Tag Archives: Treasury Select Committee

Green Credit for Green Purposes – a four-year old idea whose time has come?

Green Credit for Green Purposes was a submission to the Treasury Select Committee that formed the basis for this blog in February 2008.

Recently, the Bank of England came up with ‘doing it by QE’, or quantitative easing – as if there was no difference between ‘credit’ that requires ‘interest’ and ‘cash’ that is interest-free.

Besides the fact that nobody issues the interest necessary for all credit, the other aspect is who has the privilege of

  • issuing interest-free Cash: National Governments
  • issuing interest-bearing Credit: virtually all financial institutions
  • and who controls the issuers???

What is particularly sad is the fact that National Governments have let the financial institutions virtually take over the privilege of issuing money as Credit and thus the power of control.

What’s so dishonest about our money explains these arguments on another site.

Our Submission to the Stern Inquiry

At long last the Committee’s Fourth Report came out on February 5th and all our 63 paragraphs of “Green Credit for Green Purposes” are part of the publication.

I have yet to learn who reads the £24 document – besides all of the people who gave evidence and therefore got a free copy.

And I have to discover the value of our submission in this document.

Since the Yunus Event at St. James’s, I begin to talk about ‘climate urgency’ and ‘climate capitalism‘.

Our current Early Day Motion is entitled “Green Credit for Green Growth” but so far only 11 MPs have signed.

In the UK, WriteToThem makes it easy to ask your MP to sign. Are you happy to click through?

No need to apologise.

Sabine,

No need to apologise. We look forward to your supplementary memorandum.

Lis

Unfortunately, this supplementary memo was NOT published in the final report.

19.03.07 My sincere apologies

Dear Lis,

I am very sorry indeed to have caused bad feelings and a misunderstanding.

As I mentioned, I am taking your offer of a supplementary memorandum so seriously that I’m asking our lawyer for advice again. She recommended the Committee in the first place, which happened to coincide with the Stern inquiry.

Last week I attended not only the All Party Group for Climate Change but also the Climate for Change conference of Women in Science and Technology where grandmothers were appealed to as carers for future generations.

Forgive me for having let my German / Slavic passion (and pain) for our planet allowed me to explain my interest in the Committee’s work.

It was just background information.

Yours sincerely,

Sabine

Promoter, Is Green Growth Possible?

Publisher, Green Credit for Green Purposes

Organiser, Forum for Stable Currencies

Director
3D Metrics
21a Goldhurst Terrace

London NW6 3HB
T: +44 (0)20 7328 3701
M: +44 (0)7968 039 141

www.3dmetrics.co.uk – Measuring new Qualities in Finance, Science and Economics

16.03.07 Nothing further to add

Dear Sabine,

Thank you for your email. The Committee does not respond to, or enter into discussions about individual memoranda. The Committee will express their views on this subject when they make their Report to the House.

I have nothing further to add.

Best wishes

Lis McCracken

16.03.07 Access to the Treasury Select Committee – because we have 10 years left according to NASA scientist James Hansen

Dear Lis

Many thanks indeed for your invitation to submit a supplementary memorandum!

While I am waiting for the advice of our lawyer, I thought I’d let you know more about my interest in the Committee’s inquiry into the Stern review:

I am old enough to have been rescued by my 85-year-old mother from the bombing of burning Dresden – on the way from her home which has become Polish to where we ended up as refugees. She moved over 40 times – the last time to the former DDR ‘left of Berlin’ where I could watch American style capitalism ‘roll in with a vengeance’.

I have had to explain to myself how Nazism had become possible in my country of music, philosophy and mathematics and I had to come to the realisation that people were only ‘doing their job’. With German thoroughness and dutifulness. People can only ‘do their job’ because they are paid to do so. Money is that tool and the fuel of the economy in the same way as blood is the fuel of our body. But that fuel has attained as bad a quality by now as air, water and soil around us.

James Gibb Stuart, the 84-year-old author of The Money Bomb who lives in Chairman McFall MP’s constituency says: the climate and the money problem are one and the same. But Isabel at the constituency office told me to get in touch with you regarding a meeting with the Chairman.

When I lived in Geneva and had an office next to the United Nations, I realised that my country was going to become the battlefield between the US and the USSR but thought that peace was politics and that politics was made by men.

I came to London thanks to Bernard Benson who in his youth had contributed to the invention of Trident. I had heard his lecture in Paris where he said that 1.7% of humanity are responsible for the arms race: the scientists (I had been working as a systems analyst at CERN, the European Centre for Nuclear Research), the military, arms producers, financiers and politicians.

As a mathematician and ‘computer woman’ I was involved in the first Internet Cafes in London and organised weekly ‘networking meetings’. One day Lord Sudeley came and told me his story about how his ancestor had been made bankrupt by Lloyds over 100 years ago. When I learned that the same ancestor had built the estate that became the model for the Palace of Westminster, I felt so ashamed for him. How can a country to this to its own history? I felt even worse when I met a person whose company was made bankrupt by Lloyds according to the same principles 100 years later. But I was to meet more and more such ‘bank victims’.

