“Shut down the bubble, or there is no solution.” –Lyndon LaRouche
Remember Marley the ghost, in Dickens’ A Christmas Carol? He had a ball and chain weighing him down, a symbol of his bondage to his love of money. Now how many quadrillions of dollars did we allow financial institutions to create out of thin air? We allowed a system where debts were counted as assets, then used to borrow still more money. Barney Frank defended this policy, by delivering a housing bill that saved all of 49 homeowners from foreclosure in 2008, endorsing the ever-expanding TARP bailout program, by blocking proposed legislation to regulate financial derivatives and audit the Federal Reserve. Does Bailout Barney want to print more money to save a bankrupt system, while millions of families lose their homes and jobs?
What is the alternative? I support the LaRouche Plan. 1.) Cancel the bailout, get that money back. 2.) Reorganize the banks with Glass-Steagall reform. They’re bankrupt, you know? 3.) Create massive amounts of credit for large-scale infrastructure projects. 4.) Implement the Four Powers policy of cooperation between Russia, China, India and the United States.
This will be the basis of a new global credit system. A credit system will mean the end of the imperial method of controlling nations through their submission to money. In a credit system, money’s excuse for existing is as part of a physical-productive process. This is in contrast to what we have today, a monetary system. In a monetary system, money is bestowed with intrinsic value. You might have thought, “It has value, of course, because it is money!” Where does this money come from? If it’s created at the whim of a private financier, the issuance of money can be detrimental to the productive power of your economy, and thus the value of the money itself. Look at the housing bubble for instance, as only one of the financial bubbles created over recent decades. What was the effect of this bubble on productive industries in the United States? What happened to credit for farmers and small businesses? Valid, long-term sources of profit were ignored in favor of “get-rich-quick” financial investments. Productive companies were bought and sold and turned into overnight profits by hedge funds. Government-funded infrastructure was auctioned to private companies, placing citizens’ most basic needs in the clutches of London-Wall St. financier-parasites. The physical economy was hollowed out to feed an increasingly precarious financial bubble, until now, when we’ve reached a point of total collapse. Because of the combination of hyperinflation on the scale of 1923 Weimar, joined with the complete breakdown of the physical economy, there is no easy recovery in sight .
Instead, consider how Franklin Roosevelt revitalized the nation with great projects. By an act of Congress, and with one swipe of the President’s pen, the Treasury department was allowed to issue credit, to be invested in physical infrastructure. No one can ignore the beneficial effects of the Grand Coulee Dam, or the Tennessee Valley Authority, or the hundreds of libraries, schools, and hospitals, and thousands of miles of roads and power lines, which only the issuance of government credit could have caused.
Think of the value of these projects as a physical value, as they increased the productive powers of communities across the nation.
This means, money acquires value as it works to increase the productive powers of labor. Constitutionally, the Congress has the exclusive power to issue currency. No private institution has the right to forge something so vital to the health of our nation’s economy. Banks will obtain ample credit, which they then may provide for the service of circulation, as we rebuild our infrastructure, construct an international rail system, and produce the technologies and materials necessary for a Moon/Mars colonization program.
Send Bailout Barney to the unemployment line!
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