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'''Transfinancial Economics,or TFE is a concept for economic and financial reform developed by Robert Searle.
The following is a brief paper which also appears in a respected academic book edited by Dr Debesh Bhowmik. It is entitled ''An Approach Towards Central Bank Digital Currency'' published by Kunal Books, New Delhi, 2022. In Chapter4 the material below is presented. Also, it should be mentioned that a paper published in 2016 entitled ''Orthodox Monetary Theory: A Critique From Post-Keynesianism and Transfinancial Economics'' by Dante A. Urbina appears in a book called ''International Monetary System. Past, Present, and Future'' Regal Publishing, India. RS
'''            
             
             


             
'''An Introductory Note.'''


At the time of writing this entry (January 2009)the existing kheper essay, or "paper" on TFE has not been updated due to a problem with the webmaster. This may change soon. It should also be said that it gives a somewhat "crude" understanding of the electronic inflation controls in comparison to what is presented here. TFE is also nearing basic completion, and new ideas may be added to it.
== FUTURISTIC ECONOMICS FOR THE 21ST CENTURY? ==
by [[Robert Searle]]




[http://www.kheper.net/essays/Transfinancial_Economics.html]
=== Abstract ===


TFE should be treated as an invention rather than a political football. Updates concerning research progress can on occassion be found at the global justice movement.net discussion group.
''The following is in brief concerned with the very basics of an emerging paradigm known as Transfinancial Economics or TFE. It can be seen as a form of Keynesian Economics. Basic to it is the huge relevance of the use of computers and information technology in finance. This would act as a means of notably influencing the economy towards a more ethical, and greener environmentally friendly economy as never before. Many will regard TFE as being similar to Modern Monetary Theory or MMT which has gained a large amount of publicity in recent years. However, the latter is regarded as being a precursor and possible stopgap to TFE which is far more advanced. At the time of writing what follows is still “work in progress”. Of course, it raises many questions which may be answered in the near future such as TFE’s connection with exchange rates and of course the possible emergence of Central Bank Digital Currencies, or CBDCs.''


[http://globaljusticemovement.net/pipermail/discussion_globaljusticemovement.net/]
Keywords: Transfinancial Economics, Modern Monetary Theory, Inflation Taxation, Digital Price Controls, Climate Change


JEL Classification Codes: E42,F33,F65,G00,O3,Q54


'''TFE in a Nutshell'''
=== 1. Nationwide Electronic/Digital Price Controls ===


Transfinancial Economics or TFE believes that taxes, and interest on loans are no longer necessary in the 21st century.It realizes too that money itself is essentially electronic information transmitted from one bank account to another. This means that with the right programming it could be directly controlled in special ways. In the future it would be possible to have these transactions largely identified by special ID Codes.  
Essentially, Transfinancial Economics or TFE believes notably that new unearned repayable and non-repayable money can be digitally created ex nihilo and phased into the economy safely without leading to uncontrolled levels of inflation or indeed hyperinflation. This is simply done with the aid of highly flexible electronic digital price controls used for nearly every kind of financial transaction in real time. Thus, if there is a concern about some rise in the prices of certain goods and services these could be digitally capped temporarily. This would be an instantaneous process and could occur automatically in any part of the economy. This could be undertaken with the help of supercomputers or more likely by quantum computers (Clegg, 2021).  


This would notably apply to most retail goods, and services in the entire economy. This would mean that prices could be instantly checked at transaction, and transmitted via modified barcodes to the banks computers which would undertake instant inflation checks. With a largely accurate, and more scientific comprehension of the "content," volume,and velocity of transactions of the entire economy it would be possible with special computer programming to know how much new non-repayable money could be created, and transmitted at zero, low, or high inflation risk.  
Of course, such digital price controls are not the ideal way of doing things but they are better than nothing. Some form of compensation could be created for retailers if desired. However, it must be stressed here that with the right algorithms the market price is allowed to change naturally as much as possible. Whether we like it or not most of the money exists as digital data in a bank. It is used in any number of transaction but “real” money like cash and coin can still be used (unmonitored or possibly monitored in some way) but it would make up only a tiny fraction of the overall economy, and hence, would have near zero significance in our understanding of the whole economy. This is an important but basic point to understand.  


At present, the above could only be achieved with to a very limited extent with little, or no serious inflation via "indirect" Economic Indicators. In TFE though we can produce a far more accurate macroeconomic account(so to speak) of the electronic workings of the economy so that new non-repayable money can be created, and transmitted successfully.  
Also, in connection notably with vital climate change projects a legally binding agreement should ideally be undertaken to use certain algorithms to track funding. They could detect and instantly ” freeze” in real-time any money that may be involved in fraud.


However, just in case things were to go awry, there are a whole array of direct electronic inflation controls which are far more flexible, and advanced than price controls of the past.All this is revolutionary because it would mean essentially that:-
=== 2. Big Data and Real-Time Economics/The Uncloaking of the “Invisible Hand”. ===


a)New non-repayable money (largely monitored or otherwise, and possibly paid in instalments electonically)would be able to successfully increase productivity, and prosperity for businesses, and the public in a continous fashion. As such economic growth would also be able in the main to deal with consumer demand.
As one might well realize it would be possible to understand the entire economy in real-time (or near real-time). This colossal accounting data would be created 24/7 with virtually every transaction notably using barcodes, or something similar. The central Inflation Authority would be programmed to instantly check the inflation status of each product or service and if at all necessary instant temporary price capping may occur. Hence, a huge picture of the economy would be possible and could prove invaluable for future economists. Also, such incoming real-time economic indicators would be totally up to date and as such would have no long-time lags unlike conventional economic data.


b)Special financial incentives where necessary would ensure that businesses become genuinely sustainable, and environmentally friendly. Those projects which are commerciallly unviable but vital to the world would receive the necessary subsidies, grants, and interest free loans created ofcourse out of new non-repayable money.
In spite of this though such information cannot fully rule out uncertainty in the economy. Yet, the data emerging instantaneously should at least give us a far better idea of how it is “working” and this could be important for decision-making. AI or Artificial Intelligence could also play a vital role in all this. Apart from identified transaction data there are what are referred to as Faster Indicators. These use various types of economic activity to be factored in to give us an even wider understanding of the economy in real time (Salina, 2020; Haldane, 2018).  


c)Charities, or NGOs concerned notably with high ethical issues,(eg. transparency in government, and business, human rights abuses, direct democracy,fairer wealth distribution, etc) and humanitarianism (eg.food relief, AIDs research, heart disease, etc) would probably be fully funded without need for fundraising
It must be made clear that what we have been saying so far is a capitalist economy. TFE though can also be adapted into a socialist or communist type of economy because it can notably make central planning a lot easier and more likely to succeed unlike conventional economics. Indeed, Economic Cybernetics is an example of this kind of approach, and it is also possible in some future time to have an economy which is “completely” automated and where money is no longer necessary (Cockshott & Cottrell, 1993).


