Planck Foundation




Planck Foundation advocates regarding monetary sciences:

  • a gradual transformation of the banking system in OECD countries (from global to national as a response to peakcapital)
  • a gradual phasing out of the fractional reserves based banking system in the OECD countries (1/1 leverage system)
  • globalization of capital has proven to be more riskfull as expected (distance and safety have an inverse correlation)
  • global banking corporations will become more national compartmentalized (national regulation, funding and branding)
  • global banking corporations will abandon their unilabel/unibranding strategies (to prevent contamination at large)
  • global banking corporations will have other listing/funding and market/retail names (to prevent contamination at large)
  • global banking corporations will decline in number and size (operational windfalls are gone / head winds emerge)
  • financial regulation will emerge to more simple yet significant tightened basic rational demands (less is more model)
  • commercial influence on financial regulation will decline in most nations (the other nations will fall into chaos)
  • the combo of privatizing profits and socializing debts will decline (political no longer acceptable without martial law)
  • the socializing debts wave is on it's peak and will decline (political not longer possible in most nations)
  • debt socialization will move back into it's former borders (special purpose vehicles around the central banks)
  • but debt socialization by SPVs by central banks will become in dire straits too (more difficult in an information era)
  • ratings by rating agencies have proven to be not valid at all (rating agencies delivered false security labelling)
  • the risk factor of distance will be priced soon (a market driven method that will contract the reach of capital)
  • the kWh will replace the dollar in all denominations for international trade/loans/settlements (as it's a stable value)
  • no new global reserve currency is needed when the kWh denomination will be implemented (dehubbed/multipolar world)
  • as power in kWh will be used for international settlements international power infra will become important
  • EBS: energy backed securities should replace gold and reserve currencies (as energy is transportable)
  • EBD: energy backed derivatives are much more safe than real estate CDOs (as they build out of controllable blocks)
  • as the economies of the west decline the perspectives of both their governments and their banks turns gray
  • taking all perspectives and future liabilities into account almost all governments of the west are technical broke
  • taking all perspectives and future losses into account almost all banks of the west are technical broke
  • as some governments are more broke than others, in the same way some banks are more broke than others
  • a growth focused banking model will collapse without growth, not by ideology, but just by plain economics
  • a growth focused governmental model will collapse without growth, not by ideology, but just by plain economics
  • the west could prevent this decline attached collapse by using a set of wealth preserving strategies
  • there are more effective wealth preserving strategies than soft (grants based) and/or hard (war based) imperialism
  • the financial power (and by that direct also the geopolitical power) will swift from the west/north to the east/side
  • high cost banks will lose their business to new low cost financial providers (like facebook, google and telcos)
  • banks need a new income/business model as current revenues/marketshares are declining (by writedowns/competition)
  • most reported bank profits are inflated and full of thin air (reports are made for bonuses and mainly ignore most risks)
  • a model that delivers banks time to contract in size/costs without collapsing (banks as energy focused QE distributors)
  • a model that reforms the financial sector behaviour and that way it's image (without friends no customers for banks)
  • an instant transformation of the monetary system (money creation back to governments: fixing all budget/tax issues)
  • voluminous full energy focused quantitative easing (delivering banks a compromise on the money creation withdrawal)
  • legalization of comparative currencies within a nation (governments delivers growth/decline of currency trust/demand)
  • smaller governments with severely contracted financial demands (leaving more purchase power into the real economy)
  • an analysis of war as the ultimate negative economic influence (no prosperity production, just a waste of resources)
  • an analysis of war as 'the solution of last resort' (failed governments without any other perspective for their nations)
  • a swift from taxation of labour/profits towards taxation of consumption (transition from debt to assets based economies)
  • a total stop on quantitative easing (QE) use for debts of the past (as that doesn't build the future as compensation)
  • a new energy focused/narrowed QE model (that builds instead of weakening the future like traditional QE does)
  • hedges declining currency values with increasing energy values (by Energy as ROI and other Energy Economics models)
