Let’s assume that the world consists of only four people: 👵Adele, 👩🎓Berta, 👨✈️Chris and 👤Desmond.
Since this is a fair world, each of them has made a fortune of € 10,000. It’s the year 2008:
👵: € 10,000
👩🎓: € 10,000
👨✈️: € 10,000
👤: € 10,000
The financial crisis sets in. But the four are lucky. Adele inherits a brand-new car, Berta studies at the university and becomes a businesswoman, Chris is training to work as a taxi driver and Desmond gets a banking license. Four years have passed, it’s the year 2012:
👵: € 10,000 plus 🚖
👩🎓: € 10,000
👨✈️: € 10,000
👤: € 10,000
The years of success are slowly beginning. Berta buys Adele’s car for € 10,000 and sells it profitably to Chris for € 15,000. For this, Chris has to borrow € 5,000 from Desmond. Desmond does this on the condition that he will get back € 10,000 from Chris in four years. We are now in 2016:
👵: € 20,000
👩🎓: € 15,000
👨✈️: € 0 plus 🚖
👤: € 5,000
The boom years are continuing. Chris works for Berta for € 10,000 and pays Desmond € 10,000 in return. Afterwards Chris sells the used car for € 10,000 to Adele. It has become the year 2020:
👵: € 10,000 plus 🚖
👩🎓: € 5,000
👨✈️: € 10,000
👤: € 15,000
Suddenly the Corona crisis sets in. The economy comes to a standstill. Adele sells the used car at no extra charge for € 10,000 to Berta. To do this, Berta has to borrow € 5,000 from Desmond, for the same conditions as before. Then she sells the used car for € 10,000 to Chris. With these € 10.000 she can repay her debts to Desmond. Finally Chris sells the car for the same price of € 10,000 to Adele without having used it.
👵: € 10,000 plus 🚖
👩🎓: € 0
👨✈️: € 10,000
👤: € 20,000
Was has happened in all this time?
👵 Adele is as rich as she was at the beginning
* but her car is a used one now.
👩🎓 Berta has spent her € 10,000 and earned € 5,000 with her business
* and is already broke.
👨✈️ Chris worked for € 10,000 and only spent € 5,000
* and is still not richer than before.
And Desmond?
👤 Desmond didn’t work at all
* and has doubled his wealth.
—
It’s always the same economic circle, from crisis to crisis. The owners like 👵 Adele are safe and secure, the entrepreneurs like 👩🎓 Berta are risking their existence, the workers like 👨✈️ Chris are not getting richer and the capitalists like 👤 Desmond are gaining.
How can it go on? There is only one solution:
A Basic Income with negative interest rates.
—
Vienna Calling 