The State of World Economies

22 November 2013
2 Comments


Many readers have asked that this subject be re-visited, and so we do.

Q: Esteemed Committee, the loss of wealth and the inability to generate it create worry, concern and
distress for the many. Uncertainty discomforts us, and knowledge calms us, even the knowledge of pain.

The aspect of unknown is what troubles us. As this relates to work and earnings from it. We worry, as you
know.
C: Yes.

Q: Just "yes"?
C: Yes; what question have you about this?

Q: Will world economies recover?
C: Economies never recover; as all of you do, they evolve. It is more correct to say, they reflect the
evolution of human societies. Economies are just barometers, dipsticks, meters & their readings, of
humanity and choices.

Q: So economic improvement is possible with choices?
C: Always, as choices always lead to the place now occupied, as it is examined.

Q: What choices can be made to return to prosperity?
C: All of you are already prosperous, we suggest you desire a return to relatively higher, better, more
confidence inspiring economic trends. To this we say, simply choose this route. The course of your lives,
collectively, brought all of you along the economic path as it has lead to your current place. This is fixed,
immutable and will always be.

Q: Yes, however loss of wealth and ability to earn, how do we restore it?
C: We shall say, examine choices leading to your place. Which entities - groups of people we mean by
this - chose to lend money? How much loss will these groups accept? The amounts of debt against the
amounts of your money are examined by a lender? Does the lender examine only the borrower or the
borrower's environment, which is the lender's environment? At what point shall borrowings become
excessive? This choice remains to be made; we suggest a framing of the issue with unlikely extremes.
Your economic analysis involves this view often; assume tomorrow all borrowers stop returning monies
to lenders. What will happen? This can be examined and forecast. Let's push towards the extreme in the
opposite; all borrowers begin to make overdue amounts current or reduce and even eliminate borrowings
as much as possible. This leads to far lower debts, in either case. Do you appreciate what we say, lower
debts, one way deemed negative and the other positive.

Separate the label of negative or positive from the outcome and examine solely the absence or lowering of
debt to very small levels. As this level of economic lubrication falls away, so shall fall away income to
lenders and less lenders shall there be. If there are less lenders, then naturally there will be far fewer
borrowers, and shall this increase or decrease production?

Q: Decrease, I say.
C: Yes, likely this is, and either way, this will lead to lower wealth as humans see wealth. The choices fall
inside these extremes, and we say emotions and reactions caused by the emotions will create a collective
choice. Your beliefs, that a debt owed has become impossible to collect, shall create conditions. This need
not be the case, as you can simply print more money to replace what is not collected.

Q: That makes no sense.
C: Because you choose to say it makes no sense, yet money is created and extinguished regularly. What
was borrowed was given in hopes of a return sufficient to repay and also gain. If the gain is not being
returned, create more of the coupons, the vouchers of trade, the coupons of wealth you call money.

Q: This will erode and soon destroy the value.
C: If you choose to see this. Yes. The belief is your choice. Do you care about the money spent elsewhere
if you have sufficient amounts to do as you select? Likely not, and this belief is your choice. You may
choose to ignore others' economic behaviour or change your behaviour by it. As you choose.

Q: None of us see how we can control conditions this way.
C: Collectively you do. This collective effect is from a collective choice.

Q: Most people are unaware of this, the way central banks, monetary authorities and the like operate.
C: A human choice, always reversible. Allow us a suggestion; how much debt of governments is held as
collectible by the same governments' central bank? Large amounts, we do say. We suggest these
governments erase the debt, eliminating both sides of the transaction from the central treasury and central
bank. Leaders with this control are elected; elect others.

Q: Will this restore confidence?
C: If collective understanding is broad enough so that economic behaviour is altered, yes, however this
choice must also be made and followed.

Q: I don't see this happening.
C: It is unlikely, as it would be seen as abrupt, excessively so. Central banks and monetary authorities
would resist the abruptness, preferring slow and steady changes. Will the political controllers agree? You
choose the political controllers.

Q: In the case of an economic shift, where prices would rise far faster than incomes to match, what would
happen?
C: The higher prices would soon produce higher incomes; the profits the increased prices create will do
what? So the owners of the businesses will, save, invest or spend and in all three cases, the money
flowing to producers will flow through and re-level the economy, as a tsunami will see the disturbed
waters returned to level after much movement.

Q: And damage.
C: Yes, economic turmoil is likely as a levelling occurs. Turmoil is your choice to see.

Q: This is so troubling to imagine, sky-rocketing prices causing many people to become hungry.
C: It is not necessary. Give food to the hungry.

Q: Producers of the food will not work for free.
C: If all money were eliminated tomorrow, would humanity create a new currency immediately or simply
choose to have no currency, no medium of exchange? By habit we say a new currency and barter would
flourish nearly instantly. This is a choice. You control the choice. Who tells you what to do with
earnings?

Q: Taxes we must pay.
C: No, you can choose leaders inside current systems and remove this, or remove the system and create a
new one, prohibiting tax. Your choice.

Q: We cannot just take food without paying.
C: We suggest it not, yet if all of you did, you would not have to pay. The seller would stop selling, this is
a true, short term effect but would the majority starve or would a new system of production, distribution
and consumption quickly rise? By your choices.

Q: Has humanity already chosen its economic course but we who live inside the linear sequence must
wait to see?
C: Yes, however you can change the choice. The choice has been made means not that the choice is fixed.
Only where time distorts reality does a choice made equal finality. Yes, the choice has been made, but a
new choice can replace it.

Q: What other choices are available, what other courses of action have we chosen to follow?
C: There is a parallel path of economic behaviour far different for Earth and if followed, many would
consider it boring, unworthy of pursuit. Seen and contrasted with humanity's choices leading to current
circumstances, it would seem attractive. If lived, it would seem not.

How many drops of water are in the ocean, how many shall you utilize? The number of drops can
represent the units of currency you might create; essentially infinite for your purposes of life on Earth. As
the water supply is abundant to the extent of unlimited, simply its transport is seen as the obstacle.
So is this case of money; you may print and electronically create the amounts you desire, to infinity.
Unlike water as used by your physical organisms, your money is worth solely your belief. You teach one
another how to value it and take satisfaction in the accumulation of what you choose to be sufficient
amounts.

We say, far lesser amounts than exist will serve the very purposes you have for money, yet larger amounts
also. The amounts are not what matter, the flow of them, the amounts and the dates of the flow, these are
what you create then perceive as having value.
Choose different flows and amounts, if you prefer.

Q: It seems so simple, yet it never is.
C: Have we stated a thing you see as not true?

Q: No, not at all. It seems so logical, but....
C: But others' beliefs and expectations make yours challenging, this is what you wish to say.

Q: Yes.
C: Participate in the monetary system as little as possible, then.

Q: That would close off so many opportunities, if that happened. Living like a hermit recluse in a cabin
off who knows where.
C: So rich and challenging is this life you have created on Earth, is it not? So much you learn as you
struggle through the choices of your beliefs. We love you and admire you all for assuming this challenge.
Yes, it is frustrating however so large grow your souls, in the process of your life of beliefs on Earth.

Be well!
Comments
mortgage investors corp link
24/11/2013 10:26am
Now the economic situation is improving in the world
Patrick 24/11/2013 5:53pm
The part, piece or angle which has seen a recent trend of improvement is likely just an eddy
current in the greater flow.