  • traditional QE only delivers currency weakening and savings/pensions weakening (effects traditional QE are negative)
  • traditional QE just causes 'carry trade' and not trickles down (100% capital export, 0% local/national economic revival)
  • the thesis that a) the energy situation, b) the capital situation and c) the global market place are all changed
  • the thesis that a different situation calls for another/different approach (to prevent a feeding dead horses model)
  • traditional stimulus -not energy focused- delivers no stimulus at all (it's feeding the future to the declining past)
  • a single global reserve currency delivers an imperial tax on the global economy (the USA has a limitfree creditcard)
  • all western nations will default on / restructuring their debt (not a question if, but a question of when and speed)
  • if some nations defaults on their debt many pension funds and banks will default too (governmental bail-outs are over)
  • the thesis that when one european nation defaults all european nations instant enters dire straits governmental funding
  • european nations will need instant closed budgets if one european nation defaults (delivering shaking consequences)
  • huge budget cut downs will deliver huge volumes of civil unrest (leadership will become inspirational or dictatorial)
  • unless financials will hedge declining currency values with increasing energy values the financial system will break
  • money creation than will go back to the governments otherwise governments will loose their democratic specifications
  • money creation back to governments always needs currency freedom as market driven sanction of bad spending policies
  • gold leasing multiplies the turbulence of the financial system and central banks therefore should not practice it
  • gold leasing pollutes the balance sheets of financials (as each part of the chain lists it as 100% tier one)
  • when sea mining get traction gold will become available in abundance (driving gold out of the monetary realm)
  • the ocean has 0.000005 parts per million gold (ships will have some kind of physics based Au2Cl6 attraction devices)
  • full backing of currencies by kWh based fuelless energy harvesting finances (energy standard instead of gold standard)
  • gold is an economic dead asset, energy investments are economic active assets (delivering both future payment power)
  • pension funds should go for 50% into energy investments as those delivers a hedge on declining financial assets
  • by financial assets collapse, pension funds will be able to deliver only 10 till 25% performance on their liabilities
  • when pension funds starts to cut payments the collection of new capital will stop (pension funds need trust to operate)
  • the use of kWh as a global/local currency (as it's a clear value that can't be manipulated by any external power)
  • re-installation of the in 1999 abandoned Glass-Steagall Act (which has protected the financial sector since 1933)
  • use of the Sherman Antitrust Act to solve the 'too big to fail' issue (no nation can afford any big fails anymore)
  • taking into receivership of any failing financial (no more privatizing profits and socializing losses anymore)
  • outlawing off balancing of assets with jail time as penalty (delivering more honest balance sheets publishing)
  • outlawing unregulated dark pools in the financial markets (the financial system can't bear the risks of dark pools)
  • legislation that makes all not contract revenues attached bonuses illegal (forcing a longer horizon to the financials)
  • legislation that makes corporate/government cross-overs illegal (as they threaten governmental policy integrity)
  • an ethic reveille within financials where conscience/responsibility will become important again (competing with greed)
  • sunspot quantity inversely effects food prices and drives by this also inflation plus GDP (due to civil unrest level)
  • in un-edited footage of the thirties the great depression is called the draught (nature influences monetary systems)
  • renewable energy harvesting investments are capital driven with a by nature guaranteed return (no fuel, just interest)
  • China using its surpluses to supply the world PV on credit (otherwise energy prices will kill customer purchase power)
  • central banks should concentrate future loans on the Energy as ROI model (secure hedge to falling currency values)
  • use of quantitative easing fully focused on energy investments (percolating up, currency/asset value, future strength)
  • maintaining cash beside plastic money is crucial for national security (the EMP of one CME can wipe out money infra)
  • maintaining cash money is crucial for national health costs (cash has a huge role in building the human immune system)
  • the Beijing Consensus (investment focused) will gain market share on the Washington Consensus (austerity focused)
  • the Washington Consensus will change (less austerity more growth) by the market competition of the Beijing Consensus
  • investments in infrastructure and renewable/fuelless energy are the main specifications of the Beijing Consensus
  • the Beijing Consensus has geopolitical effects: served nations will be asked to stop their involvement in geopolitical wars
