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Credit creation (new money) only ever comes in the form of debts

Industry operates on loans

Loans are paid off and the ‘new money’ is removed from circulation

Flow of Incomes does not equal the Flow of Prices – this anomaly is made up by ‘new debts’ or ‘increased market share’

Loans are a ‘promise to pay back’ from future earnings

Industry, Automation, Robotics and Advanced Control are part of the Community’s Inheritance or Capital, and so belong to everyone as a Right

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The ‘build up’ of Costs of Production go into the final Price

Wages, Salaries and Dividends are the only form of spending power returned to the community from the total ‘costs of production’

Diminishing labour requirements is a consequence of modern industrial production

4% of the nation’s total labour is required to produce all food today compared to 75% 150 years ago

Wages are a reducing cost in production and this shortfall of spending power (to buy what the community makes) is made up with new loans or expanding markets, which cause increased friction between companies and then nations

New production does not create an equivalent amount of ‘new money’ to purchase this production

Marx advocated the means of production to be appropriated to the state

Social Credit advocates sufficient purchasing power to be placed into the hands of the community to liquidate the costs of production that go to make up prices using the National Dividend as the means

Marx desired to concentrate power in the hands of the state

Social Credit advocates this power to reside with the individual using their money vote – similar to the political vote – as the means to control the market

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An equilibrium is missing in the Production, Distribution, Consumption system in the form of sufficient spending power to buy what is produced.

This is made up from new loans or expanded markets which causes friction between companies and then nations

The real Cost of Production is Consumption – energy, raw materials, tools, fixed costs and labour

There is no Debt in nature

Money is a man made system that can be in error

The cultural Inheritance – know how, machinery, advanced control, raw materials – are never credited back to the community as spending power (money) – yet they all go into the Price System

This inheritance is appropriated by the banking fraternity as their own by way of mortgaging against all loans and bonds

The political Left and Right are both working towards revolution, (centralisation of power) yet the Truth would provide an equilibrium in the Price System by issuing of the Money Vote – National Dividend

The Money Vote would give us each Economic Democracy

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Prices are not liquidated without incurring further debt

All new money is in the form of bonded or mortgaged debt

The community’s Cultural Inheritance is appropriated by the banking fraternity by the way of issuing numbers for mortgages against real assets

Just as we have an inherent Right to a Political Vote, so we should also have an inherent Right to a Money Vote so as to liquidate costs as they are generated by production

The Political Vote is part of Political Democracy

The Money Vote is part of Economic Democracy

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The Clifford Hugh Douglas Institute

This is the first-ever animated presentation of the case for Social Credit, i.e., the financial and economic analysis and remedial proposals of the British engineer, Major C.H. Douglas.
Please note: Douglas Social Credit or real Social Credit has absolutely nothing to do with the Chinese monitoring system of the same name. If anything, Douglas Social Credit is the opposite of what the Chinese have set up.

Please visit http://www.socred.org for more information on Social Credit or contact info@socred.org.

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M. Oliver Heydorn Ph.D from Canada recently presented this paper to the Australian League of Rights National Seminar in Adelaide South Australia – October 2018

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Bill Daly from New Zealand recently presented this paper to the Australian League of Rights National Seminar in Adelaide South Australia – October 2018

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Arnis Luks conducts an interview with Bill Daly from New Zealand on Our Malignant Global Financial System