How to reverse recession in matter of days

HOW TO REVERSE WORLD RECESSION IN MATTER OF DAYS

A Method to Address Economic Recession, Remove Poverty, Terrorism, Improve Law and Order, Reduce Drug Abuse, Inflation And Taxes in an Interest Free Based Economy.

By Dr. Niaz Ahmed Khan, FRCS, PhD

ABSTRACT:

I have developed a new financial instrument which will be much more valuable than the bonds or the treasury bills government sells in the open market to raise much needed funds to run the country. These are all interest based instruments and can only be used by institutions. The instrument I am proposing is without interest and will be used by everybody to purchased goods and services in the government and private sector resulting in up to 60% discounts .This is why these will be massively bought up front in large amounts in the shortest period of time of one month to run the country for at least a year and much more by the end of the year.

INTRODUCTION:

The world is facing many challenges with no solution in sight.

The main cause of all these ills is the POVERTY.  Float bonds which can be used by everybody rich or poor and are not debt to the state so there is no question of interest.

How: Take the example of USA which is going through a great recession.

USA borrows money by selling treasury bills and the interest based bonds. The suggestion is to sell these bonds on non interest basis

EXAMPLE: ONE dollar buys 5 bonds on the condition that the amount should be $100000 or multiple of it. Fewer amounts will get the rate of four and three. This discount massive period is only for first month at the start of the implementation of this system. In the second month the rate will be 4 but the rate of 3 will apply to subsequent months for the same amount

WHERE THESE BONDS WILL BE USED?  

1.  All state controlled services and commodities.

EXAMPLE: A bill of (any service or Commodity) $100 can be paid with 200 bonds and there will be no exception to this rule .A NET DISCOUNT OF 60 %.

 A simple formula will apply: Total bill in dollars x2 is the number of bonds surrendered. Price in bonds will not be less than the cost price but without the direct indirect taxes and the duties which are added to the present to make it very expensive. 

It will attract at least 50 million people to take this opportunity as early as possible. And if one is sure of making 100% profit within 30 days there will be many more that will help themselves.

WHO WILL SELL THESE BONDS?

State will float tenders to will select a private agency (USMF) UNITED STATES MONITORY FUND JUST A NAME GIVEN TO THIS ORGANIZATION with the lowest bid WHERE AS  second third and forth bidders will be auditors of USMF.  This agency will employ at least 20 million unemployed on 10% commission basis and without any salary. These agents will have to pay $500 as an annual fee to USMF in order to build the infrastructure for the sale of bonds. Agents  quota Will be $300000  per month or they will be allowed to sell  their whole year quota in one day or in a month, This will only materialize if  the agent shares his commission with the would be buyer. Greater the share of commission quicker the sale. This investor or a buyer will sell these bonds at the same rate of 5 per dollar and his bonds will sell like hot cakes every day as there is no condition of the amount of money to purchase of bonds. In this way even the poorest person will get the same rate or near the same rate as the investor except for the commission which he takes from the agent who makes almost 100% profit by only investing $100000 .He will sell these bonds repeatedly and will keep at least 6% profit every day till the demand lasts. NOW THINK HOW MUCH STATE HAS ACCUMULATED Much more than few years budget in matter of only one month.

FLOOD GATES OF MONEY AND TURNING POINT.

This is only the first flood gate of money and there are seven of these yet to open so at the end of 30 days or even much earlier the government declares tax free country for ever.  With the removal of all kinds of direct and indirect taxes and duties the price of oil electricity telephone and of all types on other items under government control is almost 60% less than before as these are being purchased by bonds (which is the cost price) and not with dollars.  The production cost of everything has come down tremendously.

SECOND OPTION

STATE ALSO OFFERS 10 MILLION DUTY FREE IF ONE DEPOSITS $100000 NON REFUNDABLE. THIS BRINGS OUT ALL THE BLACK AND SPARE MONEY WHICH STATE WAS NOT ABLE TO GET BEFORE AND AS THERE IS NO TAX AND HENCE NO TAX EVASION SO ALL THE MONEY IS WHITE AS IT IS BEING GIVEN TO GOVERNMENT.

This was the second flood gate of money which is even bigger than the first one and the exact amount is impossible to asses unless the system is implemented.

In order to provide cheep bonds throughout the year government offers three types of registration fees.

1. Pay $100000 in the start of the year and get the rate of 5 for the rest of the year and this will suit the professional's and salaried person'

1. This is a big incentive to accept bonds in the private sector as the business accepting more bonds will have more business than the trader not accepting the bonds so the bonds market will multiply and there will be a constant need for bonds in the open market.

