Equalitarian Peoples Associations
members may have different rights and obligations towards the
organisation activities and organisation benefits, like donations or
voluntary work, according to needs and capabilities. Obligations are
voluntarily accepted on a case by case basis as an individual voluntary
decision linked to a contract or at accepting a mandatory collective
decision involving the participation at an activity (i.e. payment of the
membership fee), the non acceptance implying loss of membership. It is
the public welfare rights.
At small scale an example could be a charity association running
a charity kitchen functioning with regular or occasional
donations in money, donations in food and voluntary work.
At large scale could be a
local or national state, delivering welfare state benefits,
functioning with taxes and public servants.
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Statutes and mission
Equalitarian Peoples Associations
have democratic statutes, or constitution, which is a statute
contract signed and committed by all members. Equalitarian Peoples
Associations statutes include a mission. The statute defines the
democratic processes and the bodies running them, and the types of
actions to achieve the goals of the mission and the bodies in charge of
executing them. The statute, and the mission, can be changed following a
democratic process according rules included in the statute, and by a
majority indicated in the statute.
Equalitarian Peoples Associations
have a periodic action plans implying periodic budgets. By
default, the period is a year. The action plans are social actions for
the benefit of the Equalitarian Peoples Association members and other
social targets specified in the mission. The action plan and the budget
are decided trough a democratic process as indicated in the statute. The
action plan and the budget are periodic contracts that are
ancillary annexes of the statute contract, and need to be signed by a
majority of the members, a majority specified in the statutes. The
management of the action plan may include further democratic
consultations during the period for the details or adaptations of parts
of the action plan.
Periodic Budget
Incomes and Expenditures
The budged of an Equalitarian
Peoples Associations periodic action plan is expressed in incomes
and expenditures.
Incomes
have these main budget lines:
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Money issued out of the nothing by the members, in their monetary
sovereignty, for this period and lend to the Equalitarian Peoples
Association. Nowadays, this function of lending money t the state is
only reserved to the banks in the Fractional Reserve Banking
System. The function is democratised to let anybody do it.
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Membership fees or taxes due by the members in this period and
collected by the Equalitarian Peoples Association.
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Other donations.
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Savings from previous period.
Expenditures
have these main budget lines:
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The cost of running the public bodies. It is the cost of the
democratic process.
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Expenditures to deliver the social actions indicated in the action
plan and executed by the public service bodies. Some of the
expenditures may be investments. It is the cost of the social
benefits.
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The cost of the basic income due and paid to all Equalitarian
Peoples Association members. We classify it as different to a social
benefit as it is only monetary machinery but not real goods.
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Money in the Peoples Bank that is returned to pay the loans.
Mandatorily, at each periodic
budget, the incomes equal the expenditures within the period.
There are donations but no loans from the outside. Lending of any money
at any currency, including Commons Sovereigns, by the Equalitarian
Peoples Association governing body or any public service enterprise is
prohibited.
Exceptionally there may be
savings from one period passed to the next. No income can be
included as a debt for the next period.
Economy
Once issued and spend by the Equalitarian Peoples Associations, the
Commons Sovereigns will circulate in the free market of Open Money,
having an economic impact beyond the actions foreseen in the periodic
action plans.
This may impact notably the monetary mass of Commons Sovereigns
available inside the Equalitarian Peoples Association community for the
Periodic Budget circuit.
Equalitarian Peoples Associations have no ambition to rule the free
market economy around them, but discussing a Periodic Economy Forecast
beyond the Periodic Budget, the State Budget, is necessary to the
Monetary Policy chapter at the discussion of the periodic action plan.
Structure
Members
New members are admitted following
rules indicated in the statute and according a voting procedure amongst
old members as indicated in the statute contract. Once accepted as
member, the new member signs the current version of the contract
statute and all the rights and obligations for the members included
in them. He acquires the right to vote and obligation to sign approved
changes in the statute contract and the right to vote and obligation to
sign the periodic plan contracts.
The failure to participate in the
democratic decision process, that is, not exercising his/her rights to
participate in the decision process, including the voting, or not
accepting and not decisions taken by the majorities as specified in the
statute rules, may imply the member expulsion of the Equalitarian
Peoples Association. The precise conditions and procedures for expulsion
are specified in the statute. These rules are expressed as points added
or detracted to the member reputation.