What follows is a more detailed enlargement of what has been stated here along with other relevant information.
The concepts of TFE are like those proposed by Clifford Douglas and his Social Credit Movement but they have the added dimension of using Big Data and instant digital price capping which did not exist in his time. If he were around today, he would have been impressed by the use of computers, smart phones, plastic cards, et al in developing a futuristic economy. Modern Monetary Theory or MMT is to some extent similar. It should be added too that the term “Social Credit” has nothing to do with the dystopian system of the same name in China (Heydorn, 2014).  


             
Finally in this section of this brief paper it should be said that in time the financial industry will hopefully be powered more and more by sustainable (non-fossil fuel) electricity, and it should be said too that it is possible
               
to have a high degree of commercial confidentiality in connection with the digital transaction data instantaneously going to the Inflation Authority 24/7 for specific businesses of one kind, or another.


=== 3. Maintaining the Value of Money in Real-Time. ===


=Tax Free, and Interest Free Monetary Reform=
TFE would be able to maintain the value of money in real-time at the point of sale (POS). For example, person T buys product A in a shop and its retail price is instantly checked for its inflation status. It is found to be above the inflation rate by 50p and the customer though has already spent this amount but is compensated for it digitally by having it recreated into his or her account. This is called Above Inflation Adjustment. In another instance, person T buys product C which is 30p below the inflation rate and it is the retailer who gets the extra 30p by a digital recreation of it in her or her account. This is called Below Inflation Adjustment. (McDermott,2004).


=== 4. Dynamic Pricing in Real-Time ===


This is a brief "non-technical" introduction to a "new" futuristic monetary reform. It is called Transfinancial Economics or TFE, sometimes called Non-Taxation Monetary Reform.  
Fintech is short for Financial Technology. It is a critical part of the TFE paradigm without which it cannot exist. A good example of such financial technology which exists now is Dynamic Pricing. Essentially, it can automatically deal with variable pricing due to changes in supply and demand. It has been successfully utilised in areas such as transportation, hospitality, professional sports, retail, and the like. Even Amazon uses it along with many other companies (Sharda, 2018). All this adds greater credibility to the idea of developing a genuine real-time economy on a national and ultimately international scale. Of course, it has to be realized and remembered that real-time data is used by financial markets around the world in which investors can keep an eye on the value of their shares, or securities. Traders can use such information to make “bets” on the rise and fall of prices of the various companies such as Apple, Google, Unilever, and many other lesser-known ones.  


It revolves around the concept that apart from earned money new non-repayable (ie.unearned) capital can be responsibly created, and transmitted (ie money is electronic in the main, and is sent electronically from one account to another) without taxation for democratic governments,and indeed, to a large extent fundraising by NGOs. This is a "revolution" in our understanding of money and the world. In the right hands, this concept could be one of the greatest breakthroughs of the 21st century and beyond.
=== 5. TFE and the Climate Change Emergency ===


However,there is arguably more than enough earned money to change the world. Ofcourse, it would be highly ethical for it to be more fairly distributed, or rather redistributed as understood in a genuine socialist system. Yet, most of us realize this is unlikely to occur in the immediate future..if at all.  
At present the greatest challenge facing humanity is the climate change emergency. Tragically, it seems highly likely that it will become irreversible (if it is not already). As such governments, Bigtech companies, and smaller businesses must try if possible to make serious efforts to create credible resilient adaption and mitigation projects on a scale never before known in human history. All this ultimately costs money. Hence, TFE. With this emerging paradigm it would be possible to create new money to fund credible and “feasible” green projects. Of course, investors could be invited to invest venture capital into such investments which could prove lucrative. Such projects may seem in some cases more like “science fiction” but now is the time to think outside the box otherwise we could see the global demise of the human race. It is simple as that. Climate change emergency is not just a physical challenge it is also a spiritual one of the highest order.  


As such TFE recognizes this, and believes that the best way forward is the responsible creation, and tranmission to governments, and NGOs of new non-repayable money circulated along with its earned counterpart. It is realized that greater financial empowerment lies with ''legal access'' to it when, and wherever there is a true need for it. The only other limits to success in such matters is effective planning, and relevant resources.
Here are a few examples of potential green projects which need to be undertaken (though some of them are in the making or have already been done but not on a scale ultimately necessary for human survival) and they include more solar and wind and solar power facilities; more factory plants and mechanical trees to suck carbon emissions out of the atmosphere; more electric cars; more advances in Nanotechnology in which atomic structures could create new materials in a world of limited resources; possible underground cities and even underground agriculture may be a required to some extent; natural solutions; sun dimming which may be necessary but a controversial move; more flood defences; more recycling centres and so on. At the same time with all this going on the likes of entrepreneurs such as Bezos and Musk can “wisely” continue with the possible colonisation of the moon and even mars (Gates, 2002; Carney, 2021).


In normal circumstances, the creation, and transmission of new non-repayable money could lead in time to hyperinflation. Yet, this is unlikely in the light of "new" understanding which will be explained later. All the same though advanced computer technology and programming could be developed, and then used to deal with this instantly, effectively, and directly.
=== 6. The Basic Differences between Transfinancial Economics and Modern Monetary Theory ===


Modern Monetary Theory is at the time of writing been in the public spotlight for several years and has attracted much public attention. It is similar to Transfinancial Economics or TFE. MMT claims that the government is the sole issuer of the national currency and can fund public expenditure and only raises taxation, if necessary, as a means of controlling inflation at some future date. In this respect, TFE is in agreement. Infact, something like MMT already exists. It is called Deficit Spending. This is when governments need more money and can borrow it and (or) create new amounts of it (Kelton, 2020). This of course works but only to a limited extent. Now, the key differences are:


a) TFE uses digital price controls to monitor and if necessary, cap the market price. These would cover the entire economy and not just tiny sections of it. MMT though would use taxation to control inflation instead but may ultimately use price controls.


'''Important to Grasp'''
b) Unlike MMT TFE has a very advanced understanding of the economy via Big Data in real-time whilst the former would probably largely rely on old outdated understanding of economics.


c) As MMT continues to create new money into the economy a point may be reached that too much money will circulate and could lead to not just gradual rises in inflation but to a sudden mass catastrophic state of hyperinflation. With TFE such problems are dealt with directly by digital controls that would instantaneously control the situation at a touch of a button or indeed happen automatically.


