Library » Business » Transfinancial Economics
by Robert Searle
A Brief Summary
The following should give one a very brief overview of Transfinancial Economics, or TFE which then leads on to a more detailed article, or "paper". It is should just take a few minutes to read for those pressed for time. Also, please note that TFE at the time of writing is a research, and development project. The same is true of Positive Human Politics (PHP) which is not discussed here.
TFE is also known as Non-Taxation Monetary Reform. It believes that new unearned money could be created for democratic governments both local, and national without raising taxes. Many NGOs, or independent non-governmental organizations could also be funded in a similar manner either in full, or in part. Thus, in most cases, fundraising, and donations should be largely unnecessary.
This can also lead to greater decentralisation of power from central government. Responsible direct participatory democracy at a local, and national level should be recommended as the way forward as politics, and politicians have clearly lost much credibility.
The creation of new unearned money without taxes, or fundraising would not lead to uncontrolled inflation, and devaluation of currency.This would be directly controlled by advanced computer technology. However, anonymous cash transactions would still be possible.
There is more than enough money to change the world. The problem notably for NGOs is legal access to it.
In TFE there is no redistribution of financial wealth, but NGOs concerned with fairer wealth distribution such as Binary Economics would be financially empowered as never before. Thus, their influence on public opinion would be far greater.
TFE is a arguably a transitional system that would hopefully lead from the greed of competitive capitalism to fairer economic systems both large, and small which would cooperate with each other. Ultimately, as human nature evolves to a higher level of development, and understanding money as electronic transmissions, and as cash would no longer exist.Everything would be free on demand.
However, TFE realizes that the present competitive capitalist system is too well entrenched in the society for it to be removed. As such it does not waste time opposing it but uses its new understanding of money to allow it to flourish. More importantly, and at the same time, there is also the new financial empowerment of NGOs concerned with social, economic, and political reform. They would be able as never before to speed up the pace of positive change which may well lead to part, or wholesale replacement of competitive capitalism. Co-operative type economic systems may then take their place.
Apart from the creation of new unearned money interest free loans could also be created. In TFE we are also dealing with a high, or higher growth economy. With the introduction of a tax, and interest free world research, and deployment of various simple, and complex sustainable technologies would be speeded up as never before to ensure that total resource scarcity cannot happen.
The possible social, economic, and political implications of TFE are massive. The creation of new unearned money can solve many problems including:
i)The financing of pensions.
ii) Better social security.
iii) Powerful financial empowerment of NGOs concerned with corporate responsibility in connection notably with the environmental destruction, and the rights of workers. These would be challenged as never before on an equal playing field.
iv) Huge high risk projects which may have great social, economic, and political value (eg. an environmental programme perhaps vital for the planet) would be possible with the creation of new unearned money.
v) The creation of more business grants, plus interest free loans allowing for continuous material prosperity.
vi) If desired, more public services could be provided, and would be better financed.
vii) With the advance of automation the future will become increasingly jobless. Yet, if necessary it would be possible to have special businesses, and/or NGOs which could be created out of new unearned money. They would supply more advanced types of paid work which may be more akin to "leisure-type" pursuits than what we have now.
The above are key examples of what TFE could, and would achieve. Success would also of course crucially depend on excellent creative planning, and of course, relevant resources.
Introduction to Transfinancial Economics
This is a brief "non-technical" introduction to a "new" futuristic monetary reform. It is called Transfinancial Economics (TFE), or Non-Taxation Monetary Reform. It revolves around the concept that new non-repayable unearned money can be responsibly created without raising taxes, or even fundraising in many cases. This is a "revolution" in our understanding of money, and the world. In the right hands, this concept could be one of the greatest breakthroughs of the 21st century, and beyond.
It must be made abundantly clear from the start that TFE has nothing to do with the so-called New World Order, or conspiracy theories, or anti-semitism. What we are dealing with here is the progressive development of genuine open democracy which favours the voting public rather than politicians, and big business. In other words, Positive Human Politics, or PHP which is not discussed here.
Moreover, TFE is neither right wing, or left wing. Yet, it ultimately aims towards a fairer world.
Legal Access to Financial Power, and Decentralisation
There are four main organisations that could responsibly order the creation of new money. They are as follows:
i) National Democratic Government: This organisation instead of raising direct taxes on income, and indirect taxation on goods, and services could order the production of new funds in a measured way via special Treasury Banks which are genuine independent public authorities. Thus, programmes like the health service, the military, the police, social security, the law courts, and other expenditures would be properly financed. Reform of such concerns would also be stepped up as never before. Cost-effectiveness, and cost-cutting which can cause various social, economic, and political problems would become a thing of the past.
