This is one of the events I and a few other researchers have been discussing. National and Global debt forgiveness should be going online sometime this year along with a new financial system that is backed by precious metals, agriculture, oil, and other commodities. It is great to see other writers from main stream publications talking about these events. This shows us that the human consciousness is in synch and ready manifest such a historic event.
e~
----------------------------------------------------------------------------------------------
Forbes: Could a Debt Jubilee Help Kickstart the American Economy?
E.D. Kain, Contributor
Then again, Keynesian spending isn’t the only way to fix a balance sheet recession and get consumer spending to kick back in. There’s the old biblical idea of a jubilee - a national cancellation of private debts. That’s what Fred Clark suggests could be a fix to our economic ills, and it’s not a bad idea at all. He quotes this Reuters piece which spells out the value of such a program:
More than three years after the financial crisis struck, the economy remains stuck in a consumer debt trap. It’s a situation that could take years to correct itself. That’s why some economists are calling for a radical step: massive debt relief.
Federal policy makers, they suggest, should broker what amounts to an out-of-court settlement between institutional bond investors, banks and consumer advocates – essentially, a “great haircut” to jumpstart the economy. …
Renowned economist Stephen Roach, currently non-executive chairman of Morgan Stanley Asia, has gone a step further, calling for Wall Street to get behind what others have called a “Debt Jubilee” to forgive excess mortgage and credit card debt for some borrowers. The notion of a Debt Jubilee dates back to biblical Israel where debts were forgiven every 50 years or so. In an August appearance on CNBC, Roach said debt forgiveness would help consumers get through “the pain of deleveraging sooner rather than later.”South Park tackled this a couple years back in the episode Margaritaville when Stan gets a credit card with no spending limit and pays off everyone’s debts. Then, amazingly, everyone is off spending again.
Of course, this raises other issues, like why wages have stagnated for most Americans while consumer debt has risen. In many ways rather than creating a sustainable economy built around steadily rising middle and working class wages, we’ve built an unsustainable economy built on consumer debt. That debt has propelled the growth we’ve seen in recent years, acting as a sort of perpetual Keynesian injection into the economy. Now we’re paying the price.
A debt forgiveness program is a great idea, but it won’t go far enough if we don’t find ways to breathe life back into real wages, fix our lousy healthcare system, and propel our economy into the 21st century.
