Economic Humanism

This is the beginning of an idea for me, born out of watching the economic crisis and looking for the real solution not the band-aids I see...

The idea of economic humanism is to reaffirm the connection between money and value. This break is at the cultural center of our crisis. As a society we see money as the end all in its own right and have lost the connection to its role as one element in creating societal value. It has become so lucrative to make money for money’s sake that our system is at the brink.

The most effective way to do this is to direct the free market to create value vs making money - by connecting societal value to money....A company who is creating solar panels should be more valuable than one who sells oil or organic food vs. High Fructose Corn Syrup. Our current laws, stock and tax structure sees them as the same and for a new world they are not. Here are my suggestions:

1. Regulate the Federal Reserve –We have allowed this dysfunctional relationship to go on for 100 years they have never been accountable to the population they serve and have been involved in numerous ways of scamming the public. This crisis shows how pervasive this problem is and if our present administration is truly committed to open government they will open this door forever.

2. Break up and regulate the banking cartel - The key to a solid Eco-system in nature is diversity. We see ourselves as different from nature instead of an extension of nature. Having monolithic financial institutions with massive incomes and influence puts our economic Eco system at risk.

We created a regulated system in the wake of the Great Depression, but our electronic culture allows us to be even more effective. The electronic creation and distribution of money eliminates the need for giant money centers. No more bank – hedge fund -insurance company - investment houses. We should regulate conservative reserve requirements to focus growth on proven ideas. If we make economic growth more organic and stable and reduce unreasonable risk there will be lower profits overall but more sustainable growth. We should create regulations that limit the size of banks forcing them to incorporate locally and independently and would monitor so the local branch of Citigroup would have to be solvent on its own and they could only grow to a certain size without a new incorporation. This would disconnect financial institutions from becoming a giant "collection center" and keep more money near the users and in their communities.

Eliminate or massively regulate CDOs and CDS'. Money should be the life blood of a thriving economy - not a vehicle that creates more of itself just for the sake of it. The concept of these gambles vile.

3. Regulate the mortgage industry. In my state, you have to be more qualified to sell a $2,000 car than a $200,000 house - That is absurd. Make them test, bond and hold them accountable for unscrupulous lending practices. Make banks a concerned party to the deal by regulating how mortgages can be sold from bank to bank.

4. Rebalance corporate tax structures. 2/3rd of corporations don't pay taxes. Those who do pay at lower rates then individuals and we can’t even talk about it. Companies use the commons for its inherent value. Roads to get people to work, water, land, police protection etc. A fair tax structure assures that they pay a fair amount for this privilege. We have 330 million of the best workers and consumers in the history of the world and yet corporations have massive power and individuals don’t. This must be changed to create a sustainable world. A corporate tax on revenue before expenses and tariffs for products created elsewhere would work to keep Hallburtion in Dubai, but they would profit less in selling their services in America. Furthermore we must aggressively tax toxic industries like defense, weapons, oil etc and use that money to solve the problems of war, famine and social injustice just like we do with cigarettes. Capital would flow capital out of toxic industries and in to sustainable industries.

7. Reform consumer credit and student loans. Enough with the crazy credit game, high interest, total control by the bankers a credit reporting system that is intended to keep the cost of money high. I have a son and his wife who got out of college with $100,000 in debt between them one is a teacher the other is studying for the priesthood. Some of the best people our world has to offer. How immoral is a society that takes their best and brightest and enslaves them to the financial system just because they are willing to better themselves? It is completely out of balance

My goal in these reforms would not be to eliminate the free market, but to use its power to create value. I would like to direct the engine of growth toward humanism and away from a tool of greed, stress and misery. Please send your opinions