However, all this does not mean more government waste, or abuse of money. On the contrary, more powerful legislation would be introduced to curb this. Moreover, it must be remembered, and understood that such future democratic governments would not have a massive lump sum of tax money to draw upon. This would only encourage overspending but with TFE it is simply created in a measured way, and only after scrutiny from a Treasury Bank which would have genuine legal powers.
Also, import duties, and taxes on tobacco, alcohol, et al would still exist but would be re-defined as special charges, or civil fines.
ii) Local Government: This organisation could responsibly order the creation of new money from a Treasury Bank without the need to raise county taxes. Hence, various community progammes would be properly funded, and reformed where necessary.
iii) NGOs, or Non-Governmental Organisations: Many of them would no longer have to largely rely upon the public, or wealthy donors. Instead, they could receive new funds via a foundation, or trust (as is the case today) which in turn would order the creation of new money from a Grant Generating Bank. These financial institutions would be independent of governments, and transnational companies, or TNCs.
The resulting money originating from the Grant Generating Bank would be given by the trusts, and foundations in full, or in part to various NGOs. Charities concerned with the Third World, heart disease, cancer, AIDs, and other humanitarian causes would more than likely be fully funded. Yet, other NGOs would only be in part financed by new money. The implications of all this for democracy, and humanity are stupendous.
With the greater financial empowerment of NGOs decentralisation of power from central government can be achieved. This point is especially relevant at the present time as politics, and politicians have clearly lost all credibility, and new alternatives are desperately needed. The way ahead would probably be the quick, or slow introduction of direct, or participatory democracy in which people could in a responsible, and civilized manner create new laws, and amend existing ones via electronic voting. of course, this would be a revolutionary step, and would with proper planning ensure that "mob rule" cannot take over. Such a system would have to be open, and transparent. However, present day democratic representative governments should still be reformable in spite of their bad reputations.
The above represents the Human Financial System of Transfinancial Economics, or TFE. On the other hand, the Economic Financial System is where money is actually earned by people working as employees, or employers of a business. Both Systems interact with one another.
It is important to understand that from an objective viewpoint unearned new money is just as valuable as that which has been earned many times over. In TFE we are trying to create a more advanced financial system which tries to put humanity first, rather than just money when it comes to important social, economic, and political problems.
Of course, finance itself is useless without effective planning, and relevant resources. This is true of governments, NGOs, and indeed, everything else in life. But, at the end of the day no matter how advanced our social, economic, and political ideas, and reforms may be ultimately it has to be financed by somebody, or something. This is the simple, and inescapable truth.
In TFE money is regarded as a power which controls the use, and abuse of limited resources. By reforming it we change the world. The aim is to maximise the good it can achieve for humanity.
It is also important to understand that there is such a thing as a free lunch. Government departments receive "free" money as grants which they have not been earned. Similarly, a Will in which a beneficiary gets a large amount of money (though originally earned of course) is something "unearned". Thus, it is an example of a free lunch.
Inflation, and Advanced Computer Technology
Inflation can be defined as the persistent rise in prices. As money outstrips the production of goods, and services their retail cost to customers starts to go up. At the same time, this can lead to the devaluation of the currency. Thus, someone on a fixed wage may find that their cash buys less than before. In mainstream economics this basic concept of how prices rises occurs is referred to as Monetarism, and there are a number of theories on how excess money actually enters into the financial system.
In the past, there have been attempts to control inflation directly via policies on prices, and wages. These had mixed results, and were only temporary measures. At present, indirect methods to control inflation are used by raising, and lowering interest rates discussed later on.
Anyway, in TFE super-computers are used to keep an eye on serious persistent prices rises. It is a direct attempt at controlling inflation itself, and far more advanced, and effective than the old direct approach just mentioned.Essentially, the market continues to determine price, and wage changes. Such financial interactions are recorded on super-computers. However, if there is a serious persistent rise in inflation of prices, and/or wages they are automatically fined. This appears on a bank statement.
The above has nothing to do with a centrally planned economy as understood in the old communist world. We are dealing here with a competitive capitalist system in which Super-Price Flexibility is allowable, and possible. This is where one is given a higher range of retail prices for a product, or service which has to be registered under law (compulsory like Income Tax). Admittedly, a certain amount of price distortion may occur but with Super-Flexible Pricing this would be largely minimised.
At first the introduction of direct electronic controls to tackle inflation effectively would be unpopular. It would require strong democratic governments to implement it. Yet, businesses will learn to accept it, and would find it by far more beneficial than taxation on their profits. Indeed, they would experience rapid commercial expansion. To further enhance the situation, business loans would be interest free too.
