“Money is one of those cultural forces that has remained mostly invisible to the conscious ‘western’ mind. It is therefore to a civilization as the DNA code is to a species. It replicates structures and behaviour patterns that remain active across time and space for generations.” – Transformation Management: Towards the Integral Enterprise
In a previous submission entitled Eco-Genocidal System Violence Still Unseen – Structural and Cultural Weapons of Mass Destruction by the Multiplying Money-Cancer Class, I introduced Johan Galtung’s typology of visible (direct) and invisible (structural and cultural) violence to highlight the structural and cultural weapons of mass destruction that are being used by the multiplying money-cancer class to dominate non-subservient nations into submission in order to maintain their dominant hegemonic petrodollar status.
In this submission, I endeavor to highlight the structural and cultural violence that is coded in the present fiat-debt-based compound-interest-bearing machinations of the private banking system. The inspiration for this article came from a TedxTalk I saw yesterday: Where Does Money Come From? | Ole Bjerg | TEDxCopenhagen
Published on May 24, 2016
Where does money come from? How is money created? Can commercial banks create money by issuing new loans? Knowing that electronic money represents 95% of the total money supply, have we privatized the creation of money in our societies?
Ole Bjerg believes that we have handed a vital societal power — money creation — to the financial sectors, and that this leads to instability, inequalities and a concentration of power outside democratic institutions. Facing this gloomy situation, he highlights the solution: a sovereign money system.
Ole Bjerg is an Associate Professor in the Department of Management, Politics and Philosophy at Copenhagen Business School, and co-founder of Gode Penge, an initiative for the democratization of the monetary system. After his book, Making Money – The Philosophy of Crisis Capitalism, Ole published Parallax of Growth – The Philosophy of Ecology and Economy.
In other words, a public good – money creation to enable purchasing power for provisioning of and access to our universal human life necessities – has been privatized, and in its stead has caused many visible and invisible degenerative effects. The direct or visible effects are 1a) inequalities of opportunities of access to these life goods and services and thus limiting of our life-potentials and 1b) inequalities of degenerative ecological impacts on the life-ground which undermine this provisioning and access in the first place.
The invisible effects are more insidious but can be easily identified by searching for the institutional frameworks (i.e structural by design) and the internalized mindsets (i.e cultural in origin) that justify these inequalities.
As mentioned by Bjerg above, the structural determinants of these inequalities are 2) the systemic instabilities that have been responsible for the hundreds of booms and busts cycles we have experienced over the centuries that have created: a) banking crashes, b) monetary collapses and c) sovereign debt crises. (Please see: Hyman Minsky’s The Financial Instability Hypothesis (1992), and Bernard Lietaer’s et al. Quantifying sustainability: Resilience, efﬁciency and the return of information theory (2009), Quantifying economic sustainability: Implications for free-enterprise theory, policy and practice (2009), and Is Our Monetary Structure a Systemic Cause for Financial Instability? Evidence and Remedies from Nature (2010).)
And finally, what justifies or legitimizes these degenerative effects on people and planet and cause them at best, to be simply ignored or blocked out by the masses, and at worst, unspeakable in the mainstream media and academia? What is it that sustains the institutionalization of this degeneracy and blocks out debates and discussions of these dysfunctionalities in the public and private spheres? Again, as mentioned by Bjerg, it is 3) the concentration or imbalances of power where private individuals (elites) and groups (the Establishment) – the rule of the minority – gerrymander the credit creation and legal rules of engagement so as to wield unaccountable and opaque power over the majority; thus dismantling and paying lip service to the ideal of democracy – the rule of the majority.
As a result, the unseen violence of the money banking system by this “shadow government” or this “deep state” becomes self-evident. 1) They seek rent out of their private chartered privilege to create (electronic) money out of nothing; 2) they then loan this newly created money out to the public as legally-binding debt, and 3) they then TAX via usurious compound interest the borrowing public for their right to purchasing power to access and provide for their universal life needs. If this is not the biggest crime and injustice ever against humanity, I do not know what is! (Please see: Enlightening the Shadow Side of Banking – Monetization of Negotiable Debts by the Few as Instruments of Enslavement of the Many.)
To make things worse, those who game the system have the audacity to hide their ill-begotten private gains in secrecy jurisdictions (i.e tax havens) to avoid and evade paying taxes to the public purse, which is necessary for the maintenance and upkeep and upgrade of the public infrastructures that subsidizes these private institutions and enterprises in the first place.
