Constant Money Supply

8. Energy Creators

Revised November 14, 2013

In this article we are going to expand on the Technology of the Energy Creators.   The Producers are the Energy Creators.  Producers use self-generated energy to create mental models.  They transfer them into final products.

Advancements in the field of Economics have been very underdeveloped in the past.  The field of Economics has been stuck in the grip of the counter-producers.  The counter-producers have held mankind back.  There could be much advancement in the field of Economics without the presence of counter-producer activities.

The field of Economics is a Science at the level of Physics and Chemistry.  There are Axioms (self-evident truths) in the field of Economics.

The counter-producers have been grabbing and hoarding money and material wealth.  They have been grabbing and hoarding the Producers, the Energy Creators, making slaves of them.  The Producers have been beaten down.  Most advancement in the Technology of Economics, made by the Producers, has been attacked and taken away.  Advancements such as technology to insure Producers are rewarded correctly have been beaten back over the years.

The counter-producers have altered the Technology of Economics to their advantage.  They have altered the concept of Money into ways which enable them to take money without production exchanged for it.  They have sold the idea that they are, “the Producers,” when further evaluation shows them to be counter-producers.  They identify themselves as Producers.  There is a very distinct difference between a real Producer and a counter-producer.  They are opposites on the Prosperity Scale.  Counter-producers are on the bottom of the scale and Prosperity is on the top of the scale.  Producers strive toward Prosperity, the top of the scale, and counter-producers decline toward the bottom of the scale.

 

                      Prosperity Scale

The counter-producers have created a very low grade economic system.  It would be in the minus area on the Prosperity Scale.  This means the counter-producers prosperity thrust would be below zero.  The only thing that has brought the civilization on the planet above the prosperity level of zero is the tremendous strength and persistence of the Producers, who are the Workers and Laborers.  They are the Energy Creators.

If one separated the non-producers and the counter-producers out from the Producers and looked at their prosperity thrust we would find their prosperity thrust is below zero economically.  It is below zero because they destroy prosperity.  They have a  counter-prosperity thrust.   They simply would not be alive in their present condition.  They exist by taking money from the Producers.  They are truly living off the backs of the Producers, the Laborers and Workers.  Their prosperity thrust or more correctly, their destructive thrust harms other individuals, families, organizations, societies, nations, mankind and environments.

There have been many times in our planet’s history when the economic systems went backward toward zero.  During these times the economic systems followed the negative prosperity level of the counter-producers.  The counter-producers, in the name of prosperity and well being, gained power and took the individuals, families, organizations, societies, nations and mankind into recessions, depressions and wars.  The civilization literally was contracting under the rule of the counter-producers.  The counter-producers had enslaved the Producers and convinced them that what they were doing was for their best interests.  Finally the Producers broke loose and reversed the downward spiral.  They brought the civilizations back above the zero level on the Prosperity Scale.  This has been a constant struggle between the Producers and the counter-producers.  It has been a constant struggle between prosperity and recessions, depressions and wars.  When the Producers led the civilizations, mankind prospered.  When the counter-producers led the civilizations, mankind suffered recessions and depressions.

The civilizations declined economically, leading up to and, during the great depression.  The civilizations declined economically, leading up to and, for a period after 2008.  The Dark Age was a long time of counter-producer rule.  In Ireland from the 1100’s until 1920 when the British ruled Ireland, the Irish had their value, energy, wealth, capital and power take from them.  Most, if not all, third world countries are ruled by counter-producers taking their countries down the depression spiral.  History is riddled with many, many periods of counter-producer rule.

The Producers have, in more times than not, broken loose and put prosperity back into the economic systems. The Producers have always pulled individuals, families, organizations, societies, nations and mankind out of deep depressions.  This has been done with a great price.  There has been much suffering and lost lives before and during the reversal of the counter-producer’s destructive activities.  This suffering and lost life does not have to be.  It can be avoided with the application and use of the technology of Producer Rewarded Open Market Economics.  This is a capital producing economic system.  This is a system where money, value, energy, wealth, capital, and power are created by the Producers.  This is a system where the Producers of the money, value, energy, wealth, capital and power are the receivers of the money, value, energy, wealth, capital and power.  In short, in the Producer Rewarded Open Market Economic System, the Producer is rewarded for what he has created.  The Producer created the money, value, energy, wealth, capital and power therefore he owns it.

 Energy Creation

I am going to define more clearly how energy is created or generated.  This will help differentiate between the Producers, non-producers and counter-producers.  With the ability to differentiate between the Producers, non-producers and counter-producers, one will be able to evaluate their activities to determine if they are creating prosperity or are creating destruction.  One will be able to determine whether an individual is creating prosperity or creating destruction with his or her activities.

The Producers are the energy creators.  During the process of production there always is work and labor involved.  The work and labor is both mental and physical.  Producers use a combination of mental and physical work and labor during production. Production always involves both mental and physical work and labor.  Every type of product employs both mental and physical work and labor.  Some products require more mental work and labor and some products require more physical work and labor.

Economics is really a Science of Energy.  Producers create or generate energy.  They use the energy to create a mental model of the commodity, trade, good or service they have as a goal.  The Producers use their created or generated energy to transfer the mental model into a product.  They use this mental energy to handle physical universe energy and materials they use when creating a commodity, trade, good or service.

This is how the energy creators, the Producers, generate energy and value contained in commodities, trades, goods and services.  This energy and value is transferred to money during the process of marketing.

 Non-producers and Energy Creation

The non-producers won’t go through, or aren’t able to go through, the process of creating energy and models.The non-producer sits in apathy and lets life go by with almost no control over his/her destiny.  These people are often found living on the streets, elderly people, some disabled people; people “putting in time” at a job.  These “putting in time” people create very little production and often create counter production yet receive pay.

Producers can decide to flow money to some of these non-producer individuals. Examples would be elderly producers who, because of age, are unable to produce at a high level and some disabled individuals.

 Counter-producers and Energy Creation

  The counter-producer grabs money and material wealth and hoards it, slowing money velocity.  He grabs Producers and enslaves them.  He enslaves them to ensure he has money and material wealth.

These types of actions, grabbing and hoarding money and material wealth along with enslaving Producers upsets the economic system very drastically.  The prosperity thrust goes from a thrust toward prosperity to a reversed thrust toward economic declines for the individuals, families, organizations, societies, nations, mankind and environments.  The counter-producer is taking the Producers, the prosperity creators, along with himself on an economic decline.  The counter-producer literally destroys the Energy Creators, the Producers, and drains the energy out of the society.

