Reply To: Space Fountain

[Duke Leto]

Warwick wrote:

Who now will fight an entrenched plutocracy that is not only vested in the status quo but is intent on regressing matters as far and as fast as they can? They are currently aiming for broken governments and an unending recession as the new status quo… quite relaxed and profitable for them, not so much so for the un-elite.

In short: we’ve seen what thirty-plus years of the “trickle-down” BS brings and trickle-down fusion won’t fare any better.

Couldn’t agree more – this is a very important recognition.

This is exactly the political movement I want Eric and Aaron to undo. I think I can summarize my suggested plan as follows:

1) Aggregate large scale licensing income from the FF generators to LPPX.

2) Use the promise of future income to leverage massive investments in job creation. Borrow and invest a few 100 billion or trillion into projects with a high economic multiplier. Basically BE Keynes’ government spender. (Most of these should be profitable in and of themselves. Feeding the cycle of further leveraged investments. For instance, Brian H.’s Aluminum smelters would be able to run at a higher profit if built by LPPX then they would by anybody else.)

3) Thereby keep unemployment to minimal, perhaps even NEGATIVE, levels in the developed world while headline inflation remains low but real, forcing the central banks to keep interest rates fairly low. (2% Deflation ad 0% Unemployment would still force a required interest rate of -.5% according to Glenn Rudebusch’s estimate of the Taylor Rule, thus forcing a continuation of 2).)

4) The above forces wages up while prices and costs go down and interest on mortgages and CC debt stays minimal, helping the middle class at the expense of the investing class. (In fact a CC remortgaging bank run by LPPX would probably be wonderfully profitable.)

5) Profit.

6) Use 5) to organize a massive anti-conservative political movement in the developed world to force a rollback of policy to New Deal norms or better.

7) Make damn sure a high progressive inheritance tax gets recreated in the US to ensure that Eric and Aaron have no heirs who can potentially undo 6) in their own unenlightened self interest.

As plans go, I think it’s a pretty good one.