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Social Credit and the Tea Party Movement

Politics / US Politics Aug 12, 2010 - 07:26 AM GMT

By: Christopher_Quigley

Politics

Best Financial Markets Analysis Article“The essential objective of Social Credit is to achieve an increase in purchasing power available to the common citizenry so that the resources in a society are more fully distributed in general rather than being controlled by a ruling banking elite which operates through a monopoly of credit.”


“The King is dead long live the King” so goes the feudal aristocratic mantra establishing power continuity. Death is part of life but it is the responsibility of the living to move on from pain and tragedy and develop a more hopeful vision of the future, a future greater than any past. This is the natural lesson of history. Currently many say that American society is dying but in fact I believe it is experiencing a transformation. Perhaps it is actually more correct to say that America is going through a paradigm shift. This shift is tantamount to a revolution and the revolution is based on increased awareness, growing consciousness, societal dysfunction and expanding poverty. The other force driving this trend is the emergence of learning networks and the diminished effectiveness of mass broadcasting. Thus average Americans are finally starting to think as sovereigns again. Their thinking had stopped following the disaster of the civil war. This national cessation of practical awareness allowed the then Federal micro-system to usurp the Union macro-system through credit power. As a result today the Federal Government is now macro, and the Union of States micro, but this should change over the next 50 years. The current “Tea Party Movement” is an expression of this change.

Folk have had enough of “main stream parties”. They want significant transformation in how government operates and they realise that this alteration can only occur from the bottom up.

Ideally the Federal banking elites want the American economy to contract. This contraction occurs best through crises. They desire a constrained and hobbled society which is more demanding, more complex, more controlled, more diverse, more fractured, more local and less efficient. In a word: techno-feudal. To understand a world that is” techno-feudal” you should watch movies such as “Brazil”, “Roller-Ball” and “Blade Runner”. These worlds are technologically advanced but disintegrated, stratified, dumbed down and astonishingly unequal. Is this the future we want?

Are the financial crises currently developing around the world “natural” I hear many ask? The answer is no. It is well known that power systems work best through fabricated “crises”. The elite set up the current sub-prime “crisis” through the “originate to distribute” Basel banking agreement of 1998.

From this model evolved: the hyper property bubble, the interest, gold and currency-fixing credit OTC derivative system, narco-asset laundering off-balance-sheet accounting and the eventual “credit” collapse. This led to the new “improved” banking oligarchy. This club now involves far fewer players than existed heretofore. The cull and consolidation continues but the central policy remains.

However, these elites underestimated the power of the internet to educate and allow their manipulation to be seen for what it is. Should these powers be allowed to succeed again, as they did in 1930, we will all share the blame because we now know the score. The easiest way to negate this developing usurpation of power is to help others see through the lies and the obfuscation that passes for truth. Ideally the one way to stop the feudal trend in its tracks is to educate yourself about social credit and apply its maxims. To understand Social Credit you need to have some idea about how the economy and money works.

Getting a general overview of the economy is simple. It has five main elements:

a. food & water
b. shelter
c. transport
d. life-care (health & sanitation)
e. security (internal & external)

Economic “science”, which is in effect an engineered human mind-set, states that the demand and supply of these elements is equated through the pricing system. The pricing system in a developed society uses a medium of exchange called money. The purpose of this money is to facilitate exchange thus supporting the effective functioning of the economy. Money is not supposed to be an end in itself. It is the responsibility of enlightened moral leadership within a society to ensure that the proper use of money is accomplished. In the West this moral leadership is gone for it has accepted criminality as a standard mode of operation. Criminality is unethical action with lethal consequences with no concern for the greater society. Accordingly, money has ceased to function correctly. As a result people think the economy and its concomitant systems are collapsing, like in the “former USSR.” This is not the case. If we solve the money problem the answer to the economic problem will fall into place. But through ignorance and misguidance this central issue has been hidden from the populace. The solution is wrong because the problem is misdiagnosed. It cannot be admitted to because such a disclosure will mean a demand to the cessation of monopoly ownership of money and credit. There will be no “former USA”, not if the American public finally wakes up, that is. The land, the seas, the food, the water, the houses, the offices, the schools, the factories, the roads, the railways the ports, the hospitals, the police, the prisons, the fire officers and the army are all still there.

So what is the problem? Why is the economy failing? Why is there growing poverty? The problem is that the medium of exchange is corrupted and mal-functioning. Simply put: there is not enough purchasing power in the hands of society in general to allow the proper interaction of supply and demand. The pricing mechanism is broken and mal-adapted to a modern technological society. It is time for economics to grow up. The current conceptualizing of “price” will not allow the further development of our civilization because the growth in the use of capital and machines has destroyed the availability of good “money jobs”. Without the “money jobs” there is no “effective purchasing power” available on the demand side of the economic equation to allow the supply side to consummate its potential. This conundrum can be easily solved if sufficient purchasing power is made available to the populace. This is the essence of Social Credit theory. This theory acknowledges that society must face the question at to whether people matter more than capital and machines. There are many possible methods on offer to effectively achieve purchasing power distribution within a private banking system. However, there is no point in fighting over the finer points of this issue until the philosophy and the policy of the theory is accepted and understood. So what is the philosophy of this new economic model?

