Go Lean Commentary
“Get your hands out of my pocket!” – Term used by another man in the room to cause a disturbance and distraction during the killing of Malcolm X in New York on February 21, 1965 – 52 years ago this week. See VIDEO in the Appendix below.
The words above that were shouted to cause a disturbance are riot-inducing and can cause alarm for many communities. No one wants to think that someone unauthorized and unworthy may be pilfering hard-earned funds from innocent victims.
No one wants to be that victim!
This was a point of consideration in the conception of the book Go Lean…Caribbean. There was the inspiration to conceive an economic empowerment plan for all the Caribbean that would NOT take money out of one person’s pockets and give to another … unauthorized and unworthy. The solution?
Two pockets … or two pies.
… pie as in a pie-chart; this is the graphical representation of the distribution of a budget. Pie-charts are very effective in expressing one amount in comparison to another amount. So when there are two pie-charts, it undoubtedly expresses that there are two different funds, no intermingling. That is the economic plan for the new Caribbean:
This means that there are two different funds. The Go Lean book serves as a roadmap for the introduction and implementation of the technocratic Caribbean Union Trade Federation (CU). This is a regional integration effort to benefit the 30 member-states of the Caribbean. There are a lot of money issues to contend with – but no one person’s hands are in another person’s pockets. So all the money issues for CU are exclusive to the CU. This is true of money-economics and other facets of Caribbean life: security and governance. In total, these 3 prime directives explore the full dimensions of the roadmap:
- Optimization of the economic engines in order to grow the regional economy to $800 Billion & create 2.2 million new jobs.
- Establishment of a security apparatus to ensure justice institutions and protect the resultant economic engines.
- Improve Caribbean governance including a separation-of-powers between the member-states and CU federal agencies to support the economic and security engines.
In order to reboot the societal engines there must be these Two Pies. The CU Trade Federation is designed to lead, fund and facilitate regional empowerment plans. But the plan is NOT for the individual member-states to write checks to the CU so as to share one state’s treasuries with another state. Rather, the CU Trade Federation creates its own funding – from regionalized services – and then encumbers the funds for each member-state to deliver the economic, security and governing mandates. This is analogized as Two Pies:
- One ‘pie‘ to represent the existing budgets of the member-states and how they distribute their government funding between government services (education, healthcare, etc.), security measures (Police, Coast Guards)
- One ‘pie‘ to represent the CU funding from exclusive activities (Spectrum Auctions, Lottery, Exploration Rights, Licenses, Foreign-Aid, etc.).
All in all, the book, and accompanying blogs, declare that the proposed CU Trade Federation is a new governmental layer, and thusly creates a new government budget. This is a confederation; designed to enhance the governmental deliveries for the 30 member-states. This necessity is expressed as a pronouncement in the opening Declaration of Interdependence, (Pages 10 – 11) with the following statement:
Preamble: While our rights to exercise good governance and promote a more perfect society are the natural assumptions among the powers of the earth, no one other than ourselves can be held accountable for our failure to succeed if we do not try to promote the opportunities that a democratic society fosters.
xi. Whereas all men are entitled to the benefits of good governance in a free society, “new guards” must be enacted to dissuade the emergence of incompetence, corruption, nepotism and cronyism at the peril of the people’s best interest. The Federation must guarantee the executions of a social contract between government and the governed.
The vision of a confederation is an integrated Single Market for the 30 member-states of the Caribbean; this means the Dutch, English, French and Spanish speaking territories. This also includes the US territories of Puerto Rico and the US Virgin Islands. Tactically, the CU allows for a separation-of-powers between the member-state governments and the new federal agencies.
Currently the Caribbean member-states pockets are bare – these are all Third World destinations – even the US Territories of Puerto Rico and the Virgin Islands. Consider this First World comparison; consider Apple Corporation – the firm behind the iPhone, iPad, iTunes, etc. – due to their success in technology and business, they have a lot of money (cash on hand); a lot more than many Caribbean member-states … combined.
We need this CU roadmap to impact a turn-around for this region; we need the new “Pie” of the CU Single Market. The member-state’s economic engines – their “Pies” – are in crisis, but since a crisis would be a terrible thing to waste, we need to transform these economic engines for a new Caribbean by introducing the CU “Pie”, as follows:
- Regional Capital Markets with a regional currency – Caribbean Dollar – would increase liquidity and lower the cost of capital. Rather than international debt, member-state governments and corporate institutions can avail themselves of lower financing costs, sometimes as low as 2% interest rates.
Notice a glimpse of this vision in this previous blog-commentary:
http://www.goleancaribbean.com/blog/?p=372 | Dominica raises EC$20 million on regional securities market
- Municipal financing – Debt by any governmental entity does not only reflect on the past, but impacts the future as well. Excessive debt can be so bad that at times the providers … and collectors of debt may be derisively called “vultures”. The CU pledges to re-purchase existing municipal debt and convert them to Caribbean Dollar instruments.
Notice this portrayal in this previous blog-commentary:
http://www.goleancaribbean.com/blog/?p=7601 | Beware of Vulture Capitalists Commercial banking enhancements
- Individual finance: Student Loans – Many Caribbean students obtained loans from their home countries, matriculated abroad and then never returned home. There was no return on investment and many times, no loan repayment. The CU pledges to buy outstanding loans (new, active and default) and enforce cross-border collections.
Notice the details of this student loan crisis in this previous blog-commentary:
http://www.goleancaribbean.com/blog/?p=8373 | A Lesson in Economic Fallacies – Student Loans As Investments
- Individual finance: Mortgages – Housing can be a great stimuli on the economy, but it is difficult for banks to recycle the capital that is tied up for 30 years without a Secondary Market. The CU pledges to deploy a Mortgage Secondary Market across the entire region (Go Lean book Page 83 and 199). This strategy will re-enforce banking within the region.
