The Capital Base must equal what is needed to support every person on the planet for ever. And in a sustainable manner. This is the assumed Natural Capital.
Natural Capital equals the global population times the basic needs of every person times the actuarial age globally times the 7th generation factor. For example:
Natural Capital NC
Global Population GP
Basic Needs BN
Average Age AA
7th Gen Factor 7G
Basic needs is to be determined by scientifically determining what it would actually cost to support a human being to the level of all basic needs. We will assume hear that it would be more than the current average global per capita income, but perhaps the same as further on we will show how all tax and interest is removed from the Natural Capital system. For now lets assume that basic needs is $75,000 per person globally, and there are 8 Billion people on the planet, and average lifespan is 80 years.
Thus: NC = GP x BP x AA x 7G Natural Capital equals 336 Thousand Trillion.
Sustainable Assumed Return, SAR = NC/ (AAx7G) SAR = Six Hundred Trillion
The SAR Sustainable annual return is distributed as global guaranteed income annually to every person on the planet. You would get a card, this card could be used to acquire health care, an amount of housing, food, utilities, transportation etc. This card will be attached to anaccount application which will also rate what you decide to use it for, rewarding more sustainable choices with rewards and penalizing non sustainable choices, with more emphasis on rewards. For instance if the housing limit is 25% of the total SAR and you only use 10% and actually rent or buy a more efficient smaller home or apartment you would get rewards. If you use the entire 25% and live in or buy an inefficient large home you would not get rewards, rewards might be increased travel or liesure credits or a higher food allocation allowing you to eat out more, or a vacation enlargement if employed etc....
The 2nd point of sustainability is that all taxes will be eliminated as we know them, the 2nd branch of 7th Generation monetary economics. All funds needed by governments will be derived on top of the transactions processed. For instance you live in New York and New York needs 10% to govern, the State needs another 10% , the Federal Government needs 20%, then when you spend 1 unit those percentages will be automatically credited to the jurisdictions, also as we the people choose out of the Natural Capital of 336 Thousand Trillion. Thus, no tax burden. There will be a tax justification system for determining the reality of what is needed by taxing authorities around the globe as one city or nation could not arbitrariy just assume that its tax rate per unit spent is 1 million units in order to build solid gold highways or some such scheme.... Global means and averages would need to be established with provision for special case additions which would take the place of bonds issued now for building schools or highways and bridges etc. One could envision the people of the earth deciding to take on some grand global or Solar system wide projects since they would have access to making these choices.
This alone would put out a base economy of Six hundred Trillion units, and then the add on of the derived taxation another probably 200 to 300 Trillion units, with many government functions shifting over time to the private sector as now each year peoples needs based income would adjust and more and more government functions would simply be take up by business being able to provide the services to people who actually have income for them - that is save one sector which would basically go away, banking which would be transformed into the only governmentally, democratically controlled activity, all other economic functions would remain 100% private with no restrictions.
The job of business will be to provide all the goods and services as they do now, except there will be no taxation and the businesses will be vying for a much enlarged economic basis from the very start. And as now in addition the a very large chunk of business will be to serve all the other businessesa dn the government of course. As there would be no tax there would be elimination fo all the useless futile business activity that is now conducted not for producing anything but merely to manipulate the system and make money from influence power and corruption.
The 3rd Point of 7th Generation economics would be paid also out of our assumed natural capital, the 99% would be paid not from the business operating expenses but granted as the rights of man, just as the guaranteed basic income. Now this sounds crazy to our current capitalist competitive way but it would free all enterprise from the fetters of the one animate unpredictable non immortal drag on the system, the human factor, and free the human, the people, the reason for doing this whole thing we call life from the expoitation of the business numerics. Your business will be assessed on what it does with what it has and how efficiently it operates in relation to the statistical averages of the global comparative enterprises, the new job of the banks, which we will now call the servers. Imagine your business now, no taxes, and then 90% of payroll expense gone
The 4th point of 7th generation economics No interest payments. Now your in business doing what you want to do whatever that may be not in a never ending struggle to figure out taxes, finance, payroll and how to make money by beating the system instead of how to make money doing what you love. How about that? Now, this sounds like pie in the sky but is it? We have the tool to do it, the current equities and currency trading schemes and the credit card and banking house clearing systems facilitate more transactions than this right now, but it is all a bunch of bull shit hedging and betting and shorting and futures and who knows what but tens of trillions if not hundreds of trillions goes around and around in a big insanity game of lets make a deal and get rich whie producing nothing of value and in fact encouraging mass destruction of wealth over and over again in bubble after bubble bubble.