And worst of all, in order to multiply further their private transnational money-multiplying sequencing, they negotiate behind closed doors investor protection
rights privilege agreements, and mask and disguise them as free trade agreements that they mendaciously purport would benefit the majority of humanity. The truth of the matter is that their clandestine machinations would serve to undermine the sovereign rights and obligations of the representatives of the majority – governments – to pass laws to protect the health, labor and environment standards of their citizenry. As a result, the governments and by extension the public would be punished with fines in private tribunals to “compensate” the private corporations for potential private profit loss, should the governments and the people stand up for their rights. If these international laws are passed, then this would be the final nail in the coffin of humanity and ecology which would now be beholden to a totalitarian fascist private transnational money-multiplying system that has already become cancerous and which would continue to grow and metastasize out of control to our eventual eco-genocidal end.
Having identified the invisible effects of our eco-genocidal private money system, the solutions present themselves. As Bjerg concludes, the foremost solution is a balancing of power away from the (life-blind) irresponsible private ownership of money creation and towards the public ownership and its responsible governance via transparent and accountable life-valued sovereign money creation means.
We can make this cultural transformation possible by using Raine Eisler’s discovery of the two fundamental cultural systems: one based on dominance, and the other based on partnership, where the former exercises power from an exclusive, extracting ranking perspective in which one has power over “the other”, like the minority over the majority, or one ethnicity over “the other”; and the later which exercises power from an inclusive, distributive linking perspective in which one empowers or gives power to another, like those who are not fortunate due to the lottery of their birth and have become the “least” among us. The former creates hierarchies of domination/submission, whereas the later creates hierarchies of actualization/life-realization. (Please see: Cultural Transformation: Building a Partnership World by Raine Eisler from KOSMOS)
Since the modus operandi of a cultural partnership system fosters ideals of cooperation and sufficiencies of life goods and life service provisioning and no longer deprivations in dis-service to humanity and ecology, the animal spirits of the false market of greed and fear of scarcity are mitigated, and adversarial competitiveness and winner-take-all mentality is negated. As a result, hedging and Ponzi schemes that underlie the financial instabilities would be minimized. As an added bonus, since there would be life-valued incentives to have accurate and timely collection of indicators of human and ecological life-value, public investments on the local, regional and international scales can be made to restore and regenerate institutions of stability within the civil commons, like the ultimate life-ground of our fertile soils, public health care and public education, public banking and public research and development going forward. As sufficient trade in life goods, services and ideas is the structural and cultural glue underlying peace making and peace building efforts, we would have in effect flipped our structural violent systems of present and of old, into structural and cultural systems of peace, harmony, unity and human and ecological flourishing and prosperity.
All of us came into this world with nothing and we will leave with nothing, so at best our individual and collective eco-genocidal footprint during our temporary travails en passant should be at most zero. And in this spirit, we all should be compelled from within to share in the burdens and in the benefits of rebuilding and regenerating our human and ecological enterprises, for our generation and those to come.
Professor John McMurtry has already provided the framework and blueprint to create a culturally and structurally life-valued economy from the life-ground bottom-up! Its application would create direct visible benefits in human and ecological provisioning that will anchor, guide and steer us in the right direction away from the direct, structural and cultural violence we have inherited over the years via our misguided life-blind and life-ungrounded hubris.
What he has accomplished in his forty years of intense study and deep critical research is incredible and remarkable to say the least. He has in one swoop used the Primary Axiom of Value and constructed in a systematized and principled way 1) a complete understanding of what is necessary and sufficient for life to survive and thrive, 2) what our true life goods, capital and wealth are, and 3) how we can structurally and culturally create a universal human economy based on strict criteria, measures and efficiency principles for mutual harmonious and peaceful benefits. (Please see: The Primary Axiom is realised in the world by the following complete set of universal human life necessities and their axiomatic criteria/measures of life goods, capital and efficiency which govern the Universal Human Economy (“the missing alternative paradigm”).)
Once that which has been hidden in our background collective unconscious comes to the foreground in the plain sight of our collective conscience, there is no turning back! In medicine, there is a saying that you cannot diagnose the dis-ease when you do not know what you are looking for. Since we have uncovered the invisible structural and cultural forces behind our eco-genocidal systemic violence, and have found that missing alternative economic paradigm to systematically prevent and neutralize this violence, we have no excuse now in going forward. There is nothing now to prevent us from working together to culturally and structurally transform our internalized mindsets and our externalized institutions, respectively, away from our eco-genocidal systemic violent programming to one that stewards all of our ecology and our humanity in peace and harmony, for one and all and for once and for all!!