  • geothermal and deserttech will deliver new energy surplus nations and thereby shake up the global monetary field
  • governmental funding will come into dire straits and could be saved by a flat tax model without any exception
  • taxing consumption is much more wiser than taxing labour/income/profits (as those three are the things all nations need)
  • geothermal exploration (like all other resources mining) could give governments additional income by licensing
  • governments should partial take back money creation (a unknown model which could deliver tax free economies)
  • partial governmental based money creation should be used for future investments not for waging wars or entitlements
  • sovereign debt defaults will destroy the balance sheets of banks and pensionfunds (ruining the retirement generation)
  • the western credit crunch will bring capital (what's left of it) back home (distance contraction equals risk reduction)
  • governments who think that they can neglect the production base of their nation will hit the wall (credit has a limit)
  • outsourcing production overseas has neo colonial roots (will boomerang back as the overseas people are smart too)
  • globalization has a build-in brake: financial globalization (for capital risk and distance are proven equally proportional)
  • globalization is based on the assumption that any kind of unrest is something of the past (which is a wrong assumption)
  • in western economies the size of financials is overstretched (result: increasing debts / declining assets for the people)
  • in many economies the concept government is overstretched (risk: collapse of all essential governmental functions)
  • governments who think they can bailout banks or even bailout other nations overestimate their own financial possibilities
  • governments who think they can afford a huge number of civil servants will hit the wall (credit has a limit)
  • governments who think they can afford a huge military sector with ditto actions will hit the wall (credit has a limit)
  • mistake lending and mistake borrowing are private transactions which never should be transferred into public debt
  • bank regulation deficits = governmental deficits = savings/pension deficits = democracy deficits = riots/instabilities
  • privatizing profits while socializing losses undermines governments/states their legitimacy and equals ordering revolution
  • governments soon will lose their access to the capital markets (than any budget overdrawing will no longer be possible)
  • governments soon will not be able to roll-over loans by new credits (which will bring them instant in dire straits)
  • governments soon will have to chose between stay spending or servicing their debts (only roll-over made both possible)
  • governments are not able to cut spending as massive and as instant as a sudden stop on any debt roll-over demands
  • governments will partial default on their debts (they will not be able to cut spending for full debt servicing)
  • governments will (re)nationalize central banks and create hyper inflation by doing that (creating Zimbabwe anywhere)
  • inflated national currencies will face strong local competition of foreign currencies (as result of exchange controls)
  • government issued money will only work if their is currency freedom (preventing governments to wage wars for free)
  • Energy focused/narrowed QE will remain the last possible (but effective) option to stimulate economic revival/redirection
  • the war on terror is overstretched (the chance of dying by a bee string is higher than of dying by a terror attack)
  • the war on drugs is overstretched (tactics of supporting competing gangs as solution enlarges the problem even more)
  • the war on terror and drugs damage the delicate relation civilians/governments (erodes paying tax willingness severely)
  • bailouts of financials damage the delicate relation civilians/governments (erodes paying tax willingness severely)
  • freedom of thinking/communication is crucial for feeding science/innovation (drives economies towards more efficiency)
  • globalization in finance will contract severely (as risks and distance have proven to be equally proportional in finance)
  • the debt restructuring of governments will vanish all savings and all pensions (hitting the elder people severely)
  • education = human capital = a hedge/insurance against further financial values decline (delivers further higher incomes)
  • a tax model that not taxes labour, but taxes consumption (the only way the old world can handle emerging markets)
  • basic state funded health care enables maximum availability of labour forces (and by that can be public budget neutral)
  • a flat tax model for person/company without any exceptions for anyone will face a lot more sympathy by the taxpayers
  • as capital systems will more in more local direction, currencies will follow too (the rise of kWh based currencies)
  • money is an easy exchange tool, not a stable asset (the financial industry is based on the wrong/opposite perception)
Planck Foundation produces analyses and models based on these issues and also is lobbying intensively for these issues.


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