The Carpenter

Once upon a time there was a skilled carpenter who had a reputation for reliability and magnificent furniture for homes and businesses. Over the years he built up a well-equipped workshop, with an adequate warehouse full of selected materials alongside.

One morning he was working on an order to fit out a new store, when he realized he was out of inches (cm’s). He had the tools, materials, and skills to do what the customer required, but was short of inches. No-one in the village had any to spare, so he had to go over to the city to the Inches Bank (IB).

IB required him to sign over his land for collateral. IB lent him inches as debt (a claim on his property) at 10% interest (that means he had to pay 10% of the outstanding inches to the bank each year).

The carpenter received more orders, and needed to expand by employing an apprentice who turned out to be an exceptionally skilled craftsman. They had a good name and plenty of business, so the partner and his wife soon had happy children in a cozy cottage.

Of course with expansion came the need for more inches, which IB lent on the strength of his workshop and warehouse as collateral. Again the inches were issued as debt at interest.

The carpenter diligently paid the interest each year. He could not pay the debt off completely since his business needed the inches to operate. Business was steady so he did not notice that paying interest actually reduced the amount of inches he had available for working capital, since he simply borrowed any shortfall required.

On day he had time to take stock and noticed that the interest payments had grown to be his single largest expense. He also calculated that he had repaid the amounts borrowed many times over through interest, and somehow still owed the original amounts.

The interest payments kept growing ’till one year he was unable to meet the payments, and the bank foreclosed on his warehouse, selling it to a subsidiary at a fraction of what it was worth, simply to pay their amount, contemptuously disregarding the needs of their loyal carpenter client.

The following year the carpenter had to take on extra work, sell off spare inventory, mortgage his workshop, and eventually cut wages (leaving his partner and their new family destitute), just to make the interest payments.

Eventually, of course, the bank sent in the sheriff and the carpenter was on the street with nothing…

Through the miracle of compound interest, a prosperous, growing business, staffed by skilled craftsmen, feeding two families, was destroyed, the owner dispossessed and left destitute.

Even more staggering when we realise that the inches lent to the carpenter in the form of loans, did not even exist before the carpenter walked into the bank. There was no vault full of inches, or inches deposited by other clients. No, it was created out of nothing the minute the carpenter signed over his property as collateral.

This is same situation for business and governments, where the single largest expense at all levels of governments is interest payments, which explains the exponential growth of government debt worldwide.

Currencies deposited into accounts (of individuals, corporations, and governments) by banks as loans, are not legal tender but private money created out-of-nothing by private corporations (only physical coins and notes are legal tender).

The currency to pay interest is however not created (only the principal amount is). So as interest is paid, the amount of currency available to the borrower declines, forcing the borrower to keep borrowing, expanding, and competing in a perpetual struggle for enough currency for working capital, and to pay interest (stave off foreclosure), while grinding up natural- and human resources.

All Levantine religions have banned interest (usury – Christian, riba – Sharia, neshekh – Halakhah)

Please see comments below, and Financing of the Watermill


Why riba is haram

Dear reader,
Here is an easy explanation why religions ban usury

  1. To satisfy demand for loans and market operations (purchasing financial assets), banks create money out-of-nothing. They do not need our savings.
  2. The money is lent as debt (claims on your assets and labour) at interest (which is not created along with the principal).
  3. Payment of interest exhausts the money supply* requiring ever more loans for money to transact in the economy.

Corporations are forced to keep growing (chewing up the planet) to pay interest. The single largest government expense (all governments) is interest payments.

Compound interest and exponential borrowing inevitably leads to bankruptcies, ie., transfer of wealth to the hands of the very few.

Business cycles (intentional credit contraction by banks) accelerates bankruptcies and dispossession of individuals, corporations, and governments.

The end of a currency cycle (Kondratieff) means that the system is bankrupt, and wealth transfer negotiations take place on a grand scale (comparable to grand theft from wars) before a new cycle of dispossession is started all over again.

The credit for this insight goes to Michael Rivero, Sarah Emery, Imran Hosein, and Richard Werner, (please view the links)

Here is a telling verse from the Torah (Deuteronomy 23:20)

Margrit Kennedy and Bernard Lietaer have demonstrated that almost half of retail prices are the accumulation of interest.

Solutions include debt jubilees explained by Prof’s Michael Hudson and David Graeber, while Islam mentions charity on excess wealth (Zakat), and insists on intrinsic money like the Austrian school. But for us to be free of the parasitic monetary system we need to develop interest-free (crypto) credit.**

Thank you

*Please note we are typing about the demand side (main street) money supply, not reserves not borrowed (the reason QE does not lead to CPI inflation) typically used to purchase financial assets and ownership (hypothetically throttled by CB reserve requirements (borrowed anyway) and insolvency (bail-outs and bail-ins)). Unlike the loan principal which is canceled on repayment, interest does not disappear but is income used to pay expenses and taxes, distributed to shareholders, and retained earnings, like any other company.

