Planck Foundation



Financial engineering is needed and already done. The Finance Model attached to this analysis will give you information about a global model for instant huge energy investments (both large central, as massive decentral) in large numbers worldwide for the total amount of one year world GDP. This will not be able without Energy focused/narrowed Quantitative Easing by the Central Banks. Normally Quantitative Easing (extending the money supply without underlying economic growth) only waters down currency values and this way pollutes the future by maintaining the past in the present (very important common failure). Energy focused QE is different: it not weakens the future, but empowers the future. The only way to save the financial system in the Western World (hurt by declining economies) is to hedge their by current Quantitative Easing operations -strong in value declining- currency based assets, with -strong in value increasing- energy based assets by the 'Energy as ROI' model as described in Energy Economics. Energy focused/narrowed Quantitative Easing will stop the value decline of currency based assets, as they get strong backing by real (and in value increasing) further energy output. This also will stop their current strong increasing and continuous leaking wealth drain by foreign energy imports and give them independence/security. Traditional 'trickle down' QE only leads to carry trade (capital export to high-risk/high-return destinations) and thereby have no effect on local/national economies. It increases the risks of the financial system even more. Energy focused QE can be done in a 'percolating up' model and serves the national economy from its roots up. It's an open finance model that every nation can instant roll-out and that uses the current financials as distributors. It the financials income to solve the problems of the past and to restructure their operations to a zero growth economy (also called: economic adulthood) and to new operators with close to zero costs (like PayPal, FaceBook, Linkedin, Twitter, etc.). It's a model that is realizable everywhere, even in severe by subprime caused down writing hit financial markets in the Western World. It's based on a combi­nation of backwards guarantees, forwards guarantees, specification focused fixed amount tendering and performance bonds, all covered with governmental and commercial insurances. Making Action Plans is one thing: Knowing how to address it and stimulate the needed changes. Knowing how to finance the investments needed for these changes is an other thing. This analysis has a Finance Model attached. Use it to make your Finance Plan for the transition of your economy, govern­ment, company and household. The attached Finance Model is suitable, even in times of a wounded financial world by the American Credit Bubble Crisis. The Finance Model is based on both backwards and forwards guarantees, backed up by commercial and governmental guarantees. It's the only model is suitable of facilitating the huge capital demand needed for global transition away from Expensive Carbons. The attached Finance Model has two main benefits: 1) facilitating the finance of huge central energy investments for each economy worldwide and 2) by financial engineering attached to those huge central investments also creating a national equity fund of the same huge size as the huge central investments for making financing massive decentral investments possible.

Author: Gijs Graafland

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