The image is the visual representation of the Macroeconomic formula for the Flat Tax\Spending system for governance presented in The Byzantine Pineapple (Part 1). As far as the author has determined so far it is the very first macroeconomic formula in history to directly tie government spending to government revenue. As far as the author has determined so far it is the very first macroeconomic formula in history to pre-budget government spending.
The author considers this macroeconomic formula to be an evolution of the existing macroeconomic formulas in use globally. The logic behind the construct of the formula can be read in The Byzantine Pineapple (Part 1). The purpose of this essay is not to rehash the complete logic behind the formula; the reader can acquire a copy of the text and read how the formula is derived. The text is simple enough that most people with a high school education can understand the formula. The book reviews evidence that the book reviewers certainly understood what they read.
The purpose of the essay is to demonstrate how this macroeconomic formula of governance is superior to the existing system of perpetual debt financing based upon continuously changing whims of those in power. The purpose of this essay is to demonstrate to the reader that the future has other possibilities than what the political left and the political right are pushing. There ARE other ways!
People wonder how leaders could be followed to start a World War or exterminate six million Jews in ovens. People wonder how leaders could be followed to kill millions of Cambodians in the killing fields of Cambodia. Yet on April 5, 2020, there are 3 billion+ humans under house arrest around the globe even though there is no logical reason that they should be. There is also no logical reason that humans should be fined, jailed, or beaten for stepping outside their homes…but that is what is happening. The path that the political right and the political left have the world on is a path of total world domination by whichever political side wins.
This is what WAKE UP FROM THE MATRIX and The Byzantine Pineapple is about. This is what the flat tax plan diagram and the legal reforms to be presented in The Byzantine Pineapple (Part 2). They are about rebuilding the systems of governance to a system that isn’t about kowtowing to the whims of those in power.
If you believe that billions of humans under house arrest due to a virus that every human has a 99.5% chance of living through a bout with then you are Asleep in The Matrix. The Government tells you a massive lie to lock down billions of people and you believe it and vehemently support the Government lie. The Government tells you that those who oppose the global lockdown “need to be dealt with” via fines and jail time (while paradoxically freeing prisoners who committed violent crimes) and you vehemently support it. If the Government tells you that those who oppose being locked down and social distancing mandates are “the problem” and they “must be dealt with” in all sorts of manners (fines, jail, credit destroyed, tagged with tracking software) will you vehemently support those measures? If the Government tells you that those measures are not enough and that those who oppose the Government measures are a deadly threat because they could infect others and that the Government needs to implement “the final solution” would you vehemently support that?
Do you still wonder how six million Jews and two million Cambodians were killed by people who vehemently support the Governments who committed such atrocities? Do you vehemently believe that the Governments that have completely crashed society aren’t capable of such atrocities? If you believe that the Governments are NOT capable of such atrocities then the Governments have plenty of jobs available for you at whatever are the modern furnaces the Government will employ. THOSE WHO DO NOT KNOW HISTORY ARE DOOMED TO REPEAT IT!
On September 30, 1938, Neville Chamberlain came back from selling out Poland and declared “Peace for our time.” Poland was subsequently invaded and divided by Russia. The Jews in Warsaw were forced into the Jewish ghetto and were branded with markings identifying them. The Jews in the Warsaw ghetto thought it would all blow over soon and life would “return to normal.” How wrong they were to believe in the global governments.
On April 8, 2020, Global Martial Law has been declared using FALSE PRETEXTS that “MILLIONS WILL DIE IN A FEW MONTHS.” Within 2 weeks those pretexts were shown to be false…but Global Martial Law remains. There is also NO criterion established as to when Global Martial Law will be lifted. In fact an economic advisor to Democratic Party Presidential candidate Joe Biden declared today to “plan on 18 months.” What will happen in 18 months? One very real possibility is that more and more reasons to have Global Martial Law are given. History has shown that those who consolidate power under false pretexts don’t give the power back!