**Interest differs from profit (which may be participated in under Sharia and Halakhah) in that profit does not compound and bears risk to the investor, unlike interest which leads to indebtedness and servitude. Furthermore profit is on products and services rendered, while interest is on money which should simply be the unit-of-account (UoM for bookkeeping (how does one charge interest on metres or hours?)) and means-of-exchange (to facilitate trade). Money is only a store-of-value only due to its tradability for products or services (proxy for stuff). 

Compounding interest leads to exponential wealth disparity.

Skills shortage

Arse-creeping (brown-nosing) is the most common skill in the layers upon layers of corporate and government bureaucracies who employ the vast majority of people. Those who master the skill earn fabulous wages and bountiful pensions, groveling and prostrating to those above, while treating “inferiors” with contempt and disdain, while basking in the deference, accolades, and forced laughter.

A good arse-creeper has a far more luxurious life than a skilled specialist delivering quality, useful work.

Bureaucracies can only exist as monopolies backed by government coercion, and control the major value chains so that hard-working, competent private enterprises somewhere along the line are forced to grovel, comply, and bribe bureaucrats for the opportunity to deliver something of value to society.

Yes, there are a small number of loud mouths who make money using social media to sell courses on making money, but the skilled, experienced practitioners who create and maintain our societies, spend lives of hard work just to getting by, then retire impoverished, in contrast to the puffed-up pen-pushers with defined benefit pensions.

In the very few bureaucracies that pretend to something of a service, there is a thin layer of specialists along the bottom who do something useful, while layers upon layers of managers and administrators consume the lion’s share of budgets, feeling important by impeding the specialists and making the rest of our lives miserable, when actually doing anything.

We work half our lives to pay for government bureaucrats’ comforts (or face jail time), while much of what is left is lost to monopolistic prices on housing and necessities, feeding corporate beaurocrats.

It’s time to toss these crushing parasites, and keep the fruits of our labours for ourselves and our families, through community supply chains, co-ops, and currencies.

Mandela and apartheid

Mandela was a KGB trained and equipped communist terrorist found guilty in open court of 221 acts of violent sabotage.

Any country would have convicted him…

Which transnational organisation has the power to turn a terrorist into a hero on all news media of the planet??

Please read the rest of the story…

In 1880 the British attacked the Boer republics (also of Western culture) and were soundly defeated at Bronkhorstspruit, Laing’s Nek, Schuins Hoogte, and Majuba.

In 1899 they tried again suffering devastating defeats by the Boer Republics at the battles of Stormberg, Magersfontein and Colenso. Even with a half million men invasion force (their most expensive war) the British still could not succeed despite scorched earth and concentration camps (murdering a third of the Boer population, counting women and children).

In 1902, having failed on the battlefield in a war they could no longer afford, the English succeeded in bribing two generals (Botha and Smuts) who became subsequent prime ministers under English occupation. The high-water mark of the British Empire.

In 1910 the English forced the Republics into a union with the colonies and black regions.

In 1913 the Boers rebelled. Smuts used the forces to kill his own including General de la Rey, and Jopie Fourie, an officer who served under him in the war against the English, whom he had shot.

In 1914 the pro-English government invades German South West Africa (now Namibia), a sympathizer of the Boers.

In 1917 Russia succumbs to a Bolshevik coup d’état, financed out of New York.

In 1922 the Union government used the army against Boers striking over their jobs being given to foreigners, killing 200.

In 1948 the English stoolie government ended. The English occupation lasted less than 40 years.

The national government started developing (at enormous taxpayer expense) the black regions to make them economically viable to become independent of the forced Union again, a policy called separate development, or “apartheid” by the media. 

Most of the pre-Union, black nations were already self-governing and well on their way to independence once more before the “new” South Africa was imposed on them in 1994.

After WWII, the Soviets instigated “independence” from European colonizers in many African countries turning them communist.

In 1963 Kennedy is assassinated over Executive Order 11110 to issue interest-free currency (silver certificates). Immediately rescinded by Johnson. 

In 1964 Mandela was tried in open court (Rivonia trial (not a Guantanamo-style abduction)), and was well represented by international lawyers. Mandela and others (MK) were KGB trained and equipped communist terrorists charged with 221 acts of violent sabotage. Any democratic country would have convicted them !!

