The Irreni Financial System

The Irreni Financial System


Irreni World Scale



As you might imagine any discussion on a financial system designed to accommodate billions of people successfully is a discussion much larger than this five minute read. The financial complexity of the modern world creates a paradox: we all must participate in a system we fundamentally do not understand.


Mybrid's First Law of Economics: The better everyone understands the financial system the better the financial system is for everyone.

Mybrid's First Law of Human Systems: Life is a feedback loop.


I'm writing this five minute read today in response to another five-minute read on VOX:

What economists have gotten wrong for decades, four economic ideas disproven by reality.
https://www.vox.com/policy-and-politics/2019/7/19/20699366/interest-rates-unemployment-globalization-minimum-wage-deficit

The first thing that popped into my mind is "dude, it is a least a hundred, not four".

Before I launch into a quick overview of the Irreni Financial System I'd like to highlight two other significant things economists have cried wolf about profusely in the media and gotten wrong:

1. Savings
2. Oil prices

Savings


I grew up in the 1970s in Lafayette, IN. At that time high-school included a course, "Home Economics". That's where we learned to balance our check-book and were to taught to save money in a savings account. We did simple compounded interest to show that if we put away $5 in a savings account at 5% interest for 40 years we'd have a $1 million dollars, or something like that. We were taught that economists believed that a certain savings rate to GDP for all Americans was necessary for a healthy economy. We were told the sky would fall if we did not have enough savings not only personally but as a country overall.  Economists stated overall country level of savings was critical for decades and they got it wrong.


In fact, don't put your money in savings. Why? Because of something known as the present value of money (PVM). The formula for PVM is each dollar value changes annually and is annually worth rate of dollar growth minus the rate of inflation. So if in the 1970s your rate of growth was 5% and rate of inflation was 2% then your PVM dollar value went  up to 1.03,and not the 1.05 of savings interest. Today banks are paying near 0% interest for savings. Given that inflation today is 1.5% annually then your PVM dollar annually is 0.985. You lose money with a savings account. No financial advisor is going to advise you to lose money.

What are you advised? You are not advised to save, but rather to invest. Mmmmm, I wonder who is the biggest winner when you invest? You?

Oil Prices


Back in the 1990s gas prices were under $2/gallon. A gas price increase of 10 cents was seen as a big deal economically. Economists calculated that a 10% increase at the pump meant an 10% increase at the supermarket thus spiking inflation. This had been a decades long preachment, the sky is falling.  Yet just ten years later gas prices rose to $5/gallon in California and yet inflation had not spiked 100% over the ten years when it was $2/gallon. What happened? I looked into this. What happened is "futures". Companies like MacDonald's buy gasoline futures five years at a time and thus avoiding short term increases. They also buy in bulk.

There is a lesson here: big money buys big advantage. This is known as gaming the system. You, as an individual, do not have the buying power on the order of billions of dollars and you are gamed for it.

As a software contractor I did a few-months at a financial company called BlackRock. It takes $1 million to open an account at BlackRock, big money buys big gains. It was at BlackRock I learned about "quants". What are "quants"? The word "quants" is short for quantifications and also short for PhD level math. You see there is a financial war waged daily on the markets using quants. Large firms game the system with the math formula of the day. The math formula has to be daily because if it used more than that then counter-measures are put in place. Over time one builds up a quants library and starts randomly circulating them in-and-out.

The "quants" game is done at the big money level of millions and billions of dollars. An example to understand this is to imagine that you spend billions of dollars on one day to buy IBM stock. This drives up the stock price of IBM due to the large volume. Then the next day you sell. You literally buy low and sell high. This happens because large volumes of stock are computer traded. A large buy triggers other computer programs to buy. The next day a new computer counter-measure to a large buy is to short the stock. And so it goes.

All of this trading is done by computers using "quantes". You don't stand a chance as a little money mover.  None.

Here is a fundamental question about the stock market: is there a fair stock? s there any stock that is not being gamed by the big money, computer programs? The answer? No? It is a sucker's bet to play the stock market. The biggest winner will always be the big money players.

Now, to be clear, it is a sophisticated game, ergo the PhD math. A lottery without winners is no lottery. So, some people do have to win enough that little money people invest. This calculation of keeping the little money in the system is part of the "quants".

If Americans were to ever catch on to the fact that the entire financial system is rigged against them to lose, much like Las Vegas, then Americans could pull stakes. But, looking at how people buy lottery tickets I don't think the financial institutions are too worried about it and we are nowhere near any threshold of corruption where Americans pull stakes.

Big Money Corrupts Bigly


What happened to savings? You ever wonder about that? There is a fundamental human axiom that we all know to be true: absolute power corrupts absolutely. Money is power and big money corrupts bigly. Thus it is that every single pension fund every created, 100% of them, has been raided, money stolen legally. And sometimes illegally too.

What happened to oil prices tied to inflation? Again, big money found  a way to game the system in their favor via buying futures that you cannot, you have to pay the price at the pump.

The Irreni Financial System has safeguards against big money. First, the largest legal entity is the micro-modular governing organization of fixed size thirty, or MGO. There are seven billion people on the planet and given the largest entity is thirty people then that means big money is limited to thirty people. Second, Irreni has only a handful of what we call rights today and one of those is the individual right to create currency. Everyone can print money. Big money means big corruption and big corruption is easy to detect. Once any big corruption is detected a simple change of currency by individuals will drain the corruption based on a corrupted currency.

If the largest financial group is thirty people then how do larger groups coordinate in the Irreni Economy? Simple, we use contracts. This is common place today when we use private contractors for government projects. Anti-corruption terms are part of the contract and because contracts have a project basis and not a government basis they can terminate on a schedule that afford failure upgrades of future contracts -- no high-bar of constitutional amendment required.


Our big money financial system is big-time corrupted and has no system check to balance the corruption. We have runaway corruption that is far worse than any "run on the bank" during the depression. Billions of dollars are moved every night to the exclusive advantage of the people with control of the billions. This will never change because there is no mechanism in our legal system to do so. Oh sure Bernie wants to tax each trade but the gamers will game that too, they'll pass that cost onto you.

Irreni World Scale is a complete government replacement  of all governments on planet Earth today and that means total economic replacement. This replacement is planned to happen over the course of two-hundred years because of the complexity of today's systems.

Everyone cannot understand an economic system for billions of people but we must participate. Mybrid's First Law of Economics states that the better everyone understands the system the better the system. First off is we now know that big money corrupts bigly just like we know absolute power corrupts absolutely. We must prevent the concentration of absolute money as well as absolute power. The fixed size of thirty people of the Irreni MGO  government size prevents concentration of both power and money; the MGO further prevents  financial corruption by requiring the individual right to create currency.

Freethinkers unite!

Freedom!

Party On!

Let's get cracking!

Voluntarily Reject Demagoguery!

Politics as Science!

Demand Irreni World Scale!

Anti-theism is feminism!  

Think disruption!

Empathy for all!

Moral relativity: think it, breath it!

Prove it or lose it!

Conversations equal consensus! 

Welcome to the 21st century!

Scale your empathy, scale the world! 

Find your tribe!

Be sexy people!

The future is coming! 

Innovate at a rapid pace!

Slow speed ahead!

Well come! and well met!



 










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