Endgame: When Debt is Fraud, Debt Forgiveness is the Last and Only Remedy, by Zeus Yiamouyiannis, Ph.D. is a well written case for Jubilee in our time. This essay is getting traction around the net. Here is an excerpt:
Finally serious economists are considering a position I have been maintaining and writing about since the 2008 financial meltdown. Whatever its name— erasure, repudiation, abolishment, cancellation, jubilee—debt forgiveness, will have to eventually emerge forefront in global efforts to solve an ongoing systemic financial crisis.
“On a grand scale the only way to erase counterfeit money and (counterfeit) assets of hundreds of trillions of dollars is to erase the debts associated with those fake assets. (Let me underscore again, these are not “toxic” assets, they are fake assets.)… Forgiveness in general, and forgiveness of debt in particular, stand as virtues if they free us up to acknowledge, address, and learn from our culpability, start anew, and create forward.” ( The Big Squeeze, Part 3: The Quiet Rebellion: Civil Disobedience, Local Markets, and Debt Erasure (January 29, 2011)
Debt forgiveness, therefore, accomplishes two important things. It eliminates the increasing and outsized portion of productive enterprise to pay off unproductive obligations, and it clears the ground for new opportunities, new thinking, invention, and entrepreneurialism. This is why the ability to declare bankruptcy is so essential in the pursuit of both happiness and innovation.
Currently we are mired in a “new normal” and calls for “austerity” which are nothing more than the delusional efforts of a status quo to avoid the consequences of its own error and fraud and to profit evermore. So bedazzled by the false wealth created by debt multiplication and its concomitant fantasy of ever-higher returns, this status quo continues to be stupidly amazed that people are not spending and that the economy is not picking up. But how could it be otherwise?
Productive wealth has been trapped in a web of parasitic theft, counterfeiting, liability evasion, non-regulation, and prosecutorial non-accountability. All the fundamental attributes of a functioning exchange economy have been warped to reward creative criminals. I spoke extensively about this in my posts from 2008. ( Imaginary Worth, Empire of Debt: How Modern Finance Created Its Own Downfall (October 15, 2008)
This essay is getting a lot of attention. Consider this post entitled
September 1, 2011
By Russ Winter
Charles Hughes Smith posted a must read essay by Zeus Yiamouyiannis (ZY) that describes to a tee the maladjustments and absolute need for a debt jubilee or reset. He well describes the damaging, dead end track of the current see no evil, hear no evil, speak no evil path. This is one of the first commentators who suggests using the term “fake assets” as superior to “toxic assets”.
. . .
…I think the banksters are far too optimistic about the end game. I see a choice between flight or tribunals followed by summary executions as the most likely fates.
Some very good analysis on Max Keiser:
52 Responses to Endgame: When Debt is Fraud, Debt Forgiveness is the Last and Only Remedy. ← Older Comments. F. Beard | September 2, 2011 at 3:50 pm |. And whether or not money is “debt”, certainly no usury or 3rd …
Publish Date: 09/01/2011 13:32