The non fulfilment of his/her
mandatory or voluntarily acquired obligations towards the organisation
activities may also imply the member expulsion of the Equalitarian
Peoples Association. The precise rules are specified in the statute. The
rules are expressed as points added or detracted to the member
reputation.
In case of dispute of a member, or
several members, with the Equalitarian Peoples Association governing
bodies with regards a decision process, or with the Public Service
bodies with respect his rights and obligations at the organisation
activities, an Ombudsman will organise a public court made out of
ordinary members of the Equalitarian Peoples Association, following
procedures included in the statute contract. The judgement is mandatory
to all parts.
Members may trade with each other or create businesses, freely using the
Equalitarian Peoples Association Commons Sovereigns or any other
currency.
Members Categories
Citizen
Is the default member
Member of Groups
Members can voluntarily join political Groups that vote in the decision
process jointly, after a separate internal discussion and with their own
majority rules, renouncing to their individual votes. Groups cannot be
created to do jointly a mandatory action. Public Managers and
Councilmembers have to abandon any Group after being appointed.
Public servants
A citizen may be voluntarily recruited part time or full time as
employee of a public body. It has several properties, the public service
body, the post, the category, the duration, the working time, and the
salary. Public servants are nowadays called volunteers and may not be
paid at all, or only provided with subsistence means or payments.
Salaries of the employment posts at the public service enterprises are
proposed by the management and fixed with their annual operational costs
plan. Acceptance of public servant employee contract with a given salary
is voluntary.
Court
It is a property of Public Servants. A citizen may be appointed
temporarily as public servant to a court. It has a property, he/she is
nominated as a court for a judgment contained in a contract.
Public Managers
It is a property of Public Servants. They have powers over the Public
body's accounts and to sign Public Servants employment contracts and
other service contracts with external providers.
Councilmember's
It is a property of Public Servants.
They become employees to the Equalitarian Peoples Association governing
body secretariat, a particular case of public body, after being
elected. They have powers over the Public Bank accounts, and to sign
action plans with the Public bodies. Councilmember's have a property
called post which implies the monitoring of a part of the action plan.
Ombudsman
It's a special senator's post.
Members Reputation
Members reputation is a scoring system (for example from 0 to 100) to
accumulate points at participating in the democratic life of the
Equalitarian Peoples Associations, that is, to fulfil its obligations.
The failure results in detraction of points. It's a measure of the trust
behind the Equalitarian Peoples Association contracts.
Decision procedures defined in the statute, or mandatory actions
included in the actions plans, indicate the number of points to be added
or detracted to the reputation. They are calculated to add to the top
value (i.e.100). Points are added or detracted automatically at
executing the corresponding contract clause.
There is an average admittance reputation acquired at the member
admission.
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Reputation is public and appears in the members profile.
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The reputation score does not result in any increase or decrease in
the members rights or obligations. At reaching 0 or less it results
into automatic expulsion.
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There are additional
reputations linked to particular services, like reputation as
moneylender.
Members Capacity
Member's capacity is expressed in Common Sovereigns paid as membership
fee or regular donation or Equalitarian Peoples Association taxes.
It is voluntarily chosen and
declared by every member before the discussion of the periodic action
plan, so that the income in membership fees is known. Once declared, it
becomes mandatory. Members can declare different capacity for each
period.
The amount of capacity does not result in reputation points.
Equalitarian Peoples Association may choose social network platforms to
express this kind subjective social reputation. However, once the
capacity is committed, the payment results in reputation points.
Private corporations
Members can create any kind of private corporations. They may use any
kind of currency they want. Strongly suggested is to use a currency
consisting of a contract with the bearer to deliver the goods produced
by the corporation, a currency that is a merchandise bond. If they want
to use ethereum they can work as Decentralised Autonomous Organisations,
and issue a currency with an amount representing the total of the goods
to be placed in the market. They may also use Common Sovereigns, if they
want to do so, as their trade currency.
Governing bodies
Equalitarian Peoples Associations
have governing bodies or Councils with part time or full
time Councilmember's elected democratically amongst the members
every period to manage the action plan. Each Councilmember is elected
for a particular post. The posts of the governing bodies are broadly
defined in the statutes and further specified for each action plan.
