12 simple ideas to rejuvenate governments and people.
Updated: Oct 26, 2020
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Crises usually focus minds to help us clean up what gets long overdue… but are Governments and people letting this crisis go wasted…why? Are Governments distracted doing more of what has already not worked for decades… quantitative easing (QE) & propping stock markets…? And people are at home with dear family members but… don’t know what to do with each other!
12 Simple ideas
1. Stock exchanges will not fix society.
Despite Governments throwing everything in the kitchen sink, are stock exchanges still distracting governments from real issues. If >$12 trillion of QE, years of tax cuts, low-interest rates & deprecated currencies… were indeed good for the economy… why are global corporates clamoring for rescue, firing millions of staff, with talk of 30% GDP drop… all in just a 6 months into the crisis…? and… forcing them to focus on market liquidity / QE as opposed to health issues? Are individual corporate handouts an answer or is it time to focus on fundamentally strengthening the basic building block of a country…? The family.
2. Interest rates have been held artificially low for many years now, but has that truly helped keep inflation down…?
If yes, how come we all have experienced sharp and unending price increases in rentals, school fees, medicines, and food… and reported inflation numbers are still 2% or 5% per year…? Increase interest rates, especially for middle-income/poor families and elderly, instead of purchasing mortgages from banks under QE…? We all know stock markets often have a hierarchy of returns…but bank deposits treat all equally.
This may the most sustainable way to stop eroding equity & savings of families, and stopping the fall of emerging markets currencies, besides overcoming hyperinflation, which may be on the way due to new QE.
3. Wages for housewife... ? Housewife is the most precious economic unit that will bear the brunt of this crisis with kids and husbands at home.
Government wages for every housewife. Yes…you read that right… wages for housewives… instead of direct one-time checks…? Housewife is the most precious economic unit that will bear the brunt of this crisis with kids and husbands at home…? More than that… we all know… they have the best economic skills to make every penny travel the farthest…without assistance from bankers or economists. Is it time to think about a 6-month wage….and correct the historic wrong committed over millennia? Support the part of humanity… that helped us become human from ape without technology or ivy league schools. This may also be the best way to shore up food supplies for families. And keep fear struck, quarantined families together.
4. Time to reduce indirect and environmentally dirty taxes, such as inflated gas prices…?
Lower energy prices, especially reducing the hidden tax burden in gas prices may be the best way to recapitalise families and countries. Also, take the market opportunity now to blend 30% ethanol in gas… most cars can take 20–30% ethanol without any modification. Most ethanol comes from green and happy Brazil, not cartel OPEC or bear Russia. How about offsetting gas taxes by gradually raising high-end property taxes which are historically low globally…?
This will allow economies to prepare for the unstoppable renewables. And collect more green taxes.
5. What will hurt the economic come back most when the crisis blows over…? Overseas travel restrictions. Time for a United Nations visa…?
When the crisis blows over the disruption in bilateral treaty-based travel visas is likely to take a protracted time to resolve as the governments may play selfish favourites. How about expanding the concept of Schengen State and Mercosur for a 2-year global travel visa from the United Nations…? and preparing for it now…so that we are ready to speed up the bounce back which will eventually happen. This will also allow economies to speed revive with trade and tourism and stem de-globalisation enabling the next level of growth
6. Army to protect food production and food factories…?
With major global producers such as Brazil, the US, Russia & Canada going under lockdown, the food supply chain and logistics may be disrupted deeper than anticipated. Farms and rural communities may also get hit harder than urban areas creating a vicious cycle Time to proactively build field hospitals in rural areas? Could soldiers replace sick farm and factory workers? With major global producers such as Brazil, the US & Canada repeatedly under lockdown the food supply chain and logistics may be disrupted deeper than anticipated
7. What hurts the families and kids the most in crises… parents struggle with school fees…time for schools to waive the fee for 6 months…?
Most families have been forced to opt for private schools in developed and emerging countries due to neglect of public schooling… despite high individual taxes. Should the families be anyway charged the full fee for pandemic time, online classes?
8. What is the biggest burden people impose on other people…?
What is the best way to lower this corrosive tax? Housewives — to stop tolerating corrupt husbands and sons…you will help economies save trillions!
Is this only an emerging market issue… possibly not…look at the state of poor infrastructure in many developed countries with tax rates close to 40% of GDP…are we missing something…?
9. What is the biggest harm parents are bringing to their kids…? Schools, private tutors & digital neglect.
Abandoning kids to tutors, digital devices and school only curriculum may corrode nature-given cognitive ability that higher education will not fix. Parenting needs an upgrade…where do you start? How about learning something academically hard with your child and compete with them. Watch them outshine you! Create a virtuous cycle of higher level subjects…as you go along to help you grow with the child.
10. What is the biggest harm “modern education” might be doing to kids…?
Shortening their productive life…? and …simultaneously loading them with multi-year debt. Education systems often force a person to spend ~half his life learning nothing more than basics to build a foundation for even superior & deeper cognitive skills.. isn’t this what the ancient civilisations did without the modern ivy league schools? How about enabling youngsters to grow in an accelerated but deep way…by broadening their mind with philosophy & astronomy and growing their heart with spirituality.
11. What is the biggest harm millennials might be doing to themselves…?
Not building enduring friendships and relationships…?
Is it time to wake up to the corrosion of social media which emphasizes followers at the expense of true friends? Are dating apps a way to look for and try out potential spouses? Is it time to focus on building one on one relationships that will help you in time of need? Do millennials have enduring relationships beyond your parents despite a large followers base?
12. Finally, fixing cracks in the economic foundation of humanity. Is it time to start writing down central bank assets related to QE…?
Total currency printed (QE) between major countries, at $17 trillion, maybe close to one-year aggregate taxes collected globally.
Is this an opportunity for central banks to call it what it is, take write-offs and re-start their countries afresh? Central banks have not been able to “normalise” balance sheet i.e get rid of the commercial banks’ loans purchased over the last decade despite best market conditions… how much more are they going to wait or currency printing at-will, will be the new normal response to such crises? Countries are no more than a construct of our imagination based on the basic building block of a family.
While the governments do what they have to do… is this an opportunity for families to introspect, make deep rejuvenating changes to help re-start their countries afresh…?
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