7. MONETARY SYSTEM

True fulfilment does not come
rom external sources or can be bought with money,
but comes from a deep connection with other beings and the Earth.
From an inner focus on our purpose in life,
It comes from living with an open heart.
and from the joy of giving.
Our focus has changed from making money to living a meaningful life,
which is oriented towards the well-being of all life.

Franz Hörmann about money and transformation:
Read here

The monetary system as a lever of social transformation

Throughout several millennia, “money” was understood and used as a means of exchange and store of value. The economic “natural law of supply and demand” was neither questioned nor understood in its effect: As every economist knows today, goods that meet demand or are available in abundance have no economic value. Economics is the optimal use of scarce resources. So as long as economists control human society, we will continue to live in scarcity, because only scarcity assigns value to goods according to this dogma. However, the rule of “supply and demand” is only a euphemism (a euphemism) of bribery and extortion: Needy people are blackmailed, while wealthy people are bribed. Blackmail and bribery are thus not morally reprehensible characteristics of weak people but the logical consequence of the “economic law of supply and demand”.

A “store of value” offers the incentive to be hoarded, which leads to scarcity and thus to a further increase in its value. A “medium of exchange”, on the other hand, leads to the fact that we have transformed our society into a zero-sum game in terms of game theory. Gametheoretically, this means that from then on we will only lie to each other, because everyone who communicates honestly puts himself at a disadvantage in this game. We can see this best in the card game of poker: The Winner takes it All, is the supreme rule here. The players place bets and the winner not only gets his own bet back, but also the bets of all the other players as his winnings. We also know today how to get the best odds in poker, either by having a “poker face” (not giving out information) or by “bluffing” (deliberately deceiving the other players). However, in a society where information and its comprehensive sharing would contribute to the best development for all, a zero-sum game therefore leads to “systemic lies”, scarcity of information (“information as a commodity”) and thus to an impediment to the healthy development of the individual and the achievement of the maximum common good.

It would therefore make sense to introduce “money” as a mere measure of value, to abolish “means of exchange and measure of value”. Even today, money on deposit is only created by commercial banks as a loan (“out of thin air”) (booking record “claim on demand deposit”, balance sheet extension at the bank instead of an asset exchange, which would be necessary for a loan with asset surrender). This creation of a DOUBLE DEBT (on the one hand for the borrower, but on the other hand also for the bank – demand deposits are ALWAYS bank liabilities!) is ultimately also the essential cause for the periodic collapse of our interestbearing debt money system.

“Money as a measure of value”, on the other hand, works differently. It is always created for the service provider (accounting record “cash to income”) by a “customer” “paying” for the service, but no material units are passed on (= zero-sum game), but only new money (which represents a positive value and no longer a debt!) is created for the service provider. Money creation through performance for the performer instead of money creation as a double debt by a (pretended!) creditor (the credit money-creating bank).

Even in today’s economic theory, the “price” fulfils two completely different functions on the producer’s and the customer’s side, which are only disguised by the fact that apparently uniform (gold) “pieces” are passed on here. The service provider should always be paid securely and fairly for his honest service, without having to deal with the unwillingness or inability of his customers to pay (through collection procedures, dunning lawsuits, etc.). If quantity and quality correspond to the customer’s wishes, he is ALWAYS to be paid for it in FULL (entry: “cash to revenue from service rendered”).

On the customer side, however, the price has a completely different function. The customer price is only intended to distribute the excessively high demand in the event that the supply is too low compared to the demand (usually in the form of an auction, for example). Then only the highest-bidding customers receive the goods, all others go away empty-handed. If, however, the same units of payment are involved on both the customer and producer sides, this naturally creates a motivation for the producer to reduce supply in order to increase the (received) price. This system therefore leads to shortages in society in the long run.

If, however, the producer is always reliably paid by freshly created payment units, this scarcity motivation no longer exists. An auction will then only take place on the customer side, only in the case that demand exceeds supply. In this case, the “means of payment” are destroyed for the customers on their accounts (entry “expenditure for scarce consumption at cash desk”). However, in those cases where the supply corresponds to the demand, i.e. all customers in the catchment area can be reliably supplied, this “money destruction entry” is omitted, i.e. the customers then consume for free, while the producers are still reliably paid (through the money creation entry).