Councilmember's may different voting weights according to the post, as
broadly indicated in the statutes and further specified for each action
plan. At every period a majority of the members sign an appointment
contract with the elected Councilmember's giving them the necessary
powers to manage the action plan contract. Payments related to the
budget require the signature of Councilmember's with a majority broadly
defined in the statutes and further specified for each action plan, for
each budget line.
No member can be elected as Councilmember more than one consecutive
period.
At small size Equalitarian Peoples Associations there is usually no need
of a permanent assembly like a parliament. The periodic plan can be
discussed at a yearly assembly, real or virtual. Changes in the rules of
the statute can be equality discussed at assembly, real or virtual.
Public service enterprises
Equalitarian Peoples Associations
may decide to have public service enterprises to execute parts of
the action plan. They function as autonomous public, social,
enterprises.
They are public service bodies, which are publicly funded, and are at
the same time social enterprises, that have the capacity to trade. They
need to manage the resources efficiently, like companies. They follow
usual accounting rules. If they sell the services for a subsidized
price, anyhow they need to succeed in the market.
All assets belongings of a public service enterprise are belongings of
the Equalitarian Peoples Association statute contract.
The establishment of a public service enterprise is part of a periodic
plan, and by default inherited by the next periodic plan, so that public
service enterprises have some stability. Public service enterprises may
be dissolved at another periodic plan.
Every period, the public service
enterprise signs a contract with the governing bodies to do some
of the works of the action plan. Public service enterprises are paid out
of the budget line allocated to these works. The default payment mode is
advance payments and reckoning with real costs after acceptance.
The expenses of the public service
enterprises are divided into projects, operational costs
and investments.
At the beginning of each period, all public service enterprises prepare
and submit a periodic plan made out of projects and operational costs.
These plans need to be approved by the governing bodies and are part of
the contract.
To do the works, at projects or
operational costs, public service enterprises may contract
services or goods to members or to any other party. These contracts
follow a good administrative practice public tender procedure. Every
project implies a contract with the provider. The contract payment is
expressed in Commons Sovereigns and can only be paid in Commons
Sovereigns.
To do the works indicated as
operational costs, public service enterprises may have part time or full
time public employees to do the necessary jobs. Public employees,
including the management, are recruited and contracted
voluntarily amongst and only amongst the members. The governing bodies
of the Equalitarian Peoples Association are in charge of the selection
and appointment of the public employees. By delegation, the public
service body's managers may do recruitment of non management employees.
The employment contract payment, the salary, is expressed in Commons
Sovereigns and can only be paid in Commons Sovereigns. Employment at
public bodies, including management posts, may last more than one
period. The contract for a management post is never less than one
period.
Public service enterprises may invest into infrastructures, like office
equipment or cooking machines.
The management of the public service enterprises has the powers to sign
payments according rules set out at establishing the body. Every payment
has to correspond to a contract for the delivery of a good, a service,
be it a project or an operational cost, or an employment contract.
The acceptance of the works
of the public service enterprises is decided trough a democratic process
of all members as indicated in the statute, prior to the process of
deciding the next action plan. Some rules of this audit could be
something like:
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The people's rejection of the works implies the automatic
resignation of all the management of the public service enterprise
and the disqualification to occupy any such post for the next three
periods. No further liability is required.
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The public acceptance of works may be prepared evaluations
contracted to independent experts, publicly appointed.
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The acceptance of the works implies an
audit
of the accounts. If the audit
detects a misuse of the resources of the public service body,
according the principles of economy and efficiency, whether the
works are accepted or not, it results in sending off as members of
the Equalitarian Peoples Association of the management of the public
service body, and they cannot be readmitted for the next three
periods. No further liability is required unless the misuse has
implied personal enrichment. In that case the governing bodies may
claim damages to the general civil justice system.
The incomes of the public service enterprises are the funding received
from the Equalitarian Peoples Association governing body and the incomes
resulting from the selling of the services.
These enterprises need to have a positive or not negative result. No
lending is allowed by any other body of the Equalitarian Peoples
Association, ant member, any external institution or person.
A special Public Service Enterprise is the Donations service paying the
Basic Income and collecting the donations or taxes.
At small scale an example of a public enterprise could be the
kitchen itself of a charity kitchen association; another public
enterprise the team collecting the food donations.
At large scale it could be
the public schools of a district under one management.
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MONETARY SYSTEM
Commons Sovereigns
Commons Sovereigns
is a type of currencies designed for Equalitarian Peoples
Associations.