Before procceeding further it is vital to comprehend the following. There is ''no uncontrolled creation of new money'' unlike the cases of the Weimar Republic, the French Revolution, the Russion Revolution, the American War of Independence, et al. Rather it is notably targetted at productive social,economic, and political projects, and does not enter quickly into general circulation. This last point appears to be what happened in the past ultimately leading to devaluation of currency (ie. hyperinflation).  
d) Since TFE would have a far more accurate comprehension of the economy in real-time it can assess the potential inflation tax liability (possibly as an online sales tax) months or years ahead. On the other hand, MMT could find itself in a situation in which the overall inflation tax liability would be too heavy, and could even cause social unrest. Incidentally, it should be added that a tax rebate is possible in which the inflation taxation paid could be digitally recreated in full, or in part at a future date.  


Thus, there would  notably be a  gradual rather than a rapid rise in consumer demand which would largely be met by businesses who would expand fairly quickly because they would have the extra money, and indeed, the help if necessary(ie. interest loans, subsidies, plus commercial grants created out of carefully targetted new non-repayable capital)to cater for it. As such natural shortages of products, and services would probably not feature.
e) Unlike MMT TFE can adjust the value of money if necessary and instantaneously when products and services are bought in real-time at the point of sale (POS). This of course is when the inflation status is checked by the Inflation Authority. Thus, the purchasing power of money is largely or wholly maintained. This was explained in brief early on using two examples.  
 
Indeed, in TFE we would have a more accurate, and more scientific understanding of the entire economy as money is mainly electronic data being transmitted from one bank account to another. As such it would be possible with the right programming(tracking, and identifying most transactions electronically on a banks computer) to get highly accurate data about how much of an inflation risk the creation of new, and non-repayable money could be.In other words, enough could be created, and transmitted with little, or no fear of genuine economic "damage." This more scientific approach would be much more advanced, and accurate than the usage of present day Economic Indicators.
 
It is also important to understand that there is a huge amount of "non-repayable" money in the existing economy. For example....
 
A. Loans are created electronically out of thin air by banks. In other words, new money for the time being. Yet, loans  are repayable via the slow paying back of the new unearned capital with its earned equavalent. This  can be seen too as a means of reducing inflation levels as it is new extra capital into the economy.
 
B. Governments give huge/small grants of non-repayable money to their various departments, and projects. Yet, in this case this is ofcourse earned money created via taxes.
 
C. NGOs receive, and give a large number of grants which again are non-repayable monies. But like taxes it comes from an earned source.
 
In the light of all this it is wonder that hyperinflation has not occured especially so when we realize that fantastical amounts are created by various types of "unproductive" financial "betting" known as derivatives!!(notably currency speculation). Yet, these are largely contained in the electronic virtual economy rather than in the real economy.
 
It is thus becomes clear that a certain amount of money as grants  if targetted at existing assets do not lead to serious inflation. The huge bank bailouts are an example. This like the loans ofcourse mentioned earlier are created out of new money but through a process of time are paid back by the taxpayer. This is absurd because if they do not cause serious inflation in the first place then why pay this unearned money via earned money from the people?
 
A realization of the above claims was something which was realized by Social Credit developed by Clifford Douglas. But in TFE there are also powerful super-flexible direct electronic controls in dealing with any possibilities of serious inflation and even hyperinflation rather than interest rates, and taxes. Furthermore ofcourse it should be repeated that with specially programmed, and advanced computer technology it would probably be possible to create enough money without serious inflation.
 
 
 
'''Basic Ethical Arguments for the Creation of New Money'''.
 
 
 
There are a number of key points which make the concept of new non-repayable money acceptable along with its earned counterpart.
 
i) All money originates from an unearned source of creation. As such from an objective viewpoint it has equal value to its earned counterpart as it would be legal tender.
 
ii) So-called Free Money already exists to a limited extent (eg government grants, donations, wills leaving money).
 
iii) Critics would like to point out that if new non-repayable money could be created, and transmitted without uncontrolled inflation it would mean that earning it in the first place would no longer be necessary. This ofcourse would lead to the collapse of the economy, and social chaos.
 
TFE though sees itself as a transitional, or evolutionary process in which we should have the mental maturity to realize that earning money is still essential until the time comes when "full"automation exists, and society becomed "jobless" in a traditional economic sense. It is then that new non-repayable money could play a vital role by helping to bring into existence "leisure-like employments" which would be possible either in a profit, or/and non-profit context. Ultimately, in some future time money itself would be abolished altogether. In other word,a hi-tech gifting economy similiar to proposals as the Venus Project developed by Jacque Fresco who notably draws his direct inspiration from Technocracy.
 
iv) Some critics would say that new non-repayable money is Funny Money. Yet, they fail to realize the fact that it already exists as most of the banks create it out of thin air as a loan which is repayable...
 
v) TFE should be seen as a kind of ethical economics because it sees money as having a High Human Value other than just a medium of exchange because its social, economic, and political implications are huge, and all-encompassing.
 
 
'''Important Moral Arguments for Non-Taxation.'''
 
 
There are a number of key arguments for the abolition of direct, and indirect taxation. They are;-
 
i)Tax raising is absurd especially as it is very possible for new non-repayable money to be created, and transmitted safely into the economy using advanced computer programming.
 
ii)Everyone should be entitled to all their earned money as a human right.
 
iii)It is highly unethical to finance any misuse of government spending.
 
iv)People should be rewarded by a policy of Non-Taxation as they are the actual creators of real wealth.
 
v)Evidence suggests that many rich, and super-rich people are finding loopholes to escape the taxman notably off-shore accounts. This means that people on lower incomes have to "subsidize" the well off so to speak which ofcourse is unfair.
 
Moreover, it has become very easy to transmit bank accounts to other countries thus making the investigation by tax inspectors difficult in extremis.
 
vi)Quite a number of wars, and revolutions were caused directly, or indirectly by unfair taxes.
 
 
 
'''Electronic Registration, and Electronic Macroeconomic Accounting'''
 
 
In TFE prices can self-adjust naturally as much as possible, and hence supply, and demand are elastic. This is vital within the present capitalist system.
       
Anyway, as with the present capitalist system prices would ofcourse be determined by business people. These by law would be registered electronically with the inflation department (replacing tax legislation, and possibly in part overseen by the inflation authority of a bank, or some similiar institution). Changes in prices would thus be electronically tracked whenever sales are made, and where necessary (if at all)temporary electronic price controls could be instantly created after the business customer is informed. As with todays world anonymous cash transactions would still be possible.
 
Most products,and/or services (including most wage, and income levels notably)would have an electronic ID by law. Thus they form part of the Registered Economy. The Unregistered Economy though makes up a small part of the entire economy. It consists of products, and/or services which are difficult to price though a price range "system" could be used.It may ofcourse suffer some serious inflation in time, and may be subjected to possible registration, and hence temporary electronic controls.
 
