Peter brass part 2 model of a neutralised currency and. A third misconception concerning our monetary system may be formulated as follows. Kennedy vs the federal reserve banking cartel on june 4, 1963, a virtually unknown presidential decree, executive order 11110, was signed with the authority to basically strip the bank of its power to loan money to the united states federal government at interest. Back to text 28 personal communication, september 1999. Margrit kennedy, bernard lietaer and john rogers isbn 9781908009760 triarchy press, 2012 people money on. Finally, the concentration of extra money in the economy leads to inflation. Interest on debt rises exponentially, while economic activity is linear. Permaculture publications, steyerberg, germany, 1990.
The federal reserve is privately owned by thomas d. Interest and inflation free money internet archive. From the treasuryfed accord to the mid1960s federal. A demand may exist for either of two kinds of money. A the interest rate increases, income becomes higher. It explains why money not only makes the world go round but also wrecks the world in the process. Margrit kennedy 1995 interest and inflation free money. The federal reserve, fearful of further encroachments on its powers, had kennedy killed. Her empirical findings simply wipe the field of all opposition. Back to text 29 natural resources defense council and others, kingpins of carbon. What are the other resources except money, which are. The article shows that the need for permanent payment of interest leads to the concentration of increasing supply of money in money circulation, which does not participate in economic transactions and, therefore, in the creation of added value. In germany the poorest 80% pay 1 billion euros in interest to the richest 10% per day. But now, because the nominal interest rate is the cost of holding money, the nominal interest rate feeds back into the demand for money.
Schauf the federal reserve bank is a private company. Creating an exchange medium that works for everybody and protects the earth. Former us president andrew jackson issued interest free currency, and two shots were fired at his head in an assassination attempt, but the shots misfired and he. Hitler issued debtfree currency for germany dig deep. That means that sooner or later those in a weaker position are unable to pay. Creating an exchange medium that works for everybody and protects the earth has been translated into 23 languages and is considered. On the other hand for the interest rate, he or she will lose money when the inflation gets higher but there also will be the chance of deflation and thus that can lead to gets return again, by the formula shown above. Join us to discuss margrit kennedy s 58page book of the same title. D income rises, money demand rises, and a lower interest rate is required. But she found interest doesnt treat everyone equally. Instead of paying interest to those who have more money than they need and in order to keep money in circulation, people should pay a small fee if they keep the money out of circulation. The result is that people will not even provide zerorisk, inflation corrected credits unless a certain interest rate is offered. Just as hitler issued debt free currency for germany, abraham lincoln setup an interest free banking system in the united states when he was president, and he was murdered for it. Since everybody has to pay interest when borrowing money or buying goods.
King, is the invisible wrecking machine in all socalled free market economies. One result of this work is the book interest and inflation free money, which has been translated into 20 languages. The problem goes much deeper than a few crooked operatives and it will not be fixed by changing the corporate culture. Margrit kennedy is the author of the international bestseller interest and inflation free money, an outspoken critic of the current global economic system and a renowned advocate of alternative regional and complementary currencies.
The fundamental evil is the arithmetic of compound interest. An explanation for the slope of the lm curve is that as. B the interest rate increases, income becomes lower. On june 4, 1963, a virtually unknown presidential decree, executive order 11110, was signed with the authority to basically strip the bank of its power to loan money to the united states federal government at interest. C income rises, money demand rises, and a higher interest rate is required. Margrit kennedy was a german architect, professor, environmentalist, author and world authority on and advocate of complementary currencies and an interest and inflationfree economy. Thanks for proofreading to annalena steinhausen, 04. Kennedy, jewish power, house of rothschild, debt free money. Martin sought stability of the price level as opposed to the modern objective of low inflation. Margrit kennedy, bernard lietaer and john rogers isbn 9781908009760 triarchy press, 2012 people money on facebook. Back to text 27 personal communication, september 1999. As interest rates are lowered, more people are able to borrow more money, causing the economy to grow and inflation to increase. To expand on roberts mention of interest as a factor in price inflation, magrit kennedy and helmut creutz have tried to estimate the price inflation due to interest costs for a variety of goods and services, ranging from 1288 14% in garbage collection to 7723 335% in public housing. In setting shortterm interest rates conditions in the money market, the fomc engaged in openmarket purchases exclusively in treasury bills.