The name of Commons Sovereigns
is to express that it is a currency to manage the people's commons
with full sovereignty.
The purpose of Commons Sovereigns is:
The ultimate aim is to reinforce a parallel economy to the debt money
economy, around the solidarity activities of the Equalitarian Peoples
Associations, by creating a net differential to pump systematically
transferring wealth from the debt money economy. This would reinforce in
general the parallel solidarity Economy including other solidarity
businesses and enterprises.
Commons Sovereigns design is tightly
linked to the Equalitarian Peoples Associations structure, decision
process, and functioning. Commons Sovereigns concept is the currency to
denominate the transactions to the contracts regulating the
relations between the Equalitarian Peoples Association members,
governing bodies and public service bodies. In the real world it may
have thousands of variants.
The above mentioned contracts are supposed to inspire their
implementation as Smart Contracts in Ethereum.
Member's accounts
Each member has two accounts, the
current account and the loans account.
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The current account
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The loans account
There are two types of transactions
between these types of accounts, transfer of funds and loans.
Transactions have to be always between accounts of different members. A
member cannot make any operation between his or her current
account and the loans account.
The unit of account is Commons
Sovereigns at both types of accounts.
Transfer of funds
If the current account has
sufficient funds not to become negative after the transaction, a member
can transfer any quantity from his or her current account to
another member current account. The receiver can be also any
organisation account. It detracts the amount of the transfer from the
sender and adds the amount to the receiver. It only requires the
signature of the sender. The receiver can reject the transfer
afterwards.
Loans
Any member can transfer out of the
nothing any quantity from his or her loans account to another
member current account.
It detracts the amount of the transaction from
the sender and adds the amount to the receiver. The receiver can be also
any organisation account. It requires two signatures, the signature of
the sender and the receiver of the loan accepting the loan.
Lending abuse may result in inflationary effects. Equalitarian Peoples
Associations may want to regulate this activity and set some rules. If
the Equalitarian Peoples Associations wants to have some control of
these operations using these rules, the contract may require a third
signature, that of a control body.
The transaction itself is a
lending smart contract signed by all parties that includes the
automatic payback to the loans account of the lender, at the agreed
timing and the agreed conditions.
A variant may include an interest, that is, the payback of the principal
to the loans account of the lender and an interest to the current
account.
As this is how banks operate now in
the Fractional Reserve Banking system, all Equalitarian Peoples
Associations people become banks for Peer to Peer lending and
thus creating money. If the Equalitarian Peoples Association misses the
old banking system, it may authorise the creation of DAO corporations
that also have a loans accounts and can give loans out of the nothing.
Public service enterprises have no loans account, and therefore cannot
lend money.
The monetary consequence, as it
happens at all P2P monetary systems like time-banks, is that there is
no fixed monetary mass. The monetary mass grows with the lending and
decreases with the payments back. In one word it grows with the
intensity of the trust based transactions between peers. Interest
payment does not change the total monetary mass, but sucks and detracts
money available for transactions of goods.
Other B2C oriented monetary systems, like currencies that consist in a
contractual promise of a good (commodity based), need to have a fixed
monetary mass. Bitcoin is a special case. It has a fixed monetary mass
like B2C systems, but floats in value.
Peoples Bank and other public accounts
The periodic budget of the Equalitarian Peoples Associations is executed
in Commons Sovereigns.
Peoples Bank
It is an atounomous body controlled
by the Council in charge of the monetary policy of the Equalitarian
Peoples Associations. Its role is to control the overall monetary
mass used by the Equalitarian Peoples Association.
It does create all the sovereigns existing in the system.
In
ethereum, it can
be created like this:
The Peoples Bank is authorised to generate as
many sovereigns as it considers necessary.
The Peoples Bank is not allowed to
transfer any sovereigns to anybody except to the members loans accounts,
not even the Council Account. It is only allowed to transfer to the
loans accounts of the members of the Equalitarian Peoples Association a
one off transfer equal to the members
reputation as moneylender. It is entitled to detract from the
members loan account a quantity of sovereigns equal to the decrease of
reputation of the member as moneylender, and to transfer to the loans
accounts any increase of the reputation of the member as moneylender.
Thus allowing to lend more money.
Council account
The Council account is the account of the Council and manages all
incomes and expenditures of the periodic budget. All entries are visible
by all Equalitarian Peoples Association members. Payments need to be
voted by council members according rules set out in the statute.