In 1966 Verwoerd was assassinated (third attempt), a coup d’état by the Broederbond (Brotherhood) and thus the last Boer prime minister. The “architect of apartheid” was in fact a caring sociology professor. Succeeded by the wino, Justice minister, Vorster.

In 1967 every copy of the Hoek report to parliament on international monetary powers was ruthlessly hunted down and destroyed, and prof Hoek silenced.

In 1971 the US stops redeeming gold for dollars, ending the Breton Woods agreement (they had already violated the agreement by inflating the currency beyond the gold inventory). in 1973 Canada, France, and others hand over creation of their national currency to interest-charging, private corporations (call them banks if you like).

In 1973 the US lost Vietnam to the commies.

In 1974 Portugal succumbed to a communist military coup, euphemistically called the the “carnation revolution”, making their colonies, Mozambique and Angola, available to the Soviet Union, and forcing the Portuguese there to flee their homes for their lives (much like Congo, Uganda, Kenya, Zimbabwe), turning those countries from bread-baskets to basket-cases.

In 1975 the Soviets invade through the former Portuguese territories. Wherever communism has taken over, slaughter has ensued. Since South Africa was at the end of the line, a Soviet victory would have lead to unimaginable slaughter.

In 1976 Kissinger and Vorster betray Rhodesia, a sibling country bravely fighting for it’s life against the communists, by closing the border.

In 1977 Carter imposes sanctions on South Africa, making oil and weapons unavailable. Even forcing Europeans to disinvest. SASOL became the world’s largest oil from coal producer

In spite of piling in millions of tonnes of armour into Angola, the Soviets were unable to break through to South West Africa (Namibia). There were also fronts in Rhodesia and Mozambique, as well as vicious KGB instigated internal terrorism. please see comment section below 

In 1985 Mandela is hauled out of jail and groomed for government in England (to prevent the mines falling to independent countries).

In 1986 the deKock commission recommendations are implemented handing the creation of the national currency (Rand) over to private banks (a fight that had been raging since 1971/3 with bans on public discussion).

In 1987 the Soviet forces are stopped at Cuito Cuanavale (one of many battles) losing 4,785 killed, 94 MBTs, 9 MiGs, and hundreds of combat vehicles source Chester Crocker. The high-water mark of the Soviet Empire.

In 1988 the drunk foreign minister (Pik Botha), at the Cairo negotiations about mutual (Soviet/SAfrican) withdrawal from Angola, gave away South West Africa (now communist Namibia), which was not even on the table, in the pub. Months later the Soviet union collapsed, which explains the rush.

In 1989 the Broederbond capitulates to the communists (after lucrative guarantees arranged in England). Boer, Zulu, Tswana, and Xhosa (Ciskei) resistance (almost civil war) to this take-over was severely dealt with by the deKlerk transition government (incarcerating thousands and destituting families). Only by treason in the ranks of Africa’s most powerful military, was something like this possible. 

In 1994 Mandela has a staged release from prison to a prepared government.

Neither wars against the English empire (1880/1, 1899-1902) nor Soviet union (1976-1988) were lost on the battlefield, but by treason. In both cases, while citizens and soldiers were fighting for survival, CEOs, generals, and politicians were betraying the country.

There are no examples of successful communist governments on the planet. In fact communism cost 70 million lives in the Soviet union, 100 million in China, and in South Africa the murder rate of food producing farmers is 228 per 100,000. The murder rate of the general public is 36 per 100,000 (using government statistics), compared to 1 per 100,000 in Europe and 5 in the US.

Please see comments section below…

Regarding the current disowning of farmers

The 1913 Land Act, an English, not Boer, survey show the areas settled by black (Bantu) people. 

1913 land actIn comparison (2nd image), ample provision was later made for land claims, but the communist government continues to take land.

There can be no claims to farmland never settled nor infrastructure never built.

Societies who were illiterate, neolithic, subsistence farmers, whose numbers ballooned 500%, protected from fights, famines, droughts, and diseases.

In Zimbabwe and Mozambique, they stole intact, high-yielding, farms, yet failed to feed themselves.



Marxism and fascism

Fascism is government by corporations, not for (by) the people. By that definition all “free” democracies are fascist.

Marxist criticism of corporate government is accurate, which is why it attracts so many adherents to communism.

However, the marxist solution is a government far worse than fascism. A system that has caused many tens of millions of deaths.

When no-one owns anything, who owns everything.

To know who “they” are, simply look at the instigators behind Bolshevism, the ANC, and the media that decides what you will know, and what you won’t.


Government is an occupation.

Like the Danes extorting danegeld from occupied regions of England, or the Norman invasion building a network of forts around the country for tax collection. They did not invade to provide healthcare and education, but to tax.

