A Financial Plan for the U.S.
by James Jaeger


Energy Parasites

As it stands today, governments tax almost every transaction that its citizens engage in and still are in debt. In the case of the United States government - well over $5 trillion dollars is the current debt. If a democratic government is considered irresponsible for this mis-management, its citizens should be given even more credit for the irresponsibility because they are blaming the government of being an energy parasite.

More specifically, if the people we have elected to govern are being irresponsible because they find themselves in a system that inhibits their ability to get viable work done, the system should be adjusted and the government employees retrained or removed if they cannot get results.

To tax at every transaction might seem like a good idea at first because it diversifies the tax burden by shifting it to all sorts of things. The problem is, it inhibits, if not suppresses, every transaction.

A transaction is the financial unit of a civilization. If writers were taxed upon every 10,000th word they wrote, you would see fewer and fewer books written and eventually a certain degree of knowledge would be suppressed. If writers were paid a huge bonus for every 10,000th word written, you would see lots more junk written.

Taxation is like the electrical charge applied to the grid between the cathode and the anode in a electronic amplifying tube. It allows the money (electrical energy) money to flow or be stopped. It thus amplifies the flow of money (electricity) in the civilization (anode) or inhibits it. Too much taxation, or taxation at every transaction, can kill the money flow of a civilization by killing people's spirit to create products.

Money represents the collective work of the individuals in a civilization. It is their collective power reduced to convenient units of exchange. This money belongs to the People not the Government. When any entity siphons off a portion of that power --as tax authorities do directly, the government does through the hidden tax of inflation and the banks do through the fractional reserve system -- it inhibits the free flow of this vital, collective energy called money. Hence products sell less often and for more money per sale.

Taxing growth with high capital gains stagnates the economy because taxes on appreciating assets inhibit people from selling those assets. Thus too many hold on to useless assets too long, or until death or until such assets diminish in usefulness due to erosion or obsolescence. Under these circumstances they loose out and the civilization looses out ultimately.

Since every citizen in a given country should have the right to utilize the common areas of that country, i.e. the roads, the parks, public utilities, each citizen should pay taxes to contribute to such infrastructure's construction and maintenance.

If all men are created equal, I see no reason why all men should not pay equal taxes. Since most Americans are over weight, the only place the government might consider collecting taxes from is the sale of food. By placing a 5% to 25% tax only on food, it would force all people to pay equally a percentage of what they have in common - the need to eat. Those that were eating too much and becoming fat and unproductive would have to pay more taxes, thus they might eat less, become thinner and hence more productive.

This tax scheme would set off a chain of events. People would eat less so as to be taxed less or the people who liked eating, and as a result were overweight, would have to shoulder the bulk of the tax bill. People who are over weight have to spend more energy metabolizing food hence they tend to have less energy available for productive activities. If people were taxed for eating, they might eat cheaper foods. Thus they might eat less meat hence less of the rain forests would have to be destroyed to raise cattle hence there would be more vegetation to consume the CO2 which is causing the greenhouse effect on the planet.

Don't think there is a green house effect. You better look again. The planetary temperature will probably be up again and we will have increased precipitation (rain and snow) due to the increased evaporation of water from the oceans.

Policy Considerations

The American People, through the vote, should enact all or part of the following public policies (laws) if they see eye to eye with the problems and solutions proposed here:

o Federal spending should be brought into alignment with sums raised solely through taxation.

o A constitutional amendment should state for the record: "The Economy of the United States of America operates on an annually balanced budget and the government is solvent." Of course this would do nothing to bring about the condition.

o All citizens, partnerships, corporations and all other entities should pay exactly 5% of their GROSS INCOME to the Treasury of the U.S. Government for expenditure in servicing the people of the country and the Earth, in that priority.

o All citizens, partnerships, corporations and all other entities should pay exactly 5% of WHAT THEY EAT to the Treasury of the U.S. Government for expenditure in servicing the people of the country and the Earth, in that priority.

o There should be no Taxation of assets upon death. Here again, taxation at every transaction only suppresses transactions and transactions are a form of money communication.