Payments can only go to Public Service Enterprises.
Public Service Enterprises accounts
Each public body is an autonomous organisation that has its own account
in Commons Sovereigns. All entries are visible by all Equalitarian
Peoples Association members. Payments need to be voted by their Public
Managers according rules set out in the statute.
Exchange services
Anybody, except Equalitarian Peoples
Association governing bodies or public service bodies, may establish
free market exchange services of Commons Sovereigns with debt
fiat money, any other Open Money currency and any other crypto currency.
Exchange services are freely available to any business of person selling
services or goods to the public service enterprises of the Equalitarian
Peoples Associations or trading with the members or anybody accepting
Commons Sovereigns.
The governing bodies and the public service enterprises of the
Equalitarian Peoples Associations cannot establish an exchange service
or change themselves. Members may establish exchange services.
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As the public service enterprises get their budget paid in Commons
Sovereigns, goods or services that need to be paid in debt money by
the public service enterprises imply that somebody, member or not,
accepts to be paid in Commons Sovereigns on a voluntary basis, and
then if need be exchange it to debt money.
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Members may exchange debt money for Commons Sovereigns to pay their
Membership fees or to obtain services or goods offered in Common
Sovereigns. Members may establish exchange services.
Exchange rates are free market rates resulting from supply and demand.
Governing and public services bodies are not authorised to exchange and
have no say, through ruling, in the exchange rates of the Commons
Sovereigns.
ECONOMY
By Equalitarian Economy we mean the part of the economy moved by the
Equalitarian Peoples Associations. It does not pretend to become all the
economy, which is largely assumed to be free market economy. It is an
economy meant to distribute wealth for the healthier to the poor and
generate value in the process. We speak about an amplification of the
altruist actions.
Legal Tender currency
The Commons Sovereigns
currency is the legal tender currency of the Equalitarian Peoples
Association:
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All issuing of Commons
Sovereigns currency lies on the member's sovereignty to give
their governing body a monetary instrument. The members of the
Equalitarian Peoples Associations set each year the equal amount
of Commons Sovereigns to be issued by all members.
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All contracts signed by the Equalitarian Peoples Associations
governing bodies can only be signed as contracts with Equalitarian
Peoples Association public service enterprises, and payments can
only be done in their Commons Sovereigns currency.
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Public service enterprises may
contract with anybody, but can only pay in Commons Sovereigns. This
includes public servants salaries.
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Amongst the obligations of the
members of the Equalitarian Peoples Associations is the obligation
to pay every period a personally fixed amount of membership
donations or fees in Commons Sovereigns. Membership fees have to
be paid in Commons Sovereigns.
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Other money donations have to be converted into Commons Sovereigns.
There may be donations to the Public Bank or to a specific Public
Service. This fosters the competition of public services to get free
donations.
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All members of the Equalitarian Peoples Associations are paid a
basic income. The basic income is paid in Commons Sovereigns.
This graphic shows how Commons
Sovereigns, used at the public services as Legal Tender Currency,
circulates as a complementary monetary tool of the free market as well,
exactly as Legal Tender Currencies are doing now. The difference is that
there is not anymore monopoly.
In this circuit, the issuing of new money by the people each period and
its return and destruction is used to fine tune the total amount of
monetary mass. It avoids the new creation each period of the volume of
donations that will be returned anyhow in form of Basic Income, and
reuses this volume form one cycle to the other.
An equivalent circuit, more simple and easier to understand, is a
circuit in which all members issue at the beginning of the period all
the money they will must pay as donations or taxes. In the end everybody
pays the taxes with their positive balance of their account, fruit of
their trade or labour, and cancels the credit given to the Public Bank
of the Governing Body.
Membership Fees and Basic Income
Membership Fees or taxes and Basic Income balance represents the pump to
inject value from the debt money banking system to the solidarity
economy and distributing this wealth to the poorest.
Membership fees
Membership fees are paid according a time schedule specified in the
statutes and periodic action plan. Each member pays the voluntarily
agreed capacity. Membership fees are collected in Commons Sovereigns.
Experience shows that capacity follows an exponential curve.
Basic Income
The basic income may be defined as an unconditional equal basic income,
or a variable according the depending persons of the member, like
children or elderly, or to the contribution to the family works, like
man and woman. The choice is optional to each Equalitarian Peoples
Association. For modelling purposes, we assume it is an unconditional
equal basic income.
