A presentation to the UNIS-UN Conference, 2009 By J.W. Smith Institute for Economic Democracy http://www.ied.info

Our needs are processed from natural resources . There are no natural resources in cities . Our story starts 800 years ago in Europe

Our needs are processed from natural resources .

There are no natural resources in cities .

Our story starts 800 years ago in Europe

Outlying villagers saw looms, fulling vats, forges, and tanning tools being used in the cities They said to themselves, “ We can do that .”

Outlying villagers saw looms, fulling vats, forges, and tanning tools being used in the cities

They said to themselves, “ We can do that .”

Back to their villages they went They produced their own primitive industrial capital And they manufactured their own consumer products

Back to their villages they went

They produced their own primitive industrial capital

And they manufactured their own consumer products

The economy of that city state was destroyed and the same process goes on in world trade today. Historically the choices were poverty or war. Today the choices are massive poverty or nuclear destruction Or, restructure the world economy to full and equal rights for all .

The economy of that city state was destroyed and the same process goes on in world trade today.

Historically the choices were poverty or war.

Today the choices are massive poverty or nuclear destruction

Or, restructure the world economy to full and equal rights for all .

Those City States felt they had to do something about this “threat” Repeated for hundreds of years, City states raided the countryside They destroyed the primitive industrial capital of the villager’s And forced villagers to sell their hides, grains, and other resources to the city. This was the transformation from Plunder by raid , to Plunder by trade

Those City States felt they had to do something about this “threat”

Repeated for hundreds of years,

City states raided the countryside

They destroyed the primitive industrial capital of the villager’s

And forced villagers to sell their hides, grains, and other resources to the city.

This was the transformation from

Plunder by raid , to

Plunder by trade

As some cities became more powerful, they expanded Cities took over the markets of other cities and impoverished them.

As some cities became more powerful, they expanded

Cities took over the markets of other cities and impoverished them.

Those city states became countries.

Those city states became countries.

Countries now fought countries over resources and the wealth producing process

Countries now fought countries over resources and the wealth producing process

Six nations of Europe, Britain, Spain, France, Holland, Portugal, and Belgium realized the easy way to wealth was to steal it from others.

Six nations of Europe, Britain, Spain, France, Holland, Portugal, and Belgium realized the easy way to wealth was to steal it from others.

Those early colonial nations form a tiny area with few resources Compare that with the rest of the world Where massive untapped resources were located.

Those early colonial nations form a tiny area with few resources

Compare that with the rest of the world

Where massive untapped resources were located.

Most wars throughout the 20th century were over who will set the rules of “unequal trade.”

Most wars throughout the 20th century were over who will set the rules of “unequal trade.”

Societies were locked within that plunder by trade structure until an “accident of history” we will discuss shortly.

Societies were locked within that plunder by trade structure until an “accident of history” we will discuss shortly.

Without the waste of wars and plunder, poverty and hunger, production could have doubled. And doubled again

Without the waste of wars and plunder, poverty and hunger, production could have doubled.

And doubled again

After WWII, Africa attempted to federate into one nation What if They succeeded and developed a prosperous economy? They undersold farm products across the world? What would happen to American and European farmers?

After WWII, Africa attempted to federate into one nation

What if

They succeeded and developed a prosperous economy?

They undersold farm products across the world?

What would happen to American and European farmers?

European and American farmers, farm machine companies and businesses depending on them would all go broke

European and American farmers, farm machine companies and businesses depending on them would all go broke

The health of an economy is the multiplier factor Poor regions such as Africa were denied the gains of the multiplier factor.

The health of an economy is the multiplier factor

Poor regions such as Africa were denied the gains of the multiplier factor.

Colonialism never actually ended (Though the current worldwide crisis might just end it)

Colonialism never actually ended

(Though the current worldwide crisis might just end it)

The US faced the same multiplier loss during the Great Depression and may be facing that same crisis today.

The US faced the same multiplier loss during the Great Depression and may be facing that same crisis today.

Denying other nations a balanced economy has been a key aspect of plunder by trade ever since WWII. War Appropriated Wealth

Denying other nations a balanced economy has been a key aspect of plunder by trade ever since WWII.

Losing wars Poverty deepening in the wealthy world Collapsing Stock Markets But this is changing fast. Today’s plunder of the gentler citizens of the world, both within internal economies and within world trade, is collapsing.

But this is changing fast.

Today’s plunder of the gentler citizens of the world, both within internal economies and within world trade, is collapsing.

That all started to change with the development of Asia. Much of the world was on target to be relatively well developed by 2035, only 26 years away.

That all started to change with the development of Asia.

