This piece by Sergei Glaziev is very interesting, a good reading. It’s clear that the writer has a good understanding of the basic functioning of economy and finance, moreover he describes very well the modality of the systematic plunder, operated by what we’ll term the “international banking cartel” for convenience of presentation, against the working and productive classes (and almost everybody else, in fact!), not only in Russia but  everywhere. Over and above, he draws a good portrait of the absolute inanity and incompetence of modern “economists” and financial bureaucrats (even if I doubt that somebody can be SO stupid, so that I’d rather talk of treason, not stupidity).

Anyway, when he comes to the solutions he goes a little astray, falling for a plethora of academic, verbose and hazy proposals, which could be a recipe for disaster, relying too much on the good will of too much persons to be implemented.

The solution to the current most urgent needs of the Russian economy and financial system is very simple. All of the current turmoil can be fixed overnight with two very simple provisions:

1) Create a State Bank for Economic Development, whose ONLY activity is to provide loans to every domestic non-financial enterprise, for investment and working capital purpose, and to families, for the purchase of the home or flat where to live, with interest rates charges capped at 2%. The Russian foreign currencies reserves alone can provide this bank with a loaning firepower of several trillions dollars. Of course, the loans must be granted and repaid in the domestic currency.

2) Forbid by law any short sale (i.e. the sale of what you DO NOT HAVE, in unlimited quantities, reserved to a selected few; in short, the ultimate price fixing scheme) of any financial securities (stocks, bond, currencies). Reserve the short sale of tangible commodities ONLY to the producers of the same commodities, limited to one year of current production.

That’s all! You shall not fight against your enemies, internal and external; they will die a natural death.

After that, start seriously implementing a real sovereign monetary emission, following all the N-E-C-E-S-S-A-R-Y postulates for its success.

Then, give alms for my sins!


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