Big Lie” .01% crime with “fake news.” The great news, as usual, is that we have technical solutions to end all real problems. In this case, Benjamin Franklin is one of hundreds of America’s best and brightest who clearly document that monetary reform with public banking allows government to operate without taxes with abundant funding.

Most Americans are unaware that what they’re told is literally Orwellian inversion of the objective data. Given opportunity, here and now, to allow Dr. Franklin to walk you through this breakthrough available to We the People, will you invest the 10 minutes to learn?

One of ~100 game-changing areas that We the People must recognize is that our .01% wanna-be masters loot us by the trillions every year, with the core of this criminal fraud by creating what we use for money as debt owed to them. The fraud’s core is to lie to us by calling debt/credit they create out of nothing and issue to us as so-called “loans” as money, when debt is the Orwellian opposite of money.

This financial crime is similar to:

Claiming our “retirement funds” pay for benefits to retirees when 95% is paid by taxes. For example, California’s ~$600 billion state retirement fund only provides a net income of $1 billion for the state’s $27 billion cost, while Wall Street “advisors” receive ~$2 billion. The total amount of such funds just in California is data-sampled at ~$8 trillion in surplus taxpayer assets ($650,000 non-disclosed assets per household).

The Clinton Foundation saying they fund “charities” when only 10% of the $2 billion they’ve received goes to charities.

The US Defense Department claiming to have “lost” $6.5 trillion (~$60,000 per average US household).

The IMF, World Bank, US political leadership, and corporate media all claiming to “do their best” to end poverty while allowing ~ one million children to gruesomely slowly die from poverty every month.

Obvious solutions other than endure debt slavery and kissing our assets goodbye:

monetary reform

public banking

.01% arrests for crimes annually killing millions, harming billions, and looting trillions

Data, discussion of ~$1,000,000 benefits per average US household with monetary reform, public banking:

The top three benefits each of monetary reform and public banking total ~$1,000,000 for the average American household, and would be received nearly instantly. Fed Chair Janet Yellen publicly acknowledges monetary reform as described below, but continues a history of criminal fraud in her lawful fiduciary responsibility to truthfully provide what you’re about to read. The data below include evidence of a .01% oligarchy criminally looting tens of trillions of our dollars.

Monetary reform is the creation of debt-free money by government for the direct payment of public goods and services. Creating money as a positive number is an obvious move from our existing Robber Baron-era system of only creating debt owed to privately-owned banks (a negative number) as what we use for money. Our Orwellian “non-monetary supply” of adding negative numbers forever causes today’s tragic-comic increasing and unpayable total debt. You learned these mechanics of positive and negative numbers in middle school, and already have the education and life experience to conclude with Emperor’s New Clothes absolute certainty that accelerating total debt is the opposite of having money. As a National Board Certified and Advanced Placement Macroeconomics teacher, I affirm this is also exactly what is taught to all economics students.

The public benefits of reversing this creature of Robber Barons are game-changing and near-instant. We the People must demand these, as .01% oligarchs have no safe way to do so without admission of literal criminal fraud by claiming that debt is its opposite of money.

The top 3 game-changing benefits of monetary reform:

We pay the national debt in proportion to removing private banks’ ability to create what we use for money as debt in order to prevent inflation. We retire national debt forever.

We fully fund infrastructure that returns more economic output than investment cost for triple upgrades: the best infrastructure we can imagine, up to full-employment, and lower overall costs.

We stop the ongoing Robber Barons who McKinsey’s Chief Economist documents having ~$30 TRILLION in tax havens, and the Fed finding the US top seven banks creating shell companies to hide $10 trillion. This amount is about 30 times needed to end all global poverty, which has killed more people since 1995 than all wars and violence in all human history.

Public banking creates at-cost and in-house credit to pay for public goods and services without the expense and for-profit interest of selling debt-securities. North Dakota has a public bank for at-cost credit that results in it being the only state with annual increasing surpluses rather than deficits.

Top 3 game-changing benefits of public banking:

a state-owned bank could abundantly fund all state programs and eliminate all taxes with just a 5% mortgage and credit card.

a state-owned bank could create in-house and at-cost credit to fund infrastructure. This cuts nominal costs in half because, as you know, selling debt securities typically doubles the cost. For example, where I live we’re still dismantling the old Bay Bridge in NoCal from the upgrade that cost $6 billion, but the debt-service costs will add another $6 billion when it’s all paid.

CAFRs (Comprehensive Annual Financial Reports) stash “rainy day” funds no longer required with a credit line from a public bank. In addition, the so-called “retirement funds” currently deliver net returns of just a few percent on good years, and negative returns on bad years (here, here). California’s ~14,000 various government entities’ CAFRs have a sampled-data total estimate of $8 trillion in surplus taxpayer assets ($650,000 non-disclosed assets per household, among California’s ~12.5 million households).

$1,000,000 of benefits per US household:

California’s CAFR data of ~$650,000 of assets per household is evidence of huge cash assets of similar magnitude in every state.

Paying the US national debt of ~$18 trillion saves ~$180,000 per household.

Ending state taxes in California to pay a budget of ~$170 billion saves each household ~$15,000, with similar savings in every state.

~$30,000 per household savings annually: the American public would no longer pay over $400 billion every year for national debt interest payments (because almost 30% of the debt is intra-governmental transfers, this is a savings of ~$300 billion/year). If lending is run at a non-profit rate or at nominal interest returned to the American public (for infrastructure, schools, fire and police protection, etc.) rather than profiting the banks, the savings to the US public is conservatively $2 trillion (1). If the US Federal government increased the money supply by 3% a year to keep up with population increase and economic growth, we could spend an additional $500 billion yearly into public programs, or refund it as a public dividend (2). This savings would allow us to simplify or eliminate the income tax (3). The estimated savings of eliminating the income tax with all its complexity, loopholes, and evasion is $250 billion/year (4). The total benefits for monetary reform are conservatively over three trillion dollars every year to the American public. Three trillion is $3,000,000,000,000. This saves the ~100 million US households an average of $30,000 every year. Another way to calculate the savings is to figure those amounts per $50,000 annual household income (for example, if your household earns $100,000/year, you save ~$60,000 every year with these reforms). This savings represents a 60% raise for every US household’s income.

