Thursday, 29 January 2015

Greece's Future Policy- A recipe for Greece, Europe and the World

Response to;

Dear George Papandreou

I agree with your comments on a new deal for the Greeks  which is very similar to the new finance ministers aims  on a new approach to  the debt, and europe as whole has to take more responsibility on lending.

I also note that you agree there must be a complete reformation on taxation , and it this that I firmly believe is where that most effective long term change could take place. 

Taxation at present is everything we don't want and it cant provide all the necessary tools to raise revenue in a way that promotes social cohesiveness and also at he same time respects and enhances the present and future climate crisis we have .

A revolutionary approach has to be taken , rather than taxing individual directly which at present leads to fraud evasion and avoidance at all levels , we need to change these ground rules so we pay our taxes to reflect directly the damage we do to the planet. This could be achieved by the introduction of a Natural Resource Tax collected at as near to source as possible  and based on the actual and potential damage their use can do onto the planet and all its ecosystems. 

This, then removes the ability of anyone or any individual corporation being able to find ways around to avoid the tax, It is like and extended VAT tax we have at present but  only on all the base natural resources rather than on the finished goods. It would levied and with no exceptions of relief  for any sector, as this is aimed at changing the whole mindset in which the current systems work. It will change the very base of all what we do from inception , design, manufacture, distribution, sale and consumption. It will empower the consumer, as the dirtier the product is, in terms of environmental damage, the higher the price will be. The polluter pays without exception.

This linked with a reformation of the health and welfare system , whereby all citizens receive a Citizens Wage  and through this would then pay for their health and welfare from this, and their would be no other benefits of pensions , unemployment and the like, only for the disabled and real down and out case would their be additional support. All citizens then would be responsible for their own health and welfare and would demand by proxy better preventative health and also would ensure a food revolution to prevent obesity and disease.

It is through empowering the individual whether it is just for himself or for his work and job , the aim to use less and create more with automatically less impact on the environment, would I believe be the new mantra.

Finally a death tax has to be introduced , to prevent vast fortunes in wealth and capital being locked up and maintaining and expanding the rich poor divide. existing wealth is a game of philanthropy  which just maintains the status quo and is just a game of bribery of who can buy off ones guilt. The rich are rich because they are good at extracting  from the consumer  and not paying a realistic price for the damage they have done to the planets resources and also human resources, IF you are rich, pay the taxes, which then can be used to undo and prevent some of the damage caused.

Wednesday, 28 January 2015

A Modest Proposal for the resolution of the euro crisis by Yanis Varoufakis James K. Galbraith Stuart Holland Preface MICHEL ROCARD

The conclusion from:

 A Modest Proposal for the resolution of the euro crisis

 by Yanis Varoufakis James K. Galbraith Stuart Holland

CONCLUSION: Four realistic policies to replace five false choices

Three years of crisis have culminated in a Europe that is losing its dynamism in the eyes of the world and its legitimacy in the eyes of Europeans. Europe is unnecessarily back in recession. While the bond markets were placated by the ECB’s actions in the summer of 2012, the Eurozone remains on the road toward disintegration.
While this process eats away at Europe’s potential for shared prosperity, European governments are imprisoned by false choices:
  • between stability and growth
  • between austerity and stimulus
  • between the deadly embrace of insolvent banks by insolvent governments, and an admirable but undefined and indefinitely delayed Banking Union
  • between the principle of perfectly separable country debts and the supposed need to persuade the surplus countries to bankroll the rest
  • between national sovereignty and federalism.
These falsely dyadic choices imprison thinking, and immobilise governments. They are responsible for a legitimation crisis for the European project. And they risk a catastrophic human, social and democratic crisis in Europe.
By contrast the Modest Proposal counters that:
  • The real choice is between beggar-my-neighbour deflation and an investment-led recovery combined with social stabilisation. The investment recovery will be funded by global capital, supplied principally by sovereign wealth funds and by pension funds which are seeking long-term investment outlets. Social stabilisation can be funded, initially, through the Target2 payments scheme.
  • Taxpayers in Germany and the other surplus nations do not need to bankroll the 2020 European Economic Recovery Programme, the restructuring of sovereign debt, resolution of the banking crisis, or the emergency humanitarian programme so urgently needed in the European periphery.
  • Neither an expansionary monetary policy nor a fiscal stimulus in Germany and other surplus countries, though welcome, would be sufficient to bring recovery to Europe.
  • Treaty changes for a federal union may be aspired by some, but will take too long , are opposed by many, and are not needed to resolve the crisis now.
On this basis the Modest Proposal’s four policies are feasible steps by which to deal decisively with Europe’s banking crisis, the debt crisis, underinvestment, unemployment as well as the human, social and political emergency.
Version 4.0 of the Modest Proposal offers immediate answers to questions about the credibility of the ECB’s OMT policy, the impasse on a Banking Union,  financing of SMEs, green energy and high tech start-ups in Europe’s periphery, and basic human needs that the crisis has left untended.
It is not known how many strokes Alexander the Great needed to cut the Gordian knot. But in four strokes, Europe could cut through the knot of debt and deficits in which it has bound itself.
  • In one stroke, Policy 1, the Case-by-Case Bank Programme (CCBP), bypasses the impasse of Banking Union (BU), decoupling stressed sovereign debt and from banking recapitalisation, and allowing for a proper BU to be designed at leisure
  • By another stroke, Policy 2, the Limited Debt Conversion Programme (LDCP), the Eurozone’s mountain of debt shrinks, through an ECB-ESM conversion of Maastricht Compliant member-state Debt
  • By a third stroke, Policy 3, the Investment-led Recovery and Convergence Programme (IRCP) re-cycles global surpluses into European investments
  • By a fourth stroke, Policy 4, the Emergency Social Solidarity Programme (ESSP), deploys funds created from the asymmetries that helped cause the crisis to meet basic human needs caused by the crisis itself.
At the political level, the four policies of the Modest Proposal constitute a process of decentralised europeanisation, to be juxtaposed against an authoritarian federation that has not been put to European electorates, is unlikely to be endorsed by them, and, critically, offers them no assurance of higher levels of employment and welfare.
We propose that four areas of economic activity be europeanised: banks in need of ESM capital injections, sovereign debt management, the recycling of European and global savings into socially productive investment and prompt financing of a basic social emergency programme.
Our proposed europeanisation of borrowing for investment retains a large degree of subsidiarity. It is consistent with greater sovereignty for member-states than that implied by a federal structure, and it is compatible with the principle of reducing excess national debt, once banks, debt and investment flows are europeanised without the need for national guarantees or fiscal transfers.
While broad in scope, the Modest Proposal suggests no new institutions and does not aim at redesigning the Eurozone. It needs no new rules, fiscal compacts, or troikas. It requires no prior agreement to move in a federal direction while allowing for consent through enhanced cooperation rather than imposition of austerity.
It is in this sense that this proposal is, indeed, modest.

Thursday, 22 January 2015

Davos 2015 super rich and superdivided

The Super Rich earn their wealth from exploiting the worlds resources . It is they who are the worst offenders for climate change as they lead by example and everyone else follows with trashy look alikes.gobbling up much more resources.

The Super Rich  have a tax system allocated just to themselves, They do not have PAYE or similar , they argue and fight for paying any tax within their tax  remit, not just from within their own local tax jurisdiction , but anyone that is open to bribes and easier rates than at home.
 All taxes should be paid where the products are sold, if we are to keep the present tax system. otherwise the tax system has to be reformed completely from top to bottom as suggested in previous blogs

The Super Rich should not be able to pass on wealth to the next generation , we stopped it once from the aristocracy and landed gentry, now we have to stop it again before it goes to far.  Philanthropy is not a replacement to paying taxes, it is in short a way of making one feel good and getting respectable with peers than about being greedy and abusing the global resources.Greed has to be seen as nasty why should anyone rich or poor be told to breathe the poison of car fumes or noise,or poison put into our rivers and aquifers?

The Super Rich are the answer and cause to Climate change, and global warming, You are also the answer to environmental ecocide, and relieving societal dysfunction.

The Super Rich,  The Super Rich, The Super Rich,  Please find and use your heart and soul , transform taxation, businesses, and society to a fairer a more equal one with high moral standing.
Do not share your wealth, do not take it in the first place, Think about instead of adding value, providing value,  and sharing all natural resources wisely. Do no buy up vast amounts of real estate, condemning the poor to the fringes of the cities and towns, They are your powerhouse of energy and manufacture and also consumption, Respect all life, from the humble earthworm to man  and woman.