Basic income is paid in Commons Sovereigns.
At the poorest, may be precarious or unemployed in the debt money world,
the net balance of taxes to be paid and basic income is positive in
Commons Sovereigns. They may be employed as public servants in the
Equalitarian Peoples Association, in which case they have an additional
income in form of a salary in Commons Sovereigns, or maybe not. They may
spend their Commons Sovereigns by paying services provided by the public
service enterprises (i.e. charity kitchen). But they may also obtain
good value for the money by exchanging their money with high capacity
members needing to pay tax in Commons Sovereigns for debt money paying
debt money economy goods and services. High capacity members that have
not collected enough Commons Sovereigns through the internal trade may
pay good EUROS or USD to the poorest to obtain the Commons Sovereigns
needed to pay their fees. They may also exchange their Commons
Sovereigns in other Open Money currencies that can be used for products
or services in the solidarity economy.
In summary, the Basic income is a net transfer and redistribution of
wealth in form of public Equalitarian Peoples Association services or
other goods that can be bought with debt money or other Open Money
currencies.
Statistical adjustment
At every periodic action plan there will be a statistical adjustment of
Basic Income to expected membership fees.
A typical statistic scenario will transfer wealth form the 25%
healthiest members with higher capacity to the 75% poorest.
Volunteers payment
Volunteers working part time at NGO, sharing their activities with a job
in the debt money economy to get their subsistence, are not paid
nowadays. They work in a fully altruistic way, not expecting to get any
benefit other than moral satisfaction.
Only full time NGO volunteers are paid a salary in debt money to allow
them to survive. Typical is the case of volunteers on mission on third
world countries. A different case is the NGO bureaucrats working in the
offices, normally a small percentage of all volunteers.
The vast majority of volunteers in the NGOs are paid nothing. We need to
monetize this donation of work to move the wheel of the solidarity
economy.
We assume that we start from
this altruist spirit. We will assume that volunteers, the public
servants of the Equalitarian Peoples Association, are paid just for
symbolic purpose. For convenience of exposition we assume that public
servants on a basic post are paid 1 Common Sovereign for 1 hour of work.
It does fit very well with the currency used in Time Banks, the HOUR.
If we measure the prices of all goods and services in terms of their
equivalent value of labour, a public servant being paid in Common
Sovereigns will only expect to be able to buy, for his HOUR of work in
the Equalitarian Peoples Association public service, no time of
commercial services in the debt money world.
However as other members of the Equalitarian Peoples Association start
to offer their services in the free market for the Common Sovereigns
they need to pay their fees, one HOUR paid to volunteers in Common
Sovereigns starts to have a value in the internal market. A volunteer
mother may use Common Sovereigns to pay somebody to baby sit her kids
while she cooks in the charity kitchen. It means that a small egoist
advantage is already introduced with respect the current situation in
which they get paid nothing.
We call the ratio of the marketable
value of the Common Sovereigns salaries the egoist ratio. This
egoist ratio will determine the exchange rate of the Common Sovereigns
in the exchange market.
Volunteer pay and exchange rate
The exchange rate of one Common Sovereign will fluctuate initially
around the price of one hour of work in the debt money economy times the
egoist ratio.
Nevertheless, internal trade made with other people using Common
Sovereigns will soon use the same time of work equivalence. In the
internal market, if the public service enterprise pays 1 CS per working
hour, time banks will soon tend to pay 1 CS for one hour.
Egoist ratio 10%
This provides a tremendous incentive to buy internal, speeding up the
growth of an internal market of goods and services in Common Sovereigns.
The small egoism of the former volunteers, now public servants, is the
most powerful engine for the growth of the solidarity economy.
This growth is not in contradiction with the aims of a sustainable, not
GDP growing economy. It's a growth based on conquering new economic
areas. Once conquered, they should be designed in a way more resource
efficient, resilient, recycling and sustainable. The GDP of each of the
conquered areas should decrease.
In the long run, if the new economy is to take over the Fractional
Reserve Banking money economy, this low egoist ratio cannot be given for
granted for the public servants. In the long run, full time public
servants should be able to earn for a living. The egoist ratio should
grow to 100%.
Egoist ratio 100%
The tendency over the years is that the exchange rate of 1 CS equals the
price of a working hour in all external currencies. It only means that
all currencies exchanges turn out to pay the same amount of working
hours in all currencies.