The counter-producer owns money and material wealth to enslave Producers and to steal more money and material wealth.  He uses money and material wealth as tools, used, during the enslavement process.   This is where we find the Capitalist (the capital destroying Capitalist) the Fascist and the Communist.

 Producers and Energy Creation

Producers are individuals who can create energy.  Producers are energy creators.  They convert their produced energy into commodities, trades, goods and services.  The commodities, trades, goods and services are exchanged on the Open Market for money.  The transference of energy is transferred into money units as the commodities, trades, goods and services are exchanged on the Open Market.

Maintaining a Constant Money Supply insures the value and energy in money units.  A Constant Money Supply standardizes each money unit and the whole money supply.  A Constant Money Supply insures the value and energy contained in each money unit is correct.  A Constant Money Supply insures the value and energy contained in each money unit doesn’t get siphoned or drained off by counter-producers engaged in destructive actions of expanding the money supply.

The counter-producers have sold the Producers an idea.  The idea is, they can make money out of thin air by expanding the money supply.  Inspection has shown that expanding the money supply is a way of stealing money, value, energy, wealth, capital and power from the Producers who create it.

Maintaining an Open Market, open to all on equal terms, insures the Producers against non-producer and counter-producer activities of draining off or siphoning off money, value, energy, wealth, capital and power from the Market without the correct exchange in commodities, trades, goods and services for it.

The difference between non-producer activity and counter-producer activity is the non-producer doesn’t actively engage in destructive activities in exchange for money.   The counter-producer creates destructive activities he sells as products and receives money for them.  They are both non-producers but the counter-producer actively engages in destructive activity in exchange for his money.  For more information on Producers, non-producers and counter-producers see the article entitled, “Producers, Non-producers and Counter-producers.”

Rewarding or paying Producers and only Producers of the commodities, trades, goods and services insures Producers against non-producers and counter-producers who would take the money without producing commodities, trades, goods and services for it.  Rewarding Producers of commodities, trades, goods and services insures them against individuals who occupy positions in a company or organization, “putting in time,” without producing any commodities, trades, goods or services and yet receive money for being there.  They are functioning like they are putting in time.  They are being paid for time instead of production.  This gives them the idea of simply putting in time and they will receive money based on the amount of time they put in.  There can be positions where time can be used, as a base, for pay.  Most positions can and should be positions where pay is based on the production level of commodities, trades, goods and services.  In the case where individuals occupy positions in a company, “putting in time,” the Producers, the workers and laborers, who produce the commodities, trades, goods and services in the company carry these “pretend” Producers on their backs.

Rewarding Producers insures the prosperity of the Producer against the Capitalist (the capital destroying Capitalist,) the Fascist and the Communist who produces no production yet takes huge quantities of money, value, energy, wealth, capital and power from the Producers.  Rewarding Producers protects the wealth created by the Producers.

Rewarding Producers keeps the non-producing and counter-producing owners of a company from stealing the wealth created by the laboring and working Producers.  It isn’t enough to own a company to receive money.  It takes production and only production of commodities, trades, goods and services by the owners to receive money.  Owners must also be Producers.  Ownership is reward for past production.  Every time the owner receives money there must be, in every new unit of time, a created commodity, trade, good or service exchanged for the money.  This created commodity, trade, good or service must have been created by the owner.

There must be value and energy present in goods and services before marketing can take place.  Marketing must take place anytime anyone receives money.  Marketing is the transference of energy and value between traded products for other products.  Money is used as the medium of exchange during the transference.

Rewarding production, maintaining an Open Market (open to all on equal terms) and maintaining a constant money supply will stabilize an economic system.  It will create explosive prosperity for all who choose to play the game of economics this way.

The Producers or Energy Creators don’t need to collect and hoard large sums of money and wealth.  They don’t need to enslave their fellow man.  They can produce at will.  They are confident they can produce at will and have confident prosperity attitudes.

Producer Rewarded Open Market Economics
The Science of Economics
By: RP Obrigewitsch
August 22, 2012

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Wednesday, August 22nd, 2012 Constant Money Supply No Comments

7. Symbol for Value and Energy

Revised November 14, 2013

Money is a symbol used to represent exchange value.  The exchange value is created by Producers.  Producers create exchange value during the process of producing commodities, trades, goods and services.  Money is also the symbol used to represent energy generated by Producers.  Producers generate the energy used in the creation of commodities, trades, goods and services.   Money is the symbol for value and energy.

There has been much attention placed on money units down through the ages.  The money unit is basically a unit of energy.  A Producer first generates the energy, and then he transfers this energy into a commodity, trade, good or service as he produces it.  The commodity, trade, good or service is exchanged on the Open Market for money units.  In the process of the exchange, the energy that was created by the Producer is transferred into the money unit.

Money is also a unit measure used to define the value of commodities, trades, goods and services.  When a product is exchanged on the Market, the competition among commodities, trades, goods and services on the Market determines the value of each product.  The competition among commodities, trades, goods and services on the Market is caused by demand forces created by producers as they compete with one another in purchasing commodities, trades, goods and services from the Market.

There have been many ways money units have been acquired, accumulated, taken or gotten.  However, there is only one ethical and honest way to receive money units.  That way is through the production of commodities, trades, goods and services which are marketed on the Open Market.  Receiving money units through the production of commodities, trades, goods and services and marketing them on the Open Market is how true prosperity is achieved.

There is no other way to create, produce or acquire money and be in exchange for it.  All other ways or methods of acquiring or accumulating money are out-exchange or destructive to the prosperity of the individual, families, organizations, societies, nations, mankind and environments.

There has been a common belief over the ages that money units could and should be acquired without the efforts of production, work or without any labor.  There have been many methods developed over the years to overtly or covertly steal money.  This is especially true among non-producers and counter-producers.  These individuals  can’t produce or have a very hard time producing.   They have resorted to devising methods of stealing money, value, energy, wealth, capital and power from the producers around them.  Expanding the money supply is one of many methods they have devised and used when stealing prosperity from the Producers.

There is only one way money comes into existence and that is through the production of commodities, trades, goods and services.  Producers use directed energy forces when producing commodities, trades, goods and services.  These directed energy forces are employed during the processes of work and labor.  The workers and laborers (Producers) direct the energy forces, needed and used, during the process of producing commodities, trades, goods and services.  There must be work and labor involved in the creation of production.  Anyone taking any money without involving labor work in creating production is out exchange!

The Capitalist (capital destroying Capitalist) is chief among those who believes money units can be acquired without their efforts of production, work or without any labor of their own.  The Capitalist (capital destroying Capitalist) believes others should provide the labor and he should take the money created by the labor and work of others.  The capital destroying Capitalist enslaves Producers.