Doomsday book
Government is not “we the people“; it is just another entity on the landscape like General Motors or the Vatican. While GM sells cars, and the Vatican sells hope, the government uses extortion to acquire income.

Consider that the largest agencies of government are for extortion – revenue, incarceration, justice, police, “defense”, spies

Even in those agencies that do provide a service, there is only a thin blue line along the bottom that actually does anything useful. Piled on top are layers upon layers of bureaucrats gorging on tax, while making life miserable for that thin blue line, and the rest of us.

For eg. only about a third of the tax money assigned gets to the nurses, teachers, works, etc., most being lost in the bureaucracies.

We work seven months of the year to feed bureaucrats motivated by only pension, promotion, and turning budgets into bribes. This leads to duplication and complication in order to justify more staff, more promotions, more contractors, more software licenses, etc.

Not to mention discretionary grants and subsidies to profitable corporations devouring a third of the imposition on us.

Still not convinced? Try leaving the farm. You need to grovel for a passport after sacrificing your privacy for permission to travel for a limited time beyond the pen. Then the government forces tax payments on any income even outside of the pen.

We need to privatise clinics, schools, works, etc., and close down the bureaucracies. Half the cost; double the efficiency.

If government services were actually useful and efficient they could sell their services in the market without extortion.


Crypto wallet

Private banks have made enormous progress at improving technologies for our convenience such as online banking, easy payments, etc. What does it matter if our money is not in our pockets, but in a bank?

Does it even matter that it is not even money, but a credit (called currency) lent to the bank? What we want is convenience and ease-of-use.

The security of the monetary system is hardly our responsibility.

Continue reading “Crypto wallet”

Self-funding credit (bank-free currency)

We are painfully aware of the severely distorted distribution of wealth on our planet, and how it came about.

Global wealth distribution pyramidBut

But what can we do about it? Continue reading “Self-funding credit (bank-free currency)”

Free money alternatives

thinking about moneyWe have been trained to accept that capital comes from savings. Savers are paid interest, and lenders are charged a little higher rate to cover expenses, and hopefully make a small profit in the end.

Well, we now know this is not the case…
Continue reading “Free money alternatives”

Removing the constraint of currency for full employment

It is common knowledge that banks do not lend out savings, but rather create money out of nothing when a contract is signed.

For example, the currency (account balances) for a mortgage does not exist until the contract is signed. Then a bookkeeping entry gives the bank an asset and the borrower a liability.

This newly created currency can then be used to purchase a house, materials, contractors, etc.

But there’s a catch …
Continue reading “Removing the constraint of currency for full employment”

The magic of money

Once upon a time a little village had merchants such as the baker and brewer who provided bread and beer to the carpenter and farmer, knowing that in exchange the carpenter kept the furniture and fittings in order, while the farmer supplied grain at harvest time.

Friday afternoons in the pub they often pondered on how to trade with the village up the slope for grapes and wine, and the village downstream for beef and milk. The dilemma was coinciding the availability of products to barter, for eg., milk was available daily while wheat could be offered only at harvest time.

It would be difficult to establish the required trust to settle what is owed with strangers, or even neighbours who were not friends or family. So trade was stalled.
Continue reading “The magic of money”

The laughing lion and the doves

Perhaps the ashes of the labour guilds will be the phoenix that will form the nucleus of an alternative to bureaucracies, both corporate and government.


There is a thin layer of capable, productive people preyed upon by pyramids of parasites, whose livelihood depends on subjugation and exploitation of those few capable of wealth creation.

Parasites who live in a world where scraping and homage pays more than quality and production.

This is a world where human rights and freedoms do not exist. Indeed humans are considered resources and HR departments there to enforce corporate policy on those subjects.

However, the system won’t fix itself; it will have to be replaced.

Continue reading “The laughing lion and the doves”


Once upon a time an entrepreneur envisaged a watermill in a village with all the resources and skills to construct one. mill’s construction drew on forests and quarries for raw materials, and on carpenters and masons for skills, stimulating demand and thus economic activity.

Once the mill was completed, the village could reduce costs of flour and products such as bread and pastries which could be sold beyond the town limits. Cereals from neighbouring towns were also milled, making the enterprise a success, and the town prosperous.

Continue reading “Financing”

It is our duty to be free

It is our duty to be free

If a soldier is imprisoned by the enemy, don’t we consider it his duty to escape?. . .If we value the freedom of mind and soul, if we’re partisans of liberty, then it’s our plain duty to escape, and to take as many people with us as we can!”
― J.R.R. Tolkien

Do not use this money to pile up needless junk you don’t need. Use it to build your catapult. The one which will launch you over the walls of the corporate prison. Money gives you leverage. Build enough leverage, and you can pretty much do whatever you want all the time.