The Warsaw Jews thought “life will return to normal.” The majority of the Warsaw Jews died horrifying deaths. The Reader can believe that such an atrocity cannot happen again with such civilized modern people yet the Bosnian genocide was committed by well educated people “civilized” people. Governments that foist incredibly big lies upon the population should NOT be trusted!
There are a couple of points that must be made to assist the reader in understanding the points made:
1) This formula is designed to work at any level of government.
2) This formula is not “country specific” or ideology specific. The formulation can be adopted by any form of government whether it is a government ruled by elections or by dictatorial entities.
3) Implementation of the formula is not an “election cycle” process. Implementation takes time to “do it right.”
The biggest factor to remember is that this formula is based upon ECONOMIC KNOWNS!
Every other Macroeconomic formula the author is familiar with is based upon ECONOMIC UNKNOWN UNKNOWNS!
What are Economic “Unknown Unknowns” & Knowns?
Economic “Unknown Unknowns” are the fundamental basis for modern economic theory for governance. That’s why the government budgets are useless exercises in the propaganda war. The budgets are all based upon assumptions of unknowns that are themselves unknown. The budgets are a house of cards.
The US Federal budget will be used as an example. The US Federal budget projects out 10 years. The budget is put together annually with assumptions about everything. Below are just a handful of the thousands of assumptions put together to create the US federal budget
1) What spending in each department will be for each year for 10 years
2) What the tax revenues will be for each year for 10 years
3) What the gas tax revenue will be for every year 10 years
4) What the unemployment rate will be for every year for 10 years
5) What the Federal debt will be for each year for 10 years
Guess what. Every single budget put together for the last 2 decades have been wrong because NONE OF THEM planned on shutting down the global economy and spending at least $2 Trillion on an “emergency stimulus bill!” Two decades is used because the 2008 massive spending bills of TARP and Stimulus are the same as what is occurring now. The spending bills were never budgeted prior to their existence and all the assumptions about what would be the economic impact of the spending bills never manifested itself.
Guess what. The political right and the political left will adamantly tell you THERE IS NO OTHER WAY! Just like they will tell you that the global lockdown had to occur because THERE IS NO OTHER WAY!
Guess what. THERE ARE OTHER WAYS!
The text of The Byzantine Pineapple (Part 1) goes into the details of how and why each factor of the new macro-economic formula is a “Known” versus “ever changing projections of unknown unknowns.” The short version is as follows:
1) The total taxable income for the time period 2 years prior is known…if not the total taxable income for 1 year prior. This taxable income value plus existing known spending levels can be used as the basis for the percent levels set up in the initial formula.
2) If you eliminate pension plans and medical expenses from the budget of any government department you are left with fixed expenses. Pension plans can be eliminated by making 401K matches mandatory. Medical is addressed via H% and therefore is eliminated. So, government departments are now all fixed costs that are knowns.
3) Each government department gets a % of the aggregate total taxable income. This value is a department subrate. Sum up the subrates and the base flat tax % is known.
4) Eliminate over time the entire social welfare system and replace it with 3 tax subrates:
a) A % that creates a pool that is divided equally among all Citizens. All Citizens get an equal monthly income regardless of age or marriage status or etc. All Citizens are treated equally. This goes way beyond Andrew Yang proposed and actually has a formulation to accomplish taking care of 100% of all citizens to have a base amount to get by on. You want better than what everyone else gets? Go out and earn it!
b) A % that creates a pool that takes care of Citizens medical needs. Start with dental, work out the bugs, expand to catastrophic and other medical needs. The Citizen goes and gets treated by a private corporation that bills the government. The Federal government pays a flat rate for services provided regardless of where the service is provided. Cost of living will be addressed in a moment.
c) A % that is used to create housing zones where a Citizen has the right to go live in if they choose. Different zones for different life stages will need creating. In the beginning the housing won’t be much but the funds are allocated equally per head to pay the utilities and maintenance.
d) Cost of living is a local issue. If a city or a multistate region can identify the higher cost of living rate then the local can apply the same tax formulation and add it to the services payments to address the cost of living.