Taking money created by the labor and work of others does not give him freedom.  He is not as free as he thinks he is.  There is only one way to be free and that is to be able to produce one’s own prosperity with the hands and mind of one’s own creative potential.  True freedom is to be able to create energy and transfer it into commodities, trades, goods and services which one can use to exchange for other commodities, trades, goods and services with money on the Open Market.

True freedom is granted to those individuals who operate within the Axioms of Producer Rewarded Open Market Economics.  An individual operating outside of the Axioms of Producer Rewarded Open Market Economics is not free.  He is not creating prosperity.   He is taking prosperity away from the producers.  He has no existence but to steal money-energy from the Producers.  Stealing money-energy is a destructive activity which strikes against the Producers as well as against the counter-producer himself.

The Producers can carry non-producers and counter-producers on their backs until the system becomes overburdened and then it collapses bringing the Producers down with the non-producers and counter-producers.  The non-producer and counter-producer is not free until he joins the ranks of the Producers, becoming a Producer.  As long as the Producers allow the non-producer and counter-producer to be rewarded, the Producer is not free.  True freedom comes about when everyone is required to create production in exchange for money.   Producers of prosperity thrive while operating inside and using the Axioms of Producer Rewarded Open Market Economics.

The Capitalist, capital destroying capitalist, has the belief that others should provide the work and labor and he should take the money without production exchanged for it.  The Capitalist, capital destroying capitalist,  has lost the ability to produce energy or believes he has lost the ability to produce energy.  He grabs and hoards money.  This grabbing and hoarding of money creates a scarcity of money in circulation.

As a result of the Capitalist’s action the money velocity slows, giving the perception that money is hard to come by and there is a scarcity of money.  The prices of commodities, trades, goods and services go up in value because of less money in circulation in respect to products on the Market.  The fact is there is an abundance of money, wealth and material possessions available when Producers and only Producers are rewarded, when the Market is maintained open to all on equal terms and when the Money Supply is held constant.

The Capitalist, capital destroying capitalist, redistributes and concentrates money and material possessions into the hands of a few rich and powerful counter-producer capitalists.  The correct distribution of wealth occurs when Producers and only Producers are rewarded, when the Open Market is maintained open to all on equal terms and when the money supply is held constant.  The wealth is distributed to those individuals who create it or produce it.  Any other wealth redistribution systems are rewarding non-producers and counter-producers and are destructive systems.   Distructive wealth redistribution systems include Capitalism (capital destroying Capitalism) Fascism and Communism.  Fascism and Communism are capital destroying socialist economic systems.  They reward non-producers and counter-producers.

The Fascist also takes money without the necessary exchange for it.  He is like the Capitalist. He turns up the volume in his efforts to steal and hoard money and material wealth.  He uses great force in doing so.  He also creates a scarcity of money and material possessions by redistributing and concentrating it into the hands of a few rich and powerful counter-producers.  The Fascist also enslaves producing workers and laborers.  Both the Capitalist and the Fascist are working to stop the flow of money, value, energy, wealth, capital, power and material possessions throughout the societies.

The Communist also takes money without the necessary exchange for it.  He does it in a covert manner. The Communist sells himself as a Producer or pretends to follow the prosperous laws of economics while grabbing and hoarding money and material wealth.  He says he is the patron to labor and workers.  When he seizes power he enslaves the producing workers and laborers.  He also creates major scarcities of money and material wealth.  The Communist takes possession of almost all wealth and material wealth under the umbrella of the State.  He covertly tricks the Producers into believing it is the government who owns all.  In reality it is the counter-producer communist individuals who are the government and who control the government.  It is the counter-producer communist individuals who have and control all money, value, energy, wealth, capital, power and material possessions in the society and nation.  They carry out this deception “under the guise of the state.”  The counter-producer communist individuals governing the country have exclusive access to the money, value, energy, wealth, capital, power.

The three; Capital Destroying Capitalism, the Fascist and the Communist all grab and hoard money, value, energy, wealth, capital, power and material possessions.  They work to stop the flow of money, value, energy, wealth, capital and power.  They redistribute the money, value, energy, wealth, capital, power and material possessions away from the Producers and concentrate it in the hands of the rich and powerful counter-producers.

In today’s nations on planet earth we find the expansion of the money supply being used to acquire money instead of producing commodities, trades, goods and services for the money.  They acquire money by going outside of the Open Market.  They don’t bring self-created commodities, trades, goods and services to the Open Market where they can exchange them for money.  They simply steal money, value, energy, wealth, capital and power by expanding the money supply.  This misuse of money, “the symbol for value, energy,wealth, capital and power,” is very destructive to the societies and nations on the planet.

We see the accumulation of massive amounts of wealth in the hands of the Capitalists without the proper exchange for it.  There are various methods of speculation being used on the stock market to take vast sums of money without an exchange for it.  The basic purpose of stock market investments is to increase and enhance production in the companies invested in.  Stock market investment should be investments made over a long enough period of time where the company invested in gets an exchange for the money it paid out in dividends.  Stock market investments should be investments made for the purpose of enhancing productivity in the company invested in along with creating wealth for the investor.  This is as apposed to short term pure speculative investments where huge sums of money are taken without or not enough exchange returned for the money taken.

Investing in the Stock Market should be a Producer created service.  The dividends received by the investor should be in exchange for the money the investor allowed a company to use while enhancing production.  This should be a Producer created service exchanged for the dividend money received.  The main purpose in investing in the stock market is to enhance the prosperity of both the individual Producer, doing the investment, and the company being invested in.

Speculation investment such as skimming the market with or without a computer program to remove profits is taking money with no exchange for it.  Speculation on commodities and not taking possession of them, at least to store them, is taking money without an exchange for it.  Speculation on commodities and not using them to create further production or to store them is taking money without an exchange for it.  This type of non-productive speculation results in huge sums of money being taken with no exchange for it.  This type of speculation places non-productive demands on the commodity, increasing the price of the commodity.  The producers who use the commodity for further production now have a higher cost added to the input side of their production.  The money spent on the higher cost of the commodity goes to an out-exchange speculator who exchanged nothing in return for the money he received.  This type of speculation violates the purpose of investing in the Stock Market.  This type of speculation harms the prosperity of the out-exchange speculator, the company, society, nation and mankind.

