[GJM] CONTROLLED "HYPERINFLATION, " BUSINESS UNDERSTANDING, AND PRICE PSYCHOLOGY IN TRANSFINANCIAL ECONOMICS(MARCH2008).("solution to the financial system and theproblems ofthe world.")

Mon Mar 10 05:18:41 MDT 2008

Dear Robert and Ashish,
Alas, I did not understand the "clarification".

A very important aspect of life on this planet is the efficient use of 
resources, physical, animal and human.  Other aspects include questions as 
to who owns what and why and the consequences of that ownership (or not).

Rodney Shakespeare

----- Original Message ----- 
From: "robert searle" <dharao4 at yahoo.co.uk>
To: <discussion at globaljusticemovement.net>
Sent: Sunday, March 09, 2008 11:30 AM
Subject: Re: [GJM] CONTROLLED "HYPERINFLATION, " BUSINESS UNDERSTANDING,AND 
PRICE PSYCHOLOGY IN TRANSFINANCIAL ECONOMICS(MARCH2008).("solution to the 
financial system and theproblems ofthe world.")

> Dear Ashish Sharma,
>
>         Thank you for your "clarification." It would
> be interesting to see if Rodney, or our bright spark
> Mr. Johnson fully understands it, or not.
>
> But I do feel you need to explain things in the least
> number of words so that everyone fully understands it
> instantly. This is the trick!
>
> Most people are too busy to be interested in such
> stuff, and/or  they are often put off by simple, or
> complex  use of numbers, and even letters! This is the
> way of the world I am afraid!
>
> However, I have tried to explain my Automatic
> Inflation Deduction (or AID) as clearly as possible,
> and why it is unlike a normal tax, and hence, not a
> tax!! To understand it requires only a few words, and
> then it should be self-evident in the light of my
> project on Transfinancial Economics, or TFE.
>
> Anyway,you should take the above as friendly advice.
> Personally, I am not sure whether you are onto
> something, or not. Thus, I retain an open mind, and
> hopefully things may progress.
>
> R.Searle.
>
>
>
> --- Ashish Sharma
> <ashishsharma at electroniccurrencytime.com> wrote:
>
>> Dear Robert,
>> How Inflation can be controlled through e currency
>> system?
>> Inflation essentially includes excessive supply of
>> money causing the
>> reduction in purchasing power in terms of real
>> money.
>> In e currency system the intrinsic value of money
>> will increase due to
>> rotation of income cycle. I will try explain the
>> procedure.
>> Suppose there is 1000 units of total money in
>> circulation. Now further
>> suppose this money is divided into three people A,
>> B, and C; imagining them
>> the only citizen of a country "G". Now G is the
>> Government, P, Q and R are
>> the citizen say "C" of the Country. That means
>> Citizen "C" = P, Q and R.
>> Further suppose there is only one Bank say "B" in
>> that Country. Now in e
>> currency system as I have already explained that all
>> the money belonging to
>> either citizen or Government will always be
>> deposited with the Bank without
>> simultaneously affacting the liquidity of the e
>> currency transaction. That
>> is though the money is kept deposited with the Bank
>> still people will be
>> able to transact freely having the liquidity as good
>> as cash in paper
>> currency system. Now moving further this 1000 units
>> of money (with P say
>> 300+ with Q say 400+ with R say 300) will be also
>> with Bank. That means Bank
>> = 1000 units and  citizen (P,Q,R) =1000units because
>> all the money will
>> always be deposited with bank. Here P, Q and R the
>> only citizen of the
>> country "G" can freely transact among themselves to
>> the extent of 1000
>> units. Because Bank is not required to keep any
>> reserves therefore bank can
>> grant this 1000 units of currency to Government "G'.
>> Now definitely
>> Government will invest this loan of 1000 units to
>> its Projects. Citizens are
>> the workers in the project therefore this 1000 units
>> of currency will reach
>> citizen in the form of their reward for their
>> services to the Government
>> Projects. Suppose P gets 200 units, Q gets 500 and R
>> gets 300 units. Now
>> their money is increased to P=300+200=500 units, Q =
>> 400+500=900 units and R
>> = 300+300=600units. Final position at macro level
>> will be 2000 units with
>> citizen (P,Q and R), Bank has net 1000 units [(1000
>> originally at the time
>> of introduction of e currency + 1000 further
>> deposits by P, Q, and R their
>> rewards from Government totalling to 2000 units as
>> total deposit)-1000 being
>> loan to the Government)], Government G has the
>> figure of(-)1000 units as
>> loan from the Bank. Net position of the economy will