Anonymous cash transactions would still be possible. As is the case in our modern economy this makes up a near non-existent portion of the entire money supply, and thus, it would have little, or no effect on inflation. Products, and services (including certain wages) which have no obvious monetary value would be exempt from price registration. These too would have little, or no effect on inflation as they would only make up a small portion of the entire productive economy. However, most products, and services have to be registered by law.
Super-computers when properly programmed can ensure the value of peoples money when certain products, and services are purchased. To understand how this works a simple example should be enough. Lets say Mr. T buys product X which happens to be 10% above inflation then this very same percentage is created as new money, and is actually added to his bank account automatically. In TFE this is referred to as Inflation Interest.
Some people have wondered what would happen if there was an excess money supply that would outstrip the production of goods, and services. The answer is simple. Such "wealth" would easily be saved for the time being in deposit accounts indexed-linked to inflation. With rapid economic growth more, and more products, and services become available, and the "dormant" funds due to excess money supply would now be able to buy them. In effect, they would become part of the productive capacity of the country.
Some people have suggested that the weakness of TFE is its reliance on advanced computer technology. Yet, we forget that our present banking system relies on it all the time. Out of necessity security is continually improved, and no hacker has yet brought down the entire network permanently. If that had been the case we would have all known about it!
Other critics have pointed out the problem of privacy. Yet, is it really such a problem.....especially when we realize that in our present world it hardly exists at all? In this respect, TFE is not necessarily going to make things any worse, or better as far as legal, and "illegal" access to personal information, or privacy is concerned.
Anyway, there are many other aspects concerned with electronic controls over inflation which cannot be discussed here, and at the end of the day they would have to be hammered out by experts in economics, and information technology.
The Problem of Redistribution
In TFE there is no redistribution of financial wealth. Rather there is a greater distribution of new money. The problem of redistribution at the present time is that the money involved is earned, and based on the productive capacity of the country. TFE goes beyond this to make sure that most social, economic, and political programmes, and projects carried out by democratic governments, and NGOs are properly funded as never before.
Let us take an example of what we are actually saying. The Tobin Tax on currency speculation is intended to raise funds for the Third World, and if it were implemented the resulting monies would probably not be enough. On the other hand, TFE would be able to maximise funding initially created by the Grant Generating Banks.To do this by taxation, or by fundraising is unnecessary, and backward. The best, and most effective means of achieving these aims is to have new money created responsibly.
The financial genius, George Soros has suggested that the Special Drawing Rights (or SDRs) of the International Monetary Fund could be created as grants rather than loans. These would help the Third World, and the idea is strikingly similar to the concept of the creation of new unearned money in TFE.
of course, people make the valid point that there is more than enough money to change the world many times over. The problem lies with legal access to it whenever there is a genuine need for it. This is the key point to grasp.
The Major Anti-Tax Arguments
There are a number of excellent reasons for the abolition of direct, and indirect taxation. They are as follows.
1. It is now a gross absurdity to raise money through taxation when it can be easily created in a measured way by the relevant authorities without fear of hyperinflation.
2. Everyone is entitled to all the money they earn, and as such it is morally wrong to have some of it deducted for tax purposes when it is no longer necessary.
3. It is highly unethical to fund any waste, and abuse of government spending.
(This incidentally includes the National Debt which is created by governments borrowing from private commercial banks. This is mainly paid for by the taxpayer.With TFE though this could be paid off, or destroyed as the elected authorities would have legal powers to do so via a Treasury Bank.)
4. Increasingly, the super-wealthy are finding legal loopholes to avoid tax, and as such they are not paying their fair share into the system. As a result all this means that the less well off are having to make up for the shortfall which is wrong. The situation is further made worse when bank accounts can be easily switched from one country to another thus making the life for the tax inspectors hell.
5. It is we, the people who create the real wealth of the country in the form of products, and services. Why then should we continue to be ripped off by a tax system when we can now at long last be rewarded by a democratic government with a policy of Non-Taxation? Why should we continually have to pay for everything?
6. Many wars, and revolutions have been directly, or indirectly caused by taxation. Its abolition would be popular, and a potential vote winner....as most people are more interested in their financial status than in politics, and politicians. TFE would thus be highly attractive to the masses.
Interest Free Monetary Reform
At the present time radical monetary reform is concerned with the power of banks. These private commercial companies create virtually all of the money of the world as loans, or credit. Strictly speaking, governments issue the rest as coins, and paper. The banks though produce it "out of thin air" by simply adding figures of a higher monetary value onto paper, and computers. There is also meant to be a limit on how much they can create, and this is based on "money" kept in reserve. This whole set-up is called fractional reserve banking. The banks of course make huge super-normal profits on their loans for commercial, governmental, and private use (eg. mortgages).