That’s why I organised the Forum for Stable Currencies at the House of Lords and learned more about our Western monetary system than I ever wanted to know. At our last meeting I had Aubrey Meyer as a speaker who demonstrated the dangers of our planet and the “Contraction and Convergence” framework of his Global Commons Institute. His 4-year-old daughter had asked him whether it’s really true that our planet is dying. I heard him play the music of Schindler’s List while showing pictures of our planet which cannot but make you cry.

When I attended a seminar of the Environmental Law Foundation on the legal and economic challenge of climate change, I spoke to a lawyer who began to advise me.

By that time, I had attended not only meetings of the Monetary Policy Committee before it became the Economics Affairs Committee at the House of Lords, but I had also made three submissions that became part of a report, a CD and in the third time were not published. Thus I discovered how not to be heard by writing.

I also had watched the establishment of the Debt Management Office, the Financial Services Authority and the reform of the House of Lords where Lord Sudeley lost his raison d’etre of party independent and long term thinking. Hansard reported Lord Oxon of Oxenford who had said that this country has never had a revolution because of that tradition!

When the Anglo-German Foundation compared the British and the German banking system, it came to the conclusion that the German system was superior in many ways. The Foundation is now heading a research programme into the creation of sustainable growth in Europe, and I have proposed to analyse the same kind of statistics of the European Central Bank as I have done for the Bank of England for my submission Green Credit for Green Purposes.

But I have also heard Monsieur Trichet give evidence before the Economic Affairs Committee where he was asked about the accountability of the ECB. He said that the finance ministers are invited twice a year but they tend not to come. I have also heard Sir Eddie George talk about interest rate setting as rather a poor economic control mechanism.

Meanwhile our planet is on a trend that that will reach a tipping point in ten years according to NASA scientist James Hansen – but Exxon uses money to discredit scientific information – even though The Limits to Growth report of the Club of Rome has been out since 1972.

NIMTO – not in my term of office – is the expression that I learned when I attended one of the Committee meetings and I understand that the Chairman is going to stand down. Who will do any long term thinking about what the Monetary and Financial Institutions (MFIs) are doing to this and other countries? How many banks have changed their light bulbs and changed over to using hybrid cars or are paying their employees to do so? Why have Private Non-Financial Institutions (PNFIs) and Other Financial Corporations (OFCs) been allowed to privilege of credit creation? Why does public funding go down while, in comparison, credit in the money supply goes up?

In 1944 when I was born, Labour MP Norman Smith said that there is always enough money for war, but never enough for health and education. Now there is not enough money for the environment either: my ‘Climate Monitoring Project’ has just been unsuccessful in a ‘bid for funding’ from DEFRA because they only had money for one project and that had to cover the study of ‘market mechanisms’. But at a conference of women in science and technology a speaker from the Forum for the Future showed a cartoon to illustrate how carbon trading is a mechanism for clearing a conscience of guilt. Alan Simpson MP calls it the Great Carbon Trading Swindle in the Daily Mail.

When I am asking for a meeting with Chairman McFall MP, I am asking for a human response to my submission. I want to know what the Chairman and the Committee members think about our issues and our concerns. I want to know whether they have read the document, whether they understand the issues or whether they need more information.

If they understand, I want to know what they intend to do about our recommendations. For it is possible to understand and feel completely helpless and powerless. But in the position of the Committee, it is possible to make a difference – on behalf of our planet!

Professor James Lovelock said in his address to the All Party Group on Climate Change that politicians should listen more to scientists.

Sir Nicholas Stern will look at my new software methods once he will be at the LSE where he said that people will be interested.

Professor Mark Maslin whose policy report “Are We on Target?” made the front page of the Guardian on March 6th, has suggested to follow my ‘Green Credit’ submission with a report on ‘Is Green Growth Possible’ – which may be easier to understand.

Hence I consider submitting a preliminary analysis of ‘green growth’ as a supplementary memo. But what would happen to it? Will I again not know whether it has been read? Will I receive a response?

With ‘globally warm’ regards,

Yours sincerely,

Sabine

Organiser, Forum for Stable Currencies

Author, Green Credit for Green Purposes

Director
3D Metrics
21a Goldhurst Terrace

London NW6 3HB
T: +44 (0)20 7328 3701
M: +44 (0)7968 039 141

www.3dmetrics.co.uk – Measuring new Qualities in Finance, Science and Economics

15.03.07 Response from Lis McCracken Cc Fiona MCLEAN, Michelle EDNEY, Simon GRAY

Dear Sabine,

Thank your for your email – and your interest in the Committee’s inquiry into the Stern review.

The Committee has finite time available for oral evidence sessions, and as there are usually several inquiries in progress at any one time, the Committee has to balance competing demands for their attention very carefully and they cannot hear from everyone who wishes to give oral evidence.

The Committee does take very careful note of the written evidence it receives. I know that you have been following this inquiry closely-if there are additional points which you would like to draw to the Committee’s attention-I suggest that you submit a supplementary memorandum.

Best wishes

Lis McCracken