o Prostitution and all drugs should be legalized. It is an empirical fact that whatever you try to suppress you get more of. Whether one feels drugs and prostitution is morally right or wrong, by making them illegal that person is abetting their spread not reducing it. The good that would come from legalizing these two problem zones, would far out stretch the bad. If one does not believe it, a pilot study in several states should be done. If drugs were legal, sure a certain number of people will do them and die, but as it is now, the cost to civilization to police their continual use, plus the profits made in the black market, do far more damage.

o There should be a 25% sales tax on all drugs, including alcohol and cigarettes, weapons and munitions. This is what I erroneously thought until today, 14 January 1998, while working on this, my "work in progress." There should be a 0% tax on all drugs, including alcohol and cigarettes, weapons and munitions. My original idea was: tax the hell out of "evil" things and thus it will discourage the purchase and use of same. But by doing this, one is giving the government a vested interest in perpetrating these "evil" things that they are taxing the hell out of to "stop." Why would the government, which needs money as much as the next guy, want to see an end to the very things, those evil cigarettes for instance, which help them generate so much tax revenue? The short answer is I bet they they covertly don't.

o It should be made illegal, for the government, or any entity to lend or borrow money for the purpose of building or researching weapons waging war or abetting conflict of any kind.

Thus this roll of the international banker and the Federal Reserve Bank must be shut down. International bankers have been causing war on the planet for far too long by financing both sides of the conflict.

o The Federal Budget should be allocated according to percentages.

o The US Government should not provide free foreign aid or defense services for any foreign power any longer and the IMF/World Bank should not be allowed to allocate money to third world reconstruction any more unless it is assured it goes to the peoples' industries and not for the dictators in these governments' personal luxury.

o The U.S. Government's only three sources of revenue should be as follows:

a. Taxation of the people it provides government for - the American People.

b. The sale of Government Assets at world wide market value. Such assets include, raw land (except for certain irreplaceable national parks and monuments), technology and research equipment. No war machines or research.

c. Sale of protection for allies.

o The president should have a line- item VETO for the budget.

o No bank, especially the Federal Reserve, may lend out money for the purpose of collecting interest on sums it holds as demand deposits. In other words, abolish the following:

a. Fractional reserve banking,
b. Fiat currency,
c. Currency not backed by silver with gold tied into the price of silver,
d. Legal tender laws,
e. The Federal Reserve System itself.

o Any bank, federal or private, may lend out what it has on time deposits only, not demand deposits.

o The professions of banking, medicine and law should be a non-profit enterprises.

o The profession of medicine should grant bonuses (i.e. be profit making) when it solves major medical problems, such as cancer and AIDS. A national bonus of a sum equal to the loss and damages AIDS has so far caused should be allocated to the Laboratories that invent or discover a permanent cure for AIDS as a reward. Then you would really see free enterprise shift into high gear. After the disease is gone, there will be no more ongoing liabilities connected with it, hence this is the money that would be allocated to pay the bonus over time.

o The practice of law should be non-profit. Since there is only one law, the legal industry operates as a cartel which basically serves the courts and judges and not the citizens - even though this is the illusion. Take a look at how many times you have seen justice not served on important, famous, cases and even your own cases. By allowing law firms to create profit centers from the delivery of the knowledge of a monopolistic doctrine, the law, an environment of sloppy competition and profit-taking crops up. Why do you think most citizens absolutely HATE lawyers?

Because attorneys are generally paid by the hour, it is too much to their advantage to have a legal system that is onerous and complex, thus the amount of time spent on any particular job increases, and so does their hourly pay. Computers are far more accurate and effective in looking up code (law and precedent) than any human lawyer could ever be thus the day of the lawyer as a profit-making entity is has passed usefulness for the greater good. As the public at large becomes more and more aware of this, the legal profession will become a servant of the people for the people and by the people - as it should, just like physicians should serve the needs of the sick without profit motive.

Lawyers should be motivated to work purely for humanitarian reasons (as the doctors have been generally doing for centuries), resolving the conflicts of their fellows through an increasingly simplified system of legislation, simplified legislation they in fact, you can bet, would be more likely to be enacted under such a no-profit system.