Some critics of fractional reserve banking have stated that it is a fraud in that it counterfeits the national currency. More seriously, it produces non-existent "funny money" which is unwittingly accepted by all, and sundry. As with TFE they are able to create new unearned money on daily basis but as something which is repayable.
Since virtually all of the money in the world is produced by banks it is believed that changes in the interest rates of their loans may well be the real cause of inflation. When the economy is not doing well the interest rate on borrowing notably for businesses is reduced to encourage a high take up. This in turn means expansion of commercial enterprises, and increased employment leading to a general material prosperity. As more, and more money is allowed to circulate it has to be somehow reduced to avoid serious degrees of inflation. This is done by raising interest rates on loans so that they discourage commercial take up. This results in less business expansion, decreased employment, and a certain amount of economic depression. The whole cycle is then repeated.
Anyhow, the aim of monetary reform itself here is to have loans created without interest. This could put a complete end to the business cycle of "boom", or "bust" just described. Interest free loans would be highly beneficial for the economy, society, and politics.It would also mean that the banking system itself would no longer be a massive commercial enterprise. Instead, an independent public authority would issue interest-free credit.
The big problem here of course is that the banks are very powerful indeed. They would take immediate legal action against any country if they felt that their huge global monopoly was being seriously threatened. One way then to successfully undermine their great power is to use Simultaneous Policy. This is the modernization, and popularisation of an old concept. In it people can at election time vote for those candidates who are willing to accept their policy proposal. The aim here ideally is to get most countries to try, and implement it simultaneously. Such an approach could be used against banks who would have little, or no choice but to comply to their own demise. This could make way for independent public authorities which would lead to an interest free, and indeed, a tax free economy.
More controversially, there is another approach suggested by TFE. Banks could still make super-normal profits but without charging their customers. How? The answer lies with the concept of auto-profit companies. These receive new unearned money as profit. Their calculation is directly based on the business records of their clients. Yet, interest free monetary reformers would be horrified by such a proposition, but at least it could make the transition from a interest based economy to an interest free one a lot easier.
This brings us to another point. Non-Taxation Monetary Reform (ie. TFE) is far more important that Interest-Free Monetary Reform as its social, economic, and political benefits are totally outstanding. The latter should be united with the former if it is to be truly successful, or have any real impact on the public. As such Interest-Free Monetary Reform is seen as being of secondary importance compared with Non-Taxation Monetary Reform. Thus, both proposals make up Transfinancial Economics, or TFE.
Sustainable Economics, and Resource Scarcity
In the present era we live in a high growth economy. Green Sustainable Economics believes that this has lead to over-production, and over-consumption. It suggests that people should simplify their lives, and reduce their wants so that little, or no more natural resources are used up. In other words, it sees the zero, or stationary growth economy as "the way forward." In such a world people would live in small self-organising, and self-sufficient communities consisting of family businesses, and cooperatives. A LETS (Local Exchange Trading Scheme) could also be included, and this is simply a made up alternative to money which would be acceptable to those in the area. Food would largely be grown locally. Here, of course, we are not discussing socialism, and redistribution of wealth but rather a fairer distribution of it.
All this sounds fine in principle but it would take many decades before it became a national, and indeed, an international reality. By then most, or perhaps all natural resources would have been used up. The ideas presented in the last paragraph are understandable reaction to governments, and big business. It is an attempt to be free of them, and instead take on the laudable mantle of self-sufficiency, and a more simple, and slower pace of life. Unfortunately, it does NOT change the big problems of the world which is far more important. TFE is in the main concerned with this, and nothing else. Big changes require big ideas that must seriously address, and challenge the status quo no matter how difficult it may be.
The reality is that in the present high growth economy much of the earths wealth is being massively depleted at an unprecedented rate. Non-renewable oil, and coal are classic examples of this. But, all is not lost. New ideas, and green technologies are emerging which could help our planets plight.
In TFE it is believed that sustainability is indeed possible in a high, or rather higher growth economy. With the huge influx of new unearned money, and interest free loans, NGOs, and businesses will be able to speed up as never before the research, and deployment of various "safe" complex (eg. nanotechnology), and "simpler" clean, cheap, renewable technologies (ie. wind power, solar energy, biomass, and wave power) to "save the planet." Moreover, such funding can come independently of governments, and transnational corporations, or TNCs. In a like manner, future democratic governments, and even certain NGOs along with businesses would be able to undertake any gargantuan environmental (or non-environmental) project that might be vital for the survival of the human race.