In TFE the banks (irrespective of whether they are nationalized in full, or in part, or remaining exclusively in private hands)under inflation legislation would have special programmes to track the registered (ie identified) transactions, and the unregistered (ie unidentified)ones plus the volume, and velocity of their exchange. In other words, the bank would have a largely accurate comprehension of the entire working economy . On this basis special programmes would be used to ensure that new non-repayable capital could be created, and transmitted successfully. Moreover, for economists this would be a huge boon as it would be possible to gain direct, and accurate information concerned about forcasting the sustainable growth of the entire economy. This is revolutionary.
 
One way in which products, and/or services could be tracked electronically is ofcourse via barcodes which already exist. Special, or modified Scanners would pick up the data, and this could be sent to a bank. Thus, we would have instant up-to-date info on retail prices. This ofcourse would be a more advanced, and accurate way than using the Retail Price Index.
 
Another approach which could be included would be for a businessman, or woman to "cash" or rather more accurately electronically monetize the orders (as is the case today but we do not usually use such language describing the actual reality of the process!)for some product, or service with a bank. A condition for this is that what has been sold has to be declosed, and identified by a special electronic code for the completion of such transactions.
 
It must be made abundantly clear that we are not discussing a Command Economy but rather the reverse in which a Free Price System exists. Moreover, credible legislation must ensure a high degree of data protection, and be independent to a certain extent from so-called "Big Brother" beloved of conspiracy theorists.
 
Some critics may argue that such a system of electronic accounting is largely unnecessary. A simpler approach would be simply to create enough necessary money for governments, and ''most, if not all'' businesses mainly as grants, and to some extent as interest free loans. If this is injected, or rather transmitted largely ''simultaneously'' it means that businesses notably would be able to expand to cater for possible increased supply, and also with increased demand over a period of time.
 
In spite of the possible logic of the above governments, and indeed banks (who would incidently have powers not only to lend, ''but also to electronically create non-repayable grants at cost'' ) would probably regard a largely "blind" electronic system as too risky, and thus, the Electronic Macroeconomic Accounting would be seen as being more acceptable. This gives the authorities, and the financial istitutions a "psychological fix" that allows for the creation of new money in a successful, and measured manner without fear of serious inflation. This is further reinforced by the powerful direct electronic controls over inflation..if necessary ofcourse. This is to discussed in the next section.
 
 
 
'''Possible Electronic Controls Over Inflation if Necessary.'''
 
 
The following gives us some insight as to how registered products, and/or services could be subjected to instant inflation controls if necessary ofcourse. These measures are like price controls of the past but are far more advanced because a)they are super-flexible, b) they do not require a huge bureaucracy c) they can give instant compensation, and/or instant subsidization d) they can  correct anything instantly if necessary, and thus any money lost as a result can be re-created by electronic means as money itself is essentially electronic data e) they could if necessary fine people, and companies directly, and electronically from their banks accounts to ensure compliance to some aspect of inflation legislation.
 
There are a number of inflation controls as described below:-
 
 
i) Automatic Inflation Adjustment.
 
 
This is when the inflated portion of a product, or service is subjected to an instant inflation check at the point of sale, or later on at the bank. If whatever has been bought happens to be inflated to say 10% this amount is instantly created electronically into a subsidy which goes straight into the account of the customer. Thus, income, and nominal prices rise at the same time. This avoids serious devaluation.
 
 
 
ii) Customer Current/Deposit Account Adjustment.
 
 
 
This is perhaps the easiest method than i). Here, all bank accounts could be indexed electronically to the changing value of money during inflation. Something like this already exists to a limited extent(ie index linked products, or services).
 
In TFE new non-repayable money could be created electronically for the bank accounts of customers. This would give rise to the "money illusion" that one has more to spend, and buy. Yet, the bank account has been adjusted to take into account inflation,and thus, ones purchasing power remains largely the same as before.
 
 
 
iii) Automatic Inflation Deduction.
 
 
 
This is when the inflated portion of a product, or service is subject to an instant inflation check in which it is reduced to its real value. In other words, the "inflated portion" is destroyed. This can be seen by some as a "tax" but it is not because money in real terms (ie.its real value as opposed to its inflated value) retains its purchasing power as if nothing had happened to it at all.
 
 
 
iv) Instant Electronic Price Subsidization.
 
If parts of the economy have persistent price rises (though arguably unlikely depending on the type, or types of computer programming)this may disturb public confidence in the monetary system. It is thus beholden by banks, and/or democratic governments to set up a programme of instant automatic price subsidization created electronically ofcourse out of new non-repayable money.  
 
This could in part pay for the inflated portion of the market price of a product, or service,(upto a "flexible" Price Ceiling) and the rest is paid for by the customer with earned money. Such an approach may be used if the prices are not only persistent but rise too quickly.
 
 
 
v) Possible Price Rises, and Price Descrease Subsidization.
 
This is another form of subsidization.It can play an important role in preventing,and/or reducing price rises.
 
As the prices reach a "flexible" electronic Price Ceiling they are encouraged to decrease their retail value otherwise they are fined progressively to zero. However, as a positive incentive to start dropping their prices a  subsidy acting as extra profit is instantly created. This could well mean double, or even triple  profit a small part of which is given as earned money from the customer,and the rest of it is the instant creation of new non-repayable money as a subsidy.
 
However, this could lead to some degree of overall price distortions in the marketplace but this could be sorted out by using electronic techniques. All this ofcourse  is a small price to pay for an economy which is:-
 
a)free of taxes
 
b)free of interest on loans.
 
b) The greater possibility of commercial grants.
 
c) There are no "boom" and "bust" cycles but rather a continous process of growing prosperity. Thus, businesses benefit enormously in a Transfinancial Economy.
 
 
vi) Controlled Hyperinflation.
 
 
 
This should be totally unnecessary as it is largely if not wholly unacceptable, and of course ridiculous. This is when businesses deal amongst themselves in "hyperinflated" pricing. However, as soon as the money enters the bank computers it is reinterpreted into its real values rather than its "astronomical" nominal/inflated equivalent.  Businesses would have to understand that this is just "a change of digits" in which the purchasing power is preserved without serious currency devaluation.
 
 
 
'''Possible Demand Management'''.
 
