Secondly, the money could be spent into circulation by giving government services without taxation. For example, if the money spent on building schools, hospitals, and government buildings, and on providing pensions and family allowances were spent into circulation rather than borrowed by the government, it would stay in circulation, until it was worn out and then it could be replaced at a very small expense. Today, however, money is borrowed into circulation and is withdrawn at 15% in less than 5 years, and at 18% In 4 years, leaving the principal of the loan unpaid to be compounded. This exaggerates the problem year by year.

If, however, the money were spent into circulation, the people receiving this would own it and when they used it to buy the necessities of life. the money would keep circulating. In a very few years, the money in circulation would all be debt and interest free. Once the governments, the corporations, and small businesses, as well as individuals, would all be free of debt, the saving to the people would be at least $230 billion per year in interest (present debt x 8%). This is not a dream but can become a reality, if YOU, the people, take action.

What is fooling so many well-meaning people is that they have been led to believe that they are doing well under this system. This is an illusion which looks good when they are earning interest on a safe investment like government bonds However, once you remove the cost of inflation and taxes from their gain, the picture doesn't look so good. For example:

Assets in Gov't Bonds ---------------------------- 100,000
Earned Interest Income at 12% -------------------- 12,000
Total Assets -------------------------------------- 112,000
11% Inflation Loss on Total ------------------------ 12,320
Value of Asset After Inflation ---------------------- 99,680
Income Tax on $12,000 (exempt $1,000) ----------- 2,755
Your Assets will now only be worth ---------------- 96,925
The Results:
The Same as Earning NO Interest and a loss of $3,075.