Hi There. This is a sequel of the previous post analysis and linked to all you read here in Witchdoctor Bay.
INTRO
Once upon the time the rating agencies, around 2010, 2011 or a little bit before, were one inch before they would have been closed for good by the US government.. After the complete debacle of the subprime market derivatives- bonds collapse when the rating agencies faked or invented the books since they are mostly paid by the same bankrupt entities to give a good rating, the famous Lehman Brothers moment of truth, they showed their complete arbitrary role.
They got off the hook SCOTT FREE TO CONTINUE Because they claimed that they work, not as some God omnipotent economic tool, BUT BECAUSE THEY HAVE THE RIGHT TO EXIST BECAUSE of the FREEDOM OF SPEECH ARGUMENT- the second amendment of the US Constitution!!!! They claimed that they can do what they do because their ratings are protected by the freedom of opinion! They did not DARE to argument that their ratings have some solid ground!
SO, essentially the rating scores they gave were only a free speech opinion by which they are entitled, as we all, to blabber and smoke what they think is appropriate, regardless that their opinions are worthless, worth less than Witchdoctors.
IN the Debt Driven economy the current Capitalism is a PARASITIC ENTITY sucking the lymph wherever it can. Some call it a rentier capitalism, but the real essence is purely Parasitic. To keep sucking without the devaluation of currency which will debase their holdings and profits and capital accumulation they need to implement the AUSTERITY FOR THE SERFS.
Debt driven economy, with the rolling interest on debt IS THE FLIP SIDE of the same coin, it is THE OTHER SIDE OD USURY economy. It is legal. We are under usury rules.
The current situation is as described in previous post. Witchdoctor will only point out that the only real and really mega galactic capital formation and accumulation today is concerning Artificial Intelligence and Surveillance and data collecting and mining as the base for the mega derivative swaps and repos and the whole house of cards, called new western capitalism of Parasiting.
Witchdoctor already years ago renamed the human monkey as a Human Parasite.
We are every day deeper and deeper in debt and under the Parasite Capitalism.
But there are many simple solutions by which the Parasitic Capitalism can be easily converted into Simbiotic Capitalism.
The time is running out.
HERE IS THE SIMPLE TRIANGULATION
Unbelievable but TRUE this simple triangulation is a game changer and also completely feasible and legal thing even in Capitalism. But this change , subtle as it may be, is suddenly branching into Symbiotic Capitalism with completely different outcomes as in the parasitic capitalism:
Imagine it is the day you and me have to fill the income tax form. Imagine we have to give 10.000 euros dollars or whatever to the taxman – the State.
Imagine the State has its own Public Bank. Imagine that, at the same time when we have to pay 10.000 euros to the state of income tax, the Public Bank “lends” us the same amount of 10.000 euros. We all say thanks! Imagine that the Public Bank, at the same time when lending to us 10.000 euros takes as a collateral for this “loan”the 10.000 euros we have to give to the tax man. SO WE ARE EVEN. THE BANK TAKES THE COLLATERAL – 10.000 EUROS AS THE PAYMENT FOR OUR TAX DEBT CREDIT which the bank gave us. ALL GOES TO ZERO !!!
Imagine that NOW the Public bank has 10. 000 euros of assets which the bank got as a repayment for banks “loan” it gave us and which we “paid” with our tax credit. Now the Sate wants to get into possession of this 10.000 Euros, because the State did not collect the tax money 10.000 euros which sit in the Public Bank books. So now State issues 10.000 euros of State bonds , the Public Bank Buys this 10.000 bonds with the money it has collected when it lent the 10.000 euros from me and you as a collateral. The Bank gives 10.000 euros to the State in exchange for the 10.000 euros of the State Bonds!!. NOW the State has it “tax money” and the bank holds 10.000 euros of State bonds.
There is even a simpler way, if we do this with the Central Bank… but, lets do it this way because we can accumulate even more and is legally even nicer how to collect taxes……
THIS SYMBIOTIC CAPITALISM IN THIS CASE made a sort of loop, the perpetuum mobile which IS LEGAL IN FIAT MONEY DEBT DRIVEN ECONOMY!! Nobody in fact paid nothing, all exchanged some credits due!!
APART THAT THE PUBLIC BANK MADE ASSETS FOR 10.000 EUROS, The State got 10.000 euros and we and me paid the taxman!!.
In classic Parasite Capitalism this problem is normally solved in the way that there is a certain amount of personal income which is not taxed., like 5, 6, or 10.000 euros of buffer at the beginning of income ladder which are tax free. This is a Milton Friedman idea of so called social instrument for the poor and also a tax break income for the rich at the beginning of the income tax curve of various brackets of income tax displayed in percentages of where your income fits. In this classic way the STATE LOSES THE INCOME TAX ON THE FIRST 10.000 euros of income of all income it plans to get and so has to tax elsewhere to get this money back.
In this way Symbiotic WAY, nobody loses a cent and everybody wins. All claims and receivables on which the State has an interest can be processed in this way.
NOW, this stuff, this way of fiat money making machine can be applied to ANY TYPE of INVESTMENT the democratic govt can do for any type of purpose that suits the people.
We can be all well of and happy.
This money which will be piling up in the Public Bank, could be used directly for the Universal basic income, job guarantee, green transition, for detaxing many non strictly commercial activities like arts, crafts, books, musicians, or whatever you think of.
In the next post Witchdoctor will publish the official brackets of the IQ- Intelligence Quotient.
This brackets, definitely not a word of God, are nevertheless closely linked to this post and all you have read here.
Your trolls are already working to slander what is written here and so, goodbye route 66!