Local Currency

bankerIt’s an uncertain world. Very little comes with a firm guarantee. Jobs can be lost overnight, and a sleeping bag on the streets is just a short step away.

Unfortunately we live in a parallel universe. Those that have control, and those that just have to put up with whatever they are given. For some months we have been told that 100 families own half the world’s wealth. That was reduced to just 67 people and this week’s shocking news is that just eight people have all that half the world needs.

The Captain of Rainbow Warrior, Greenpeace’s battle ship, is quoted as saying that ‘Greed is a primal force’. So very correct, what should we do about it?

Our present economic system is unfair and unstable. Put aside the moral case facing any of the eight rich folk. How can they sleep at night knowing they could easily solve poverty? That continues with most of our media coverage. Well done chaps, the banks made billions more profit this year than previously. Share prices in multi-national companies continue to rise. A house I bought in the 1960s has just been sold for £1 million (not by me I hasten to add). For all of youth the £GBP stood  at $2.40, now it’s $1.20. Quantitative easing continues to erode the value of y money.

Most of us are the losers. True we are thrown scraps from the tables of the rich and powerful but only because we are now considered as consumers. That may change as automation replaces humans. In itself that requires a change in approach. Now we can undercut wages by moving poor people into richer areas. That will slowly change. It;s been seen in China where globalisation now means that, in effect, China owns the USA. If the USA was a company it would be declared bankrupt, or run the risk of a takeover.

There have been attempts to change the economic system. None have achieved much so far. Glasgow, Scotland’s second city, is considering a Glasgow Pound: money that can only be spent in the Glasgow area. Other towns have tried similar ideas. Brixton, in south London. was concerned that most of its money was leaving the town, with multt-nationals creaming off the majority. Add to that the recent immigrants sending money back to maintain families in their home countries. The last few years have seen even more invidious leakages with the government encouraging inward investment. An oxymoron as inward investment must mean outward profit, so do the British people gain from that?

Selling off the family silver is largely unrecognised as a factor but must be taken into consideration. Privatisation of nationalsed industries has deprived governments of funds as they stole the investment income of state utilities to run their own projects. The result was a a lack of investment in such concerns, and a complacency within our civil service.

Local digital currency could help but we really need to consider the structure of our banking system. Who owns and controls UK banks is a question we must consider.

 

 

 

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