As expounded by Major Douglas in his treatise “Social Credit” the purpose of his policy is to slow and eventually stop the centralization and implosion of western civilization caused by credit monopoly and mal-pricing. He felt that monopoly debt was corrupting all relationships; private, public, national, international and institutional. He believed that usury (interest) was bringing effective slavery to all western democracies. He sought to offer citizens freedom and sovereignty through the adoption of a new economic model and trust me his theory works. Google it. Research it. Discuss it. Blog it. Read it. Dream it. Believe me it has the power to transform our society. For it is simple: if a society does not own its money and credit it will lose control of that society and this is exactly what has happened to western civilization. It is time to take back this ownership, for the underlying value behind all money is: credere = credit = faith. Faith is free. It belongs to no individual monopolistic group.

In the 1930’s Major Clifford Douglas claimed that society was intellectually hypnotized and that only a drastic de-hypnotization and re-education could save it. Like the famous psychologist with his theory X and theory Y on human nature, Douglas believed in people. He felt that individuals had far more goodness and potential than society was allowing for. He reckoned that if common folk were given enough freedom and leadership they could move society and civilization into a new golden age. An age of extended liberty, discovery, art and culture. The alternative would be booms, busts, overconsumption, under-consumption, excesses, depressions and wars. Eighty years later this is exactly what the world has experienced and is continuing to experience. However, the period between each stage is narrowing and the level of debt is exploding beyond comprehension. To followers of Douglas this situation is understandable because his analysis has been seen to be true, simply based on the observation of the history of the last 100 years. If it looks true, smells true, feels true and thinks true, then it is true.

Through social credit principles Douglas sought to increase purchasing power in society. Why is purchasing power so important? Let us look at the example set by Henry Ford. Like Ford current leaders must start thinking outside the box. He completely redefined "classical" economics through the policies undertaken by the Ford Motor Company in the 1920's. Under "normal" theory it was assumed that a corporation could maximise profits by increasing price and limiting supply. Ford did the exact opposite because he had a more holistic view of the role of the corporation in society. He doubled the wages of his workers, decreased the price of the Model T and remade the Ford Corporation. (This policy was not inflationary because he knew he could at least double supply through increased efficiencies). The company boomed. How did this happen. It was axiomatic for he understood the importance of money and purchasing power. With Ford's workers now able to make a good living, their financial anxiety ceased and staff turnover dropped by a multiple of five in one year. This dramatically decreased management expense and increased productivity. Workers finally had peace of mind. With the increased disposable income in the Detroit area the general economy boomed. All classes of economic sectors expanded. As a result more workers, new business owners, company managers, insurance brokers, real estate brokers, bankers, salesmen, craftsmen, delivery men, builders, farmers and retailers could afford Ford cars. Demand for the model T doubled and with the increased buying power WHICH HE HAD CREATED. Accordingly profits at the Ford Motor Company dramatically increased as a result of his innovative policy.

Ford understood economics and he understood the issue of PURCHASING POWER. FOR HIM PURCHASING POWER WAS NOT CREDIT BUT CASH. HE REASLIZED THAT WITHOUT THE MONEY TO PURCHASE HIS CARS DEMAND COULD NOT BE MET. THEREFORE HE REDISTRIBUTED DIVIDENDS FROM THE OWNERS TO THE WORKERS. THIS BRILLIANT INSIGHT MADE THE FUTURE FOR THE COMPANY. It built up the economy of Detroit and it helped define America as a country where a factory worker was respected and well paid, not exploited. It was the American dream being made manifest not through political fantasy but through the laws of accounting and finance and production.

Power and machinery, money and goods, are useful only as they set us free to live. They are but means to an end. For instance, I do not consider the machines which bear my name simply as machines. If that was all there was to it I would do something else. I take them as concrete evidence of the working out of a theory of business, which I hope is something more than a theory of business—a theory that looks toward making this world a better place in which to live. The fact that the commercial success of the Ford Motor Company has been most unusual is important only because it serves to demonstrate, in a way which no one can fail to understand, that the theory to date is right. Considered solely in this light I can criticize the prevailing system of industry and the organization of money and society from the standpoint of one who has not been beaten by them. As things are now organized, I could, were I thinking only selfishly, ask for no change. If I merely want money the present system is all right; it gives money in plenty to me. But I am thinking of service. The present system does not permit of the best service because it encourages every kind of waste—it keeps many men from getting the full return from service. And it is going nowhere. It is all a matter of better planning and adjustment.

