How well do you know the Economic Democracy Act?

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Questions and Answers

What is the main goal of the Economic Democracy Act?

To promote capital self-sufficiency and enable all Americans to achieve lifetime prosperity and economic independence. (correct)

To reduce political pressure for redistributive, anti-growth, and protectionist policies.

To shift from a debt-backed to an asset-backed currency and introduce a simplified tax system.

To limit economic power of the state and restore full private property rights.

What are the four pillars of a just free market economy according to the EDA?

Expanded capital ownership, limited economic power of the state, restoration of closed and monopolistic markets, and restoration of full private property rights.

Expanded capital ownership, unlimited economic power of the state, restoration of free and open markets, and restoration of full private property rights.

Expanded capital ownership, limited economic power of the state, restoration of free and open markets, and confiscation of private property rights.

Expanded capital ownership, limited economic power of the state, restoration of free and open markets, and restoration of full private property rights. (correct)

What are the reforms proposed to the monetary and tax systems by the EDA?

Shifting from an asset-backed to a debt-backed currency and introducing a complex tax system.

Shifting from an asset-backed to a debt-backed currency and introducing a simplified tax system.

Shifting from a debt-backed to an asset-backed currency and introducing a simplified tax system. (correct)

Shifting from a debt-backed to an asset-backed currency and introducing a complex tax system.

What would be the source of financing for new plant and equipment, renewable energy, green technology, new rentable space, and new infrastructure under the EDA?

Asset-backed money and insured capital credit. Signup and view all the answers

What would replace fractional reserve banking under the EDA?

100% reserves. Signup and view all the answers

What is the ultimate goal of the EDA?

To promote the fundamental human right articulated in the 'Universal Declaration of Human Rights' and encourage other countries to adopt America's 'Just Third Way' model for a more democratic and prosperous future. Signup and view all the answers

What would be the role of individual Capital Ownership Accounts (COAs) under the EDA?

Channeling new money and credit to create new owners of new capital without violating property rights of current owners. Signup and view all the answers

What is the main goal of the Economic Democracy Act?

To promote capital self-sufficiency and enable Americans to achieve lifetime prosperity and economic independence Signup and view all the answers

What are the four pillars of a just free market economy proposed by the EDA?

Expanded capital ownership, limited economic power of the state, restoration of free and open markets, and restoration of full private property rights Signup and view all the answers

What reforms would the EDA introduce to the monetary and tax systems?

Shifting from a debt-backed to an asset-backed currency and introducing a simplified tax system to encourage corporations to finance their growth more democratically Signup and view all the answers

How would the EDA reduce the pressure of increasing Social Security and Medicare costs?

By providing insured capital credit that is repaid with future savings from each year's profits Signup and view all the answers

What would happen to fractional reserve banking under the EDA?

It would be replaced with 100% reserves Signup and view all the answers

What is the role of the Federal Reserve under the EDA?

To create asset-backed money and insured capital credit to finance new plant and equipment, renewable energy, green technology, new rentable space, and new infrastructure Signup and view all the answers

What is the fundamental human right promoted by the EDA?

The right to achieve lifetime prosperity and economic independence Signup and view all the answers

Study Notes

The Economic Democracy Act - A Summary of Key Points

The Economic Democracy Act proposes a policy to promote "capital self-sufficiency" and enable all Americans to achieve lifetime prosperity and economic independence.
The policy would democratize access to asset-backed money, providing insured capital credit that is repaid with future savings from each year's profits.
The EDA is based on four pillars of a just free market economy: expanded capital ownership, limited economic power of the state, restoration of free and open markets, and restoration of full private property rights.
The Act aims to reduce political pressure for redistributive, anti-growth, and protectionist policies by adding social justice to free market principles.
The EDA would introduce reforms to the monetary and tax systems, including shifting from a debt-backed to an asset-backed currency and introducing a simplified tax system to encourage corporations to finance their growth more democratically.
The policy would reduce the pressure of increasing Social Security and Medicare costs while leaving a social safety net for those whose capital and labor incomes are insufficient to meet their basic needs.
The Federal Reserve would revive its powers under Section 13(2) of the Federal Reserve Act to create asset-backed money and insured capital credit to finance new plant and equipment, renewable energy, green technology, new rentable space, and new infrastructure.
The new money and credit would be channeled through financing mechanisms like individual Capital Ownership Accounts (COAs), creating new owners of new capital without violating property rights of current owners.
The EDA would introduce five central banking innovations, including financing qualified new capital investment with newly created, asset-backed money and insured, no-interest (but not no-cost) self-liquidating credit.
Monetization of government deficits and speculative securities would be phased out, and open market operations would be limited to dealing in qualified private-sector securities once all government debt is retired.
100% reserves would replace fractional reserve banking, and private sector insurance and reinsurance companies would offer capital credit insurance and reinsurance to replace reliance on traditional forms of collateral.
The EDA would promote the fundamental human right articulated in the "Universal Declaration of Human Rights" and encourage other countries to adopt America's "Just Third Way" model for a more democratic and prosperous future.

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Description

Test your knowledge of the Economic Democracy Act with this quiz! This policy proposal aims to promote economic independence and prosperity for all Americans through democratizing access to asset-backed money and expanding capital ownership. Learn about the key pillars of a just free market economy, the reforms to the monetary and tax systems, and the central banking innovations proposed in the EDA. Challenge yourself and see how well you understand this comprehensive economic policy proposal.