Space research itself could be stepped up to find any alternative resources on other planets that may be invaluable for our world, and environment. This would involve massive injections of capital to be worthwhile, and successful. Ultimately, other planets would be colonized.
Alternative community currencies such as LETs (already mentioned) are fine for possible small-scale projects. Yet, they are not legal tender, and cannot effectively deal with the really big problems of the world.
The Third World, and theTransnational Corporations
Year in, and year out millions of people mainly children die in Africa. This is a wholly unacceptable situation. To help relieve poverty a number of NGOs notably exist, but if they had legal access to continuous funds they would be able to do so much more. At the same time many lives would be saved from useless, and pointless death. With TFE this would be possible without public donations, or indeed, government aid. The ultimate aim of such Third World NGOs is to help the poor help themselves.
A key factor to the terrible poverty in Africa, and elsewhere in the Third World are the unfair trading laws, and the gargantuan power of the Transnational Corporations, or TNCs. The former does not fully allow the poor to export its goods to rich countries due to restrictions. Thus, they are unable to earn their way out of poverty. The TNCs themselves on the other hand benefit from this situation as it gives them a huge monopoly over the production of goods, and services in the Third World. This earns them billions in exports to rich countries as they can get everything on the cheap (notably labour). At the same time, they have caused a large amount of environmental destruction which is totally unacceptable.
What is needed are genuine enforceable international trading laws which favour the poor as well as the rich. This could happen via Simultaneous Policy already mentioned.Yet, even if this were to come about it may still be difficult to enforce such legal measures. In TFE, there is a vital solution irrespective of whether they would exist, or not.
NGOs concerned with such matters of corporate responsibility (or lack of it!) would be able to successful challenge, and indeed, reform the TNCs with various business tactics (eg. buying up shares). The reason being of course is that they would be financially empowered as never before so that they could deal with them on a level playing field unlike now. This would be a big step forward for global justice.
Another problem with the Third World notably in Africa is getting aid to the right people. Much of it has gone instead into the pockets of corrupt officials, and dictators. However, with financially empowered NGOs concerned with such issues would be able to fully fund new, and existing ways of avoiding this as far as is possible.
The arms-trade which has sold many weapons to the Third World where wars have been known to erupt could be curtailed by future democratic governments. The reason being is that these elected authorities would no longer have to rely on existing businesses to bring in great economic prosperity. If necessary they would always have the funds to stimulate more acceptable alternative enterprises which could be more profitable via business grants, and interest free loans. Also, the "corrupt" link between governments, and big businesses would be broken. The needs of the people will become paramount.
As can be seen here the Third World is a complex issue with no easy solutions. But with TFE so much more could be done which is positive, and progressive, and indeed, in keeping with the Universal Declaration of Human Rights.
Greater Equitable Income
Though not as appalling as the Third World a certain amount of poverty exists in the rich nations of the globe. With TFE there is always the finance available to governments, and NGOs to alleviate it. At the same time, there are a number of ideas which exist on paper, and in reality to deal with this. These include the basic reoccurring theme of people owning a fair share of the profits of a company (as well as possibly receiving a working wage). The Co-operative Society, and Binary Economics could be seen as instances of this kind of thinking. Because of their high ethical nature their creation would probably be aided with interest free loans, and indeed, new unearned money where capital may be difficult to come by.
In a genuine cooperative where money as profit, or wages is shared equally there is a possible problem. It could well result with having no capital to fund greater expansion. In TFE, it could well be eligible for new unearned money as a business grant.
Anyway, apart from this there is a more radical approach to poverty alleviation. It is the Universal Basic Income, or UBI. This is intended for everyone as a human right irrespective of their means. With TFE such a policy would be easily implemented. Another similar idea which exists in the developed world to varying degrees is income support for those who are under-employed. Here, TFE could top up the amount of money people were getting in this manner, and also give them a greater range of courses, along with new jobs, or business opportunities.
It is interesting to point out that the social stigma of being a "parasite" living off the state when receiving such benefits would disappear. In TFE there is no "robbing" of anybody via taxation. Significantly, any new money sent for the Third World would loose its shame as it would no longer come from an earned source (ie taxation, donations, and fundraising) but from an unearned one (ie. the Grant Generating Banks).
Furthermore, pensions in the future could be funded properly with new money. Thus, those who have worked all their life for the economic betterment of the community would benefit.
A more astonishing aspect of TFE is that special businesses, and /or NGOs could be created in the future. With increasingly automation jobs would become very difficult to find until a stage is reached where most of the population is jobless. In Binary Economics a large number of people could live off the profits generated.
