Page 17 - Michael Journal 2019 August

Money Must be Created by the Island’s Inhabitants money. This money cannot be lost or stolen. I am for them.
They asked James to create more new money
lending you $100. You will pay it back to me at the
Peter said: “If we had an additional $25 each, it
for Exchanges Among the Island’s Inhabitants! end of the year, plus an additional $7 in interest.” would be sufficient for now.”
Peter was incredulous: “Why are YOU lending
ME $100? You want me to pay back $100, and on James created $25 for everyone by adding this
The following article, written by Mrs. Gilberte top of that, interest! You must be joking, James! amount in the credit column of each man’s book.
Côté-Mercier, is a summary of Louis Even’s tale, It is as if the money that you create would belong Peter had worked more than Louis during the
“The Money Myth Exploded”, which helps us to you since you want me to pay it back to you. past year and already had $150 noted in his credit
understand how money today is created as debt by You are mistaken, James. We asked you to create book. He received $25 and so had a total credit
private banks, whereas social money can be cre- money for us, not create money for you. You will available for his use of $175.
ated debt-free by society. receive your share of $100 like the others, but the
total $1,000 does not belong to you. If you lend Louis, who had been sick during the year, had
by Gilberte Côté-Mercier $100 to each of us with the obligation to pay it $50 in his credit book at the end of the year. He

Let us imagine that 10 men lived on an isolated back to you, it is as if the $1,000 was yours!” received $25 and so had a total of $75.
island inaccessible to the rest of the world. James: “But, that is the way money is created The $25 which was added to everyone’s credit
The men were good workers and they suc- in modern nations!” column could be called the dividend for that year.
cessfully exploited the island’s riches. Peter sarcastically replied: “Oh! It is undoubt- It represented the amount of the island’s addition-
al development or progress in the year.
Everyone plied a trade. Peter tilled the land, edly for this reason that living is so nice in civil-
The 10 men had created money for them-
Louis bred animals, etc. ized countries, where one can die of hunger when selves. They did not ask a monopolist to create
One day, Peter, who was tired of eating only there is such abundance, and where war ultimately their money. They had more confidence in them-
settles matters. Well, that type of society does not
his crops, asked Louis to trade a calf for some po- interest us, James. You will create money for all; selves, the very folk who had built the island’s
tatoes. for everyone. It means that you will create $100 wealth, than in strangers who would simply ex-
Peter: “Louis, can you sell me a calf?” for each one of us which you will simply give us.” ploit the island’s real producers.
Louis: “What will you give me in return?” James understood. He gave each man a credit They created dividends to circulate, not debts
Peter: “Twenty bags of potatoes.” book with $100 noted in the credit column. to pay.
Louis: “I am not interested in potatoes; I don’t On the island, they called the $100 a dividend. The credit which circulated on the island was a
eat them.” conclude that an increase in taxes or a war are the It was based on the island’s production, and it was social credit, based on the production of the island
Peter resigned himself to eating potatoes. solution when there is a lack of money. brand new money that came from James’ pen. and based on the confidence that the island’s in-
habitants had in their small society. The credit was
Louis, however, had too many calves and would Rather, they reasoned logically: “Money is The money was necessary for the island’s inhabit- created by the island’s inhabitants for the island’s
have liked to have traded his livestock for prod- lacking. Therefore, let us create some money for ants in order to exchange their products. inhabitants.
ucts that he actually wanted. ourselves.” The following year was a great success. There * * *
It was the same situation each time one of the They did not think about going elsewhere to were no longer arguments when trading goods.
men wanted to trade with the others. Either it was create money. They did not ask spirits from an- Business prospered so much that the $1,000 If Canada was this island, and it was inhabited
difficult to match tastes, or it was not the right other world nor men from other countries to cre- in circulation was not enough to purchase all that by 37 million members, should this method to cre-
time or it was impossible to make the calculations. ate money for them. Rather, they decided to cre- was produced on the island as production had ate credit not be the same? Why not? v
Often, it would have been necessary to cut a calf ate it themselves, for themselves. greatly increased. Gilberte Côté-Mercier
in two to complete an exchange. Peter said: “James was formerly a bank man- * * *
Seeing the difficulties they had in trying to ager. He knows very well how to count. James, At the end of the year, the men met again. They
make mutually agreeable arrangements, the 10 please create money for us.” considered that the money which had been cre- Rougemont monthly meetings
men gathered to discuss the problem. James: “Fine! I will create money for you. ated at the beginning of the year had done them
They noted that the island provided them with How much money do you need on the island so much good but, because of the island’s growth House of the Immaculate
everything they wanted; it was not wealth that that business can be facilitated?” and prosperity, they needed more money. 1101 Principale Street, Rougemont
was lacking, nor work, but something else. Peter: “If we had $1,000 on the island, then ex- August 25, October 27, Nov. 24
Everyone agreed that money was lacking on changes could be completed easily. Please create Make sure MICHAEL moves with you! 10:00 a.m.: Opening. Rosary
the island. $1,000; $100 for each of us.” 4:30 p.m. Holy Mass in the chapel of
* * * James got down to work. He took a book, wrote If you have just moved or are about to the House of the Immaculate
The men were practical and had common Peter’s name and beside it he wrote that $100 in move, it is very important to send us your
new address. If you do not send us your new
sense. They had determined the problem was that credit was available to him. Then, he handed Peter address, the post office returns your MI- Week of study: September 22-27
they lacked money to facilitate exchanges, and so the credit book, and said: CHAEL magazine to our office and we bear Congress: September 28-30
they decided to create money. “Here is $100 for you, Peter. It is money made a cost for each journal returned. Thank you! Triduum of prayers: October 1-3
They did not act like our governments who up of figures, of numbers; the most modern

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