 
There are certain key areas which directly, and indirectly deal with the possibility of rising demand in some, or most sectors of the economy. These are briefly presented:


f) In MMT the government is seen as the key issuer of currency as something which is non- repayable. However, special private banks could be had in which such grants or (non-governmental) “subsides” could be created digitally.
   
   
a) Gradual transition of the economy to a transfinancial one to ensure that changes in demand, and supply can be dealt with successfully. Thus, tax over a few years would be phased out to zero.
=== Key References ===


b) Rigorous checks on governments, NGOs, and certain businesses(especially those concerned with sustainable technologies) to ensure that transmissions of new non-repayable money (where necessary)is going to projects which are backed up with good planning, and enough relevant resources.  
[1] Carney, Mark. (2021). Value (s), Building a Better World for All. William Collins.  


c) It would be possible to know whether certain important resources are under threat by using data instantly collected from registered transmissions monitored by the bank computers of certain transactions (via mandatory ID Codes). It, and/or some other legal body (ie. the national inflation authority)may step in to suggest alternatives, and/or cease production as soon as possible of the company concerned, or else face unlimited fines directly from its business bank account.Compensation for loss of business would be possible.
[2] Clegg, Brian. (2021). Quantum Computing; The Transformative Technology of the Qubit Revolution. Icon


[3] Cockshott, W. Paul., & Cottrell, Allin. (1993). Towards a New Socialism. Spokesman Books.


The above gives one an idea of possible demand  management in an interest,and tax-free economy in the modern world.
[4] Gates, William Henry. (2021). How to avoid a Climate Disaster; The Solutions we have and the Breakthroughs. Allen Lane.  


[5] Haldane, Andy. (2018, April 30). Mapping the economy in real time is almost within our grasp. Financial Times.https://www.ft.com/content/58190dc2- 4c79-11e8-97e4-13afc 22 d86d4


[6] Heydorn, Oliver. M. (2014). Social Credit Economics. Canada: CreateSpace Independent Publishing Platform.


'''From Competative Capitalism to more Advanced Socio-Economic Alternatives.'''
[7] Kansas, Salina. (2021, October23). The Real-Time Revolution; How the pandemic reshaped the dismal science. The Economist.https:// www.economist.com/briefing/2021/10/23/enter-third-wave-economics


 
[8] Kelton, Stephanie. (2020). The Deficit Myth: Modern Monetary Theory and how to build a Better Economy. John Murray.


It should be said that capitalists would make much profit in Transfinancial Economics especially in the first few decades of its introduction. But, later on it would become increasingly difficult to find new business opportunities as they would be very thin on the ground (ie. resource scarcity). Thus, take-over bids may become increasingly common for existing commercial enterprises (but special NGOs, and possibly willing governments could buy up such assets as they would now have the financial clout as never before). At long last capitalism, and capitalists will realize that money in itself cannot be the answer to everything if the relevant resources are not around for them to profit on. Infact, this will cause more problems than it would solve!
[9] McDermott, John. (2004).Economics in Real Time, a Theoretical Reconstruction. The University of Michigan Press.  


At the same time through extensive education especially of the young possibly via certain NGOs concerned with democracy,altruism, fairer distribution of wealth and non-competative/co-operative forms of "capitalism" and it alternatives the present capitalist system would  ultimately phase itself out altogether. In other words, a process of evolution.
[10] Sharda, Sahaj. (2018). The Extinction of the Price Tag; How dynamic pricing can save you. New Degree Press.


Hence, capitalism, and its elite would not be overthrown by revolution (as envisaged by Marx), or indeed, ofcourse via a global financial meltdown but simply discarded as a stage of automation, and technology would be reached making money itself redundent as a means of exchange. Such a stage of evolution would initially be undertaken by an enchanced capitalist system because by then its production, and marketing stategies would be fully in line with sustainability, and various green technologies. This process would be aided with powerful financial incentives in the form of subsidies, interest free loans, and commericial grants notably in areas where there are little, or no obvious viable investments for profiting on. These would be created out of new capital.




Important. Many people reading the above may realize that the concept like a “Blockchain”  would be used in Transfinancial Economics to monitor transactions in real time…. it would not though use cryptocurrencies.
                                                 


'''Interest-Free Monetary Reform.'''






Apart from what has been said above radical monetary reformers tend to concentrate on banks. As mentioned earlier these commercial enterprises create most of the money of the world out of thin air as a loan, or credit with interest of course. Cash produced by governments only make a near non-existant portion of the present financial system. The aim of the monetary reformers in question is to try to bring about interest-free loans which would be beneficial to society, and the economy. Obviously, this is unlikely to happen due to the power of the banks but things may change ofcourse during the financial "meltdown".


Anyhow, banks (along with other "non-financial" companies)could continue to lend at interest but this would not be paid for by the customer but rather by an independent public body. However, when other highly profitable forms of business emerge then these can replace the creation of interest free credit, and only non-repayable money could be created at an "operational" cost. Moreover, banks  would receive payment for carrying out the electronic inflation controls on a daily basis. The same would be true for their transmission of grants which could be made cheap, or expensive to produce electronically.
== Some key Points to understand in brief ==






'''Some Major Implications of Transfinancial Economics.'''


I. One possible problem with TFE is ofcourse shortages due notably in connection with food security. This is not mentioned in the above paper in detail. This could be alleviated to a large extent with forward thinking and credible planning using special monitored non-repayable money. However, as Climate Change worsen governments will probably be forced to introduce manual price controls but such a  measure though would largely be resisted by mainstream economics. Ofcourse, conspiracy theorists would  come out of the wood work if and when this happens. Another issue is that highly flexible digital price controls unlike their manual counterparts would be far more efficient (though
they could be better termed as inflation controls).But the latter could act as a stopgap for the former if absolutely necessary.




These can be briefly listed:-


1. There would be a huge process of acceleration towards the research, and possible use of sustainable technologies backed up by profit subsidies,interest free loans, and of course grants created out of new non-repayable money. Geo-engineering notably in connection with global warming could also become serious possibilities.


2. Transnational Corporations especially in the Third World could be transformed into truly ethical, and sustainable businesses with powerful financial incentives for change including profit subsidization on a massive scale ofcourse.  
II. Apart from the Central Bank creating new green non-payable money which ofcourse is already happening to some extent new green repayable money can also be created. Special private banks or indeed, existing ones could also be used in part and would have an operating fee as profit instead of charging interest. The source of such funding would come from the Central Bank or some other kind of legal entity.In other words, the private sector could profit greatly via TFE.


3. Universal healthcare would be possible irrespective of whether private businesses are involved or not.


4. Generous pensions would be possible for an aged population without the need of income created by taxes, and/or by private long-term investments in the stock market, and other financial sources.


5. Grassroots NGOs concerned with poverty reduction in the Developed, and Developing World would be better financed as never before to bring about positive change.