However, in TFE new forms of "work" could also appear where, and when necessary which may be more akin to "leisure-type" activities. This would all be paid for by new unearned money rather like the Auto-Profit concept described earlier on with banks. This of course would be a revolutionary step forward, as it would mean that in the future people would still have more than enough money to buy products, and services. Ultimately, this medium of exchange would be abolished, and everything would be free on demand.
Non-Taxation Past, and Present
Transfinancial Economics, or TFE is a new paradigm in so far as it is a modernization of an old concept. Self-supporting communities have always existed with little, or no taxation.
Social Credit which was founded back in the early 20th Century by Clifford Douglas believed in new money, or rather what it termed debt-free money. It claims that if sufficient amounts of it were created there would be no serious inflation. The key point to understand about Social Credit is that its debt-free money does not appear to replace taxation and is thus limited. .
A book with the misleading title of Public Finance Without Taxation by Ronald Burgess exists. It deals with Henry Georges economic reform. This involves the notion that a rent, or rather more accurately, a property tax on land could be levied to fund governmental programmes. In other words, it does involve a form of taxation which contradicts the title of the aforementioned book!
Interestingly, an advanced socialist system has been suggested in which everything is run by co-operatives. Since all the wealth would be fairly redistributed there would be no need for any taxation. However, in genuine utopian socialism there is no money. Instead all necessary activities are done out of service to the community.
Abba Lerner the founder of Functional Finance appears to have believed that savings could lead to a situation of lower taxes, or indeed, zero taxation. John Gelles came up with the same ideas independently, and is a prolific emailer on monetary reform, and related topics.
John DeSantis, in Baltimore USA had a vision of economic reform in which taxes would not exist. His ideas appear on a website, but as he himself admits they require improvement. Shauna Mckay has similar notions with her ideal of the Perfect System. Xat.community.org is a LETS group, and believes in Non-Taxation, and has even made the claim that alternative currencies would ultimately replace legal tender!Also, an engineer called Theodore Thoren used mathematics to claim that zero taxation was possible.
of course, in times of emergency, and revolution governments have been forced to partly, or even fully finance their expenses via the printing of new unearned money. Examples include the American War of Independence, the French Revolution, the American Civil War, and the Russian Revolution.
Finally, to end our section on TFE there is a claim circulating on the internet that Benjamin Franklin spoke of Colonial Scrip which was a successful monetary currency that was actually free from taxation, and acted as the national medium of exchange. It could also be borrowed without interest. This financial arrangement occurred just before the American War of Independence but research has yet to admittedly confirm these claims.
Transfinancial Economics (ie.TFE), or Non-Taxation Monetary Reform does not pretend to be the ultimate panacea of all the ills of the world. But, it does lie at the very foundation of global justice itself.
Addendum ~ November 2006
It must be stressed that the above TFE article/paper is work in progress on the Internet but the basic concepts will remain unaltered. There are certain points which need to be said:
1) In Super-Flexibility Pricing it should be stated that not only can price levels be fined but also capped to prevent total devaluation of currency.
2) Another paper/article on TFE (with direct references) was accepted by a peer reviewed journal of high standing. Copyright clearance forms were signed. However, due to a dispute I withdrew it from publication. It is now being sent elsewhere.
3) Most people will realize that interest free monetary reform is largely pie in the sky. I, the author, and originator of TFE, am coming to the conclusion that mainly working with banks, and corporations (rather than largely against them) is really the way forward. As already explained profits as interest can be created by special independent public authorities.
As for corporations, a more positive approach would be necessary, and hinted at on the on-line paper of TFE.
It would be too expensive at the present time for them to turn to eco-friendly technologies. However, with special business NGOs they could help fund the corporations to do so via massive non-repayable commercial grants. Any compensation due to share-holders could be paid for too.
All this would have profound implications for the fossil-based fuel industries which could be taken over via irresistible financial offers, or else turn their attentions towards sustainable technologies. If they did the latter such capital investments would also involve huge commercial grants to make it extremely attractive financially, and hence, successfully wean them off fossil fuel production.
At the time of writing there is a great deal of interest in global warming. Green Taxes are one way forward but a far better, and more effective approach is to shut down as quickly as is possible the fossil fuel based industries, and at the same time go into overdrive into the mass creation of sustainable technologies with the aid of grants, and interest free loans (in certain instances, profits could also be subsidized). With TFE the pace of change could be greatly speeded up. The new unearned money could act as powerful "bribes" for corporations to take up in their future sustainable projects.
Of course, there would also be a huge investment in the research, and development of new emerging sustainable technologies (eg. geo-thermal energy). This as mentioned before would be undertaken by special business NGOs, and even independently of corporations, and governments if desired.
