Published in the Modesto Bee on May 10th, 2011.
In response to “We spend on wars but not people” (April 28, Letters): Someone has already asked and answered her questions, and addressed her suggestion. He is Ohio Congressman Dennis Kucinich who in December introduced into Congress HR 6550, the NEED Act.
Almost 100 years ago, the money-creating prerogative of government was surrendered to an “independent” quasi-government agency known as the Federal Reserve when Congress passed the Federal Reserve Act. We have had a century to witness the Fed’s many false promises and failures. HR 6550 would place the Fed clearly within the Treasury Department, making it answerable to the president.
Money would no longer originate as debt, but would be paid into existence by the government, in return for goods and services, primarily infrastructure. I believe the bill reflects Kucinich’s thorough understanding of the debt money system under which we labor. It offers a real hope of replacing it with one that is honest, understandable, constitutional and not based on massive government debt. It deserves our support.
McGurrin is a land surveyor from Central California.