6. NGOs concerned with fairer wealth distribution (or redistribution) such as Binary Economics, and Co-operatives and the like would be financed as never before to become a greater influence on society.  
II. In the normal state of affairs green goods and services should as time goes by become cheaper and hence more attractive as demand naturally increases from the public. However, this process is already happening somewhat "slowly" but there are marketing stratagies which could artificially alter this situation, and this needs to be developed to create green competition using small or large subsidies. Companies that could loose out at first would be compensated using new capital created ex nihilo. The details of exactly how green artificial "competition" works is still being developed in detail at the time of writing.Moreover, shortages of certain products may occur and there may be a degree market distortion. This could be dealt with to a large extent via "instataneous"compensation.  


7. Corporations concerned with oil production, and indeed, the arms trade could be bought up in stages by new non-repayable money. At present democratic governments plus certain relevant NGOs seem powerless to do much about them but with TFE we have a very powerful solution..................


Of course, there are other implications which we shall not go into here. At the same time, Positive Human Politics could be developed as a global paradigm which brings together as one the best, and most advanced democratic thinking into how a better, and more civilized world could be brought into existence. This subject is not discussed here.






'''Campaign Activism for Transfinancial Economics'''
IV.The originator of TFE is very much aware that Transfinancial Economics would increase emissions. This is unfortunate but hopefully with further funding the way or ways to deal with this problem would be better funded as never before. There are ofcourse a number of so-called carbon capture programmes in the world, but much more like this needs to be done. Anyway, all this means is that if we have Rapid Green Growth or RGG many people would still die during the Climate Change Crisis. This is tragically unavoidable. But if this were slowly undertaken (as is the case now) it is more probable that the death toll would be much higher in the long run.




In order to bring about the serious possibility of change from our present debt based economy of taxation, and interest to one which is not debt based a campaign would be necessary. However, a grassroots organization for the masses is unlikely to work though we may be wrong. Instead it is suggested here that a professional website would be set up to spread the word. It would be sent to people, and organizations that have power, and influence such as government policy makers,academics,financial companies, et cetera. This is probably the way forward.




The TFE website itself would include the following features.
V. It is important to understand that when TFE becomes a reality there is no direct or indirect of taxation. The reason is simple. Since money can retain its value in real time it cannot be inflated to a serious degree, and cause  devaluation of money. This means ofcourse that more money can be transmitted into the economy safely. All  this has notable implications for charities, and NG0s, or non-governmental organisations as it would mean that raising money from earned sources would no longer be absolutely necessary. This is revolutionary. The only limits ofcourse for this are limited human and natural resources at any point in time.


i) A news update about the campaign progress.


ii) Commissioned papers (initially) by willing economists using econometric models to show the efficacy of TFE in technical terms, including detailed studies on Electronic Registration, Electronic Macroeconomic Accounting, and the possible Inflation Controls.
iii) An online Journal of Transfinancial Economics.
iv) A powerpoint presentation of TFE for downloading.
v) Any endorsements for TFE by any willing experts.


vi) Possible field trials of the electronic technologies involved in TFE.


VI. Originally, the above entry included a lengthy piece on TFE but this is not included here, though it may re-appear. It maybe found elsewhere probably on The Economics Realms blogspot.




PS A paper on TFE with direct references was actually accepted by a peer review journal. However, due to a dispute with the editor/publisher I withdrew it from publication, and at the time of writing (April 2008) a new version has been sent elsewhere.


Robert Searle  email address dharao4@yahoo.co.uk


Intelligent, and constructive dialogue is welcomed from anyone via email.
VII.  Furthermore, over the years TFE has been circulated around on the internet, and has attracted a number of influential people including the noted rebell  economist Steve Keen (and some of his followers), Ellen Brown, Stephen Zarlenga, Baron Prem Sikka, Richard Murphy, Hazel Henderson (who was especially keen on TFE), and even the present Lord Nathan Rothschild and his family seem to be interested in the new economic paradigm to some extent. There are also some indications that certain commercial entities (ie potential private investors) may be taking some interest in TFE and ofcourse, they could help attract relevant  funding for the emergence of TFE into the world.






PLEASE NOTE. Apologies for any errors in the above text if they exist.




[[Category:Encyclopedia]]
VIII. Another aspect of this subject is that notably big oil and gas companies could possibly be legally "bribed" and bought up and phased out to make way for an economy run by clean sustainable energy. Admitedly, this may not be the most ethical way of doing things but humanity must come first rather than powerful vested interests.


[[Category:Movements]]


[[Category:Business]]
Finally, it should be said in this brief introduction the originator (ie. Robert Searle) of the TFE System hopes to write a few more papers on some aspect(s) of this subject. At the same time he hopes to fully research and complete a book probably to be entitled Towards Economic Revolution, subtitled Global Financial Reform and the Survival of the Human Race. This may take two years or so and would require help from a whole array of experts including those in economics, business, politics, law, computers, et al.


[[Category:Money]]
[[Category:Economics]]

Latest revision as of 11:05, 30 June 2025

The following is a brief paper which also appears in a respected academic book edited by Dr Debesh Bhowmik. It is entitled An Approach Towards Central Bank Digital Currency published by Kunal Books, New Delhi, 2022. In Chapter4 the material below is presented. Also, it should be mentioned that a paper published in 2016 entitled Orthodox Monetary Theory: A Critique From Post-Keynesianism and Transfinancial Economics by Dante A. Urbina appears in a book called International Monetary System. Past, Present, and Future Regal Publishing, India. RS


FUTURISTIC ECONOMICS FOR THE 21ST CENTURY?

by Robert Searle


Abstract

The following is in brief concerned with the very basics of an emerging paradigm known as Transfinancial Economics or TFE. It can be seen as a form of Keynesian Economics. Basic to it is the huge relevance of the use of computers and information technology in finance. This would act as a means of notably influencing the economy towards a more ethical, and greener environmentally friendly economy as never before. Many will regard TFE as being similar to Modern Monetary Theory or MMT which has gained a large amount of publicity in recent years. However, the latter is regarded as being a precursor and possible stopgap to TFE which is far more advanced. At the time of writing what follows is still “work in progress”. Of course, it raises many questions which may be answered in the near future such as TFE’s connection with exchange rates and of course the possible emergence of Central Bank Digital Currencies, or CBDCs.

Keywords: Transfinancial Economics, Modern Monetary Theory, Inflation Taxation, Digital Price Controls, Climate Change

JEL Classification Codes: E42,F33,F65,G00,O3,Q54

1. Nationwide Electronic/Digital Price Controls

Essentially, Transfinancial Economics or TFE believes notably that new unearned repayable and non-repayable money can be digitally created ex nihilo and phased into the economy safely without leading to uncontrolled levels of inflation or indeed hyperinflation. This is simply done with the aid of highly flexible electronic digital price controls used for nearly every kind of financial transaction in real time. Thus, if there is a concern about some rise in the prices of certain goods and services these could be digitally capped temporarily. This would be an instantaneous process and could occur automatically in any part of the economy. This could be undertaken with the help of supercomputers or more likely by quantum computers (Clegg, 2021).