The price level can, for example, be decided and publicly announced in the decision-making bodies of the smallest political units (district council in cities or municipal council in rural communities).

This system is also called “information money” (http://www.informationsgeld.info). It is no longer “money in the true sense” (i.e. as a store of value and a medium of exchange) but it only represents the yardstick for activities considered useful by a community (as a positive motivating factor). In the information money system, this “money” will no longer be needed by consumers when all people in this community are already completely adequately supplied, i.e. when capacities and needs are aligned with each other. The free consumption that will then take place is the motivating factor for this development.

However, a start could also be made today, in the existing political system. For example, services in the field of health or education could be “paid for” by “creating money” for both healers and patients (booking “cash to service income”), because a cure can only take place if the patient behaves accordingly, i.e. actively contributes to this cure. The objective proof of an improvement in health thus “enriches” the healed as well as the healer, we simply make the positive values of our society (improvement of health) visible on our accounts too. We do the same in education: Pupils and teachers jointly create “money” when there is proven educational success.

In this way, the areas of “education” and “health” could already be converted to selffinancing. They would thus be removed from the responsibility of a “finance minister” and could no longer be affected by “austerity measures”, under which title most people are still deprived of health and education today as a result of a wrong understanding of money.

When people experience that they can also become “financially richer” by improving their health and education, that prosperity can arise without having to reduce other values to the same extent as in the philosophy of the zero-sum game, then mutual help and honest communication will also immediately re-establish themselves because the egoistic incentive of the materialistic zero-sum game will no longer apply and the first step into the postmaterialistic society will have been taken!

Franz Hörmann

In the transition phase, a new financial architecture is developed.
For this purpose, currency systems that are in development or are already being developed are tested regionally. Together with regional producers, craftsmen, service providers and consumers, these will be further developed until a well-functioning system is found
that can also be easily applied supraregionally.

This new financial architecture will ensure the regeneration of the planet and the livelihoods of all beings through money creation that is decoupled from an interest and debt system: healthy food, health, culture and knowledge, a dignified activity.


7a.)
We are introducing a new monetary system

Why we need change:
Read here

Today it is essential to question our monetary monoculture, which is based on growing indebtedness, the logic of which requires, on the one hand, considering only that which generates financial profit to be wealth – even if this destroys social ties and natural ecosystems – and, on the other, making the economy structurally dependent on infinite growth. Today’s monetary system has brought material comfort unparalleled in human history, but it also causes the breakdown of life through intolerable social inequalities.
Furthermore, money is created out of nothing. 70 times more ‘speculative money’ is in circulation than money that has actually been earned. This system, based on debt, cannot last in the long run.

A new “serving” full money – as cash and clearing system – gets a real measure of value, for example aligned to a defined organic food basket.
The money supply is controlled in such a way that the food basket, once defined, always keeps the same price, so there is no more inflation or deflation.

Interest on loans and credit balances as well as speculation are abolished after the transition phase.

A model for testing future money creation is presented by the Gradido system:
Here, money creation follows simple rules. A good sum of money is created for each person every month.
One third of the money created is used for a basic income for this person (see chapter 7.c.).
The second third is for the community and administration. For the healing rooms, the places of learning, the universities, road construction, etc.
This also means that no more taxes have to be paid.
The third third goes into the renaturation, healing and preservation of our environment. Nature and environmental protection thus become a flourishing “branch of industry”.

The new monetary system is oriented towards the natural cycle of growth and decay.
Thus, an ideal percentage is also found by which the money supply is reduced every year. So it makes no sense to hoard money, it is better to keep it in constant motion, to lend it, to participate in projects or to give it away.
Everyone is provided for at all times. So there is no need to accumulate money to prevent bad times.

The priority in our new culture is the health and the development of people’s potential. In our culture, money only serves as a real means of exchange, loan and donation for the needs of living beings.


7b.)
Intelligent “taxes”

No human being pays taxes or social contributions any more, because with his second third of the money created, administration & Co. are already financed (see 7a.).