This construct covers 100% coverage for all citizens for the 3 main basic needs of Citizens for monthly capital, medical expenses and basic housing (if needed). This construct also balances the federal budget.
The author challenges anyone to provide any macroeconomic formula for governance that accomplishes addressing the base level of Maslow’s hierarchy of needs for 100% of the Citizens. It doesn’t exist, and it sure as BLEEP is NOT coming from either the political right or the political left! Their COVID-19 actions demonstrate that they have no such plan!
This is the difference between budgeting by “Economic Knowns” versus “Economic Unknown Unknowns.” When Economic Knowns are used for building the government budget then every citizen has visibility to where the government is actually spending the tax dollars. When Economic Unknown Unknowns for building the government budget then no citizen can trust any numbers the government spews out on anything!
Actions Speak Louder than Words!
Actions speak louder than words. What have the Political Right and the Political Left accomplished over the last quarter century?
5) The concepts of legal\illegal and criminal\non-criminal have been destroyed. The legal system is a Byzantine mess. The politicians and the media they proclaim “NO ONE IS ABOVE THE LAW” and yet they always make excuses for people who don’t follow the law. They rationalize everything away.
Supposedly the Citizens of the USA are guaranteed Constitutional Rights. Look at what happened with COVID-19. Without really any warning the First, Second, Fourth and Fifth Amendment Rights of the Citizens have been annulled under a false pretext that millions of Americans will “die in a few months.” When the false pretext is exposed as false are the rights restored? HA! Instead people convicted of violent crimes are released from prisons, and citizens who venture outside their homes are jailed\ accosted by the Police State as well as being fined. How long will it be before people’s cars and houses are taken away by the Police State under Civil Asset Forfeiture laws because the Citizen dares to actually go outside their house?
The only definition of what is “legal\illegal” and “criminal\non-criminal” is what those in positions of power at any point in time say it is. There is ZERO consistency in writing and application of Laws. This contributes to the instability and chaos that is perpetual under the current form of governance!
6) There is ZERO financial accountability for government. There is ZERO stability in the taxation\fining system. The Government keeps expanding and expanding with no end in sight.
No wonder the Middle Class is being destroyed! This perpetual chaos leads to what exists today. The Middle Class thought they had decent jobs and were building a retirement through the various stock markets and investment in their home. Instead the Government just destroyed the jobs of millions of Middle Class citizens while also destroying the market values of the investments of the Middle Class Citizens. This is on top of placing the Citizens under house arrest!
This perpetual chaos is only going to be extended as more side effects of the government’s actions come into being. If the reader thinks that the insurance premiums and deductibles skyrocketed due to ACA\ObamaCare wait until insurance rates for the next year come. The premiums and deductibles can again be expected to skyrocket. Why? Millions of people suddenly thrown out of work have decisions to make about paying insurance premiums or making car and house payments. Whole industries that were paying insurance premiums for employees are suddenly gone! The revenue from premiums for many insurance companies has collapsed! Plus, many insurance policies can be expected to tell policy holders “Sorry, your hospitalization under your policy doesn’t cover COVID-19.” Many people\hospitals are going to get stuck with the tab while the insurance industry says they need to raise rates not only because the pool of premiums has shrunk but also because they have to now add in COVID-19 coverage!
All sorts of business premiums for all other types of insurance such as property\casualty and business interruption and workers compensation and a host of other insurance premiums and deductibles can be expected to sky rocket. Why? The entire restaurant and entertainment and airline and a host of other industries have been decimated and aren’t going to be paying premiums. The pool of premiums has dramatically shrunk so premiums must go up!
THIS IS NOT ROCKET SCIENCE! This is Common Sense and BOTH the Political Right and the Political Left are responsible!
