Newsletter No. 19 - February 2009
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Putting MONETARY REFORM on the G20 APRIL AGENDA
1. Update. It's been all go since my
last communication on 4
February. This message is an update.
There is a request to Prime
Minister Gordon Brown to be supported, please
(Item 2). An Emergency Congress is taking place today
and tomorrow. Please
send it a message asking it to bring to his
attention the need for monetary reform to be on the
G20's April agenda (Item
There are several active
new links on monetary reform now on my website's
Links page (Item 4). Supportive
messages from Mexico, the US, Australia, and Ireland
and other parts of Europe have come in, and many new individual supporters
have been in touch (Items 5 to 9). Finally, two important
background documents (Items 10 and 11).
Understanding is spreading fast that the
dodgy foundations of the world's present "financial
how the supply of money is created nationally and internationally,
and what is taxed and what is not taxed - are the
prime (not sub-prime!) causes of the world's present
financial disaster. The "elephant
in the room" is too big and too obvious and too simple to be noticed
by professional expert financial "architects".
A historic drama could be building
up, in which we all have bit parts. As it becomes clearer and clearer
that virtually all our leading politicians and financiers
and economic pundits have lost the plot - that virtually
none of the little emperors has any clothes - how
will the drama unfold?
That will be up to us.
2. Please vote for the request to Gordon Brown made
by "summit" at
you place on the G20 agenda the proposals by James
Robertson (www.jamesrobertson.com) for monetary reform
... ". Thanks to Martin Hyams (http://economics4change.wordpress.com)
3. Please e-mail an urgent personal message in favour
of including monetary reform on the
G20 April agenda to Rights And Humanity's Emergency
Congress On Global Economic Reform. The Congress is
on NOW and Tomorrow.
Their email address is email@example.com.
The message might be on the following
hope that the Congress will recommend that
the G20 April agenda should include national and
international monetary reform. I believe you have
had proposals on that from people like Hazel Henderson
(USA) and James Robertson (UK).
Money is surely the
foundation of all "financial architecture".
Who creates it, and whether as profit-making debt or
free to its users, crucially affects whether a financial
system can work reliably and fairly for all concerned".
The Emergency Congress
is being held in South Africa House in London from
23rd to 25th February, in co-operation with the South
African Human Rights Commission and Tomorrow's Company,
with Archbishop Desmond Tutu as patron.
It aims to turn the current financial
crisis into an opportunity to build a more just and
based on a new economic paradigm which delivers social
justice and environmental protection as well as financial/economic
Its recommendations will go to Gordon Brown for the
G20 April meeting, and also to the Commission of Experts
of the President of the UN General Assembly on Reforms
of the International Monetary and Financial System.
Our G20 Monetary
Reform Campaign Document has been
submitted to the Rights and Humanity Congress, as has
Hazel Henderson's powerful new paper containing "More
Advice For Summiteers On Reforming The Global Casino".
For more on Rights and Humanity see www.rightsandhumanity.org.
4. New Links on My Website - please
see these excellent new links listed under "Monetary
the Recession - proposes just that.
Dixon - future prospects for monetary
reform and banking & finance.
the Common Good – includes a
good 2009 pamphlet on Monetary
Reform Party - just that, very clear.
Monetary Reform - recovering
money from the private banking system and returning
it to constitutional & democratic accountability.
Project - a new green alternative.
5. Encouragement from Mexico
and World Social Forum discussions in Mexico at the
beginning of this month included nationalising the
issue of new money and had their sights on the G20
April meeting in London. For
correspondence on 13-15 February click
6. FEASTA (Foundation for the Economics for
Sustainability) - this Irish NGO is outward
looking and breaking new ground, as always.
here for its 2009 project on radical monetary
reform, and click
here for its new Smart Taxes Network.
Danger of financial disaster predicted in
1999 - click
here for a September 1999 New York Times article
predicting that the government-subsidized corporation
Fannie Mae "may
run into trouble in an economic downturn, prompting
a government rescue similar to that of the savings
and loan industry in the 1980's". That's just
what has now happened in a very big way.
Thanks to Charles Mollison, Chairman of the Foundation
for National Renewal in Australia for
this reference. As he says, "The disaster has
been at least nine years in the making. One would have
thought more than enough time to realise it was not
a good idea".
8. A new Coalition for Economic
Justice of twelve
member organisations advocating Land Value Taxation
has recently come together in the UK. Click
here for details.
As the Coalition says in its important
13 February letter to the Chancellor of the Exchequer,
economic crisis in living memory has been preceded
by an unsustainable and speculative rise in property
values, commercial/industrial as well as residential.
The link between property values and bank and
building society lending is strong and causal. Excessive
lending fuels property prices." The tax shift
and monetary reform will combine to end booms and
Also see www.guardian.co.uk/commentisfree/2009/feb/24/house-prices-taxes.
9. Support from Richard Murphy -
the impact of Richard Murphy's sustained
work against tax havens with John Christensen and
other colleagues in the Tax Justice Network is growing
rapidly as the global financial crisis worsens.
it's good to see him emphasise the need to get behind
a simple, united campaign for monetary reform in
"Monetary reform and the G20
Monetary reform is one of the most sensitive of issues,
as I know from blogging about it. It seems to bring
out the very worst in those who believe it desirable
but do not agree how to do it.
I do believe reform is desirable.
I have for a long time been a fan of James Robertson’s
position on this issue, so I welcome this paper he
has written explaining the importance of this issue
for the forthcoming G20 meeting.
I have little doubt that it will not get on the
agenda, but that’s because as yet we’re
not willing to address the really big issues. We
need to, soon."
10. Richard C Cook - his long article Credit
as a Public Utility: the Key to Monetary Reform (over
9000 words) gives fascinating American background
to the need for monetary reform. As a taster, I have
extracted the first and last few paragraphs of its
final section on Analysis and Conclusions. Click
here to read them.
11.Bernard Lietaer - the Crisis2008
section on his website includes
an authoritative 30-page White
Paper on All the Options for Managing a Systemic Bank
Its primary focus is on alternative currencies. But,
in his Section IV(d) on Nationalizing the Money
Creation Process, he gives a fair summary of
the proposal to treat the public money supply as
a source of public revenue, not private profit, but
expresses some objections
These can be questioned. But I'm sure that, unlike
some well-meaning but naive currency decentralisers,
he doesn't think monetary reform would make matters
worse than continuing to allow the big banking corporations
to create 95% of the public money supply as profit-making
have always supported a much wider development of
decentralised currencies, along with
a more decentralised economy generally. But I
see it as complementary to mainstream reform, and largely
dependent on mainstream reform having happened.
Six weeks to go until the G20 meeting
- say, four weeks to get the agenda changed. Well worth
24th February, 2009