Export and imports
A low egoistic ratio at the start will be also a strong incentive to
external players to import goods and services from people or enterprises
working in CS. For the price of a working hour in the debt money economy
you can buy the reverse of the egoist ratio number of working hours in
the Equalitarian Peoples Association economy.
His is an additional thrust for the growth of the Equalitarian Peoples
Associations economies over the debt money economy until they reach an
equalitarian equilibrium between them.
Life cycle of the Commons Sovereigns
Commons Sovereigns are issued at the
beginning of each functioning period (normally a year) and extinguish
after a given time after the end of the each functioning period. The
extinction time, the time after the end of the functioning period
until extinction is decided at setting the appropriate Commons
Sovereigns monetary mass.
Issuing Commons Sovereigns
Issuing for the annual plan public budget
Once the members of the People's Organisation have decided the budget
required for the operation of the People's Organisation on the next
functioning period, every member of the People's Organisation issues
his/her aliquot part of this global amount.
The issue consists in an equal loan of every member, independent of
their wealth, to the Governing Body, and deposited at the Peoples bank
current account. The loan is a loan to finance the annual action plan.
The elected Governing Body signs the loan contract with each member or
citizen.
The amount to be issued each period equals in principle the amount of
funding required by the Public Social Enterprises.
Additional quantities may be required to adjust the overall monetary
mass to a larger quantity. If the monetary mass is to be reduced, the
amount to be issued is less than the funding required by the Public
Social Enterprises. They have to obtain their money elsewhere.
P2P issuing
As we have seen, P2P loans increase the total monetary mass of Common
Sovereigns. The monetary policy may decide to go for inflation and make
the lending regulations more flexible or go for deflation and make the
lending regulations stricter.
Returning public Commons Sovereigns
All loans must be paid.
They will be automatically
executed by the Smart Contract.
It means that the loans made to the Peoples Bank will be absorbed in
chain from any available amount at the Peoples Bank and any of its
possessions, like the Public Service accounts. Usually the Donations
Public Service pays during the cycle the basic income and collects, may
be monthly, the donations. Donations or fees are supposed to have an
excess over the total Basic Income quantity, which is returned to the
Peoples Bank to pay back the loan.
THE SOCIAL AMPLIFIERS
The net effect to be obtained is to give access to the less wealthy, the
net beneficiaries of the Equalitarian Peoples Association, to goods and
services worth much more than the value of the donations. The mechanism
is to create an internal market in Common Sovereigns currency that is
bigger than the public services.
-
Net beneficiaries of the Basic Income, with no stable working
contract in the external world, have access to goods and services
for the amount of their net basic income after taxes. They may offer
also their services in the internal market and get extra incomes in
Commons Sovereigns.
-
The public servants low egoist ratio ensures a devaluation of the
Common Sovereigns with respect external money. It translates that
the donations made by the richest with a low effort in external
money like USD or EUROS, translates in a multiplied purchasing power
at the internal economy.
-
Additionally, the goods or services delivered by the Public Service
Enterprises have subsidised prices cheaper than the market prices at
the internal economy. It means that goods of public priority are
even cheaper.
Inspirations
Inspirations behind the ideas above
-
THE DESPERADOS
ALTERNATIVE ECONOMY
https://sites.google.com/site/desperadostheory/home
-
Una Moneda
para cada Bien: SISTEMA MONETARIO PARA LA ECONOM? SOLIDARIA
http://books.google.be/books?id=NUDaAQAAQBAJ
-
More People's Republic of DOUG stuff... Andreas Olofsson
http://youtu.be/oZVsIiQ1ME0
What we propose is, instead of a guarantee of collateral's, the smart contract P2P credit financial instrument includes a shared responsibility of returning the credit. If the borrower does not pay, it is the moneylender who pays. 
This does not prevent that other, not monetary, conditions exist at the smart contract. For example, a non monetary clause could say that in case of default the ownership of the collateral goes to the moneylender. If the ownership of the collateral is expressed in a smart contract, you may change the owner. But this is not a monetary transaction and does not solve the destruction of the money created by the loan. To close the loop, the moneylender cannot keep the property (unless he buys it); he has to put the collateral in the market again, sell it, and restore the credit to zero. Maybe this causes another credit to be created.
