Press Release: 11 September 2003:
The Institute for Economic Democracy announces new and updated books to eliminate world poverty, and an offer
for professors.
The Institute for Economic Democracy is pleased to announce:
- A new book, Cooperative Capitalism: A Blueprint for Global Peace and Prosperity;
- Two books released with updated editions: Economic Democracy: The Political Struggle of the
Twenty-First Century and Why? The Deeper History Behind the September 11th Terrorist Attack
on America;
- Offers to professors and other interested groups for use of these books in various ways.
- All manuscripts, table of contents, and summaries are on these websites for all to look at.
“I haven't even got past the Introduction and I’m considering it my 'Bible' on the last 50 years of 'illusionconfusion' — finally a crystalization of the horror perpetrated on all of us by the cabal in Washington. Thank you!!!!!” — Philip Morgan
There are four parts to this press release:
- Introduction
- A summary of our world today that all understand in 30 minutes
- An offer to developing world professors, progressive groups, and universities
- Our work is online in full
Introduction
How is it possible that our econometrics professors missed this 6th grade math which is the foundation of
plunder by trade which in turn led to 9/11?
- How is it that economic historians missed the connection between plunder-by-trade as outlined in classics
about the Middle Ages (though that phrase is not used) and today's free trade?
- Our military today is for the same purpose as the raiding parties of the City States of Europe for 800
years; control resources and control the wealth-producing-process.
- Why do those same economic historians ignore that America's founding fathers knew that Britain was
plundering America through trade, fought the War of 1812 to avoid the imposition of plunder-by-trade
upon them, protected the new nation's markets and tender industries, and America became wealthy?
- Why does America then turn around and impose the same plunder-by-trade upon weak nations that Britain
attempted to impose upon them?
All those whys are because we do not have the free thought in America we are told;
- We have the finest propaganda system the world has ever known.
- Propaganda works through control of what is taught in academia and what is said in the media.
- Yes you, those professors, and the media can say what they want but all who do step outside the
permitted-parameters-of-debate are quickly forced to the margins and unheard by most.
It is American foreign policy (copied from the old imperial nations of Europe) which is impoverishing the
world.
- Eliminate the waste of wars (the least of the three great wastes and whose purpose
is to control resources and the wealth-producing-process);
- Eliminate the waste of monopolies within capitalism (the 2nd greatest waste);
- And eliminate the waste of capital-destroying-capital (the greatest waste of all)
and economic efficiency will increase equal to the invention of money, the printing press
and electricity.
There are enough resources on this earth for everybody.
- Through Cooperative Capitalism poverty can be eliminated in 10 years and a quality life
for all can be obtained in 50 years.
- And the powerbrokers know all this very well; they turn to cooperative capitalism whenever allies are
needed to suppress others break for freedom.
A summary of our world today that all understand in 30 minutes
Our primary work, Economic Democracy: The Political Struggle of the Twenty-First Century can be
summarized as follows:
Chapter One of Economic Democracy
Consider this:
- You are in America producing one widget an hour and are paid $10 an hour.
- I am in Indonesia producing one widget an hour and am paid $1 an hour.
- We are equally productive but we have a 10 times pay differential.
- We ignore monopoly patent costs which only increase the discrepancy and price theses widgets at the labor
cost of production. (Capital is but stored labor so all justified costs are labor costs.)
- I must work 10 hours to buy one of your widgets. In that same 10 hours you earn $100 and can buy
100 of my widgets.
The difference in retained wealth is not mathematical it is exponential (high pay divided by
the low pay squared).
When you do this math remember the key is the buying power gained in the same working timespan by
equally-productive labor producing products for trades between countries.
- If the well-paid nation is paid twice that of the low-paid nation, in direct trades between them the
well-paid nation accumulates 4 units of wealth and the low-paid accumulates 1 unit of wealth.
- At 4 times the pay differential for equally productive labor the high-paid nation retains $25 and the
low-paid nation retains $1.
- At a 20 times pay differential the high-paid nation retains $400 while the low-paid nation retains
$1.
This sixth grade math is the first of the three fundamentals of plunder-by-trade.
Chapter Two: The origin of plunder-by-trade
All wealth is processed from resources.
- There were no resources inside the Walled Cities (Free Cities) of Europe 800 years ago.
- All resources (timber, wool, ore) were in the countryside.
- When the serfs came to town and saw the looms, fulling vats, leather making tools, forges, etc.
(primitive industrial capital) they said, "We can do that." And back to their villages they went to
produce their own industrial tools.
What happens now to the city?
- This is their living and down the tube they go.
- Right out of the classics on the Middle Ages (Heckscher, Pirenne, Polanyi) we learn that
"For 700 to 800 years the cities sent out raiding parties to destroy the primitive industrial
capital of the countryside and force them to sell their resources to the city."
- Those city states became countries;
- those countries became empires;
- and the military of the imperial centers of capital today are for the same purpose as those
raiding parties 800 years ago; control resources and control the wealth-producing-process.
Where are Japan's resources? Where are Hong Kong's resources? Where are Taiwan's resources? Where are South
Korea's resources? And where are Europe's resources (they consume 14 times the natural resources as lie within
their borders)? Those resources are primarily in the impoverished world being purchased for a fraction of their
true value. This simple economic history citing classics is the 2nd fundamental of plunder by trade.
Chapter Three: Not a country in the world ever developed under Adam Smith free trade.
All successfully developed countries did so under the principles of Friedrich List's 1841 classic
The National System of Political Economy.