Of course, such digital price controls are not the ideal way of doing things but they are better than nothing. Some form of compensation could be created for retailers if desired. However, it must be stressed here that with the right algorithms the market price is allowed to change naturally as much as possible. Whether we like it or not most of the money exists as digital data in a bank. It is used in any number of transaction but “real” money like cash and coin can still be used (unmonitored or possibly monitored in some way) but it would make up only a tiny fraction of the overall economy, and hence, would have near zero significance in our understanding of the whole economy. This is an important but basic point to understand.

Also, in connection notably with vital climate change projects a legally binding agreement should ideally be undertaken to use certain algorithms to track funding. They could detect and instantly ” freeze” in real-time any money that may be involved in fraud.

2. Big Data and Real-Time Economics/The Uncloaking of the “Invisible Hand”.

As one might well realize it would be possible to understand the entire economy in real-time (or near real-time). This colossal accounting data would be created 24/7 with virtually every transaction notably using barcodes, or something similar. The central Inflation Authority would be programmed to instantly check the inflation status of each product or service and if at all necessary instant temporary price capping may occur. Hence, a huge picture of the economy would be possible and could prove invaluable for future economists. Also, such incoming real-time economic indicators would be totally up to date and as such would have no long-time lags unlike conventional economic data.

In spite of this though such information cannot fully rule out uncertainty in the economy. Yet, the data emerging instantaneously should at least give us a far better idea of how it is “working” and this could be important for decision-making. AI or Artificial Intelligence could also play a vital role in all this. Apart from identified transaction data there are what are referred to as Faster Indicators. These use various types of economic activity to be factored in to give us an even wider understanding of the economy in real time (Salina, 2020; Haldane, 2018).

It must be made clear that what we have been saying so far is a capitalist economy. TFE though can also be adapted into a socialist or communist type of economy because it can notably make central planning a lot easier and more likely to succeed unlike conventional economics. Indeed, Economic Cybernetics is an example of this kind of approach, and it is also possible in some future time to have an economy which is “completely” automated and where money is no longer necessary (Cockshott & Cottrell, 1993).

The concepts of TFE are like those proposed by Clifford Douglas and his Social Credit Movement but they have the added dimension of using Big Data and instant digital price capping which did not exist in his time. If he were around today, he would have been impressed by the use of computers, smart phones, plastic cards, et al in developing a futuristic economy. Modern Monetary Theory or MMT is to some extent similar. It should be added too that the term “Social Credit” has nothing to do with the dystopian system of the same name in China (Heydorn, 2014).

Finally in this section of this brief paper it should be said that in time the financial industry will hopefully be powered more and more by sustainable (non-fossil fuel) electricity, and it should be said too that it is possible to have a high degree of commercial confidentiality in connection with the digital transaction data instantaneously going to the Inflation Authority 24/7 for specific businesses of one kind, or another.

3. Maintaining the Value of Money in Real-Time.

TFE would be able to maintain the value of money in real-time at the point of sale (POS). For example, person T buys product A in a shop and its retail price is instantly checked for its inflation status. It is found to be above the inflation rate by 50p and the customer though has already spent this amount but is compensated for it digitally by having it recreated into his or her account. This is called Above Inflation Adjustment. In another instance, person T buys product C which is 30p below the inflation rate and it is the retailer who gets the extra 30p by a digital recreation of it in her or her account. This is called Below Inflation Adjustment. (McDermott,2004).

4. Dynamic Pricing in Real-Time

Fintech is short for Financial Technology. It is a critical part of the TFE paradigm without which it cannot exist. A good example of such financial technology which exists now is Dynamic Pricing. Essentially, it can automatically deal with variable pricing due to changes in supply and demand. It has been successfully utilised in areas such as transportation, hospitality, professional sports, retail, and the like. Even Amazon uses it along with many other companies (Sharda, 2018). All this adds greater credibility to the idea of developing a genuine real-time economy on a national and ultimately international scale. Of course, it has to be realized and remembered that real-time data is used by financial markets around the world in which investors can keep an eye on the value of their shares, or securities. Traders can use such information to make “bets” on the rise and fall of prices of the various companies such as Apple, Google, Unilever, and many other lesser-known ones.

5. TFE and the Climate Change Emergency

At present the greatest challenge facing humanity is the climate change emergency. Tragically, it seems highly likely that it will become irreversible (if it is not already). As such governments, Bigtech companies, and smaller businesses must try if possible to make serious efforts to create credible resilient adaption and mitigation projects on a scale never before known in human history. All this ultimately costs money. Hence, TFE. With this emerging paradigm it would be possible to create new money to fund credible and “feasible” green projects. Of course, investors could be invited to invest venture capital into such investments which could prove lucrative. Such projects may seem in some cases more like “science fiction” but now is the time to think outside the box otherwise we could see the global demise of the human race. It is simple as that. Climate change emergency is not just a physical challenge it is also a spiritual one of the highest order.

Here are a few examples of potential green projects which need to be undertaken (though some of them are in the making or have already been done but not on a scale ultimately necessary for human survival) and they include more solar and wind and solar power facilities; more factory plants and mechanical trees to suck carbon emissions out of the atmosphere; more electric cars; more advances in Nanotechnology in which atomic structures could create new materials in a world of limited resources; possible underground cities and even underground agriculture may be a required to some extent; natural solutions; sun dimming which may be necessary but a controversial move; more flood defences; more recycling centres and so on. At the same time with all this going on the likes of entrepreneurs such as Bezos and Musk can “wisely” continue with the possible colonisation of the moon and even mars (Gates, 2002; Carney, 2021).