Much of the world was on target to be relatively well developed by 2035, only 26 years away.

China The Soviet Union and China allied together was the threat. The developed world helping Asia rapidly develop was the “accident of history” which is changing the world.

The developed world helping Asia rapidly develop was the “accident of history” which is changing the world.

The plan to break China away from the Soviet Union worked but not as expected Greedy industrialists moved wholesale to China Which eventually led to the massive loss of jobs in the U.S. today.

The plan to break China away from the Soviet Union worked but not as expected

Greedy industrialists moved wholesale to China

Which eventually led to the massive loss of jobs in the U.S. today.

Due to that accident of history, much of the rest of the world is developing rapidly. Turkey China Brazil, Venezuela, and Argentina

Due to that accident of history, much of the rest of the world is developing rapidly.

Turkey

China

Brazil, Venezuela,

and Argentina

The old imperial nations now find themselves in the same crisis as the city states of Europe 800 years ago

The old imperial nations now find themselves in the same crisis as the city states of Europe 800 years ago

Malawi Faced massive famine Malawi figured out the causes Rejected the import of cheap food Financed their own farmers And today they are a reasonably well-fed nation that exports food.

Malawi

Faced massive famine

Malawi figured out the causes

Rejected the import of cheap food

Financed their own farmers

And today they are a reasonably well-fed nation that exports food.

To be prosperous, a nation must produce its share of the world’s consumer products and food.

To be prosperous, a nation must produce its share of the world’s consumer products and food.

Sustainable (Permaculture) farming must be practiced Local and regional industry must be developed

Sustainable (Permaculture) farming must be practiced

Local and regional industry must be developed

Monoculture Permaculture

Monoculture

Permaculture

There are also serious problems within internal economies which cause poverty and hunger. We now turn to those errors in classical theory.

There are also serious problems within internal economies which cause poverty and hunger.

We now turn to those errors in classical theory.

10,000 years ago

10,000 years ago

All the new settlers have to do is Pick their food Build thatch homes Then mostly relax

All the new settlers have to do is

Pick their food

Build thatch homes

Then mostly relax

But then, a cunning cabal forms and each lay claim to a part of the land These are mine These are mine

But then, a cunning cabal forms and each lay claim to a part of the land

Property rights law ―as applied to nature’s resources and technologies― denies others their rightful share of what nature offers to all for free.

Property rights law ―as applied to nature’s resources and technologies― denies others their rightful share of what nature offers to all for free.

Unequal property rights originally protected by force Today those unequal property rights are protected by law

Unequal property rights originally protected by force

Today those unequal property rights are protected by law

Massive unearned wealth leads to conspicuous consumption This too is a major cause of poverty and hunger . Please write down and imprint this in your mind: Property rights law —as applied to nature’s resources and technologies— denies you your rightful share of what nature offers to all for free.

Please write down and imprint this in your mind:

Property rights law —as applied to nature’s resources and technologies— denies you your rightful share of what nature offers to all for free.

We are not talking about personal property. Personal property is built by labor and properly exclusively owned.

We are not talking about personal property.

Personal property is built by labor and properly exclusively owned.

We are talking about the wealth of nature which she offers to us all for free.

We are talking about the wealth of nature which she offers to us all for free.

This is why the powerful are privatizing everything in sight

This is why the powerful are privatizing everything in sight

Highways Water systems Other Social Services and They hope to privatize Social Security

Highways

Water systems

Other Social Services and

They hope to privatize Social Security

Bolivia’s water system was privatized Costs tripled Services went down Citizens revolted Took back their water system Prices dropped Services rose rapidly The legal system had to recognize and legitimize the recovery of everyone's basic right to water.

Bolivia’s water system was privatized

Costs tripled

Services went down

Citizens revolted

Took back their water system

Prices dropped

Services rose rapidly

The legal system had to recognize and legitimize the recovery of everyone's basic right to water.

We can each regain rights to our share of nature’s wealth. By Paying land (resource) rents to ourselves, meaning socially collected. Using those massive funds to build roads, railroads, water and sewer systems, and electric grids (any natural monopoly) and Fund governments, provide education, health care and retirement Resource (land) rents To our social fund Roads Railroads All natural monopolies Electricity Water Education Health care Retirement

We can each regain rights to our share of nature’s wealth.

By Paying land (resource) rents to ourselves, meaning socially collected.

Using those massive funds to build roads, railroads, water and sewer systems, and electric grids (any natural monopoly) and

Fund governments, provide education, health care and retirement

We have more wealth to reclaim and further protect the community process Education Health care Retirement and other aspects of a quality life.

