Why doesn't the UK government issue "credit crunch bonds" (cf. War
> Bonds) to the general public ?
>
> Say minimum 5 year holding, and 3% return ?
>
> How much money could they raise that way, and would it help stave of > tax rises ?
What the government should do is print its own money or create its own credit. It won't do this because we are now slaves to the European Central Bank. See my correspondence with the Treasury below:
What you speak of probably already happens. Money is printed, but too much and we have a devalued pound and inflation.
They love that old chestnut, they parrot it incessantly but they don't stop to think. Inflation is caused by too much money chasing too few goods.
There is clearly not too much money in the system because nobody's got any - except the banks.
Clearly the government should create credit - debt-free - and spend it into circulation, or even lend it interest free to small firms. Or even give it outright to the unemployed, low earners and students.
If they introduced a basic income for everyone they could shut down the entire social security system. Instead they keep borrowing from the banks and add to the irredeemable debt.
On Wed, 26 May 2010 02:15:11 -0700 (PDT), thedarkman wrote this:
That the state is essentially a racket run for the benefit of those who hold positions of power and the stinking rich is now beyond dispute.
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