How would The Byzantine Pineapple Flat tax formula work instead of massive omnibus bills?
This presentation is noted as if the flat tax formula were already implemented. This should demonstrate to the reader the power of making this formulation the purpose of governance.
The Byzantine Pineapple Flat tax formula pre-budgets government. This means that the “pork-barrel laden” appropriations process is gone. This fundamentally means that the game of “CHICKEN LITTLE SAYS THE SKY IS FALLING OMG WE NEED AN IMMEDIATE MULTI-TRILLION DOLLAR SPENDING BILL” is over. Since Government is “pre-budgeted” the political parties can’t manufacture crises into cronyism spending sprees rewarding the big party donors.
The concept of building a stable macroeconomic governmental platform to continuously build upon is a concept that is currently alien to virtually the entire human population. The author is of the opinion that most people’s reaction to the concept is immediately one of two reactions. The first reaction is one of the wonder of “Can that be done?” as the Waking from The Matrix occurs and the concepts enter the readers thought processes. The second reaction is the immediate “You can’t do this!” for no other reason than that this means change from a system that the person with the reaction perceives to be the only possible reality. This is the Asleep in The Matrix reaction.
Some readers will say “if you can’t adjust in times of crisis then this will never work.” That’s the beauty of the New System Design. The New System Design has already anticipated and planned for times of crisis so that when the time of crisis arrives the New System Design is already structured to meet the sudden need of a crisis with a “panic driven” massive system change.
With a fully functional New System Design all the various existing Social Welfare Systems have been grandfathered out. The hundreds of various government programs simply are not needed. Instead the myriad of programs are replaced with 3 programs that cover the basics of societal needs for 100% of the Citizenship. These 3 programs are grounded in treating all Citizens…regardless of age or assets or income…equally. The text of The Byzantine Pineapple (Part 1) goes into the details of the logic behind the construct.
“Living Wage”\”Universal Income” Calculation
With respect to income each Citizen is already getting the same monthly amount from the Federal government that every other Citizen is getting. Cost of living is a local issue; there is nothing preventing a local region from implementing a supplement to the Federal. So if people suddenly lose jobs that is a tragic event but citizens are already getting an amount to allow them daily living expenses.
If the citizens decide the level of monthly income needs to be raised this can be done by the addition of a new subrate. So, for example, a new COVID-19 subrate could be added which raises the aggregate flat tax rate and creates a new pool to be equally divided among all Citizens. When the threat\need for the sub-rate goes away the tax sub-rate goes away.
Contrast this to the COVID-19 Stimulus Bill. With that monstrous legislation the government is picking winners and losers all across the board. The government is giving tax money to corporations and there are no controls about the tax dollars being doled out. Why should some corporations get tax dollars and other corporations or citizens do not? How can any Citizen have confidence that “dirty kickback” deals aren’t baked into the “panic omnibus spending spree” bill?
The government is also giving money to a select portion of the population but you know what? EVERY Citizen needs capital to live. The concept is that all Citizens need some capital to live and treating Citizens differently only breeds discontent because now “special rules” are being built in that must be constantly monitored and adjusted by government personnel who can’t be trusted.
$1 trillion USD\300,000,000 Citizens is roughly $70\week per citizen. That would be at a Federal level and any State or City or defined Megalopolis area can supplement this amount. This treats every Citizen EQUALLY!
Contrast this to a $1,200 payment to a select portion of the population as the “Stimulus” bill does. That’s $23\week. Approximately 70,000,000 taxpayers get $23\week and 230,000,000 Citizens get nothing. AND NO ONE REALLY KNOWS WHERE THE REST OF THE MONEY IS GOING!
Since every citizen already has a base income coming in under the New System Design there is no need for an unemployment tax system. There is also no need for massive corporate bailouts. If a corporation goes bankrupt and goes through bankruptcy court then so be it. Executives making millions of dollars of salary and stock options DON’T GET BAILED OUT! They get the same thing everyone else gets. If that means they have to sell their home and downsize then so be it.