What is the relationship between inflation and interest rates. The relationship between real interest rates and inflation nbp. Sylvain, emmanuelle, sustainable development and economic freedom an. Chapter two, creating an interest and inflation free money, p. Interest and inflation free money published by seva international. So, they would be lost large amount of money if they calculate with the current value of currency.
Chapter two creating an interest and inflation free money towards the end of the 19th century silvio gesell, a successful merchant in germany and argentina, observed that sometimes his goods would. For her book, interest and inflation free money, margrit kennedy calculated that, on average, approximately 50% of what west germans spent in 1982 was interest. Margrit kennedys first book on money, translated into 22 languages. Consistent with his views on free enterprise, martin.
Money earns interest and with interest on interest. Ludwig schuster and margrit kennedy with a complementary currency, greece can devalue and remain in the euro area the european project is at risk. Interest and inflation free money wednesday, july 23, 2014 11. Creating an excange medium tat works for everybody and protects the earth. Inflation, in turn, affects the nominal interest rate through the fisher effect. Changes in the price level are, by definition, the rate of inflation. Net free reserves again became positive, and interest rates. She ended up writing a little book called interest and inflation free money use the linkto prof. Read interest and inflation free money to find out.
A german town planner once decided to investigate the causes of unsustainable development. Margrit kennedy interest and inflation free money userpage. As soon as interest is abolished, inflation becomes unnecessary. Macroeconomic indicators and their impact on stock market. The current piigs portugal, ireland, italy, greece, spain dilemma shows that europes monetary union was built with a structural flaw. Sabine k mcneill has organised the forum for stable currencies in the house of lords since 1998. It reveals the reasons for the persistent fluctuation of. Margrit kennedy is an outspoken critic of the current global economic system and an internationallyrenowned advocate of alternative regional and complementary currencies. Creating an exchange medium that works for everybody and protects the earth, first published in 1987 and updated repeatedly afterward, last time in 2006 in german anyway. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Creating an exchange medium that works for everybody and protects the earth kennedy, margrit, kennedy, declan, creutz. Margrit kennedy november 21, 1939, chemnitz december 28, 20, steyerberg was a german architect, professor, environmentalist, author and world authority on and advocate of complementary currencies and an interest and inflation free economy. An exchange medium that works for everybody by margrit kennedyr. As a medium of exchange, money is one of the most ingenious inventions of mankind, as it facilitates the trade of goods and services and allows for specialization and the division of labor however, compound interest and inflation have caused our monetary system to balloon to the point where bailing out banks, large corporations, and even entire countries will not preventas a.
Freigeld simply reduces this primordial interest rate, which is estimated to be somewhere around 3% to 5%, by an absolute, in order to lower the average interest rate to a value around 0. Federal reserve policy and bretton woods federal reserve bank. In a mature free banking system, commodity money does not circulate, its place being taken entirely by inside money. The higher interest rates are, the lower the quantity of money demanded. With the stroke of a pen, president kennedy declared that the privately owned federal reserve bank would soon be out of business. In the present monetary system we are all equally affected by interest 25. It exposes the reason for the constant change in one of our most important measures.
Cetri galvenie aplamie pienemumi par naudu katru dienu uz planetas gandriz ikviens lieto naudu. No angloamerican economist has come close to countering the scam of usury losery as has dr. Creating an exchange medium that works for everybody and protects the earth, revised edition gabriola island, bc. Create your citations, reference lists and bibliographies automatically using the apa, mla, chicago, or harvard referencing styles. Kennedy, margrit, interest and inflation free money, seva international, 1995. The money creation process should be taken away from the banks and given to the governments who. In august 1960, however, private hot money demand for gold firmed and began driving. Agrawalla and tuteja 2007 that such macroeconomic indicators as gdp, inflation, interest rates, money supply, industrial production index are generally used although there is a lack of detailed reasoning for selection of aforementioned indicators. Her most famous book, interest and inflation free money. In the months before dallas, president kennedy signed e.