An example of this is the counter-production speculation on oil commodities.  Counter-producer speculators bid the price of oil up while not taking possession of it, at least to store it. They bid up the price of oil while flipping paper.  They perform no production at all.  They don’t do the minimal activity of handling the oil commodity.  The price gets bid up, based on no need or want or to use it for creating further production.  The Producers who use oil as an input to create production have a higher input cost.  Speculation should only be done by Producers who use the commodity speculated on to further the creation or enhancement of production.  The counter-producer-speculator-parasite sells the commodity and walks away with huge profits while contributing no production at all in exchange for the money.  The higher cost of oil products are felt throughout the society.  “The counter-producer-speculator-parasite is sucking the energy out of the society.” This counter-producer parasitic activity can be felt by all the Producers in the society.  Their energy is being stolen away.

We see recessions and economic collapses occur because counter-producer-speculator-parasites have stolen huge quantities of energy from the Producers, families, organizations, societies, nations and mankind.  This occurred in the early 2000’s.  It caused the economic collapse in 2008.  This also caused the Great Depression.

The counter-producer-speculator-parasite further damages the economic system by using this out-exchange money to place a demand on the Market further increasing the prices of all other commodities, trades, goods and services on the Market.  He further damages the economic system by using his out exchange money to run lies, deception and propaganda promoting and justifying his methods of taking money without an exchange for it.  He also uses this out-exchange money to take over and control the political system where he further robs and enslaves the Producers.

The Producers find themselves working harder and receiving less in return while carrying the counter-producer-speculator-parasite, money expander, capital destroying Capitalist, Fascist and the Communist on their backs.   The above groups of non-producer and counter-producers have as their purpose and sole purpose to extract money, value, energy, wealth, capital and power from the Producers.

The Producers have established the money unit as the symbol for value, energy, wealth, capital and power.  They create this value, energy, wealth, capital and power through the production of commodities, trades, goods and services.  The Producers create the value, energy, wealth, capital and power a society and a Nation operates with.  We need to produce a Quality Control System where we take full control and responsibility for the economic system we create every day as we produce prosperity for ourselves, families, organizations, societies, nations and environments.  We are the producers and creators of the economic system.  We must become the creators of a system of control where the non-producers and the counter-producers remain outside of the economic system.  They have chosen to function on the outside sucking the energy out of the economic system.  Let’s let them be out there without any money, value, energy, wealth, capital and power unless they exchange self- produced commodities, trades, goods and services for any money, value, energy, wealth, capital and power received.

Producer Rewarded Open Market Economics
The Science of Economics
By: R P Obrigewitsch
August 3, 2012

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Friday, August 3rd, 2012 Constant Money Supply No Comments

6. Review

Revised November 14, 2013

An Economic System is really and exclusively made up of Producers.  The Producers create the Economic System and operate it.  They create prosperity for the societies.   Any non-producer or counter-producer activity is destructive to Economic Systems and prosperity.  The non-producers and counter-producers destroy prosperity for themselves, Producers and societies.

Producers are in or inside the workings of a prosperous economic system.  They create and generate the energy for the economic system.  They give it life and prosperity.  They apply the rules or Axioms of Economics to the economic system.  The non-producers/counter-producers are outside of the economic system, they take the energy out of the system and destroy the system.  They refuse to apply or use rules or the Axioms of Economics in economics.  Economic systems with the presence of non-producers and counter-produces are receding systems.  These economic systems sink into recessions and depressions.  The non-producers and counter-producers take the life and prosperity out of an economic system.

We will look at economic systems and review how they came into existence through the directed energy thrusts of the Producers.

We have seen the evolution of how money value is created and backed.  We have also seen the importance of maintaining a Constant Money Supply.  Let’s review the evolution of the economic model.  The economic model is a step by step evolution on how money is created and why it is important to maintain a Constant Money Supply.

First:  There are individuals in a group of people producing commodities, trades, goods and services.

Second:  The people in the group need and want each others commodities, trades, goods and services.

Third:  At first these commodities, trades, goods and services were exchanged in ratios to each other among the members of the group.  This is called bartering.

Fourth:  These ratios define the exchange rates or exchange values of the commodities, trades, goods and services.

Fifth:  It became apparent that a symbol was needed to represent the exchange value of the commodities, trades, goods and services.  A medium of exchange was developed.

Sixth:  A symbol was created to represent the exchange value and it was called money.  This symbol became the medium of exchange and it is used in trading commodities, trades, goods and services on the Open Market.

Seventh:  This symbol represents the exchange value of commodities, trades, goods and services, in defined terms, called money units.

Eight:  Continued production creates more exchange value and this exchange value backs the symbol called money.  The exchange value gives money its value, energy, wealth, capital and power.

Ninth:  Increasing production increases the exchange value inherent in each money unit and in the money supply.

Tenth:  It became obvious that when the money supply is held constant the Constant Money Supply standardizes the money unit as a unit of measure.  This standardized unit of measure is used to estimate, assess or ascertain the exchange value of commodities, trades, goods and services.  It is also discovered that the economic system becomes secured and standardized when the money supply is held constant.  A Constant Money Supply provides security preventing the transfer of exchange value, money value, energy, wealth, capital and power away from the Producers without an exchange returned for it.  A Constant Money Supply prevents the non-producer and counter-producer from stealing the value, energy, wealth, capital and power away from the economic system and from the Producers of the value, energy, wealth, capital and power.

There are standardized units of measure for length, weight, volume etc.  These standardized measures allow the Producers to function efficiently.  These standardized measures lend efficiency to the Open Market and the economic system.  They protect the Producers of the commodities, trades, goods and services against the non-producers and counter-producers.  It is unimaginable to conceive a society or an economic system without standardized units of measures for length, weight or volume.  It is also hard to conceive an economic system without a standardized unit of measure for exchange value, the money unit.  The money unit must be standardized in order for Producers, families, organizations, societies, nations, mankind and the environment to prosper.

There are very few if any Constant Money Supply nations or economic systems remaining on the planet today.  The lack of Constant Money Supply nations and Economic systems is the source of much of the economic turmoil experienced on the planet today.  In an economic system lacking a Constant Money Supply, the non-producers and counter-producers have a field day expanding money supplies.  As they expand the money supply they steal the exchange value straight out of the money units, already in existence, and out of the economic system.  They steal the value, energy, wealth, capital and power out of the economic systems.  A lack of a Constant Money Supply gives non-producers and counter-producers a huge opening into the economic system and into the wallets and purses of the Producers.

A nation or economic system lacking a Constant Money Supply is like having a bank without doors, windows or walls.  The non-producers and counter-producers have almost total free rein in stealing the exchange value, energy, wealth, capital and power out of the money units and out of the economic systems as they expand the money supply.

