The miracle of Worgl

November 21st, 2008 by greentheo

“To all whom it may concern ! Sluggishly circulating money has provoked an unprecedented trade depression and plunged millions into utter misery. Economically considered, the destruction of the world has started. - It is time, through determined and intelligent action, to endeavour to arrest the downward plunge of the trade machine and thereby to save mankind from fratricidal wars, chaos, and dissolution. Human beings live by exchanging their services. Sluggish circulation has largely stopped this exchange and thrown millions of willing workers out of employment. - We must therefore revive this exchange of services and by its means bring the unemployed back to the ranks of the producers. Such is the object of the labour certificate issued by the market town of Wörgl : it softens sufferings dread; it offers work and bread.”-Inscription on the back of Worgl alternative money (1932)

As the stock market crashes and economic turmoil seems all but inevitable many have been thinking back to the days of the great depression.  Alas, it seems we little people can do nothing but wait on the Federal Government, and it’s official monetary policy producer and the privately owned and operated Federal Reserve to rescue us from the sins of the fat cats on Wall Street.

We might be waiting until a certain nether world freezes over.

Back in 1931-32 the small town of Worgl, Austria was suffering from the result of the 1929 stock crash.  There was no investment, no spending, 30% unemployment and civil unrest (When Hitler came through 5 years later and annexed them, they greeted him as an economic savior).

But the little town of Worgl had a creative Mayor.  The Mayor of Worgl was not highly educated, but he had read enough of economist Silvio Gesell to understand that his desire for the prosperity of the working class was not dependent on the wealthy (trickle down economics) nor was it dependent on the ideals of Marx, who advocated taking back the means of production from the wealthy by force.

Instead, as Gesell theorized, the solution lay in a more efficient and effective money system.  As has been previously blogged here at greentheo, money is useless as a medium of exchange if it does not flow around a society.  Gesell makes it painfully clear that money is not wealth.  Instead, Gesell promoted the idea that wealth and prosperity is the ability to obtain real goods via trade.  If, then, we want the average world citizen to have increased prosperity we need not take wealth by force, we simply need to decrease the ability for large amounts of money to have an advantage in trade over smaller amounts.

If money itself loses value over time, just like the underlying goods that it can purchase do, then it will become a better medium of exchange and take away the advantage of holding large amounts of it.

Money properly understood is a means to an end, not an end in itself.

So as Worgl struggled to maintain roads, and feed the starving poor the Mayor of this small town decided to give Gesell’s ideas a try.  He devised a new money system in which a 1% tax on money had to be paid each month (not a tax on wealth, but a tax on money).  The money was passed into circulation via wages for city employees and was required to be accepted as legal tender by all town business.

It worked so quickly (within 3 days) that the Mayor began to be suspicious of fraud, but in reality it was a smashing success.  Soon income taxes (taxes on wealth) were being paid ahead of time (to avoid the 1% tax on money).  A new ski jump was built.  Streets were not only maintained but new ones constructed that became the envy of Austria.  The town was at full employment and even forests were being replanted for the purpose tax sheltering (again avoid 1% money tax by investing in something that could be sold in the future for today’s price).

Imagine if in today’s world we invested in forests and wildlife habitats not because we wished to “do the right thing” but because it was a good investment and a tax shelter.

Worgl’s local economy became so successful within the year that many of the neighboring Austrian cities began to adopt the Gesellian “Free-money” as it was known.  Even the French across the border became interested in the new monetary system.  An economic gathering of the minds attracted macro-economists from around the world who came to see the “Miracle of Worgl”.

Alas, the short lived joy and prosperity came to an abrupt end.  The central bank of Austria asserted it’s monopoly control of the money supply and outlawed alternative currencies (like “Free-money”).  After unsuccessfully suing for the right to print their own currency the town of Worgl return back to the national currency.  The roads fell into disrepair and quickly 30% unemployment returned.

5 years later Hitler rolled through on his quest for world domination and millions lost their lives in the battles ensued.

Could a better monetary system have saved countless hours of pain, death and destruction?   Could a better money system stop the crushig poverty experiencd by so many billions in the world?

Don’t just take my word for it, think about it yourself.

(This entry mostly paraphrased from[1] )

  1. http://alt-money.tribe.net/thread/70e5eb29-853d-44ca-9faa-b789d1757037 []

Why Money Must Die

November 18th, 2008 by greentheo

Part of the Green movement’s underlying philosophy is that cultural and societal structures need to be constructed such that they are sustainable.  One of the key components of sustainability is the ability for all parts of the whole to pass through a cycle of life and death.  One is born, grows, reaches maximum productivity and usefulness and then eventually dies, decomposes and is returned back into the system for future use.

