there should be but one bank...
of two branches, and it should
exist only within
the executive branch whose custodians within the public sector
disinterestedly would defer to all the people whose economic transactions
more broadly base on a moral social contract which
includes them within an economically-leading private sector.
It then would do so from the true rule of law and not of any man
or privileged interest group of men in its guise if the people contracted
would follow the formative truths and facts which their constitution
then would share this all-inclusive dedication with others while also serving
custodial purposes within the two branches. The purview of those within
the standardized "domestic bank" includes all economic transactions nationally
enacted and consummated , and morally protecting them within the moral
society's geopolitical borders must have top priority. Should another nation-state
be in moral compliance, then their standardized "export-import bank" would
play a role in their international trade.
custodians in both branches ethically would protect their moral social
contract through a standard of "moral pricing." In
short, they'd value their country's single currency to include all other
denominated currencies as converted into their own first by measuring the
denominated values of each as against the tangible goods also transacted.
Yet, though this would result in the measure of their domestic economy's
total money supply mathematically as extrapolated, their only purposeful
concern is with the citizens' transactions with the bank.
only mandated transaction would be for taxation if it should apply,
but even there no individual or interest group- including bankers themselves-
would impose their concept of money within the disinterested process by
which they'd measure and denominate the peoples' common currency. There,
too, they'd only focus upon new-wealth formation where and when neither
they nor any others would levy taxes otherwise.
formations of practical effectiveness would follow from the
exchange of goods and services through moral pricing. For instance, the
domestic effects of national and international currency supply and valuation
elsewhere would be moot. There also could be no functional effect- inflationary
or deflationary- from there upon their own currency because the people
domestically wouldn't play by other's rules, co-opting their currencies
domestically morally by instituting their own. Within their own morally-protected
borders, they'd enjoy a morally-true "law" of supply and demand which actually
would follow from a morally-standardized "demand-side" economics,
one which itself truly also standardizes a consumer-based economics.
consumer would come first economically even as the citizen first does politically
and- only next- politically-economically. For bankers this would mean that
each enfranchised citizen could elect either to save or invest her or his
currency-denominated excess wealth or borrow from that invested without
any charges or fees for the bankers' brokerage because, like all others
equally within the purposeful public sector, they're paid only from tax
bankers morally can- and must- add new currency to the "money supply"
beyond that morally priced only to guarantee its return to depositors whose
uninvested amounts have been lost through theft or mismanagement or natural
disaster. Invested amounts lost as unrecovered wouldn't be returnable because
the investor as a standardized "moral capitalist" alone is
responsible for the amount he or she knowingly risks given his or her own
politically-economic purpose to accrue a gain in new wealth.
sum the investor places at risk wouldn't exceed a percentage of the deposited
amount regardless. It wouldn't because bankers must defer to the private-sector
market they'd measure without reference to any individual or interest group
within it. Thus they'd calculate such factors as the aggregate balance
between depositor supply and borrower demand to determine that pro-rata
amount as a percentage equally to be applied across the board. They'd use
a similar calculation from the bank's currently-measured losses of loaned
amounts against the total amount of loans outstanding to determine
the interest rate which would measure the borrowers' cost and investor's
of the second calculation or its equivalent would establish lower or higher
interest rates. These next would provide
a true equilibrium through supply and demand on both sides of the capital
market- a consumer-based, capital "liquidity" which would be self-regulating
of and from that market which really is both free and open within its cycles
of contraction and expansion.
The only cost of banking for the
consumer-citizen would be to provide social
insurance. The bank then would hold this currency in reserve for an equal
pro-rata redistribution to those who have lost old wealth to "acts of God"
or those of criminal men who cannot or will not make like-kind restitution
as a condition of their rehabilitation within a moral judicial branch
of the purposeful public sector.