6. The Basic Differences between Transfinancial Economics and Modern Monetary Theory

Modern Monetary Theory is at the time of writing been in the public spotlight for several years and has attracted much public attention. It is similar to Transfinancial Economics or TFE. MMT claims that the government is the sole issuer of the national currency and can fund public expenditure and only raises taxation, if necessary, as a means of controlling inflation at some future date. In this respect, TFE is in agreement. Infact, something like MMT already exists. It is called Deficit Spending. This is when governments need more money and can borrow it and (or) create new amounts of it (Kelton, 2020). This of course works but only to a limited extent. Now, the key differences are:

a) TFE uses digital price controls to monitor and if necessary, cap the market price. These would cover the entire economy and not just tiny sections of it. MMT though would use taxation to control inflation instead but may ultimately use price controls.

b) Unlike MMT TFE has a very advanced understanding of the economy via Big Data in real-time whilst the former would probably largely rely on old outdated understanding of economics.

c) As MMT continues to create new money into the economy a point may be reached that too much money will circulate and could lead to not just gradual rises in inflation but to a sudden mass catastrophic state of hyperinflation. With TFE such problems are dealt with directly by digital controls that would instantaneously control the situation at a touch of a button or indeed happen automatically.

d) Since TFE would have a far more accurate comprehension of the economy in real-time it can assess the potential inflation tax liability (possibly as an online sales tax) months or years ahead. On the other hand, MMT could find itself in a situation in which the overall inflation tax liability would be too heavy, and could even cause social unrest. Incidentally, it should be added that a tax rebate is possible in which the inflation taxation paid could be digitally recreated in full, or in part at a future date.

e) Unlike MMT TFE can adjust the value of money if necessary and instantaneously when products and services are bought in real-time at the point of sale (POS). This of course is when the inflation status is checked by the Inflation Authority. Thus, the purchasing power of money is largely or wholly maintained. This was explained in brief early on using two examples.

f) In MMT the government is seen as the key issuer of currency as something which is non- repayable. However, special private banks could be had in which such grants or (non-governmental) “subsides” could be created digitally.

Key References

[1] Carney, Mark. (2021). Value (s), Building a Better World for All. William Collins.

[2] Clegg, Brian. (2021). Quantum Computing; The Transformative Technology of the Qubit Revolution. Icon

[3] Cockshott, W. Paul., & Cottrell, Allin. (1993). Towards a New Socialism. Spokesman Books.

[4] Gates, William Henry. (2021). How to avoid a Climate Disaster; The Solutions we have and the Breakthroughs. Allen Lane.

[5] Haldane, Andy. (2018, April 30). Mapping the economy in real time is almost within our grasp. Financial Times.https://www.ft.com/content/58190dc2- 4c79-11e8-97e4-13afc 22 d86d4

[6] Heydorn, Oliver. M. (2014). Social Credit Economics. Canada: CreateSpace Independent Publishing Platform.

[7] Kansas, Salina. (2021, October23). The Real-Time Revolution; How the pandemic reshaped the dismal science. The Economist.https:// www.economist.com/briefing/2021/10/23/enter-third-wave-economics

[8] Kelton, Stephanie. (2020). The Deficit Myth: Modern Monetary Theory and how to build a Better Economy. John Murray.

[9] McDermott, John. (2004).Economics in Real Time, a Theoretical Reconstruction. The University of Michigan Press.

[10] Sharda, Sahaj. (2018). The Extinction of the Price Tag; How dynamic pricing can save you. New Degree Press.


Important. Many people reading the above may realize that the concept like a “Blockchain” would be used in Transfinancial Economics to monitor transactions in real time…. it would not though use cryptocurrencies.




Some key Points to understand in brief

I. One possible problem with TFE is ofcourse shortages due notably in connection with food security. This is not mentioned in the above paper in detail. This could be alleviated to a large extent with forward thinking and credible planning using special monitored non-repayable money. However, as Climate Change worsen governments will probably be forced to introduce manual price controls but such a measure though would largely be resisted by mainstream economics. Ofcourse, conspiracy theorists would come out of the wood work if and when this happens. Another issue is that highly flexible digital price controls unlike their manual counterparts would be far more efficient (though they could be better termed as inflation controls).But the latter could act as a stopgap for the former if absolutely necessary.



II. Apart from the Central Bank creating new green non-payable money which ofcourse is already happening to some extent new green repayable money can also be created. Special private banks or indeed, existing ones could also be used in part and would have an operating fee as profit instead of charging interest. The source of such funding would come from the Central Bank or some other kind of legal entity.In other words, the private sector could profit greatly via TFE.



II. In the normal state of affairs green goods and services should as time goes by become cheaper and hence more attractive as demand naturally increases from the public. However, this process is already happening somewhat "slowly" but there are marketing stratagies which could artificially alter this situation, and this needs to be developed to create green competition using small or large subsidies. Companies that could loose out at first would be compensated using new capital created ex nihilo. The details of exactly how green artificial "competition" works is still being developed in detail at the time of writing.Moreover, shortages of certain products may occur and there may be a degree market distortion. This could be dealt with to a large extent via "instataneous"compensation.



IV.The originator of TFE is very much aware that Transfinancial Economics would increase emissions. This is unfortunate but hopefully with further funding the way or ways to deal with this problem would be better funded as never before. There are ofcourse a number of so-called carbon capture programmes in the world, but much more like this needs to be done. Anyway, all this means is that if we have Rapid Green Growth or RGG many people would still die during the Climate Change Crisis. This is tragically unavoidable. But if this were slowly undertaken (as is the case now) it is more probable that the death toll would be much higher in the long run.



V. It is important to understand that when TFE becomes a reality there is no direct or indirect of taxation. The reason is simple. Since money can retain its value in real time it cannot be inflated to a serious degree, and cause devaluation of money. This means ofcourse that more money can be transmitted into the economy safely. All this has notable implications for charities, and NG0s, or non-governmental organisations as it would mean that raising money from earned sources would no longer be absolutely necessary. This is revolutionary. The only limits ofcourse for this are limited human and natural resources at any point in time.



VI. Originally, the above entry included a lengthy piece on TFE but this is not included here, though it may re-appear. It maybe found elsewhere probably on The Economics Realms blogspot.



VII. Furthermore, over the years TFE has been circulated around on the internet, and has attracted a number of influential people including the noted rebell economist Steve Keen (and some of his followers), Ellen Brown, Stephen Zarlenga, Baron Prem Sikka, Richard Murphy, Hazel Henderson (who was especially keen on TFE), and even the present Lord Nathan Rothschild and his family seem to be interested in the new economic paradigm to some extent. There are also some indications that certain commercial entities (ie potential private investors) may be taking some interest in TFE and ofcourse, they could help attract relevant funding for the emergence of TFE into the world.



VIII. Another aspect of this subject is that notably big oil and gas companies could possibly be legally "bribed" and bought up and phased out to make way for an economy run by clean sustainable energy. Admitedly, this may not be the most ethical way of doing things but humanity must come first rather than powerful vested interests.


Finally, it should be said in this brief introduction the originator (ie. Robert Searle) of the TFE System hopes to write a few more papers on some aspect(s) of this subject. At the same time he hopes to fully research and complete a book probably to be entitled Towards Economic Revolution, subtitled Global Financial Reform and the Survival of the Human Race. This may take two years or so and would require help from a whole array of experts including those in economics, business, politics, law, computers, et al.

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