Rudolf Steiner was the founder of the Anthroposophical Society. He died in 1925. He left us, incongruously for a ‘religious leader’ of a sect or cult, an interesting treatise on monetary politics. Written years before the Great Depression, it shows an eerie actuality in view of the present crisis.
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| Rudolf Steiner |
Rudolf Steiner is best known for his founding of the Anthroposophical Society, a religion to all intent and purpose. His major achievements can be found in his writings, but also in his architecture and execution of the Goetheanum in Dornach near Basel, Switzerland. It houses the world centre for Anthroposophism. His interests stretched to the problem of money amassing individuals.
In one of his public speeches, he explained: “Other goods, for which capital should be but a representation, have the characteristic trait of either degrading with use or losing their usefulness if not used in time. Capital, insofar as it is liquid capital, should be made to share the doom of all other goods. ... It should be possible to safeguard the interests of savings at the same time.”
His view was therefore that savings should be allowed as the money saved into bank accounts is returned to the economy in the form of loans (this view is at this time questionable looking at what the banks are doing, or rather not doing). His aim was targeting cash hoardings and short term investments, which could translate to gold stashes, options, futures, and hedge funds in modern language in addition to the eponymous banknotes under the mattress.
As options, futures, and hedge funds were unknown at the time, his solution presented in one of his treatises was focused on cash stashes. He proposed the regular reprinting of money to get the money back into circulation. His approach resembles the historic facts in the German Empire between 1100 and 1495. Regular reissuing of moneys with a 10 percent levy on the exchange (resembling a negative interest) made people spend or give away their money and in consequence made Germany the richer. The building of large cathedrals during this period would not have been possible without it.
In 1495, Emperor Maximilian introduced Roman law into the Empire and with it a stable and permanent monetary system. This opened the door for the great money princes, the Fugger family, the Wels family, and later the Rothschild family. They earned enormous interests of up to 270 percent by lending their money to the sovereigns in Europe and even overseas.
To understand the problem fully, an imaginary picture might help you. Imagine a dam and behind the dam in the valley a body of water, a reservoir of money. If this reservoir has no exit, the river below the dam runs dry, the economy dies. Only if there is a regular and substantial flow of water or money from the reservoir the economy will flourish. Money in the closed reservoir would be dead capital, not doing anything for anyone.
Governments have tried to alleviate the problem of stagnant capital by imposing inheritance taxes. The problem there was (and is) that the tax hurts working capital much more than stagnant capital. To keep in the picture, taking away half of the dead money from the stagnant reservoir does not move the other half; while taking away half of the working capital that keeps the river flowing actually hurts the economy.
The solution to the old conundrum as well as today’s problems therefore must lie in a proper definition of working and dead capital and in finding a way to hurt dead capital while at the same time rewarding working capital. On the way there, studies of Rudolf Steiner’s ideas won’t hurt at all.
Further readingHow Money Came to Dominate Our LivesProphet of the Banking CrisisMuseum City: Basel
Stanislas Wawrinka started 2014 as if it was still 2013. His win in Chennai was master class tennis over the whole tournament and should give him a lot of confidence going into the Australian Open in Melbourne. And last year's marathon match against Novak Djokovic was one of the highlights in the tennis season 2013 when considering all matches. And he is only the Swiss number two.
Stanislas Wawrinka has had an incredible year in 2013. It wasn't enough to get the "Sports Personality of the Year" award in Switzerland, but that hardly mattered. It seems that the tennis player from the French speaking part of Switzerland called the Romandie is preferring a life out of the spotlight any VIP status might give him. And now, again away from the spotlights concentrating on Doha, Brisbane, and Perth, he won the ATP tournament in India's Chennai in style. It looks like he intends to continue playing his best in the tennis season 2014.
Stanislas Wawrinka doesn't convey Roger Federer's glamour or have his international appeal. Images of him in a tuxedo are rarer than ones he smiles on. If he is made to wear formal gear, he appears like a fish out of water; not for him the fashion magazines of the world, but give him a tennis court anytime and he is happy. More than one great tennis nation would be glad to call him their number one tennis player, but Switzerland always has Roger Federer to pip him to the post.
Nonetheless, the 28-year-old world number eight has gained many fans in the past season. He earned the nickname "Marathon Man" during epic duels against top players like Novak Djokovic or Andy Murray. He stepped out of the overlong shadow of Roger Federer's when he beat 17-time Grand Slam winner in 2013 in the public poll as Sports Personality of the Year in Switzerland.
The recognition by people was something that had changed in 2013, said Stanislas Wawrinka in an interview with Swiss Television. Now, I get tremendous support throughout Switzerland, not only in the Romandie." The fact that the spotlight will probably always be directed onto Roger Federer doesn't bother him: "It was never a problem for me to be second to him. It was never a goal of mine to overtake him." A rivalry doesn't exist. "He is always the first to congratulate me when I played well and lost or when I won."
Playing well and losing is something Stanislas Wawrinka was getting used to in the past season. At the U.S. Open he reached the semi-finals and failed to get past Novak Djokovic in five sets. In Melbourne he wrung the last drop from his opponent in one of the most exhilarating matches of the year, but lost to Novak Djokovic. "It was my best, an incredible year," says the father of a three-year-old daughter. "But I hope that I have the potential to continue to improve."
"Ever tried. Ever failed. No matter. Try again. Fail again. Fail better." Stanislas Wawrinka had the words of Irish author Samuel Beckett inked onto his skin in 2013. They have become the motto of the world number 8.
Something he has achieved without trying is being shortlisted for the Personality of the Year award (just called Swiss Award) in Switzerland. The award is handed out in various categories: Culture, Economics, Politics, Show, Society, and Sports. Being nominated at all is an award as each shortlist has only three names on it. Further readingGiving up: The Key to Success Jerzy Janowicz and Andy MurrayTennis: Mr Darcis Says Nada
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