Opinion (liberation.fr): “Imagine the head of the European Central Bank hovering in a helicopter above the major cities and throwing money! Such a step would indicate how strong the doubts are about the effectiveness of the monetary policy that is designed to boost economic growth and prevent deflation.
“The interest rate of the European Central Bank according to which it lends money has gradually been reduced to 0%. The interest rates in France have even become negative. 40% of the debts of the European nations (2.86 trillion Euros) are now traded at a value less than 0%. To prevent the investment of money in bank accounts, they have decided to impose a tax on them hoping that the banks will begin to give loans. But this monetary policy of the European Central Bank has not yielded results.
“The direct distribution of money among the inhabitants is something that must engender a rise in consumption. If money is given to each citizen, he will spend it immediately, but the mass of commodities will remain as before. As a result of this, the money that is distributed will automatically lead to an increase in consumption and a rise in prices. Many economists consider this suggestion to be absurd.
“The proposal for the direct transfer of money to the accounts of the citizens of Europe raises questions of a democratic character, like: Who has the right to make a decision regarding the money? Is it the democratically chosen parliament and not the independent Central Bank who should alone decide without any oversight by the citizens? To whom and how should this money be distributed?
Everything depends on the question of the creation of a true European budget. Companies and families don’t want credit because of uncertainty about the future. The Central Banks are transferring tons of money into the economic conduits in vain, because all of them are missing the target, meaning that they are not influencing the volume consumption.”
My Comment: The era of money is over. We must look for another incentive— the spiritual opposite of money. It seems impossible to replace the distinct egoistic incentive with an indistinct altruistic incentive, but the world is coming to this, and its internal program is required to implement it.
“Kesef” (money) comes from the word “Kisuf” (yearning), meaning a “Masach” (screen) that covers (Mekaseh) the ego, and it speaks precisely about not needing to receive but to distribute, just as the distinguished economists have said themselves.