The Super Rich, you are Super Rich only because society has allowed you to be so, but when it is grossly differentiated society will bite back , as we are witnessing with the Arab Spring and many terrorist movements at present. Societal unrest will be your undoing and it may be sooner than you think!

Banks , please wake up to QE, it does nothing other than make the Super Rich richer, allowing them to buy up vast tracts of land and resources. All Natural Resources are freely given to mankind by the planet itself, It is only mankind who has made them valuable by restricting  or making them available to be used and consumed . They are the bounty of all the planet , and we should all pay a real price for their use and consumption. It is these resources that are causing all the problems we have on the planet.

Governments, UN, World Bank, IMF, COP etc etc...  If we are to address the Rich/Poor divide , climate change, and ecosystem collapse , we have to address the basic fundamental connection between all these problems, The common denominator is all the natural resources of the earth , and how they are used or extracted, It is not just fossil fuels, that just happens to be the most critical at the present time , but land availability and use, water and air quality and availability.
We do have a lot of good will in the name of the UN and many other organisations building frameworks based on real natural values ethics and morals, the failure is to uphold and implement them. They fail in the main part due to their complexity, so loopholes are found, and the rot starts,

Mankind need to wake up to a new sense of responsibility and accountability  in the form of a reformation of all fiscal and monetary systems , placing  not just the sustainability,longevity and integrity of the use of all Natural Resources at the centre of all policies.

"Look after Nature and the world will look after itself".

Your Environmental or Carbon Footprint is the same size as your Spending power.

Responsibility and accountability goes with increasing power and wealth.


Wednesday, 21 January 2015

Lord Stern from Davos2015

Lord Stern said that this year’s event in Paris aimed at reaching a deal on climate change was crucial. “This year will shape the next 20... it is the poor who are hit hardest by climate change,” he said.

Following the press conference, the Guardian caught up with Lord Stern, walking around the corridors of the conference centre. He said the current low oil price (with Brent crude trading at just above $48 a barrel today) “was a very good moment for enlightened policy”.

“If you want to put a carbon tax on now is absolutely the right moment.”

Sunday, 18 January 2015

Amazon , Google ,Starbucks, etc, directly kill off small independant Shops

The large corporations who are growing in number by the minute  , from Amazon through to Dyson and now through an ever increasing number of property investment companies are riding over all the rules, morals and ethics we have tried to engender in the west for so long .

Having economists who have just one thing on their mind , GREED, is at the heart of the way the new western economy works

This greed is manifesting itself in in ways of preventing the poorer in society which now includes much of the middle classes from being able to better themselves as the wealth is not being tricked down , it is being hoarded and used for the acquisition of land and property without any qualms about the effects it is having on the rest of society.

Control over property and land in particular is changing the whole of society from being one of relative equality in the 60's and 70's now to one of division between the vastly rich and the rest.

This divide corrupts everyone and also increases jealousy  which in turn creates a society that is fearful and one that could very easily turn violent  as we have see recently in london last year and paris last week  and the arab spring 2 years ago.

We are now seeing a police state being formed in France and Belgium  and the Uk with ever increasing arms being allowed on the streets by the Police and army. but also through new legislation restricting freedoms of movement , speech and communications.

The individual has today few places to have freedom , we pay our taxes before we get our pay, we do not understand the laws of the land , as they are so complicated  few understand them , including many MP's .  compare this to the wealthy who have none of this , they pay any taxes they so determine themselves, after they have the money, and the travel the world finds accommodation where there is the least fear of being caught out.

This is a sign of our civilization in steep decline, and its all happening while we sleep , and nobody is raising any serious objections to it.

It is the same as the global warming debate, it will only when such vast numbers of us are dead and gone, like lemmings over a cliff will one day the rich suddenly awake to see that they have nobody to do the work, and civilisation will collapse.

Thursday, 15 January 2015

Oil Man up or bust..

The oil industry  has having its cake and eating it , with huge subsidies , large dividends to shareholders, paying lip service to climate change,  They are similar to the banks with huge reserves scattered around the globe and avoiding paying all the taxes  due , by having offshore bank accounts like Amazon and the like  evading and avoiding are respectable now , and now they have the nerve to ask for more .