Henry Ford
"My Life and Work"

Compare for one moment the circumstances in Detroit in the 1920's and mainstream America today. The exact opposite is occurring. Wages are being destroyed and with them associated buying power. This system cannot hold. Society is being destroyed as we speak. Folks do not understand what is happening to them due to "dumbed down" educational policies. The gap between goods available for purchase and actual purchase capability is "managed" through the availability of banking credit rather than through real jobs and free disposable money. This credit substitute is an unstable arrangement because the debt is very expensive and is non-liquidating other than through bankruptcy or lotto wins or death. This is no way to run nations. It creates constant anxiety and eventual depression among citizens. It is inherently unstable. This planned model is immoral and it is a model, be under no illusion my friends.

Thus in essence the "problem" in America and in Europe, for that matter, is enlightened redistribution of purchasing power. Currently too much power over redistribution is controlled by banks and associate entities. This money centralization is stagnating the system and the fact that this arrangement failed to regulate itself, and caused a credit collapse, has accentuated the speed of failure by multiples. It is time to change. Society must move on. The intellectual framework to achieve this has been known for over 80 years. Its implementation will bring a renaissance to American and world commerce and culture.

Armed with this knowledge for how long do we allow the folly of present economic “orthodoxy” to continue? To me this situation is akin to an adult perceiving the behaviour of a wild and immature teenager, wondering when wisdom will prevail. To the elites, who must know the truth, this monopoly credit based, boom-bust phenomenon, is obviously allowed to continue because they have control. Their ownership motivates them to disregard consequences provided they are protected through privilege.

However, I believe that the truth is too obvious to ignore anymore. The situation can and will be changed. The optimum way to achieve this is through the personal action of understanding and living the new paradigm. Through example the solution will grow from the bottom up. It will not come from the top down. I can see the change of consciousness mentioned in my opening statement within my own environment. Folk are waking up. The Tea Parties are growing, block by block, community by community, city by city, county by county. The philosophy of Major Douglas is showing a synergy with other social thinkers such as Buckminster Fuller, Douglas McGregor, Abraham Maslow, Joseph Schumpeter, Carl Gustav Jung, Prof. Carroll Quigley and E.C. Riegel. The end result is the on-going development of a new modality for “post-techno-feudalism”. The money solution is so obvious it is beginning to be seen as “madness” not to sort it out. The de-hypnotizing is starting. At long last people are rediscovering sovereign thought and moral grace. Thus Social Credit is appealing to those who believe in freedom; to those who hate debt slavery; to those who realise the current political system is media theatre; to those who seek to empower their family, their business, their community, their city and their state; to those who wish to rediscover scholarship, education and learning; and to those who wish to rebuild rather than collapse the American western tradition.

“The organism has a right in natural law to draw sustenance from its environment. We cannot with impunity abstract humanity from the natural world. ….

Unfortunately, the present financial system creates an ever greater deficiency of effective and unattached purchasing power giving the illusion, through a distorted financial lens, of actual or physical scarcity in the midst of actual and potential abundance…..

Douglas said that we are trying to pass from one type of civilization into another in which the possibilities are such that we cannot begin to imagine. That transition, he believed, would best be facilitated in an environment which provides maximum freedom (immanent sovereignty) for the individual in the context of absolute economic security. The policy of Social Credit is to make possible the emergence of such an environment.”

Wallace Klinck

Reading Thread:
Quotes From: Mr. Wallace (Wally) KlincK
Social Credit: Long Term Student, Archivist, Researcher and Writer.
“Social Credit” Major Clifford Douglas
“Critical Path” Buckminster Fuller
“On Management” Abraham Maslow
“Theory X & Theory Y” Douglas McGregor
“Small Is Beautiful” Joseph Schumpeter
“Man and His Symbols” Cark Gustav Jung
“The Oscar Iden Lectures” Prof. Carroll Quigley
“Flight from Inflation”& “A New Approach to Freedom” E. C. Riegel
“My Life & Work” Henry Ford

By Christopher M. Quigley
B.Sc., M.M.I.I. Grad., M.A.
http://www.wealthbuilder.ie

Mr. Quigley is 46 years of age and holds a Batchelor Degree in Management from Trinity College/College of Commerce, Dublin and is a graduate of the Marketing Institute of Ireland. He commenced investing in the Stock Market in San Francisco, California where he lived for 6 years. Now based in Dublin, Mr. Quigley actively trades utilising the principles set out in the modules above. This Wealthbuilder course has been developed over the last 9 years as a result of research, study, experience and successful application.

© 2010 Copyright Christopher M. Quigley - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Christopher M. Quigley Archive

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