- In the introduction of that book List explains how Britain's William Pitt imposed Adam Smith free trade
upon the world.
- Structural adjustments imposed upon weak nations being the very opposite of the policies in which
successful nations developed prove the imperial nations are carrying on William Pitt's plan for control
of world trade through Adam Smith free trade (really controlled trade);
- "So long as the impoverished world can be made to believe this they hand their wealth to the imperial
centers of their own free will and it does not require an army."
- Of course the military is there to force all who would opt out back inside that mold.
America's founding fathers are our primary sources for this 3rd fundamental of plunder by trade
(p. 39).
- They are the ones who ignored William Pitt's efforts to impose Adam Smith free trade on America.
- It is they who protected America's tender industries and markets and it is through those common sense
policies that America became wealthy.
Because we built this foundation on this hidden, unspoken, and ignored economic history we can now make
statements that others cannot.
- They do not have the base to speak from.
- Today's world economy is built upon plunder by trade.
- It is at this point the (20 to 30 minutes of conversation) our reader/listener clearly understands the
causes of wars and poverty and they instinctively understand how to correct it.
But our books provide more foundations.
- Once those monopolies-protected by financial warfare, economic warfare, covert warfare and overt open
war-are abandoned individuality, competition, and personal rights are not only protected they are
strengthened and economic efficiency increases equal to the invention of money, the printing press, and
electricity.
- The average standard of living per hour of labor in the wealthy imperial centers would double and the
GNP would drop by half.
- That 50% drop in GNP measures the previously wasted labor and capital as the money flowed through those
monopolies into the coffers of those who do not produce.
By proving the waste of wars, the waste of monopolies, and the waste of capital destroying capital (the
greatest waste of all), we demonstrate there is plenty on this earth for all.
All the imperial nations have to do is be who they say they are and do what they say they do and
this world will quickly go peaceful, poverty will be eliminated in 10 years, and the world would be
developed to a sustainable level for a quality life for all in 50 years.
The above is the heart of the story.
- But chapter 6, explaining how a free nation with free speech and a free press is propagandized
(protecting this system of plunder-by-trade), also stands alone.
- We feel Chapter 26, the history of money and how simple it would be to restructure to honest money also
stands alone and is easily understood.
As an example of how simple these explanations are we will summarize chapter 13, Agriculture:
- Where would America be if a powerful nation subsidized their farmers (as the U.S. does) and undersold
their wheat, corn, soybean, cotton, dairy, and beef farmers?
- Why the farmers would go broke, the machinery companies would go broke, entire communities would
collapse, and this would collapse many or even all other industries.
- This is what happens when we undersell other farmers or give our grain to those countries.
- The same holds true for other consumer products.
- The multiplier factor is the health of any economy and the multiplier factor goes into reverse whenever
a country's farmers or industries are undersold by another nation's highly subsidized producers.
Fourteen years ago this author (J.W. Smith, with a Ph.D in Political Economics and has presented these
concepts at conferences in 6 countries) mathed out how quick the world could be capitalized to a sustainable
level and poverty eliminated and that math holds yet today. Poverty can be eliminated in 10 years and the world
can be developed to a sustainable level for a quality life for all in 50 years.
It is not a matter of not knowing what to do. We know exactly what to do. The problem is the world's
arteries of trade are tied to that centuries-old system of plunder by trade, and the powerbrokers (which are good
people just as you and I) cannot see a way out. This book shows the way out and, being as the majority
of those leaders too are good people, once it becomes common knowledge many of those powerbrokers will take that
stand.
We have proven over and over (through conversation or reading this summary) that the fundamentals can be
understood in 30 minutes (this Summary).
- These books are for both academics and lay intellectuals.
- If the people stand up and show the way the leaders will follow.
Though already in use in world conflict and poverty classes we are asking for support and guidance on getting
this to the world.
An offer to developing world professors, progressive groups, and universities
Professors:
- If you see what we see in this work we would appreciate all the exposure you can offer; progressive and
academic listserves as well as formal reviews.
- The books start from different economic and political points but analyze the causes and the cures as
being the same. So they can easily be reviewed together.
- Any professor who wishes to formally review these books will receive
a free review copy.
- Any professor who wishes a personal copy can have them for half price;
we pay the postage.
Progressive groups and developing university presses anywhere in the world:
- We would send the manuscripts of our work for publishing and distributing in your region.
- You keep all profits to further support pushing these concepts across the world.
A $100 price was placed upon the first release of this work. To get the price down for classroom use
supporting professors and the author obtained the rights back, updated and expanded the work, and it is
available to the layperson for 1/4 the price with a further discount for classroom use.
The Institute for Economic Democracy is a 501C3 educational foundation owned by no one.
- The purpose of this institute is for others to continually correct, expand, and strengthen this
philosophical work into an ever more powerful school of thought for sustainable world development with
a quality life for all.
- If you like what we have going we would like to have you as an advisor and supporter.
- The intention is to gain a reputation by publishing only the highest quality books.
- Perhaps you can produce such a book.
If you see the importance of this philosophical work we would appreciate you alerting your contacts to
taking a look at our work; especially this webpage. We need all your help to get this research studied
throughout the developed and developing worlds.
All manuscripts, table of contents, and summaries are on these websites for all to look at.
For further information, please have a look at our offer page.
Our work is online in full
On our web sites we have this research in full. Some of our books are being released with newer editions.
Our web sites will be updated to reflect those newer editions. Please see below for more information.