The industry has to man up to its responsibilities , governments should pile on taxes to ensure a stable retail price and hold the industry to account for it profligate actions , They are extracting like hell before more restrictions are placed on them for extraction , as a Nature report states that most of the remaining oils stocks have to be left in the ground if we are to arrest global warming, so the oil producers are trying to have a last fling before they have to reduce production quotas and so the high cost oils are now being cast out as unprofitable  which is good new for the tars sands , if they are stopped, but many others will suffer also. If we are to support North Sea oil on ground of security then lets have a policy on it , not just knee jerk reactions because a few jobs are at risk .

We have never looked at the long term , and now governments are paying the price of not saving tax revenues for a rainy day, Norway is laughing at us for being so greedy and  now tax revenues will have to rise to make up for any loss from the oil industry.

Wednesday, 7 January 2015

Oils relationship with Religion and civilization

The relationships we have with oil is changing fast, and perhaps we need to look at oil in a new light.

The recent price drop in oil is going to have a profound effect in the future , in disrupting the whole wide world economy as we start to see last night on the currency and stock markets, where sharp falls are happening and almost oil is in a freefall situation.

This will cause many , within the oil industry to fail , if they have not been wise and accumulated wealth to tide them over while the prices are low, The survivors however will only be bigger and more controlling than in the past, and this linked with the rise of  fundamentalism  will cause more suffrage in the future.

Surely the oil price should be stabilised and any taxes put in place to achieve this,  rather than excessive profits for the companies, then could be used to start a radical program of taxation shifting, from taxing individuals directly towards taxing the damage we all cause by excessive use of all natural resources , not just oil.

As Populations grow beyond the earths natural ability to sustain it, something has to break, at the moment it seems the spotlight is on climate change , but water is not far behind , and then we have collapsing ecosystems of the earth itself.  It is becoming imperative to include all these in any solution that is put forward and acted upon. Also it is imperative to have all religions and secular groups to be involved in any long term action, but this debate and discussion have not even been started at any level as far as I am aware.

Taxation is the only real common discipline that can necessitate the real reforms globally we all desire, as it can be accepted by all , at all levels of society as long as its changes are seen to be fair and provide equality to all. note;1.

The world is getting ever more torn apart with Syria, and older disputes to new ones of Crimea and even newer ones of Greece and the UK  exiting the EU, all due to lack of compromise and debate and the need to find common ground.  The rich and poor countries have to accommodate each other if we are to succeed in a future partnership of trade and social harmony. Jumping up and down  and leaving the table , will only result in problems like we saw before WW1 and resulting war.

I really thought mankind could not repeat WW1 or WW2  but the scenarios are getting a lot closer to this now with the great rich poor divide and radical elements within society.

Are we lemmings or not , at present mankind as a whole are acting like lemmings, heading towards the cliff, As we saw in Australia and NZ , the public actually placed their heads in the sand!  next step is to actually jump off the cliff!

Can we use our common sense and intellect? not our brawn and muscle? We have the institutions  to make it happen , but the lack of respect towards them often fails to meet basic human demands , never mid needs. At the same time we have to disempower some of the huge corporations who are lager than life and control so much wealth and principles of life. How can we allow them to dictate terms of trade, tax resource use etc, without  a word being said about the way they are destroying the ecosystems and environment all life depends on.

My assessment is that we will fail unless radical urgent action is taken and human life on earth will be radically different than it is today, with a dictatorial lifestyle that we have fought so hard in the past to stop.

We are at a tipping point for so many reasons , ranging from climate change to political and demographic changes due to religious and  monopolistic capitalism which is fringing on the extreme  due to lack of governance and inability to reign in large corporations who have no accountability to the population as a whole. Change has to occur fast , but mankind has only one option in this scenario, and that is a war!  A revolutionary change has to happen , but with the lack of ideas and the incentives of the rich to change is not strong enough as their wealth is not threatened enough YET! Perhaps with the new Surplus Oil Crisis will start to awaken some new thinking, as we embark on a new voyage into the unknown...

 All societies have some form of tax , its a question if we change , what do we change too, that is acceptable to all?