In the transition phase, production companies whose activities harm people, animals, plants and livelihoods pay regeneration taxes that serve to heal and rebuild.


7c.)
Basic Income

Every person, regardless of age, is entitled to an unconditional basic income.
This covers the basic maintenance costs and enables a dignified life.
The Basic Income is based on the principle of give and take. Every person is free to contribute to the common good according to his or her nature. For example, some people like to work in nature regeneration projects, with people in need, in administration, in road construction or the development of a community square. Others bake bread, make music or develop new designs or life-enhancing technologies that serve the community.
All activities foster a sense of doing something truly meaningful, of being useful, and strengthen a sense of connection and solidarity between all beings.

Other people prefer to “put all their time into their professional activities. Because they earn more there, because they are needed more there, because it is more fun for them or for whatever reason. Everyone is free to choose.” (Gradido)

If necessary, more hours are credited for “unpleasant work”.

“Since money is in overflowing abundance,
“it has become less important. We have all become more generous
and have enormous fun in giving!”
(Gradido)


7d.)
The land can only belong to the Earth herself

We did not inherit the earth from our ancestors,
rather, we have borrowed it from our children.
Indian Proverb

Why we need change:
Read here

Hardly any – misunderstood – phrase has contributed to more destruction than the phrase “subdue the earth”.
In the last few centuries, our mind has been trained more and more to disassociate from nature and to align with exploitation and profit maximization.
This has led to the fact that, instead of being custodians of a place, we have made that place our subject. Regardless of all living beings that may have had their home there for hundreds of years – we have exploited the land, destroyed the humus, covered the earth with concrete, poisoned the soil and water, etc.

The blind race for profit and material “prosperity” has pushed us to stop listening to the earth and feeling part of it.

We are now invited to learn from our brothers and sisters of indigenous peoples who have kept this connection to the earth sacred to this day, and to become guardians of the Earth ourselves

Land cannot belong to anyone and therefore it can no longer be speculated with. The land is the basis of life for all of us.

Land ownership gets a completely new definition: with it, we have a fair stewardship right over this piece of land.
We take responsibility for it, perceive ourselves as loving and mindful custodians of this patch of earth and protect, regenerate and care for this place.
Animals, plants and the organism soil have just as much a natural “right” to live healthily in this place as humans.

From a size to be determined, land is transferred to life-supporting projects, communities or foundations.
The local wise men’s councils help decide which humus- and society-building and coexistence-promoting projects will be implemented there – such as community gardens or orchards.
A considerable part of each region is given back to nature and its creatures and previously made fertile again. There, people support the recovery processes for the benefit of all life and the increase of biodiversity.

 
7e.)
Protected livelihoods

Companies, streets, springs, raw material deposits, rental houses, etc. are the basis of life and the economy – and no longer commercial objects that make our lives expensive and manipulable.
We ourselves find legal forms that protect those “common goods”.


7f.)
Crowdfunding and “open source”

Large crowdfunding / crowd investing platforms make it easier for entrepreneurs to obtain the funds for their projects and to be in contact with their sponsors.

Other platforms offer courses, images, films, software etc. in “open source”, which, as the name suggests, can be freely used by everyone.
In this way, creative works and new inventions can be quickly spread around the world.
Donations are also gladly left here for the creators.

“Donating is easy for us. And then there is the feeling of happiness
of having helped others.”
(Gradido)

The use of money is seen
in an increasingly
🤸‍♀️playful way.

If you also share this version of the New Earth, then give us your YES to it.

Let's show the world how many we are.

One comment

  1. Hello!
    You wrote “Be the first to comment!”. So I am glad that I am the first to commend on this wonderful page!
    Thank you for your great initiative for a new earth! And yes we all need an complete another money-system! One that works for all and not just for a select few.
    And often is it like this:
    “The greater the security devices to secure money and property, the greater the criminal energy that led to that property…”

    But we all look forward to something better, something future-proof, something where can grow up our children in love and peace, something where our nature, our animals, plants, rainforests worldwide can develop and survive well!
    Just something new!!!

    So I wish you, this manifest and your intentions just the best!

    with warm regards
    Steffen

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