Thursday, 21 July 2016 21:01

Social Credit in a Sentence

Written by M. Oliver Heydorn
Rate this item
(0 votes)

What is Social Credit?

I have often been asked to explain it in a nutshell. So, as far as the purely economic aspects of Social Credit are concerned, here it goes:

Social Credit is a proposal for a) the public regulation of the financial system (i.e., the banking and cost accountancy system), in conformity with b) the objective truth of the economy's physical potential and actual performance, for the sake of c) enhancing the common good of the individual citizens who make up a nation.

The necessary implication of this definition is, of course, that the existing financial system is not designed to adequately reflect or mirror the facts of the real economy, nor is it designed to serve the common good. Instead, it artificially limits and distorts the real economy and serves the interests of an oligarchic elite.

Last modified on Friday, 16 February 2018 21:08

Leave a comment

Make sure you enter all the required information, indicated by an asterisk (*). HTML code is not allowed.

6 comments

  • Comment Link  Thomas Hegarty Friday, 16 February 2018 21:07 posted by Thomas Hegarty

    Forget the 'wordy wordy' nonsense !
    What does it mean to someone on minimum wage buying a pair of jeans or a tin of baked beans.
    How does the manufacturer turn a profit?
    Money direct from the "Treasury," see "Bradbury Pound."
    2/Sept/2015

  • Comment Link kyunkyun Friday, 16 February 2018 21:06 posted by kyunkyun

    Thank you Oliver.
    Let me ask about interest of commercial bank in the social credit.
    Japanese social credit student says as follows.

    "In the social credit, all the financing from commercial bank to the company is interest-free."

    Is their understanding right?
    On the other hand, Louis Even explains about interest of commercial bank in the social credit as follows.

    "The financing from commercial bank to producer is interest-bearing."
    "The financing from commercial bank to retailer is interest-free."

    Is the understanding of Louis Even right?

    *Reference
    A Sound and Effective Financial System by Louis Even
    http://www.michaeljournal.org/soufin1.htm
    How to finance production
    http://www.michaeljournal.org/soufin4.htm

  • Comment Link  Oliver Heydorn Friday, 16 February 2018 21:06 posted by Oliver Heydorn

    Hi Kyunkyun,

    Social Credit proposes a monetary system which would a) ensure sufficient producer credit (in the form of repayable loans) to catalyze the production of any good or service that is physically feasible on the one hand and needed by consumers on the other and b) sufficient additional consumer buying power in the form of a 'debt-free' National Dividend and National Discount to balance incomes with final prices in every production cycle. As far as public production is concerned, any loans necessary for financing long term projects (infrastructure or public works) could be obtained from the National Credit Office at the costs of administration.

  • Comment Link kyunkyun Friday, 16 February 2018 21:06 posted by kyunkyun

    For example, does the social credit propose interest-free financing?

    Following reference
    https://en.wikipedia.org/wiki/Monetary_reform#Social_Credit_and_the_provision_of_debt-free_money_directly_from_government

    "Alternatively, some monetary reformers such as those in the Social Credit movement, support the issuance of repayable interest-free credit from a government-owned central bank to fund infrastructure and sustainable social projects."

  • Comment Link kyunkyun Friday, 16 February 2018 21:05 posted by kyunkyun

    Hello.
    It’s been a long time.

    What is the suggestion of the social credit?
    Is it national dividend and compensated price ?
    Is there other suggestion of the social credit?
    Please tell me all the suggestion of the social credit.

  • Comment Link  Jean-Nil Chabot Friday, 16 February 2018 21:05 posted by Jean-Nil Chabot

    Well put, Oliver. And for those who have time for reflection, it can be put in two words: social credit. It means what it says.

Latest Articles

  • Social Credit and Democracy: The Problem
    Social Credit political theory readily grants what lies, perhaps, at the root of the democratic urge and which accounts, in large measure, for the popular appeal of ‘democracy’: firstly, that governments should serve the common good of the people and secondly, if governments don’t serve the common good of the people in an effective, efficient, and fair manner, the people who are affected should have the ability to sanction the government so that the quality of government might immediately improve. At the same time, Douglas was highly critical of the conventional ‘democracies’ that have come to characterize the Liberal West, often describing them as ‘ineffective’. Not only did they fail to serve the common good to the extent that this was physically possible and desirable, they also failed to provide the people with an effective vehicle for remedying this sorry state of affairs. To make matters worse, it was not…
    Monday, 23 July 2018 10:58 Read more...
  • Social Environment Implications of Social Credit Proposals for Income Supplementation
    It is peculiar that discussion of governmental policy frequently proceeds with hardly a nod to the most clamant fact in the world of economics, namely the massive, and burgeoning, financial debt that hangs like the sword of Damocles over human society. The dimensions of this debt, which is growing at an exponential rate, have been calculated variously by different organizations applying themselves to its study. One such organization, the Institute of International Finance, has calculated total global debt at the end of 2016 to be $217 trillion, having risen by something approaching a quarter of this sum over just the previous decade. Even more shocking than these numbers is the fact that the aggregate debt is reckoned to be more than three times globally aggregated GDPs.
    Wednesday, 11 July 2018 15:26 Read more...
  • The Economy of the Gift
     The implications of a debt-free universal dividend via C.H. Douglas’s Social Credit monetary and economic reform, a dividend that would be distributed equally to everyone, will be far more than just extra cash in one’s wallet. There would be deep and far reaching impacts in the areas of society and culture where changes would occur that would most definitely be for the betterment of mankind.
    Sunday, 01 July 2018 14:21 Read more...