4) With the banks, and corporations largely on our side the introduction of TFE becomes a more likely reality. However, the Treasury Bank for democratic governments, and the Grant Generating Banks should be independent public authorities. This should be seen as being non-negotiable.
5) In TFE banks, and corporations would make far greater profits than before. Yet, they will also come to learn that the more money they have the less business resources there are available. New ones though could be created via research, and development projects but of course these too would be finite in number.
As a result banks, and corporations may attempt to buy up existing businesses. To some extent, this already happens. With TFE this would probably happen more often. If they start to acquire "too many" short-term, and long-term investments these could be bought up at a higher (irresistible) price by special business NGOs. In other words, the power of banks, and corporations would be contained in TFE by ethical control buy-ups (ECBs). Slowly, but surely it will fully dawn on them that the power of money can be limited if the resources are not there, or taken under their noses by "irresistible" offers.
In the normal scheme of things all this would probably mean the poor getting poorer especially in the Third World. This is incorrect as NGOs, and progressive governments would be able to have the necessary funds to deal with all this. This would be created for them by independent public authorities. The only limits are natural ones, efficient creative planning, and of course, relevant resources.
Indeed, the Third World itself would be encouraged as never before to become rich, and powerful. This would be in the interest of the corporations because they would not only have a market in the already wealthy countries but also in the former poor ones! This is a big subject which we shall not go into here.
6) It must be stressed here that TFE would be extremely popular for banks, corporations, and even global justice. The public would love it, and would be a vote winner. In fact, it transcends politics.
7) Some will inevitably argue that the Positive Engagement, Dialogue, and Negotiations with Banks, and Corporations is to a certain degree unethical. The problem is that we have little choice if we are seriously concerned with the reform, and indeed, the literal survival of the human race at record speed.
Remember NGOs concerned with fairer wealth distribution, and other social, economic, and political problems would become more influential as never before. This is because of their greater financial empowerment. Yet, this is clearly neither the time, or season for the wholesale acceptance of such higher evolutionary ideas. What is important is NOW, and TFE offers a remarkable way forward which again would be very popular with most people at their present level of self-development.
Again, it must be repeated TFE at the time of writing is still in the process of research, and development.
Some Key References
An exhaustive listing is not presented here.
Adams, Charles, For Good, and Evil; The Impact of Taxes on the Course of Civilization. Madison Books, 1999.
Bunzl, John. The Simultaneous Policy; An Insiders Guide to Save Humanity, and the Planet. New European Publications, 2OO1.
Hertz, Norena, The Silent Takeover; Global Capitalism, and the Death of Democracy. Heinemann, 2001.
Rowbotham, Michael, The Grip of Death; A Study of Modern Money, Debt Slavery, and Destructive Economics. Jon Carpenter,1998.
Sabine, B.E., A Short History of Taxation. Lexis Publishing n.d.
Stanlake & Grant, Introductory Economics, Longman, 1995
Zarlenga, The Lost Science of Money; The Mythology of Money... the Story of Power. American Monetary Institute, 2002.
© 2006 Robert Searle, All Rights Reserved.
About Robert Searle
Robert Searle was born on April 30th 1961 at Upton Hospital, Slough in England. His family were middle-class. His father who lives in Oxford is a structural/civil engineer who has been involved in a number of major jobs. His mother passed away unexpectedly near the end of 2005.
Searle was educated at the Royal Free, and at a private school in Windsor called the Tutorials. His main interests then were art, and history. He had a remarkable gift for drawing, and painting.
He once acted as an unofficial weekend helper to the guide of the Curfew Tower at Windsor Castle (circa 1974-76). He also had the privilege of entering the huge "secret" tunnel, or sally port which tourists were not allowed to see. He was a keen photographer, and loved visiting other historical places. He also traveled to countries like Spain, France, and Germany.
Because of his interest in history he had a fascination for archaeology, and undertook practical work at the excavation site in Wraysbury near Windsor.He even wrote an article for Young Rescue about the dig at old Windsor in 1975 drawing his data from the Guildhall which incidentally hosted the marriage of Prince Charles, and Camilla in 2005.
After attending the Tutorials he went onto College where he was studying french, biology, and history. He was intending to study archaeology at the University of London but decided not to.
After he left College he took jobs as a clerical worker notably for Sony, and Department of Health, and Social Security. He also later became a self-employed horticulturist. Indeed, he has relatives on his fathers side who are the world experts on orchids. They are a part of the Austrian Von Rittershausen family. The word Rittershausen means the House of the Knight, and has a coat of arms with a Latin motto meaning Iron Will. Its history can be traced a long way back in time, and consisted of a line of powerful barons.