A nation or an economic system with a Constant Money Supply is like having a bank with very secure doors, windows and walls along with absolute explosive proof vaults.  The non-producers and counter-producers have no access to money by expanding the money supply.  They are sealed out of the economic system and out of the wallets and purses of the Producers.  The only way they can have access to money is when they become Producers.  They become Producers by creating commodities, trades, goods and services and marketing these commodities, trades, goods and services on the Open Market in exchange for money units.  This is the only way anyone can be in an economic system.

Eleventh:  Gold was settled on as the most stable material to use when creating a Constant Money Supply.  It is fairly rare.  It is difficult to bring more gold into existence, making it difficult to expand the money supply.

After the money unit concept came into practice another problem developed.  That problem was, “How are we going to find a money unit symbol that is set at a specific number of money units in circulation at one time?”  Gold was eventually settled upon.  Gold wasn’t 100% set at a specific number of money units but it was as close as they could get at the time.  There are no absolutes in this universe.  Gold was used because it was as close as they could get as an absolute for maintaining a Constant Money Supply.  Establishing a Constant Money Supply with gold created a high level of stability and consistency in the money unit and the economic system.

There are times when the supply of gold was not held constant.  This caused economic collapses to occur. There are examples of where the gold money supply was expanded causing failed economic systems.

After Spain’s discovery of South and Central America, they brought huge sums of gold over to Spain from the Americas.  Their gold money supply was greatly expanded.  The expansion, of the gold money supply, lead to a great inflation.   Spain invested this new gold into building a great Navy and military power, leading to an economic collapse in Spain.  (This is taken from the History of Economics publication.)

It is noted here that over-spending on military is counter-production.  It is destructive to the society that has to carry such a heavy burden.

Gold had been used to maintain a Constant Money Supply.  In Spain the Constant Money Supply construct was violated.  This became an instance of non-producers and counter-producers stealing the value out of the money units in circulation, transferring the value to the new introduced gold.  This led to a great devaluation of the gold in Spain and a failed economic system.  Non-producers and counter-producers took much value out of the gold by expanding the amount of gold in circulation without exchanging production for it.

The Producers over time developed economic systems.  Step by step, they brought economics systems to more efficient, secure, standardized and prosperous levels.  Unfortunately the non-producer and counter-producers continued to follow along, covertly and overtly, developing destructive methods used to steal the money value, energy, wealth, capital and power out of the economic systems and from the Producers.

The technology developed here in Producer Rewarded Open Market Economics has given us tools we can use to create a prosperous economic system.  We can also use this technology to protect and secure the Producers and their production.  This technology can be used to standardize economics systems and money units.  Applying the technology of Producer Rewarded Open Market economics will bring about efficient and secure prosperous economic systems where the Producers can prosper; where families can have a bright and secure future; where societies can grow and expand in prosperity; where Nations can live and exist side by side without the presence of war or the threat of war.  Mankind can have a future filled with hope and prosperity.  We will find environments free of the poisons and destruction laid down by the non-producers and the counter-producers.

Producer Rewarded Open Market Economics
The Science of Economics
By: RP Obrigewitsch
July 22, 2012

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Sunday, July 22nd, 2012 Constant Money Supply No Comments

5. Creating Money

Revised November 14, 2013

It is important to note: The Producers who create the products create the exchange value and production value the money unit symbol represents.  The exchange value and production value is transferred into money units during the process of Marketing.  Since Producers have created the exchange value and production value they now own the money units.  They have created the value inherent in the money units received when marketing the commodity, trade, good or service.  You could say they “created the money.”  This money was created at the precise time the commodity, trade, good or service was created.  The Producer exchanges the commodity, trade, good or service on the Open Market, transferring product value to the symbol called money.  In essence the Producers are creating money when they are creating commodities, trades, goods and services and exchanging them on the Open Market

We can say; “The Producer producing one thousand (1000) dozen eggs per day is creating two thousand (2000) money units of exchange value per day.  The Producer producing ten (10) coats per day is creating two thousand (2000) money units of exchange value per day.  The Producer producing five hundred (500) gallons of milk per day is creating two thousand (2000) money units of exchange value per day.  The Producers producing five (5) computers per day are creating five thousand (5000) money units of exchange value per day.  The Producers producing one (1) car per day are creating thirty thousand (30,000) money units of exchange value per day.”  The exchange value of every commodity, trade, good or service produced by any of the Producers, in the realm of mankind, can be expressed in terms of money unit value when marketed on a Market. Only when commodities, trades, goods and services are marketed on the Open Market, open to all on equal terms, is the true and correct money unit value achieved.

It can be seen: All money is created by Producers (Workers and Laborers) who create commodities, trades, goods and services.  These products have exchange value.   The money symbol represents this exchange value.  Money with an absence of production does not exist.  It would have no exchange value.

Money is a material object.  In order for money to exist with value, energy and power it must have production taking place.  This value, energy and power is transferred to the money from the production.  The transfer takes place during the exchange of products for money on the Open Market.

As the Producers produce daily, they produce the exchange value and product value which backs money and gives money its energy and power.  Money is created through and backed by production.  With the absence of production, money has no power, energy or exchange value.  Money has no backing.  The production level of a society as a whole backs the value which is inherent in the money units and the money supply.  The production level of a society gives the money its value.  The money value in a society fluctuates with the production level of that society.

When production enterprises are moved from one Country to another Country, money power and value are lost to the Country moving the production enterprises out.  The country receiving the production enterprises gains money power and value.  This is what has been happening for the past 30 to 40 years in the United States.  Production enterprises have been moved to foreign countries.  These foreign counties have been gaining money power and value.  The United States has been loosing money value and power.

The power, energy and wealth of a Nation is directly tied to its production level, money value and money power.  The Nation moving production enterprises to foreign countries is literally transferring National and International Political Power to the foreign countries.  The United States has been transferring its’ Power to foreign counties.  The United States has been loosing Power and the countries where the production enterprises have been transferred have been gaining Power.

When the production level of a society is high, and the Producers are being rewarded for their production and the money supply is held constant, the money value of the society is high.  When the money supply is expanded money value is lowered.  When production level is high and non-producers and counter-producers are taking money with no exchange for it the money value declines.  When production levels are low the money value is low.  Any non-producer/counter-producer, out-exchange, activities lead to lower money value and lower production levels.

The act of creating money, value, energy, wealth, capital and power is done by the Producers who are also Workers and Laborers.  All money is created through and by some form of work and labor.  All wealth is created through and by some form of work and labor.  All capital is created through and by some form of work and labor.  There are no exceptions.  Labor gives a Nation its’ wealth.  Adam Smith discusses this in his Wealth of Nations book, published in the late 1700s.