Notice the issues associated with a dysfunctional mortgage eco-system in this previous blog-commentary:
http://www.goleancaribbean.com/blog/?p=10187 | Day of Reckoning for NINJA Loans
- Individual finance: Retirement – Growing old in the Caribbean has become strained due to the high abandonment rate. National Pension plans depend on a macro structure where young people pay into the fund while the elderly withdraws from the fund. With so much emigration, the actuarial tables are distorted.
Consider this previous blog-commentary that depicts a failing pension system in one member-state:
http://www.goleancaribbean.com/blog/?p=2830 | Jamaica’s Public Pension Under-funded
… and one blog-commentary that describes how best to prosper:
http://www.goleancaribbean.com/blog/?p=4222 | Getting Rich Slowly in the Caribbean
- Self-Governing Entities (SGE) – The Go Lean/CU roadmap features the installation of SGE’s as job-creating engines in many communities; these sites are ideal for technology laboratories, medical campuses, corporate parks, industrial sites, educational facilities and other forms of establishments situated inside bordered facilitates. They allow for an efficient process to launch and manage industrial efforts in the region. These types of installations will thrive under the strategies and tactics of the Go Lean roadmap. SGE’s do require governmental concurrence and maybe even public approvals – referendums – but only at the initiation. Beyond that, they are not a concern, or an expense, for local governments – they bring their own economic “Pie“.
Consider this previous blog-commentary that details the dynamics of SGE’s:
http://www.goleancaribbean.com/blog/?p=5921 | Socio-Economic Change: Impact Analysis of SGE’s
- Exclusive Economic Zones (EEZ) – The Go Lean/CU roadmap calls for the strategy of petitioning the United Nations Convention on the Law of the Sea (UNCLOS) for expanded territory in the Caribbean Sea for the CU to develop, explore, protect and exploit for the benefit to the Caribbean en-masse only. This means the CU “Pie” for revenues-and-expenses and not individual member-states.
Consider this previous blog-commentary that details the dynamics of the EEZ:
http://www.goleancaribbean.com/blog/?p=8819 | Lessons from China – South China Seas: Exclusive Economic Zones
The Go Lean book details the series of community ethos, strategies, tactics, implementations and advocacies designed to create a federal “Pie” in the Caribbean region; see here:
|Anecdote – Caribbean Single Market & Economy||Page 15|
|Community Ethos – Money Multiplier||Page 22|
|Community Ethos – Job Multiplier||Page 22|
|Community Ethos – Lean Operations||Page 24|
|Community Ethos – Ways to Impact the Future||Page 26|
|Community Ethos – Ways to Impact the Greater Good||Page 37|
|Strategic – Vision – Integrated Region in a Single Market||Page 45|
|Strategic – Vision – Agents of Change||Page 57|
|Tactical – Confederating a Non-sovereign Union||Page 63|
|Tactical – Fostering a Technocracy||Page 64|
|Tactical – Growing to $800 Billion Regional Economy||Page 67|
|Tactical – Separation-of-Powers||Page 71|
|Anecdote – “Lean” in Government – Optimizing Societal Engines||Page 93|
|Implementation – Ways to Pay for Change||Page 101|
|Implementation – Start-up Benefits from the Exclusive Economic Zone||Page 104|
|Implementation – Steps to Implement Self-Governing Entities||Page 105|
|Implementation – Ways to Better Manage Debt||Page 114|
|Planning – Big Ideas for the Caribbean Region||Page 127|
|Planning – Ways to Model the EU||Page 130|
|Advocacy – Ways to Grow the Economy||Page 151|
|Advocacy – Ways to Improve Governance||Page 168|
|Advocacy – Ways to Better Manage the Social Contract||Page 170|
|Advocacy – Reforms for Banking Regulations||Page 199|
|Advocacy – Ways to Impact Wall Street||Page 199|
While the Caribbean needs its people, these people need a better Caribbean society – more prosperous. The region status quo is that “they got it bad”! Due to the many failures in the region, many people have fled to find refuge in foreign countries, resulting in a debilitating brain drain in the Caribbean, and thusly less people-less potential-less profits; so even more failure on top of failure.
The Go Lean roadmap for the CU stresses the need for this new “Pie“, the economics of a Caribbean Single Market. This theme was previously blogged on in so many previous Go Lean blog-commentaries; see sample here:
|http://www.goleancaribbean.com/blog/?p=10043||Integration Plan for Greater Caribbean Prosperity|
|http://www.goleancaribbean.com/blog/?p=9595||Vision and Values for a ‘New’ Caribbean|
|http://www.goleancaribbean.com/blog/?p=8813||Lessons from China – Size Does Matter|
|http://www.goleancaribbean.com/blog/?p=841||Having Less Babies is Bad for the Economy|
|http://www.goleancaribbean.com/blog/?p=833||European Integration Currency Model: One Currency|
|http://www.goleancaribbean.com/blog/?p=599||Ailing Puerto Rico open to radical economic fixes|
|http://www.goleancaribbean.com/blog/?p=364||Time Value of Money|
|http://www.goleancaribbean.com/blog/?p=360||How to Create Money from Thin Air|
Now is the time for all of the Caribbean – the people and governing institutions – to lean-in for the Caribbean integration re-boot, this Caribbean Union Trade Federation. We need the “Two Pies“. We need better engines to make our region more prosperous, to make it a better homeland to live, work and play. 🙂
Appendix VIDEO – Malcolm X: Get your hand out my pocket – https://youtu.be/zHM8lAIFoU4
Uploaded on Jan 26, 2011 – Classic scene from a classic movie.