At the very least, it is not right that the very entities that create the bewildering maze of laws - lawyers - be the same entities that utilize this bewildering maze of laws for profit. Thus the legal profession should be non-profit. (Of course there should be no need for any top down legal authority as the Extropians advocate.)

In Summary: Out of the thousands and thousands of profit making industries available on the planet competing to create and deliver a better mouse trap - three: MEDICINE, LAW and BANKING should be non-profit. Practitioners should be attracted to these industries for one and only one reason - to serve and better humanity and culture, not to elk a higher profit out of the delivery of monopolistic goods and services. The best minds would be attracted to these professions because the best minds are not money-motivated-minds. Minds that are money motivated can never out-compete or out-create minds that are not money motivated because a considerable part of their mental CPU is absorbed with the machinations of business (i.e., income, expenses, cash flow, debt, credit, etc.) not in life itself and in serving and helping others. When the thrill of understanding some phenomenon and working out its negative influences on civilization is not pay enough, such beings should be relegated to work in some other "business" field where he or she can make all the money he or she wants to make.

This is not to say that the fields of medicine, law and banking should be socialistic. Nothing is more degrading to a civilization or a world than to have to depend on some central authority or governance for product and service - a condition that crops up to the degree a system is not workable along with people who disagree with the system and thus become "criminals." A one-world socialistic government is an example of a non-workable system that is a stop-gap measure by those that would rather have functionality by decree rather than functionality by purpose.

This is to say that these professions should be non-profit in that the practitioners should be able to earn as good of a living as anyone else in most other fields, however their corporate profits would not be distributed to any stockholders. This would ensure that such profits, such blood-saving money, will not be wasted on Epicurean nonsense but will be put back into the business to increase the research budgets and to economize the delivery of existing needed services for the good of the civilization.



CHECKING ACCOUNTS

o Checking accounts, which are demand deposits, should not be permitted to give interest.

o Banks must be regulated directly by the People of the United States, not delegated off to some government-sanctioned secret cartel (as is done on the open market committee of the Federal Reserve Bank) that is relatively unknown to the average citizen.

o The pay of the president, his cabinet, all congressmen and every employee in the federal, state and local governments should be directly indexed to their production statistics. These statistics should indicate how well or poorly they are doing their jobs getting their product or delivering their specific service(s). For instance their pay could be indexed to debt and deficit reduction, GDP, consumer price index, interest rates, housing starts, balance of trade, unemployment, etc. When any of these statistics go down, the pay given to Congressmen goes down because they are not doing their jobs. When any of these statistics go up, the pay given to Congressmen goes up because they ARE doing their jobs. The amount pay can rise or fall should not be limited.

o Since the President is chief executive, and since an executive's job is TO DELEGATE AND SEE THAT THINGS GET DONE, the President's pay should be directly indexed to the length of time it takes him to get authorized programs DONE.

o Judicial Pay should be indexed to number of useful vs. obsolete laws ratio.

o All government officials should be pardoned by the American People for their mismanagement of the Federal Government in the past since it is the American People's fault they elected and placed in power the people who contributed to the problem. The many people have not voted or researched what goes on, over the years, are responsible for the condition we are now in - thus the American People must bear their share of the responsibility. All the blame should not be put on the people who work in the government, only exactly 50% percent of the blame. At least these people that are working in the government are there trying to make a difference. They are basically good people who might be caught up in a system that needs some adjusting.

There is no government better or more workable than the United States Government. People must stop complaining about their government and leadership all the time as if they had nothing to do with it. One only has the right to complain to the degree he or she is doing something positive to improve situations.

If Americans only knew how incredibly WONDERFUL their government is compared to the former USSR and other governments around the world, they would shut their mouths up so fast you could hear the click half way across the voting district.

But, people get the government they deserve - so the American People are not all that bad either.

Americans should not ask all the time what their government or leaders should do for them - they should get out there and improve themselves, educate themselves, and take responsibility more for themselves by starting with managing the sphere of life around them and the sphere as it extends out into infinity.

But never forget, American leadership is a cross-section of Americans. If you want better American leadership, you better get started building better Americans.