This is the way of nature.  When something dies it is decomposed and with it’s nutrients broken down and released back into the roots of the living it will be synthesized into something more useful, complex and beautiful.

Just imagine a world in which fungus, and bacteria didn’t break down the dead and waste of the living…

There is one component of our society (of many) that not only does not die, it grows without bound: money.  It is perhaps the greatest barrier to a sustainable and otherwise green economy.

A proper, sustainable view of money needs to be embraced in the Green Movement as it will provide the economic base for the movement’s ultimate goals.

Money is not the paper that we hold in our wallets, nor is it the gold that backs it in the treasury.  Money is the common faith medium of exchange.  And as a medium of exchange it needs to flow around like blood in the body.  It should be born when a product is created and sold to a customer and then put to death when the producer turns consumer and spends his wage.  When money is spent it comes back to life.  It is this cycle, the death and rebirth of money from consumer to producer, producer cum consumer to the next producer etc. that keeps a society flowing and functioning.  It is the opposite, when money is stuck in the bank, or the sock drawer that a society becomes depressed and ill-functioning.

So what happens when the money fails to die?  If money sits in the bank collecting interest it can only be growing and growing, like a virus or a cancer.  Soon it becomes so large that the owner couldn’t even spend it all in a lifetime if he tried.  And like garbage in a landfill it serves no purpose… unable to die and return to life through the roots of the living consumers and producers.  The living consumers and producers starve while the money is locked away in some remote reserve…full of life… but locked and hidden away.

There are several means to accomplish the death of money, the easiest one is to schedule it’s devaluation in order to make it unattractive as a means of hoarding wealth.  When we eliminate the immortality of money, then we eliminate it’s future purchasing power, creating a level playing field for all.  If the playing field were level I believe that the best, most efficient and productive technologies would be the most sought after and thus the world would necessarily become Greener and more sustainable.

If we want a sustainable world, one where our children don’t have to face the imminent dangers of a toxic ecology, or food shortages or natural disaster then we have to try to make every part of our world sustainable, including the money system.

Bailout Sleuth

November 17th, 2008 by greentheo

Since the Federal Reserve and congress don’t deem it necessary to disclose who they’re giving money out to under the TARP (Troubled Asset Relief Program) Mark Cuban (owner of the Dallas Mavericks basketball) has helped start a new website:

www.bailoutsleuth.com

To keep track of it for them.

Several lawsuits have been filed under the freedom of Information Act and yet the Fed still (even though mandated under law) refuses to disclose which banks they are lending money too.  And it’s not just the $700 billion that congress approved a few months ago.  They are apparently also excercising the “right” to give cheap loans to whomever they care to, unless of course you’re a regular ol’ Joe, then you have to pay prime+bank interest.  Some $2 trillion in unidentified loans has been given out in the last couple of months.

So I guess while the big boys get loans at 0.25% I’m still stuck with a mortgage at nearly 7% and a school loan at about the same.  Where do I sign up for my piece of the TARP?

Welcome to the new era of Robber Baron early 20th century style capitalism, hope it’s working out for you.

Fuel Grade diesel produced by fungus

November 7th, 2008 by greentheo

From gaurdian.co.uk.

Fungi and microbes are some of the most important organisms to our planets health.  Without them we would not have rich and fertile soil, we would also suffocate under our own excrement and waste.

Recently, I posted a video on how fungus may save the world through the recently discovered ability of mushrooms to defend against viruses and for their role in producing biofuels.  Fungus has even become recognized as so important that Department of Defense grants have been given out for the purchase of old growth forests in order to protect certain rare and unknown strains.

And now comes this announcement, a strain of fungus from Patagonia has been identified that takes cellulose and sugars and produces fuel grade diesel.  Amazing!

But if that isn’t enough, the researcher who discovered this fungus also says the following.

Strobel also said that his discovery raises questions about how fossil fuels were made in the first place. “The accepted theory is that crude oil, which is used to make diesel, is formed from the remains of dead plants and animals that have been exposed to heat and pressure for millions of years. [But] if fungi like this are producing mycodiesel all over the rainforest, they may have contributed to the formation of fossil fuels.

As a young earth creationist and a scientist I’ve always wondered how to work out the oil problem, which is that crude oil supposedly takes millions of years to be created.  Now with the discovery of such things as mycodiesel, algae wich hold up to 50% of their body weight in oil, and the possibility that prior to modern deforstation and the like their could have been any number of oil/diesel producing fungi/organisms responsible for the oil deposits we find.