There are three basic forms of Work and labor.  Work and Labor is achieved through; (1.) predominantly physical action, (2.) through a combination of physical action and mental action (3.) and/or through predominantly mental action.  These are all forms of work and labor.

Management also creates money, value, energy, wealth, capital and power.  Management uses a form of work and labor to create money, value, energy, wealth,  capital and power.  Management for the most part uses the mental action form of work and labor.  Management, despite its hate and attacks on producing workers and laborers, uses a form of work and labor to create money, value, energy, wealth, capital and power.  The money management receives in pay represents the value, energy, wealth, capital and power management created during production.  If management receives money, value, energy, wealth, capital and power without using any of the three activities of work and labor it is out-exchange.  Management is stealing money, value, energy, wealth, capital and power from the producing workers, laborers and the producing managers.

There should never be an antagonistic relationship between the producing laborers and the producing managers.  Both groups use some form of work and labor to produce commodities, trades, goods and services.  They exchange the commodities, trades, goods and services on the Open Market for money, value, energy, wealth, capital and power.  The solution is to pay all producing laborers, labor and management, the correct amount of money each one has created through the actions or activities of production.  All producing laborers are both management and labor working together in concert to fulfill their purposes of prosperity.

There are counter-producers who pass themselves off as managers and as laborers.  They need to be removed from producing enterprises.  Counter-producers cause much damage if allowed to exist in a producing organization.  They will destroy prosperity for themselves along with the prosperity for all producers, manager laborers and labor laborers, in a production Organization.  I have seen this in actual practice.  It is not an uncommon phenomenon.  Producing managers and producing laborers tend to have pity on these counter-producers or have fear of them and allow them to exist in the organization.  Then they can’t figure out why the organization continues to fail.

When an organization is failing look around and you will find counter-producers and non-producers sucking the energy out of the organization.  You will find counter-producers thrusting forth destructive actions that stop, impede or destroy the organization.  Don’t have pity on them. Simply remove them from the premises.  Don’t fear them for they are cowards and will turn tail and leave the area when they are exposed and when the  correct force and action is turned on them.

The counter-producer managers have for many years looked down on Labor.  They have made the word labor into a bad word.  They have kicked producing laborers around.  They have pushed producing laborers toward slavery and at times have enslaved the producing laborers.

Counter-producers in management have used this antagonistic attack on labor as an aid to take money, value, energy, wealth, capital and power from labor without production exchanged for it.  This attack is made in order to push the creators of the money, value, energy, wealth, capital and power down toward slavery and steal the money, value, energy, wealth, capital and power the producing labors have created.  There are those in management who would attack labor as a way to discredit laborers.  They are attacking and discrediting labor so labor won’t place a claim on the money, value, energy, wealth, capital and power the producing laborers have created.

Creating money, always, no exceptions, requires some form of prosperity directed action or activity.  The activity is either predominantly physical, predominantly mental or a combination of the two.  If one is receiving money without some form of prosperity directed action or activity that results in an exchangeable commodity, trade,  good or service that person is out-exchange.  That person is stealing money, value, energy, wealth,  capital and power.   It is being stolen from the producing laborers and producing managers who use prosperity directed actions and activities resulting in production.  All money, value, energy, wealth, capital and power is created through and by producing laborers and producing managers.  All production requires some form of work and  labor, be it work and labor from the conventional Laborer or work and labor from the conventional Manager.

Producer Rewarded Open Market Economics
The Science of Economics
By: RP Obrigewitsch
July 13, 2012

 

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Friday, July 13th, 2012 Constant Money Supply No Comments

4. Money Symbol

Revised November 14, 2013

The symbol called money was invented and put into use in order to simplify and standardize exchange value.  The money symbol also led to the simplification and standardization of the economic system.  It became apparent that when the supply of money units was held constant the economic system became very stable and prosperity increased.

This money symbol is usually printed and coined by governments.  Paper is the most common form of material used for the printed money.  Metal is the most common form of material used for coining money coins.  Money is a symbol that can be carried and counted conveniently.  The money symbol not only simplifies the complex problem of defining exchange value of products and services in terms of each other, it standardizes economic systems.

The money symbol is nothing more than paper and metal until a universal agreement is made by the Producers to have this paper and metal represent the exchange value that production by mankind has created.  This agreement is made and maintained every time each one of us uses this symbol when exchanging it for commodities, trades, goods or services.  The Producers have created this agreement.  They create the commodities, trades. goods and services and thus agree to use the money symbol to represent the value present in the commodities, trades, goods and services they have created.  When this agreement is made, we can say the person who created the commodities, trades, goods and services also creates the exchange value and production value which money represents.  Without a product, exchange value and production value do not exist.

The person who created the product which has the exchange value has in effect created the money that represents the exchange value.  The person who created the production has also created the agreed upon reality of: The money symbol represents the value of the commodities, trades, goods and services he has created.  Money without exchange value is not money at all but a piece of paper or a piece of metal.

The Producer is the initial creator, of the reality, of a money symbol representing exchange value for commodities, trades, goods and services marketed on the Open Market.  The non-producer and counter-producer came along later with their out-exchange ways to take money without an exchange for it.

Let’s look at exchange value expressed in money units.  We will start by having one dozen eggs equal to two (2) money units in exchange value.  We will have one gallon of milk equal to four (4) money units in exchange value.  One coat could have an exchange value of two hundred (200) money units in exchange value.  One computer could have an exchange value of one thousand (1000) money units and one car has the exchange value of thirty thousand (30,000) money units.  As can be seen, this is a system where all products created by mankind are now having their exchange values defined in terms of money units, a medium of exchange, instead of in terms of each other.  This has made a much more refined and efficient system in dealing with exchanging products that one produces for products that others have produced.

Producer Rewarded Open Market Economics
The Science of Economics
By: RP Obrigewitsch
July 7, 2012

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Saturday, July 7th, 2012 Constant Money Supply No Comments

3. Medium of Exchange

Revised November 13, 2013

This article is the third article in the series of articles covering Axiom four, “Maintain a Constant Money Supply.”

A medium of exchange began to be needed and wanted in order to make the transfer of production value more efficient and practical.

With the absence of a defined money unit, we found products being traded in ratios to each other by the Producers to satisfy their needs and wants or demands.  This was the system of exchange in economics before the money unit was conceived and developed.  The money unit became the medium or intermediate step where value could be transferred during the sale of products on the Open Market.  The money unit with its newly transferred value could be used to purchase other products.  The symbol of the money unit, used for the value transfer, has had many forms down through the ages.

Production Value is the exchange value commodities, trades, goods and services have in relation to each other when exchanged on the Open Market, a Market that is open to all on equal terms. 