The bottom line is that planning for 100% of the Citizens to automatically be taken care of is already built into the New System Design. Knee jerk panic driven trillion dollar bailouts ARE NOT NEEDED!
Health Care (NOT Health Insurance)
If “healthcare” is a “right of the citizen” then there is no need for an insurance system. All an insurance system does is add unnecessary cost layers and Byzantine paperwork complexity that drive up health care costs while also interjecting inefficiencies. All that really needs to happen is the Citizen goes to a Corporation and gets treated and the Corporation bills the government(s) and the government(s) work out the billing with the Corporations service providers.
The reason for denoting government(s) is the cost of living issue. The Federal pays a flat rate and if there is a difference to be made up for “higher cost of living” in an area then that is a localized government issue. In either case the Citizenship is treated equally.
Such a system removes barriers for individuals to seek treatment. The focus is on treating the symptoms and not on whether there is an insurance policy…or multiple insurance policies…to pay (or not pay) various parts of the bill. So when a new disease such as COVID-19 appears there are no issues about whether the Citizens insurance will cover testing or treatment.
This extends to all medical areas once fully implemented. The fallacy of insurance policies is that the policy covers all the various possible treatments for all the possible illnesses\injuries that can happen. No insurance policy will cover every possible injury\illness; the premiums would be ridiculous. Yet, any citizen can have various cancers or premature births or chainsaw injuries or whatever. Doesn’t it seem really stupid to mandate people buy insurance policies only to find out what they are ill with isn’t covered for payment by the insurance policy?
This also moves health insurance out of Corporations. The Citizen doesn’t have to stay in a dead end job just to keep health insurance. Plus the expenses of corporations collapse making the corporation more profitable which comes back in the form of tax collections.
This also helps with outbreaks of social diseases. If an outbreak occurs among the poor citizens they don’t have to worry about getting treated rapidly. There is no insurance and they don’t incur medical debt to pay off.
Many health issues are traced back to poor dental hygiene weakening the body. Start the program by working out the issues using dental services…work out the bugs….and then expand to catastrophic.
Housing
The principle is that every Citizen has a right to a place to live. Any Citizen can choose to go live in the government paid for housing zone. The costs of the Zone are paid for by the % collected to cover the costs. The Federal pays a flat rate and this can be supplemented by State or City or Megalopolis.
Different sections would be needed to be built over time and administered:
1) Child Care. Expectant mothers can be encouraged to carry children to term over aborting and the child can become a ward of the State in the Zones. The child already has health care taken care of and the child automatically receives the Government stipends along with everyone else to pay for food.
2) Adolescent
3) Young Adult
4) Family
5) Senior\Semi-Assisted\Assisted living
The Citizen doesn’t pay for utilities and receives bare basics for appliances and furniture. Local charities can focus on supplementing what goes on in the Zone to better the lives of those who choose to live in the Zone.
Department of Information Systems
One of the inherent structures of such a system is the establishment of a Department of Information Systems where there is one singular database construct for each Citizen. Collapse the data down to one set of per person entries instead of each government department having different databases. This is an Implementation Issue for Part 3 of The Byzantine Pineapple.
Conclusion
Three billion or more human beings are currently under global martial law. The governments of the world lied about the reasons for the need to place billions under martial law. Any government that lies to the people of the world on such a mass scale to establish martial law cannot be trusted to rescind martial law.
The global political right and the global political left have no vision for the future for how to manage Citizens other than to manage Citizens via heavy handed tactics like martial law. The global political right and the global political left have no documented efficient plan for the future that addresses the issues of Universal Income, Health Care, and housing for 100% of the Citizens while also treating citizens equally.
This is what The Byzantine Pineapple is about. There ARE other ways. The choice is Always Yours to Make!