By the numbers

November 6th, 2008 by greentheo

Being a mathematician/statistician, and a quasi-socialist and utopian dreamer here are some enlightening numbers.

Some Stats:

Estimated cost of Iraq and Afghanistan wars up to 2008: $691 Billion [1]

TSA Budget 2008: $6.3 Billion[2]

US National Defense Budget 2008: $481 Billion[3]

Cost of maintaining the US National Debt per year:  $420 Billion[4]

Cost of maintaining the US National Debt since 2000: $2.8 Trillion

Cost of Nationalizing US banking System in 2008: about $1-2 Trillion

Feeding 3 organic and healthy meals per day to each of the US’s 300 million citizens for 1 year: $90 Billion[5]

Providing $5,000 worth of health care to every US citizen per year[6]: $1.5 Trillion

Terrorism Related Fatalities in the US 1968-2006 - 3,227[7]

Heart Disease and Cancer related mortality in the US in 2005: 652,091(heart) + 559,312(cancer)= 1,211,403[8]

My Conclusion:

Terror and fear are irrational, you will either be killed by terrorism with a nearly 0% chance or not, fear does not decrease the chance either.

So why should we give up our liberties and our resources for protection from an almost non-existent threat when we could give up an even smaller portion of our resources (and no liberties) for a threat that is very real and very preventable… poor nutrition and inadequate health care?

  1. http://www.reuters.com/article/topNews/idUSN2365065420080124 []
  2. www.whitehouse.gov []
  3. http://www.whitehouse.gov/omb/budget/fy2008/defense.html []
  4. http://bp3.blogger.com/_nSTO-vZpSgc/R4RTa3tCUAI/AAAAAAAABzw/ef5q9xtOO0Y/s1600-h/interest-expense-historical-data.png []
  5. based on my estimate of $300/month per person []
  6. if you didn’t use it, it could go to someone else, if there was a surplus spend it on something else []
  7. http://www.nationmaster.com/graph/ter_ter_act_196_fat-terrorist-acts-1968-2006-fatalities []
  8. http://www.cdc.gov/nchs/FASTATS/lcod.htm []

5 simple, cheap, green steps to more happiness

November 5th, 2008 by greentheo

Classical philosophers pin the motivation for all human action on the desire for happiness.  It’s only been since the modern and specifically Freudian and Darwinian philosophy and psychology that man’s actions have been thought to be driven not by the desire for happiness, but rather by an ill-defined conglomerate of primal and sexual subconcious forces aimed at reproduction.

More recently, happiness is being understood as a chemical reaction in the brain.  This is simply a progression of the Darwinian and evolutionary understanding of the human person as simply a body, and happiness as a non-existent metaphysical concept.

I reject these views and prefer to stick to the hypothesis that man’s actions are driven by the objective function of optimizing happiness, a methaphysical and spiritual reality[1].

Without further ado, here are 5 things that everyone can do to live a better, happier and greener life.

  1. Make More Friends - Friends are free at face value, though they tend to require a long term commitment.  Sometimes they require you to listen to them, and sometimes they may even ask you for favors!  But oh what a world it would be without friends!  Who else will listen to your problems with a sympathetic ear?  Who else will go on hikes with you in the middle of winter?  Who else can provide countless hours of entertainment, companionship, grace, counsel, wisdom, and even love?
  2. Join a religious/social group - I choose to believe in Jesus and to attend regular meetings on Sundays to share in my faith with others.  And it has brought peace, patience, love and joy into my life.  There’s nothing like worshipping your creator with your friends, family and fellows to dispel all sorts of maladies and bring meaning and purpose into your life.
  3. Give your money, time and skills away - Giving your money away achieves two objectives,  it helps those who probably need it more than you do, and it helps free you from all sorts of materialism, greed and hoarding.  You’ve also been blessed with all kinds of skills and knowledge that are unique in the world… and there’s nothing like putting them to use for the good of others.  The gratitude exchanged for your time and money is worth far more than any dollar amount you could have otherwise received for your time or object for your money.
  4. Sleep more - Is there really anything that good on TV anyway?  Try adding 1 hour of sleep to your usual amount.. and then add 2 hours…  Scientifically they say that 8 hours is all we need, but in truth, it’s never been determined how much we need.  The more you sleep, the more your body has a chance to heal itself, to save up energy for the day ahead and for your mind to process all the problems it constantly works on.  If you tend to sleep more on vacation, why not bring a little vacation to your life and exchange something like TV watching for more sleep?
  5. Eat Well - Perhaps the hardest thing to do, given the expense of quality food and the cheapness and appeal of low quality food… but… as the saying goes “Let your food be your medice, and your medicine be your food”.  Most pharmaceuticals are a rip-off of chemicals and compounds found naturally in plants and fruits found around the world.  Organic vegetables are generally also free of oil-based fertilizers and pesticides which are known toxins and carcinogens.  With cancer and heart disease ranking as the #1 killers in America why not try a little preventative treatment… good quality food.  With the decreased amounts of sugar you’ll likely consume, you’ll definitely feel more vigorous, less depressed (with better bowel movements) and yes… happier.