3. Third type of registration will be of $100000 which will entitle the business to sell its products through USMF. The value of merchandise sold through this source will help the business to get the 5 bond per dollar rate equal to the amount sold or opt for the duty free option equal the amount sold. But with one condition of surrendering 15% bonds at each sale in dollars

EXAMPLE;

 MERCHANDISED SOLD THROUGH USMF $1000. BONDS SURRENDERED 150 ARE DEPOSITED IN STATE ACCOUNT TO BE SOLD AGAIN SO THE CYCLE OF BONDS IS ESTABLISHED .A receipt of bonds surrendered is obtained from USMF for evidence of sale of merchandise and this receipt will entitle the traders to get cheep bonds or the duty free option throughout the year BUT THE SAME RECEIPT CAN BE USED ONCE ONLY. 

WHAT IS THE BENEFIT TO BUSINESS?

1. CHEEP BONDS THROUGH OUT THE YEAR
2. DUTY FREE OPTION WILL HELP INDUSTRY.
3. This will replace the GST or the VAT or the two price system seen all over USA. Almost everybody will sell their product through this channel as it will be much costlier to sell the product outside this system as cheap bonds are not available otherwise.

According to rough estimate at least $10 trillion transactions are carried out every day in US and at each transaction 15% bonds are being surrendered, the price 15 bonds is $3. So 3% of 10 trillion will be $300 billion which goes into government account without any compulsion every day (UNBELIEVABLE) this is the third flood gate of money AND IS CALLED THE GOLD MINE

4 Now the state is sitting in the driving seat and all the money in banks of private sector have transferred into government account  and banks are no more the lenders but are borrower from the state which is the only source left and will invest in business with sound feasibility study checked by the state bank. The state will offer to invest 80% and the bank will bring investor who is willing to pool rest 20%. This 20 % will be deposited in the bank and the bank will oversee the running the business, running expenses will be given to the investor from its share of 20%. There will be no collateral and share of the profit and loss will be shared in the ratio of 60 and 40. The bank will share the 60% with the investor and 40% will go to state funds and the state will provide everything under its control  below cost which will farther reduce the cost of production and at the same time will MARKEDLY improve the profit margins OF  ALL THE BUSINESSES.  No major business can refuse this offer. Any bank showing repeated loss will go out of business as there will be no more funds available from the government source and all other interest based sources are not available any more.  Interest based banking is gone forever or it may be at a very small scale and the state will not offer debts on interest as these are not any more profitable and  risk free as there is no collateral . The amount of profit government will share will be unimaginable and this is the 5th flood gate opened 

 THEN WHY NOT INVEST ON PROFIT AND LOSS SHARING BASIS

Last but not the least government will acquire all the land on lease without any force and will provide all the needs to the formers THROUGH CORPORATE FARMING SECTOR HIRED BY THE STATE below cost and will become the shareholder according to the mutual contract with the land owner this is the 6th flood gate of money.

DRUG ABUSE ELIMINATED

When all the possible land is being cultivated by best agriculture engineers there will be much better yield and much more profit to land owner then who will not join hands with the government.

THE OBVIOUS BENEFIT WILL BE THERE WILL BE NO MORE POPPY CULTIVATION IN COUNTRIES WHICH ARE POOR AND LARGELY DEPEND ON THE POPPY CROP. NOW THERE IS NO MORE POPPY AND NO MORE DRUGS

 All the above claims have been proved to be true except the terrorism.

HOW TERRORISM WILL BE ELIMINATED.

We have to look at root cause and  is the POVERTY and NOT the religion which is being falsely blamed .The going rate for a suicide bomber is $1000 in Pakistan Iraq and in Afghanistan .Can one believe that anyone having at least two meals a day will blow himself ?Never the areas of the countries where these attacks are happening are extremely poor and the  extremist elements who themselves are or were poor exploit these very poor people to carry out attacks for money to save their families from dying from hunger and is open secret. Extreme elements has large force that is recruited from poor areas as there in no job anywhere and he provides these raw recruits with only food and shelter and at same time brainwash them and train some of them to carry out these attacks by giving them enough money in their lives to support their dependents. You might mention few isolated cases of being well to do and still carried out these attacks. Once the poverty is removed in these areas by implementing this system these attacks will come to an end immediately.  This system is not only meant for USA but will be easily applicable to every country.

MY ANALYSIS AND PREDICTION ABOUT US ECONOMY

The U.S economy is like a giant oak tree that has rotten roots, hollow stems, and dying leaves, and it is quite possible that this mighty tree will fall and bury every nation relaxing under its shade. MBCS is the fertilizer that can bring the U.S. economic tree back to life.

This prediction is available on internet and written in a book titled ISLAMIC ECONOMIC REVOLUTION OF THE CENTURY published in USA and UK in 2006

  A strong effort is being made to reach economic team of Barack Hussein Obama.But so for there has been no success. I have the blue print of real and practical solution to get US forces out of prosperous, peaceful and stable Iraq and Afghanistan without violence in matter of 6 months .If all the above impossible claims I have made are possible and true to the last detail then there is no reason that this message should not reach to the highest authority in the Barack Hussein Obama administration for their prompt future course of action.