Let's say the American People are 50% responsible and the individuals elected to government posts are 50% responsible for the condition we all are in.

o By Law, News agencies should give unbiased news reports, meaning that their shows should report 50% positive news and 50% negative news per the following definitions of neg and pos

news:

Neg News means any news dealing with any impact of a deadly velocity where life is harmed such that the radius of harm - what is being de-structured (destruction) - does not exceed 100 feet of planetary surface area or some radius set by law. The ratio that this area bears to the rest of the reported area (the pos/neg ratio) should be stated because television, being the great equalizer, tends to give every item of news that comes across the screen similar if not equal importance. This is misrepresentation of the relative importance of an event and therefore it confuses and inhibits the public unnecessarily. It makes people feel that the environment is more dangerous than it is and so they become more inhibited - thus less productive in the long term.

Pos News means any news delineating a new technology, positive accomplishments, public appointments and dismissals, financial statistics, biological, astronomical, environmental, epistemological, ontological observations and reports. Positive news must be given at least equal importance as neg news otherwise positive reality will not be postulated and the civilization will never have a sense of well being about its identity and purpose for existing. Further, that is being con-structed should state what is needed to move forward more.

o It is very disconcerting how news shows (such as American Journal and Hard Copy, not to say these are the only ones), broadcast endless negative news events but never do any more than state the effects. The news never follows the sequence of causality back to the "criminals" to give the public some improved understanding of why it happened so perhaps someone somewhere could begin working on solutions. All the news says, 9 out of 10 times, is "he did it because he is a criminal." This is so moronic, I don't understand how or why people continue to watch any "news" shows.

The time they are wasting watching "news" shows to find out: "criminals create crime" - all that one is EVER LEFT WITH from one of these shows - is time better spent reading a book on criminology or on justice or ethics or philosophy or even watching a feature film.

Since all news agencies are really interested in doing is slapping citizens the fact that a crime occurred, they do little in mitigating crime in the civilization. In fact, their very action abets crime in the civilization as they are promoters of crime under the guise of "protecting the public" or "informing the public of that which they deserve to know."

They are not protecting the public, giving service to the victims or shedding light on cause, because of the immature, sensationalistic way in which they report events in such quick flippant ways complete with spinning and whirling digital graphics and even log-lines and theme songs. What they fail to realize is that they are reporting on someone's LIFE. But all this LIFE is to them is A STORY. Then they justify this style by saying "the public has the right to know." These are real hurting people (murder, theft, rape, flood and fire victims as well as the innocent-until-proven-guilty people involved) and they are being treated with the dignity of a McDonald's hamburger or a mini series promo campaign.

If the news media really wanted to do something beneficial, but they have to have their kiddy-thrills reporting murder, blood and crime, the least they can do is balance their kiddy-thrills with an equal amount of positive news, as above defined.

Secondly, they could delve into cause more. And yes this would require asking the question: Why did he do it?

Did anyone ever stop to realize that he did it because you and I made him do it to some degree? That's right, you and I are collectively responsible for creating this shitty, little miserable no-win civilization that drives each man to desperation and ultimately "to do it."

Did it ever occur to you that it could be you up there on that news report someday? Have you ever noticed that they always say "Oh he was such a nice quiet fellow. Lived right next doors, never made a peep of trouble." Well all the "criminals" reported in the negative news are those nice quiet fellows next doors. How do you differ?

We manufacture the criminals that we watch on TV by our several and collective irresponsibilities and our unwillingness to confront cause. To the degree we create or allow a civilization where increasing numbers of people cannot win, we create the very criminals we are trying to avoid. And most of these criminals are created between the 1st and 36th month of life on this planet because some parent was not there or was there abusively.

Then if the economic system that we have created makes it easier for a 15 year old kid to earn $500 selling crack on a street corner than to work at McDonnalds selling hamburgers, the crack will flow and so will the child-dealers.

o Showing crime without showing cause and promoting violence in the media causes at least 50% of the criminality and violence we see in the civilization today, hence the news media (and producers of certain violence exploiting programming) should be subject to class action for abetting the inhibition of peace and economic progress if not genocide, to a greater or lesser degree.




Improvement Program

Once the above policy was enacted, the following program could be executed:

According to the Joint Economic Committee, total wealth in the country is $15 Trillion and

1% of the American people or families own 36% of this wealth. This means they own 36% of $15 Trillion or the sum of $5.4 Trillion.