Does anyone else have some quintessential tips for leading a happier and healthier life?

  1. Though I do accept that yes, chemical reaction in the brain do have a significant role to play in our emotions []

Keep the little guys happy

November 4th, 2008 by greentheo

All conservation and green movements should start with one simple goal… preserve the soil.  Without a good source of growing soil everyone will be unhappy (and hungry).  This article on Slate gives a pretty good summary.

Novels that seek to portray post-holocaust worlds always seem to assume that the soil will magically survive, and that a bean cast into seared soil will quietly proceed to a successful crop. But the soil is not a passive medium; it is alive. I doubt whether there would be many readers for a post-holocaust novel that was concerned with the hero’s desperate search for mites. Bu alas for the world if the mites and their diminutive allies failed to prosper!

The cheapest and easiest to install (non) skylight ever

October 31st, 2008 by greentheo

Why should you spend $400-$1000 on a skylight and ruin your perfectly good ceiling when you can have one of these.

The problem with most windows is not that they don’t let light in… it’s that the light falls on the floor instead of filling the room.  The problem with a skylight (as lovely as they are) is that they cost $400-$1000 and will take up more than one weekend with the necessary destruction of some portion of your ceiling.

Solution: add a mirror (or two) to the window sill and angle it into the room.

The mirrors cost about $7 at your local hardware store and when angled properly will redirect sunlight off your face or desk, and onto the ceiling where it provides free natural light for the whole room.

Why pay for electricity and expensive “natural” light bulbs when you can have actual real sunlight?

Mirror in WindowCheap Skylight

Think Capitalism is great? Watch this…

October 30th, 2008 by greentheo

Michael Parenti is a wonderful speaker and an advocate for Democracy by the people and for the people.  And yet he is anti-capitalist economics.  After you watch this lecture you might be too.

As for me, I think the greenest, most sustainable and workable system of economics is the free-money capitalism espoused by Silvio Gessel (whom I recently wrote about).

[googlevideo] http://video.google.com/videoplay?docid=6573660441809242121[/googlevideo]

http://video.google.com/videoplay?docid=6573660441809242121 [1]

  1. Thanks for finding this one pops []

Choosing green can be expensive… especially because it’s usually free

October 29th, 2008 by greentheo

If you haven’t heard by now, vitamin D is being touted as a major preventative treatment for all types of cancer and health issues.  If you’ve read any number of books set in the 19th century where some wealthy person takes ill, you’ll recall that the patient is usually taken out to the countryside to get some fresh air and sunshine.  Turns out it was a pretty good idea.

How much does this miracle cure cost?  It might seem obvious that clean air and sunshine should be free, but…

For the average American male, a good daily dose of sunlight would require 10-20 minutes with 40% of their skin exposed to some prime sunlight (somewhere between 9am-4pm).  Achieving this requirement might mean that he goes shirtless outside for 15 on the front side and 15 on the backside… a total of 30 minutes.

But this is a problem.  The average American Male works over 40 hours a week, and last I checked most employers discourage topless sun bathing on the job.

Supposing the average American male decided he would take 1 hour less pay, 3 days a week[1] and blend in a nice run through the park[2]  with his sunbathing for ultimate health.  30 minutes to stave off heart attacks and cancer, not too bad.  Add in some clean up time and the hour is up… back to work.

But with 3 hours less pay a week, the average American would take a salary cut of  nearly $2,500.((http://en.wikipedia.org/wiki/Average_Joe)).

$2,500 for free sunlight and jogging?  Who could afford that? Especially with an average salary of about $32,000/year.

That’s why I’ve decided that although America is the wealthiest <strong>country</strong> in the world, it’s citizens are some of the poorest… we can’t even afford to enjoy free sunlight and a free jog in the park.

  1. If you can find a boss willing to let their employers do this, just let me know []
  2. running outside also astonishingly still free []