 Value is importance, worth or usefulness of a commodity, trade, good or service.  Competition among commodities, trades,  goods and services on the Open Market establishes the importance, worth or usefulness of each commodity, trade, good and service.  This competition is propelled by the forces of demand.  The needs and wants, placed in terms of demand, thrust forth by the Producers, establish the importance, worth or usefulness of commodities, trades, goods and services.  Competition on the Open Market along with the demands of the Producers gives commodities, trades,  goods and services their value.

Demand is a directed force put forth by Producers driving the competition on the Open Market.  The competition doesn’t just happen by itself; it is driven by a directed generated energy force.  This directed energy force is created by Producers.  It is an energy force directed in the direction of prosperity.  This force gives the Open Market its life.  The Open Market is like a living entity driven by the directed demand energy created by the Producers.

You could say the Open Market is like a living entity.  The Open Market gets its energy from the Producers.  This energy comes from commodities, trades, goods and services marketed on the Open Market and from Producer directed demand forces.  The Open Market is living, it is dynamic.  Producers create the Open Market by placing their commodities, trades, goods and services on the Open Market.  They then generate demand energy which they use to direct the competition among commodities, trades, goods and services.  Producers put life into the Open Market.

When non-producer and counter-producers enter into a Market they pull energy out of the Market.  They pull the market into recessions and depressions.  They pull the life out of the Market.  They suck the energy out of the organizations, societies, nations, mankind and the environment.

When the Market is broken down to its basic terms; we are really exchanging energy for energy.  When a non-producer or counter-producer enters into a Market they suck the energy from the Market.  They take commodities, trades, goods and services out of the Market without exchanging self-produced commodities, trades, goods and services for them.  They in effect take energy out of the Market without replacing it with energy of their own.  This act drains the Producer, families, organizations, societies, nations, mankind and environments of energy.  It brings about a state of economic decline and puts Producers, families, organizations, societies, nations, mankind and environments on a path receding away from prosperity.

There is only one true Market.  That true Market is the Open Market, open to all on equal terms.  Whenever non-producers and counter-producers enter into an Open Market even very slightly that Market is no longer open to all on equal terms.  It is a Market with a negative energy flow.  That energy flow is out of the Market.  This gives a receding economic condition.  When we have a true Open Market energy is flowing into the Market.   This gives a prosperous economic condition.  It is very important to maintain a Market where energy is flowing into the Market.  This leads to prosperity.

The Standardized money unit is the constant unit of measure that represents production value.  It also represents energy, wealth, capital and power.

A Constant Money Supply standardizes the money unit as a unit of measure for production value and Producer generated energy.  It is very important to maintain a Constant Money Supply. A Constant Money Supply gives a positive energy flow in the Open Market and maintains the Market as an Open Market.

An expanding money supply is a money supply that is not held constant. An expanding money supply causes a negative energy flow in the Open Market.  Money received by expanding the money supply without placing production on the Market causes a negative energy flow away from the Market. In this case the energy flow is from prosperity to recessions.  The economic conditions for individuals, organization, families, societies, mankind and environment are on a declining path.  Expanding money supplies destroy Open Markets and prosperity.

When the value of the dollar was floated in 1971 it was taken off the Gold Standard.  The money unit was floated.  Then the money supply could be expanded by a Central Bank at the whim of the operators of the Bank.  The dollar was now not standard.   It was no longer a standardized unit of Measure.  The result for the United States is an economic system that is no longer standardized.  Today this economic system is operating with a money unit whose value is altered anytime the central bank expands the money supply.  The Gold Standard was removed, as a way to maintain a Constant Money Supply.  The removal of the Gold Standard allowed the money supply to be expanded by the Central Bank.

Before 1971 the money supply was held constant by defining each ounce of gold to be equal to 35 dollars.  The amount of dollars allowed to be in circulation was equal to 35 times the number of ounces of gold held in a vault.

Expanding the money supply is like allowing the Meter or Pound to be arbitrarily changed in size and weight.  This would be allowing these standardized units of measures to change over time.  This would cause chaos throughout the societies.  Floating a money unit, instead of holding it as a constant unit of measure, is an idea made by counter-producers and non-producers.  From the moment they float the money unit, and from then on, they can continue to steal their money value, energy, wealth, capital and power from the Producers by expanding the money supply.  There is a belief that money supplies must be expanded to maintain economic well being.  When Producers and only Producers of the money are rewarded, money supplies can be held constant and the economic systems move toward more prosperity.  Expanding money supplies rewards non-production and counter-production.

A Constant Money Supply maintains a very stable Medium of Exchange

 Money, as the Medium of Exchange, is the intermediate step used during the exchange of commodities, trades, goods and services on the Market.

When money came into existence, money added a step in the exchanging of commodities, trades, goods and services on the Open Market.  Instead of exchanging commodities, trades, goods and services directly for other commodities, trades, goods and services; the commodities, trades, goods and services were first exchanged for money.  The value of the commodities, trades, goods and services was transferred to the money unit.  The money unit was then used to exchange for other commodities, trades, goods and services.  Value contained in the money unit was then transferred to another Producer for his/her commodities, trades, goods and services. This is when the money unit became the standardized measure for the value of commodities, trades, goods and services.  This is why it is very important to maintain a Constant Money Supply.  When the money supply is not held constant but allowed to expand, the money unit as the Medium of Exchange loses its standardization.  When the money unit loses its standardization economic systems get destroyed.

 It is much easier to transfer production value to a money symbol, a Medium of Exchange, than it is to transport commodities, trades, goods and services around to make exchanges directly among them.   Once the product value is transferred to the money symbol, the Medium of Exchange, it is much easier to make purchases of other Producer’s commodities, trades,  goods and services. The concept of a money unit came into existence to act as an intermediate step during the exchange of commodities, trades, goods and services.

Commodities, trades, Goods and services must be exchanged on the Open Market in order to determine the correct production value for each commodity, trade, good and service.  When commodities, trades, goods and services are exchanged on a Market that is not an Open Market, not equal to all on equal terms, production value will not be correct.  For example; in Markets where monopolistic practices are allowed, the production value created through a monopolistic individual or organization will usually be incorrectly higher.  Monopolistic practices are a form of rewarding non-production and counter-production.  Rewarding non-production and counter-production will lower money value.

Only where all Producers are in the Market on equal terms and only Producers are allowed to participate in the Market will the production value of all commodities, trades, goods and services exchanged on the Open Market be correct.

