Thursday, January 06, 2011

National Emergency Employment Defense Act of 2010

Christopher Jon Bjerknes

Rep. Dennis Kucinich has introduced a bill that would radically change our monetary and banking systems:

National Emergency Employment Defense Act of 2010

This legislation would nationalize the Federal Reserve and issue debt free money. It would also proscribe fractional reserve banking and the issuance of loans on deposit reserves. Furthermore, it would enable the Federal Government to issue loans at its discretion.

There are many pros and cons to this bill. It would be good for the government to issue our money without debt and for the government to fund investments. However, this bill in no way ensures that such funding will be done in a way that benefits our citizens and only our citizens. Why use Federal funds to profit illegal immigrants, or corporations, or foreigners and foreign corporations and foreign governments? The language of the proposed legislation is far too loose and imprecise. It encourages certain behavior, but fails to state with absolute clarity what the law prescribes and what it proscribes.

The opportunities left open for cronyism and corruption are too wide and too many, and the bill offers no means for the citizens to defend their rights against an abuse of government. Kucinich evidently seeks to avoid citizens voting in the "Monetary Authority" so as to prevent political bribery of the public, but in so doing places too much power in the hands of a President by creating an economic supreme court with limited terms. What is the process of impeachment and removal of members of the Monetary Authority, and what means has the public to secure its interests against a potentially corrupt Authority?

How will this legislation fill the credit vacuum it will surely create by proscribing fractional reserve banking and limiting interest on loans to the amount of the principal and an annual rate of eight percent, which will take away the profits from lending? Where will the public find cheap and accessible credit? They will be forced to turn to foreign money markets and investors, and this bill does not prohibit international offshore Shylock from competing with domestic dollar denominated credit, and he will outcompete our banks due to an unfair advantage. What of exchange rates with other currencies?

The bill does absolutely nothing to recover what has been stolen from us, nor does it in anyway repudiate fraudulent debts, nor does it create an office to investigate and prosecute the crimes against the American People it enumerates. Though it provides many clauses describing the means of placing money into circulation, it is far more brief with regards to the methods of retiring money to prevent inflation.

These are my immediate thoughts after a cursory reading of the text of the bill. I will have more to say on how to improve it, later.

One definite benefit of the bill, even in its present poor state, is that it prevents our enemies from cashing their dollars in for our gold and other real assets. Expect the Jewish backed goldbugs to do everything they can to discredit Kucinich and this bill. Notice their slimy tactics, and realize that they are a part of the gold cartel, or are working for the gold cartel.