We have more wealth to reclaim and further protect the community process

Education

Health care

Retirement

and other aspects of a quality life.

Created by labor Created by banks out of thin air Money and banking are centuries-old social technologies. The only tangible (labor created) values within banks are brick, mortar and furniture .

Money and banking are centuries-old social technologies.

The only tangible (labor created) values within banks are brick, mortar and furniture .

Operating a bank and paying for those few tangible values are covered by 0.5% interest on loans.

Operating a bank and paying for those few tangible values are covered by 0.5% interest on loans.

Base Money is created out of thin air. Circulation of that created money is our money supply Thus they also are forms of wealth produced by nature and properly paid to ourselves.

Base Money is created out of thin air.

Circulation of that created money is our money supply

Thus they also are forms of wealth produced by nature and properly paid to ourselves.

Profits of banks and resource rents are forms of wealth produced by nature Properly paid to ourselves and used to fund governments, infrastructure, education, healthcare and retirement. Resource (land) rents Our social fund Roads Railroads All other natural monopolies Electricity Water Education Health care Retirement Profits of banking

Profits of banks and resource rents are forms of wealth produced by nature

Properly paid to ourselves and used to fund governments, infrastructure, education, healthcare and retirement.

Currently your earned money becomes monopolists unearned money which is then loaned back to you. And, of course, yours and others debts get bigger and bigger until they are unsustainable. And it all comes crashing down as in the current financial collapse.

Currently your earned money becomes monopolists unearned money which is then loaned back to you.

And, of course, yours and others debts get bigger and bigger until they are unsustainable.

And it all comes crashing down as in the current financial collapse.

Health care for example: British health care costs 57% less US health care costs over twice as much

Health care for example:

Social Security is retirement insurance: You pay in $2000. Social Security And get back $1990.

Social Security is retirement insurance:

Market insurance costs almost 50% of premiums paid. You pay in $2000. Get back $1000.

Market insurance costs almost 50% of premiums paid.

Hundreds of them and they all disappear Insurance office Insurance office Insurance office Insurance office

Again we prove that monopolies exist. Social Security

Again we prove that monopolies exist.

A third example is patents whose profits are collected through the stock market. This is wasted effort extracting wealth from you and doubling consumer costs in the process. Stock Markets

A third example is patents whose profits are collected through the stock market.

This is wasted effort extracting wealth from you and doubling consumer costs in the process.

Those efficiency gains drop consumer prices 50% or more. Unnecessary stock brokers and staff are now available for productive employment.

Those efficiency gains drop consumer prices 50% or more.

Unnecessary stock brokers and staff are now available for productive employment.

An honest capitalist structure Pays resource (land rents) and banking profits to themselves Uses that money to build social infrastructure, and Funds governments, education, health care and retirement. Resource (land) rents To our social fund Roads Railroads All other natural monopolies Electricity Water Education Health care Retirement Profits of banking

An honest capitalist structure

Pays resource (land rents) and banking profits to themselves

Uses that money to build social infrastructure, and

Funds governments, education, health care and retirement.

Food no debt Clothing no debt Shelter some debt Recreation no debt Wages cover

The ethereal world of high finance, the 60% of all finance capital which is unearned wealth, simply disappears under honest capitalism

The ethereal world of high finance, the 60% of all finance capital which is unearned wealth,

simply disappears under honest capitalism

I Repeat: We pay land (resource) rents to ourselves (socially collected) We use those massive funds to build roads, railroads, water and sewer systems, and electric grids (any natural monopoly). And they fund governments, education, health care and retirement Resource (land) rents To our social fund Roads Railroads All other natural monopolies Electricity Water Education Health care Retirement

I Repeat: We pay land (resource) rents to ourselves (socially collected)

We use those massive funds to build roads, railroads, water and sewer systems, and electric grids (any natural monopoly).

And they fund governments, education, health care and retirement

Working hours drop by half as all enjoy a quality, secure, life when Monopolies are eliminated Remaining productive jobs are shared Equal pay is provided for equally-productive labor A quality, secure life with happy, functional families Adequate pay working 2.5 days per week Quality life with modest debts Respectable management earnings + + =

Working hours drop by half as all enjoy a quality, secure, life when

Monopolies are eliminated

Remaining productive jobs are shared

Equal pay is provided for equally-productive labor

Each Region of the world and of nations, each county, each community, and each entrepreneur has rights to both created and saved finance capital. Regions Regions Counties Communities & entrepreneurs of the world of a nation

Each Region of the world and of nations, each county, each community, and each entrepreneur has rights to both created and saved finance capital.

