Arnis Luks interviews Wallace Klinck and Robert Klinck from Canada about: Social Credit – Static or Dynamic Economics ?


The Young
There is a dark shadow over today’s university students. Their student debt – on average $50,000 plus – is just at the starting point of their career. With the pressure of so few quality jobs and so many aspiring candidates, the success rate is hauntingly low. For the majority of highly educated students this means that serving behind the counter or delivering fast food may be the only option for long-term employment they will ever achieve. The industry of higher education – like John Perkins who wrote Economic Hitman available in PDF from our online website library – alludes to utopia at the end of the education period. In reality nothing of the sort is achieved.
Today’s NEWS speaks of Greece and the IMF austerity program imposed upon them. This same darkness is over that entire nation.
Compounding this precarious situation for our students, is the thought of a $600,000 – average Sydney mortgage – future. During the last global financial crisis, USA mortgagees were described as swimmingly in debt. Likewise, our students have no chance of ever getting out of debt. Their enslavement (financial) is assured.

All industry operates on lines of credit. Financially this means that they must achieve sufficient income from returning prices to cover all the costs of industry, plus the repayment of credit with interest, noting that the interest component is not part of new credit creation. This particular phenomena (bank interest never issued) of the financial system ensures there is always an insufficiency of available money in circulation to repay the credit loan with interest.
The more important phenomena for industry is the fact that salaries wages and dividends are insufficient to purchase what that industry produces. This phenomena is the same for every industry.
In social credit terms this is identified as “the gap”. Douglas referred to this extensively in his writings of the “A plus B Theorem”.

Being a highly trained engineer, he understood the importance of formulas, observation and testing in the real world. In the construction of modern high-rise buildings, concrete is often tested to destruction to substantiate the strength of the components. No doubt, other industries test critical components to destruction to also substantiate their life-cycle.
A Theorem must be placed into a measurable, observable and repeatable environment in order to be substantiated – proved or disproved. Douglas inspected the financial books of over 100 different companies in order to come to the hypothesis of the “A plus B Theorem”.

In our own life experiences we can observe individuals vying for a shortage of employment positions. We can also observe companies vying for a shortage of customers to purchase their products. We can also observe nations vying for a shortage of markets for their exports. Each observed phenomena shows a distinct inability to liquidate prices (clear their debts). In the end this leads ultimately from economic war to physical war.
Greece, Ireland, Portugal, Italy lost the war to giant German banks. The same fate awaits every nation, every community, every person. Debt is irredeemable under current financial orthodoxy.

Our national debt (currently 5 times GDP), of which every nation has, and of which every nation continues to rise, means that every newborn child is indebted to the financial system. That there ‘on birth’ debt will never ever be paid off. They will be slaves to a fraudulent financial system.

Douglas Social Credit is the only financial/economic proposal on the table that offers light at the end of this debt tunnel. The national dividend and consumer price discount proposal, issued equally to all, produces a measurable financial equilibrium between production and consumption by ensuring a sufficiency of purchasing power (distribution) to individuals in community – the rightful inheritors of the modern technological machine age in conjunction with the economic reserves of the nation. This democratises the economy.

Instead of experiencing as we currently do, a financial tyranny – the modern day equivalent of the tyrants of old – the dividend and consumer price discount places financial voting power at the feet of the individual. They receive their inheritance now, when it is produced and needed, not some distant, utopian abstract time.

100 years ago C.H.Douglas produced his first major work “Economic Democracy”.  Douglas’s writing style is quite condensed. Every sentence must be read and reread in order to garnish his deeper meanings – available in PDF from our ALOR online library, or through our online bookshop .


Arnis Luks interviews Yves Potvin from Canada about: Regeneration III – Douglas Social Credit


Arnis Luks interviews Yves Potvin from Canada about: Regeneration II – Douglas Social Credit


Arnis Luks interviews Wallace Klinck and Robert Klinck from Canada about: Cultural Heritage


Culture, Why is it So Important?
The most obvious difference between a totalitarian society and a traditional Christian common law society is the degree of accountability of the different strata s of society. Our Western leaders are only ever ‘unaccountable’ provided no one has the political will to pursue them through the courts. Otherwise they face the full brunt of the law every day.  Holding totalitarian leaders to account through the courts is virtually impossible, unless you become the totalitarian and have control of your own courts.

The individual responsibilities within both societies is also markedly different. Under a totalitarian regime trial by jury, habeas corpus and presumption of innocence are not so apparent, if at all. The out working is most stark by the mass liquidation of political dissenters.
In a traditional Christian Common Law Society presumption of innocence is the starting point of any legal consideration. The courts are public and the accused must be present to face charges. If it is a criminal court, a jury of peers of the accused, need to be convinced beyond reasonable doubt. But there is more to this than just law.

The democratising of Parliament was a long and painful process. Voting (in the history of things) is relatively new. As little as several hundred years ago voting was limited to propertied males. Women’s suffrage is only now 100 years old.
Hansard, the recording of every word spoken in Parliament, was a result of the work of William Cobbett. Unable to keep his printing firm and recording of the parliamentary debates going, he sold the business to a man named Hansard who continued the tradition.

Taking debates out of the Parliament and into the party rooms has circumvented the parliamentary recording against tyranny. (
Parties are another relatively recent phenomenon, again less than 100 years. Voting along party lines after the party room debate, circumvents the good functioning of Parliament. Allowing ‘Acts of Parliament’ the discretionary interpretation of the Minister to determine individual findings circumvents the law as it is written. (

Having federal government determining matters that are clearly attributed to the states by the written ‘limited powers’ constitution, circumvents the state parliaments. (
Secret ballots for Peter to tax (rob) Paul, without Paul’s agreement, circumvents  individual responsibility to the community.

How communities get on, how they best associate, is as much a science as heat energy is to industry. It is called “Social Dynamics”.
Natural Law of this ‘social dynamic’ is just as observable and repeatable even though it may not be written down.
Gravity has always been there, we may not always have been aware of its existence.

Having the 10 Commandments before they were written down, was simply a method for the ‘good getting on’ of communities.

If we lived in an isolated environment as a community, having produced all our physical needs from industry and raw materials that we ourselves harnessed, we should be in a position to enjoy that production. If we use money as a method of balancing the books, we should be able to “purchase” what we “produce”.  Another way to put this is “we should be able to liquidate prices”.

We dig it from the earth, harvest it, fabricate it, manufacture it, with less and less physical labour. We should ‘still’ be able to “purchase” what we “produce”.

“We” come together for our mutual benefit. We produce in order to consume. Liquidating Prices is as much a part of the natural law as producing is.

“We” don’t think of it like this. We think “money” is somehow mystical with a life of its own, when in fact it is just a (fraudulent and relatively modern), method of counting. We cannot observe and understand ‘to follow’ the natural law when we believe above all else in this black magic – idolatry.