Related, if the ~$30 trillion hidden in tax havens by the .01% have $10-$15 trillion from Americans, and we count the Federal Reserve report that the US top seven banks have over $10 trillion stored, then the average US household could clawback ~$200,000 to ~$250,000.

Famous Americans already on record for these reforms:

Thomas Edison, Henry Ford, and Thomas Jefferson,

President Andrew Jackson, famous inventor Peter Cooper,

New York City Mayor John Hylan, two House of Representatives Banking Committee Chairs,

Benjamin Franklin, William Jennings Bryan,

Charles Lindbergh Sr., 86% of Great Depression economists,

Please understand that I represent likely hundreds of thousands of professionals making factual claims with objective evidence anyone with a high school-level of education can verify.

The Emperor’s New Clothes obvious pathway out of these mechanics of our “debt system” is to start creating debt-free money (a positive number) for the direct payment of public goods and services, and create public credit for at-cost loans (a negative number). I have three academic papers to walk any reader through these facts; an assignment for high school economics students, one for Advanced Placement Macroeconomics students, and a paper for the Claremont Colleges’ recent academic conference:

Teaching critical thinking to high school students: Economics research/presentation

Debt-damned economics: either learn monetary reform, or kiss your assets goodbye

Seizing an alternative: Bankster looting: fundamental fraud that “debt” is “money”

Let’s examine just some of the facts of the current US economy that demonstrates its criminal status:

We’ve already documented how the global so-called “elite” 1% are now wealthier than the 99% while ~30,000 children die daily from preventable poverty in gruesomely-slow agony. Just 62 people on Earth own more than the bottom 50%.

The US .1% own more than the bottom 90%.

The top 20 Americans (.000006%) own more than the bottom 50%.

The top three public benefits of monetary and banking reform would add ~$1,000,000 to every US household. The lies of omission and commission by US “leaders” with legal fiduciary responsibility to communicate full and transparent economic data to never advise Americans of these options is a massive crime causing damages in the trillions of dollars yearly.

Our current system of creating what we use for money as debt has the so-called “developed” and “former” colonial nations $50 trillion in debt, and lying for public austerity rather than admit the option of monetary and banking reforms.

For Americans still zombiefied to “believe” in America, please embrace the reality that 40% of US children live at least one year of their lives in under-measured poverty, while oligarchs most responsible literally laugh in grandiose glee of the poverty they euphemise as “income inequality.” Please absorb this 1-minute reality check:

Three Treasury Secretaries Laughing It Up Over Income Inequality

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John Perkins’ 2-minutes of context as an illustration of what the US rogue state executes:

IMF whistleblower John Perkins, Confessions of an Economic Hitman - NwoMafiaCrimes

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More game-changing economic data that confirm what we receive for economic leadership is literal criminal fraud:

decaying infrastructure getting uglier from “deferred maintenance,”

real unemployment near 25% with most families demanding both parents work longer and longer hours,

real inflation well above official reports,

US poverty of 20% among children, 40% for living at least a year in poverty,

72% of California students in schools with over half the children classified as “socio-economically disadvantaged,”

the annual interest payment of ~$450 billion for the US national debt is over four times the amount needed to invest for ending all forms of global poverty (~$100 billion/year for ~10 years).

a rigged-casino economy designed for “peak inequality,”

“too big to fail” banks demand public subsidies (so-called “bailouts”) while gambling with over $200 TRILLION in derivatives,

these “too big to fail/jail” banks deriving most of their income from subsidies and apparent market manipulations,

Daily and never-ending Orwellian criminal-complicit lies of corporate media.

US college Class of 2015 students average $35,000 in debt, with the total for 2015 graduates nearly $70 billion: more than ten times the amount from just 20 years ago. The average time to pay this debt is now 15 years (think paying until age 40).

half of US 25-year-olds live with their parents, more than twice the number from 15 years ago.

Over one million US college students are “Sugar babies”: selling sex as part-time employment. The UK has the same condition (here, here).

31% of US adjunct professors live in poverty.

15-minute video of obvious solutions: Mark Anielski and Ellen Brown’s powerful 15-minute response to an interview at the Seizing an Alternative conference (and here, with videos here) with former World Bank economist Herman Daly and co-author John B. Cobb of For the Common Good (video should start at 1:04:43):

Herman Daly plenary for SEIZING AN ALTERNATIVE.

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81-minute interview with Byron Dale and Greg Soderberg of WealthMoney.org (the three of us have combined over 90 years of research on this topic):

Endnotes:

1) Of $60 trillion total debt, a conservative current interest cost of 5% is $3 trillion every year. Two trillion dollars of savings if the profits are transferred to the American public rather than to the banking industry is probably low. St. Louis Federal Reserve Bank: https://research.stlouisfed.org/fred2/series/TCMDO

2) The US GDP is ~$17 trillion. Three percent growth is moderately conservative.

3) Of the US Federal government’s ~$4 trillion annual budget, about $1.7 trillion is received from income tax.

4) Tax Foundation. Hodge, S, Moody, J, Warcholik, W. The Rising Cost of Complying with the Federal Income Tax. Jan. 10, 2006: http://www.taxfoundation.org/research/show/1281.html