Rewarding non-production and counter-production places more money in circulation in relation to commodities, trades, goods and services on the Market.  This leads to fewer commodities, trades, goods and services being on the Market in relation to money in circulation.  The money value goes down as the non-producers and counter-producers bid up the prices of the existing commodities, trades, goods and services on the Market.  When money is given to non-producers and counter-producers they are taking money without placing commodities, trades, goods and services on the market.  This causes more money to be in circulation.  This money is found in the pockets of non-producers and counter-producers.  They use this money to bid up the prices of commodities, trades, goods and services on the market.  This will cause money to lose valueIt requires more money to purchase the same products.  Inflation is the result of having fewer commodities, trades, goods and services on the Open Market in relation to money units in circulation.

In conclusion; during Marketing, value is transferred from commodities, trades,  goods and services to the medium of exchange measured in money units.  Money units become packets of value and can be much more easily transported over distances and used to purchase other Producers’ production. The money unit, used as a unit of measure along with a Constant Money Supply, increases the efficiency of and standardizes the economic system.  A medium of exchange composed of money units was established.  This medium of exchange becomes standardized when the money supply is held constant.

Producer Rewarded Open Market Economics
The Science of Economics
By R P Obrigewitsch
June 29, 2012

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Friday, June 29th, 2012 Constant Money Supply No Comments

2. Production and Prosperity

Revised November 13, 2013

Production is the basic thrust of all mankind toward prosperity.  Production and prosperity go hand in hand.  Production by the Producer creates or generates prosperity.  Production enhances the prosperity of the Producer.  Production increases the Producers ability to exist.  The prosperity thrust of the individual demands production take place to forward the individual in his quest to exist.  This production has exchange value.  This exchange value is determined or generated by the needs and wants (demand) of each producer in the societies.  This exchange value is found to be inherent in what the individuals of each society have agreed to be defined as “their” money unit.

We will examine how money is created through production.  If one person produces milk, another person produces eggs, another produces coats, another produces computers and another producers cars.  We then have these people producing in their specialties.  Each of these Producers needs and wants (demands) the production created by the other Producers.  Each Producer needs and wants (demands) the production of other Producers for his or her prosperity, consumption or esthetic admiration and/or pleasure.

Producers have developed a system of exchange among themselves to accommodate their demands for each others production.  At first a barter system was set up where producers traded commodities, trades, goods and services with each other based on the value they assigned to each commodity, trade, good and service.  The value was generated by the amount of commodities, trades, goods and services available in respect to the demands for the commodities, trades, goods and services.  If there was an abundant supply of a specific good and the need was low for it, the demand was low.  A low demand would give a lower value for that good.  If there was a low supply of a specific good or service and the need for it was high, the demand would be high.  A high demand would give a high value for that good or service.

From this working together of need, demand and supply, the Producers worked out an exchange ratio among all commodities, trades, goods and services on the Market.  This ratio is the exchange relationship among all commodities, trades, goods and services on the Market.   The exchange relationship shows the number of times the value of one commodity, trade, good or service is contained within the other commodities, tradies, goods and services on the Market.  This is called the exchange rate.

We may find one hundred dozen eggs being traded for one coat, two dozen eggs being traded for on gallon of milk, fifty gallons of milk being traded for one coat, five hundred dozen eggs being traded for one computer, two hundred gallons of milk being traded for one computer or ten computers being traded for one car, etc.  These are the trading ratios which are being used by the Producers to achieve equity in product value when trading their products directly.  These ratios have established exchange value in terms of one product to another.

From this information or data it can be deduced that products have exchange value, generated by demand from Producers, which can be defined in terms of all other products.  In fact, all products created by Producers, throughout mankind, have exchange value which can be defined in terms of each other.

For example; one dozen eggs is equal in value to one/one hundred (1/100) of a coat.  One coat is defined to equal one hundred (100) dozen eggs in value.  One car is defined to equal one hundred (100) coats or ten thousand (10,000) dozen eggs or five thousand (5,000) gallons of milk or ten (10) computers.  We could define the exchange value of all production based on each product and determine how to exchange commodities, trades, goods and services based on that specific product.  The selected product could be dozens of eggs.  We could determine the exchange rate of all products based on the value of dozens of eggs.  As we can see this would be very unworkable.  The egg production would go wild. Everyone would be growing eggs as a short cut to having money.  This would lead to a constantly expanding medium of exchange (eggs) and a collapsed economic system.

Do you see how the value of commodities, trades, goods and services are determined on the Open Market?  One could go on and complete tables and tables defining the exchange value of each product produced by all members of mankind in terms of all other products produced by all of Mankind.  This becomes a very, very bulky and unworkable system.  We need some sort of simplification and standardization here.

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
Revised November 13, 2013

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Thursday, June 14th, 2012 Constant Money Supply No Comments

1. The Constant Money Supply

Revised November 13, 2013

The Constant Money Supply Construct is the fourth Axiom in Economics.  The first Axiom in Economics is; ALL MONEY IS CREATED THOUGH AND BACKED BY PRODUCTION.  The second Axiom in Economics is; THE PEOPLE WHO CREATE THE PRODUCTION OWN THE PRODUCTS AND THE MONEY RECEIVED FOR THE PRODUCTS WHEN THEY ARE EXCHANGED ON THE OPEN MARKET.  The third Axiom in Economics is; MAINTAIN AN “OPEN MARKET, OPEN TO ALL ON EQUAL TERMS,” NO EXCEPTION.

In this article and subsequent articles on the Constant Money supply, we will discuss the fourth Axiom in Economics.  MAINTAIN A CONSTANT MONEY SUPPLY.  A Constant Money Supply is a money supply that remains the same or unchanging.  The number of money units in circulation remain the same or unchanging.    

A Constant Money Supply standardizes and stabilizes economics systems.  It lends efficiency, stability and prosperity to production, producers, organizations, societies and nations.  A Constant Money Supply gives efficiency and stability to the Banking and Finance industries.  A Constant Money Supply places a rock solid foundation under economic systems, Producers, families, organizations, societies, nations and mankind.  Producers gain confidence and moral strength when the money supply is held constant.  A Constant Money Supply gives predictability and prosperity to Producers.  Incentives to produce and be a Producer are increased and enhanced.

Money is the symbol that represents exchange value.  This exchange value is generated through the production of commodities, trades, goods and services.  When these commodities, trades, goods and services are exchanged on the Open Market, the symbol called money is used to represent the exchange value of the marketed commodities, trades, goods and services.  A Constant Money Supply standardizes and stabilizes this phenomenon of money units representing the value of the produced and marketed commodities, trades, goods and services.

Producer Rewarded Open Market Economic
The Science of Economics
By RP Obrigewitsch
Revised November 13, 2013

 

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Thursday, June 14th, 2012 Constant Money Supply No Comments
 

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