The 4th branch of 7th Generation Economics: No loans, No Interest. You got it. You got an idea? You go to what is now called a bank , to be called a server and you sell your project much the same way you would now to a bank, or a venture capital firm, or prepare a stock offering etc, you would be evaluated as to your history, qualifiations, connections, the plan, the realities of the economy, and now, of course the environmental sustainability, and a social necessity rating. If good you get the "loan" but its not a loan, as to be expected it would be released to acquire the actual things needed to set up your operation..... The server of course will be paid a derivative on the loan not out of it out of, of course our 336,000 trillion dollar natural capital. In this world you would likely be turned down if you were wanting to start a factory in Cambodia to make plastic flamingoes for sale at Walmart. You would likely be approved or starting a local artisan shop employing 20 people making artisan flamingoes and other lawn ornaments for distribution around your local bioregion. The kicker here is that if producing a barrel oil sustainably costs a million dollars and it is decided that it is needed then so be it, the entire system is automatically adjusting everything every day such that every ones basic income and scheduled wages would be adjusted such that million dollar a barrel oil would be produced and many many people employed doing it. However in this system there would be no blockage of the millions of people who wanted to start businesses doing ecological energy and or people retrofitting homes to be zero energy homes as there would be no block at the bank.
There would be no need for or reason to accumulate huge wealth, and actually year by year the use of resources and the work needed to produce the good life would decline, if robots were created to do all distasteful labor and everyone owned one then the guaranteed base incomes would be adjusted, the owners of the robot factories could accumulate bizzare wealth, but it would be useless, and people who really cared about producing better robots rather than making huge profits would start making them in small workshops, technology might even hit the point where everyone has a manufacture bot in the garage and there is no factory anywhere, but the guaranteed base income would keep rolling in shrinking every year as now perhaps 90% of what we do is related to War - pleasing and paying bankers , and paying taxes and the related nonsense of conducting life around a tax code. Logic says if the tax rate is 10% then I raise my price 10% , thus the tax rate is really 20% as everyone will have to charge 10% more, and the automatic necessity to produce and or consume 20% more, so now the tax rates all add up to 50%! thus we all have to earn or produce 100% , I have to charge you 1 dollar because half of it goes to pay all my taxes, hence we consume twice what we need to , then I usually have a home loan and a business loan and credit loans etc and pay interest consuming another 30% of my income so now I have to charge 130% more , consume and produce 130% more than is actually needed to produce the needed output. So right there the economy could shrink by 100% and people would get 100% better off, in one fell swoop. Now start compounding this in reverse .... soon most people do not even have to work, they become owners of their own homes and businesses and hence can now relax and pursue other interests, not grow the business, perhaps just have a hobby business as it would be your business, not the governments business, not the banks house, not the credit cards stuff, your stuff, and no fear of dying in starvation in old age as you would have a guaranteed base income so no need to take 10% of your money, and entrust it to a confidence man who invests it into an economic hierarchy that works against your best interest in every way.
Why would anyone work? Exactly, your worst nightmare as a business , and the absurd situation as it is, that someone can open up a business or franchise for example some fast food restaurant and be allowed to pay the workers less compensation than one would have to put out if the workers were slaves, as capital assets you would have to maintain the slaves in good working order, as so called free market operatives you are allowed to utilize them and pay them less than what is needed for the worker to maintain life , and this has to be stopped. The contradiction of the free market, it is claimed that it is freedom, yet if freedom is given then it is claimed no one will work, unless there are severe consequences and low wages people will not strive, so, really?? What kind of freedom is it that where most must be condemned to a low wage slavery and or a humiliated existence of abject poverty, the market claims the market is free except ahem, no your not, but yes if you comply and strive and succeed. We might well have fast food restaurants, in the 7th generation economy but likely your local area would decide that only so many are needed, that they must serve so many people a year to be continued, that they must of course provide good food and service, and since everyone has the basic guaranteed income an establishment would have to provide a work environment that workers would want to be in in order to get the basic income plus a level one additional income. But the good thing would be that people probably will not want to eat crap and buy cheap stuff and many of these types of business will go away, which is good! What kind of society demands that so many work at such idiotic and servile tasks for so little so that a few individuals can make money while providing negative service value to the human race? There could be a revolution away from franchised centralization and people locally of course, anyone at all could go get a specialty restaurant grant and start a decent workplace and service experience. And really 99% of the population cares not one wit about gaining money and power, they are content to lead lives where family and friends arts and leisure and sports and hobbies are the focus and any work that has good pay and time off is about all that is needed. With current technological advances and the illumination of banking and taxation constriction and destruction everyone could work 1-3 days a week and produce a much higher standard of living and also possibly with every other year off as time to consume services so that others may have something to do. People will work at what is needed and what take distastfull jobs as they will adequately compensate and the jobs will be minimal hours. Now this is not to say that you and your striving competitive creative friends could not start some enterprise and work 24-7, your janitor staff and cafeteria amployees however will work 1-3 days a week and get a basic guaranteed income plus a disposable income salary, and it won't be necessary for you or some private contractor to exploit people and make them slave 7 days a week 10 hours a day because you cannot see the value of the provision of the basic things that make your life a good life.
This is a creative ideation site not based on generally accepted Bull Shit.
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