Each entrepreneur, or group of entrepreneurs, can fill every niche within the production-distribution process.

Each entrepreneur, or group of entrepreneurs, can fill every niche within the production-distribution process.

140 crucial words just spoken to you is a full economic, property rights law thesis http://www.ied.info [email_address]

140 crucial words just spoken to you is a full economic, property rights law thesis

http://www.ied.info [email_address]

These 140 words create a full economic, property rights law, thesis eliminating hunger and poverty By paying land (resource) rents to ourselves, meaning socially collected, a citizenry is quintuply repaid through those massive funds building roads, railroads, water and sewer systems, and electric grids ( any natural monopoly ) as well as fund governments, provide education, health care and retirement ( the community process ). Restructure to the just described honest capitalist structure and taxes disappear as your employed working hours drop by half and all enjoy a quality, secure, life. This requires sharing the remaining “productive” jobs and equal pay for equally productive labor. Each region of the world, each nation, each region of a nation, each state, each county, each community, and each entrepreneur must have equal rights to their share of both created and saved finance capital ( created money and savings ). With those rights, entrepreneurs (private industry), will fill every niche within the production-distribution process. Resource rents and bank profits fund the community process.

These 140 words create a full economic, property rights law, thesis eliminating hunger and poverty

By paying land (resource) rents to ourselves, meaning socially collected, a citizenry is quintuply repaid through those massive funds building roads, railroads, water and sewer systems, and electric grids ( any natural monopoly ) as well as fund governments, provide education, health care and retirement ( the community process ). Restructure to the just described honest capitalist structure and taxes disappear as your employed working hours drop by half and all enjoy a quality, secure, life. This requires sharing the remaining “productive” jobs and equal pay for equally productive labor. Each region of the world, each nation, each region of a nation, each state, each county, each community, and each entrepreneur must have equal rights to their share of both created and saved finance capital ( created money and savings ). With those rights, entrepreneurs (private industry), will fill every niche within the production-distribution process.

Resource rents and bank profits fund the community process.

This presentation only opens the door. Your research will fill out that picture. This presentation, our web site, and our books have many good starting points www.ied.info [email_address]

This presentation only opens the door.

Your research will fill out that picture.

This presentation, our web site, and our books have many good starting points

www.ied.info

[email_address]

We have several authors, Alanna Hartzok is with us today, three more are negotiating, and the year is young yet Alanna Hartzok, www.earthrights.net

We have several authors, Alanna Hartzok is with us today, three more are negotiating, and the year is young yet

My two key books below with this research fully sourced are fully downloadable and readable without charge http://www.ied.info [email_address]

My two key books below with this research fully sourced are fully downloadable and readable without charge

http://www.ied.info

[email_address]

Please write down and mentally imprint: Property rights law —as applied to nature’s resources and technologies— denies you your rightful share of what nature offers to all for free.

Please write down and mentally imprint:

Property rights law —as applied to nature’s resources and technologies— denies you your rightful share of what nature offers to all for free.

These 140 words create a full economic, property rights law, thesis to eliminate hunger and poverty: By paying land (resource) rents to ourselves, meaning socially collected, a citizenry is quintuply repaid through those massive funds building roads, railroads, water and sewer systems, and electric grids ( any natural monopoly ) as well as fund governments, provide education, health care and retirement ( the community process ). Restructure to the just described honest capitalist structure and taxes disappear as your employed working hours drop by half and all enjoy a quality, secure, life . This requires sharing the remaining “productive” jobs and equal pay for equally productive labor. Each region of the world, each nation, each region of a nation, each state, each county, each community, and each entrepreneur must have equal rights to their share of both created and saved finance capital ( created money and savings ). With those rights, entrepreneurs (private industry), will fill every niche within the production-distribution process. Resource rents and bank profits fund the community process.

These 140 words create a full economic, property rights law, thesis to eliminate hunger and poverty:

By paying land (resource) rents to ourselves, meaning socially collected, a citizenry is quintuply repaid through those massive funds building roads, railroads, water and sewer systems, and electric grids ( any natural monopoly ) as well as fund governments, provide education, health care and retirement ( the community process ). Restructure to the just described honest capitalist structure and taxes disappear as your employed working hours drop by half and all enjoy a quality, secure, life . This requires sharing the remaining “productive” jobs and equal pay for equally productive labor. Each region of the world, each nation, each region of a nation, each state, each county, each community, and each entrepreneur must have equal rights to their share of both created and saved finance capital ( created money and savings ). With those rights, entrepreneurs (private industry), will fill every niche within the production-distribution process.

Resource rents and bank profits fund the community process.