>> be 2000+1000-1000=2000
>> units. Now Bank who has 1000 units as net deposits
>> can further again grant
>> 1000 units of currency to Government G. Government
>> will invest this fresh
>> 1000 units on to its projects, again citizens being
>> workers to the
>> government projects will get 1000 units in the form
>> of rewards to their
>> services making their total assets to 3000 units (
>> 2000 units as earlier
>> stated + fresh 1000 units now received). Now the
>> position at macro level
>> will be 3000 units with Citizen, (-) 2000 units with
>> Government and 1000
>> units with Bank. This process when repeated will
>> create and rotate Income
>> cycle. This rotation can be to any number of times
>> making citizen richer,
>> government taking those projects which were
>> considered to be almost
>> impossible for want of funds as now fund can created
>> internally without
>> depending on the Foreign Grants.
>> From the above we can easily observe that (i)
>> Citizen is getting richer,
>> (ii) Government is getting ample amount of funds as
>> loan for its projects
>> while net deposits with the Bank remaining static.
>> That is though no new
>> money is pumped in still people will enjoy greater
>> purchasing power with no
>> shortage of money(as money is creating money),
>> higher standard of living,
>> increased national income, no unemployment problem.
>> When Countrys' total
>> assets are increased with no further introduction of
>> the currency then I
>> think automatically intrinsic value will increase
>> with no fear of inflation
>> problem.
>> I again insist that practical demonstration of the
>> prototype will better
>> explain the impact on the economy.
>> Most Sincere Regards,
>> Ashish Sharma
>> ----- Original Message ----- 
>> From: "robert searle" <dharao4 at yahoo.co.uk>
>> To: "Discussion Forum for Global Justice"
>> <discussion at globaljusticemovement.net>
>> Sent: Saturday, March 08, 2008 8:53 PM
>> Subject: Re: [GJM] CONTROLLED "HYPERINFLATION, "
>> BUSINESS UNDERSTANDING,AND
>> PRICE PSYCHOLOGY IN TRANSFINANCIAL ECONOMICS
>> (MARCH2008).("solution to the
>> financial system and the problems ofthe world.")
>>
>>
>> > Dear All,
>> >
>> >       I have just noticed Mr. Johnson has woken up
>> > again...Personally, I was able to download the
>> > attachment but it did not really explain much even
>> > though it gave the impression of doing so.
>> >
>> > It seems that Ashish Sharma is indicating that the
>> > Income Cycle is like debt-free money (..but  in
>> his
>> > "theory" the money supply is not
>> increased???)..though
>> > I may be utterly wrong. It would be interesting to
>> see
>> > if he responds at all, and whether he can give a
>> > really satisfactory,and clear  answer(s) as to how
>> > inflation could be controlled (in TFE the key tool
>> is
>> > now an instant Inflation Deduction, or a "Tax" if
>> such
>> > it can be called). Personally, I am not optimistic
>> but
>> > I hope I am wrong, and that he will come up with
>> > something ingenious.
>> >
>> > Ofcourse, Mr. Johnson who is such a bright spark
>> has
>> > not come up with anything  original about how the
>> > world could be put to rights using a new kind of
>> > financial system, and approach. No suprise there!
>> >
>> >
>> > R.Searle.
>> >
>> >
>> >
>> >
>> > --- Zack Johnson <zackjohnson at louisiana.usa.com>
>> > wrote:
>> >
>> >>  "Money supply is not required to be increased
>> >> additionally instead system will itself increase
>> the
>> >> money supply through INCOME CYCLE as
>> >> explained in the attached document earlier."
>> >>
>> ----------------------------------------------------
>> >>
>> >> Unfortunately, Ashish, the list software does not
>> >> forward attachments, so none of the subscribers
>> >> received it.
>> >>
>> >> Please send the document directly to my personal
>> >> email address.
>> >>
>> >> Thanks.
>> >>
>> >> Zack Johnson
>> >> Certified Public Accountant
>> >> Monroe, Louisiana
>> >>
>> >>   ----- Original Message -----
>> >>   From: "Ashish Sharma"
>> >>   To: "Discussion Forum for Global Justice"
>> >>   Subject: Re: [GJM] CONTROLLED "HYPERINFLATION,
>> "
>> >> BUSINESS
>> >>   UNDERSTANDING, AND PRICE PSYCHOLOGY IN
>> >> TRANSFINANCIAL ECONOMICS
>> >>   (MARCH 2008).("solution to the financial system
>> >> and the problems of
>> >>   the world.")
>> >>   Date: Thu, 6 Mar 2008 07:51:51 +0530
>> >>
>> >>   Dear Rodney,Thanks for acknowledging the
>> >> practicability of the
>> >>   concept 'ecurrency system'.
>>
> === message truncated ===
>
>
>
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