Apart from the horticulture he has also been a professional fundraiser which he ultimately learned to hate. He believes that there is far better way of helping charitable non-government organizations, or NGOs which is discussed in his "working paper" on Transfinancial Economics that can be found on the Kheper website.
Anyhow, back to when he was a child he had a number of psychic experiences which made him re-think his life, and purpose.In August 1977 serious intellectual interest was ignited by a book entitled The Unknown Power by Guy Lyon Playfair. This dealt with Brazilian Spiritualism, along with science, and the paranormal in general. He became a member of the Society for Psychical Research, a respected "scientific" organization concerned with such matters. He has also been connected with other "groups" notably the Theosophical Society.
At the age of 16, and 17 he wrote a projected book dealing with the possible explanations for paranormal events plus a novel concerned with post mortem existence. Unfortunately, they did not go into print.
However, as an adult he has published articles on esoteric subjects. Four appeared in a small but scholarly journal called The Pentacle which sadly folded. His work though has appeared in Yoga Today, and its successor Yoga and Healing for which he also divised a few competitions. He has essentially written on Indian Mysticism, and has met, and in certain cases interviewed a number of gurus visiting Britain such as Ma Yoga Shakti, Swami Chidananda Maharaj, Ravi Shankar, Mata Amritanandamayi, Shivabala Bala Yogi, and the like.
Robert Searle is a great believer in self-education in such subjects as philosophy, psychology, physics, mathematics, et al. However, he realizes now that he must somehow come into contact with academics if his two revolutionary research, and developments projects are to be taken seriously in any way. The first of these is a socio-economic system:
A. Transfinancial Economics (TFE)
This is arguably the most advanced type of monetary reform in the world. It believes that new unearned money can be created without the need for taxes, or indeed, fundraising in many cases. Supercomputers could be used to control inflation electronically, and with price flexibility totally unimaginable, and impossible with the clumsy prices, and wages policies of the past.
A futuristic, but realistic political philosophy is also under development with the tentative title of Humanity Politics. It tries to understand the nature, and purpose of ourselves in relation to social, economic, and political advancement.
As for TFE, it is hoped that in a few years time a book entitled The Non-Taxation Revolution; Monetary Reform, and Global Justice will be published. It is the first of its kind as it shows how a new, and revolutionary understanding of money would change the entire planet.
B. Multi-dimensional Science (MDS)
Multi-Dimensional Science, or MDS if true could be the greatest "scientific" invention in history. It offers for the first time a methodology in which we can objectively understand how non-physical, spiritual, and psychic phenomena could be proved (albeit indirectly), and hence, how this could work for the advancement of humanity.
Searle believes that ideas, and mathematics similar to modern physics do have a huge relevance in the research, and development of MDS even though some of the findings may be partly, or wholly ineffable. Moreover, he has suggested that some non-physical phenomena could be "accurately" described, and made "provable" by using semiotic, or symbolic type coding when it comes to mystical ascents into "higher worlds".
It is hoped that a book will result entitled Science and Superscience; The New Psychic and Spiritual Paradigm. This project will take a lot longer than TFE, and it will be necessary to get a four year degree in physics from the Open University. This will help to add some credibility to his work.
Furthermore, he is creating a worldwide directory of well-known, and more importantly little known esoteric societies whose mystical, and psychic knowledge may prove invaluable in the research, and development of MDS. This project when completed, and published will probably be the most comprehensive ever produced. Simple codes may be used to reduce the amount of information given per entry of this projected directory.
Of course, top academics around the globe should be researching, and developing MDS, and TFE but this is not the case because these evolving subjects are too advanced, and radical for them.
Robert Searle hopes to self-publish two other directories. These deal with business opportunities, and ideas plus one on nutritional health, and healing. They would be sold via mail order. He is concerned among other things about setting up businesses to fund his two research and development projects of MDS, and TFE.
Apart from the above, he is fascinated by the power of music. Indeed, he is well-known at least in the area where he lives (Slough and Windsor) for his entrancing whistling performances which can include singing, and vocal instrumental music. Due to its novel value this could well have commercial implications, and interest has already been expressed.
He has a number of other "hobbies" which include travel, history, art, and quality art movies. His favourite films are notably Prosperos Books, The Baby of Macon, The Draughtmans Contract, Devdas, Downfall, Goodbye Lenin, Amelie, and the like.
He has been witness to a few historical events at Windsor Castle most notably the great fire in 1992. This made worldwide news.
In 1993 he was initiated into surat shabd yoga by Baba Gurinder Singh Ji the present head of Radha Soami Satsang Beas.
His email address is dharao4@yahoo.co.uk. All communications in writing only.