Life and property are assets. Police protect assets hence police protect life and property. Since the wealthy have more assets, they need more police to protect them. Since they need more police to protect their assets, the cost to protect the assets of the wealthy exceeds the costs to protect the assets of the poor. Hence, it follows: the wealthy should pay for the police protection they require to protect their assets.

In an ideal state, there would be no need for crime, not because it was inhibited by force, but because it was made superfluous by prosperity for all. A state of prosperity, hence less crime, is much more likely to come about in an environment where the wealthy must pay for their police protection than in a state where the wealthy get this burden paid for by those that do not need the services of the police.

This 1%, who have been enjoying protection of their assets for many, many years and have the worst GIVING statistics, should be required to pay 10% of their net worth each year to the Treasury immediately in order to avoid being charged for all the years of free protection they have received.

10% of $5.4 Trillion is $540,000,000,000 ($540 Billion).

Interest on the sum of $2.3 Trillion, at 10% per year, is $230 Billion per year. If we collected $100 Billion per year for foreign defense services plus $540 Billion per year from the 1%ers this would be $640 Billion per year minus the yearly debt service of $230 would leave the sum of $410 Billion per year to pay down the debt of 2.3 Trillion. (Yearly debt service is used to simplify the problem as using the aggregate of T-Bond maturities would complicate obfuscate most directions towards the solution.)

At this rate the Federal Debt would be amortized in 5.6 years.

At this time the 840,000 1%ers would have paid for 5.6 years of the 200 years they have been getting free protection of their wealth.

Thereafter standard policy as above delineated should apply.

The American Public might want the debt paid off faster, hence the sum paid by the wealthy 1%ers could be increased to the sum of the disparity, and the debt reduced pro rata. Thus, the 1% of the people, who own 36% of the wealth, would be required by law to pay in taxes 36% of their net worth towards 99% of the debt.

Thus, again, the wealth is $15 Trillion and 1% of the American people or families own 36% of this wealth or the sum of $5.4 Trillion. 99% of the debt is 2.277 Trillion, hence this debt reduced each year by the sum of 36% of $5.4 Trillion (or 1.944 Trillion) would be gone in less than 1.43 years (2.277 divided by 1.944).

Thereafter standard policy as above delineated would apply.

Summary

o 1% hold 36% of the wealth.

o 99% hold the vote.

o The 99% can force the 1% ers ethics back in alignment.

o Public voting by telephone or over the Internet could be a reality now, or soon.

o Public voted to reopen the Kennedy Assassination, it is done (even though we hear little).

o Public can vote to demand the above financial solutions be done within five years.

o All Federal Debt can be eradicated in less than five years.

o National and Planetary expansion will be facilitated with saner financing and budget control.



Physical Overview

Science, other than its Circular Logic Problem, has done a relatively good job in figuring out much about how dynamic systems light years away work and what they are made of.

If we can perceive and understand to some degree a Billion Trillion Stars (1,000,000,000,000,000,000,000) in the observable Universe not anywhere near our planet, then the above "economic" problems going on on our planet should be rather Mickey Mouse and in fact these problems and systems ARE Mickey Mouse -- but they sure keep people who flunked math and science (the people in politics), busy forever.

The reason economic problems persist is because they are designed to persist to some degree. War is designed to persist because war forces people to go into debt if they are to retain their sovereignty. Since wars cost money to wage, the only ones to profit from wars are the international bankers, thus it has been in their interest to cause war and threat of conflict down through the centuries.

To the degree the general populations of the planet's sovereignties decide to buy into the idea that it is all too complex for them to understand and remain ignorant, 1% of the moneyed entities (specifically the international bankers and the governments under their employment), will continue to profit from the interest payments made on the government-guaranteed fiat currency they cause to come into existence. All modern wars are paid for by inflation. All inflation devalues the purchasing power of the average working taxpayer, thus the average working taxpayer always looses.

Homo Sapiens has already been here 600,000 years. Economic matters and the location of the villains suppressing the general well being of the planet's people should be relatively easy to solve. What's the problem?






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