Go Lean Commentary
About that purse …
… we have been saying here repeatedly:
Will someone walk-up to Cuba/Haiti and give them $13 Billion (or $91 Billion in today’s dollars) to reboot, recover and turn-around their periods of dysfunction?
Probably, not!
So how to ensure that all this talk of a Marshall Plan is not just simply talk?
Answer: We create the purse ourselves.
Purse , noun
a: Resources, Funds
b: a sum of money offered as a prize or present also : the total amount of money offered in prizes for a given event
The book Go Lean…Caribbean asserts that the Caribbean region as an entity can create a new regional purse, one that can fund the Marshall Plan that is needed to reform the de facto Failed-States of Cuba, Haiti and other declining member-states.
Once we reform these problematic communities, then we can focus on transforming the entire region. Leverage is the key!
So we can comfortably declare that change is on the way for the Caribbean!
While the purpose of the Go Lean roadmap is NOT just Cuba & Haiti alone, we know that we cannot elevate the societal engines for all of the Caribbean while ignoring these near-Failed States. These member-states constitute 48% of the region’s population and a huge portion of the landmass. There is no Caribbean without these Cuban/Haitian countries and cultures.
So to repeat, if we can fix Cuba & Haiti, we can fix the entire Caribbean region. This is the “Why’ and “How” – Marshall Plan – and these are important considerations; but more importantly, we need to know how to fund our plans.
We must know if “someone” will walk-up to and give us $13 Billion (or $91 Billion in today’s dollars) to reboot, recover and turn-around our dysfunctional member-states. We can now hereby declare:
Probably, not … for any external entities.
Definitely yes … for doing it ourselves … internally.
The Go Lean roadmap asserts that it is up to the Caribbean to solve the Caribbean’s problems. We must plan, fund and execute our own Marshall Plan. Yes, we can!
The next step: graduate from just regional integration – Caribbean Community (CariCom) – to a Single Market.
The book Go Lean … Caribbean, serves as a roadmap for the introduction and implementation of the technocratic Caribbean Union Trade Federation (CU), to facilitate a Single Market. The book features (Page 101) this one advocacy for creating a purse, entitled: “10 Ways to Pay for Change“. These “10 Ways” include the following highlights, headlines and excerpts:
| 1 | Lean-in for the Caribbean Single Market – Ratify treaty for the CU. This treaty allows for the unification of the region into one market, expanding to an economy of 30 member-states of 42 million people, to impact a GDP of over $800 Billion. In order for the CU to reboot the economic engines of the region, the political entity of the unified Caribbean must be rebooted first. … The CU will generate its own initial funding, as listed here, below. |
| 2 | Spectrum Auctions The CU will function as a government-owned multinational corporation to deliver services for an integrated Caribbean administration. Having the regional authority, the CU will hold auctions for the radio spectrum in the region. This will generate the CU’s own initial revenue stream, as only rights are being awarded; there is no performance – no fabrication of products or rendering of services. With this strategy, there will be revenues to return back to CU share-holders, member-states, even in the 1st year. |
| 3 | SGE Licenses The CU treaty empowers economic engines (Self-Governing Entities – SGE: industrial parks, technology labs, medical campuses, etc.) in and on behalf of the region. These independent entities pay fees to the CU, at the outset, so as to be licensed by the CU. |
| 4 | GPO Logistic Fees An important CU mission is the Group Purchasing Organization (GPO), an extension of the current [CariCom] Office of Trade Negotiations; but the CU will make purchases and fulfill delivery to member-states, for a handling fee. |
| 5 | Regional Lottery … The CU will implement a regional lottery, in conjunction with local state lotteries, with winnings awarded in Caribbean dollars (C$). The CU will outsource contracts for distribution, fund management and IT processing. These contracts can serve as an initial funding source. |
| 6 | EEZ Exploration Rights |
| 7 | Homeland Security – Private Protection Licensing |
| 8 | Homeland Security – Hurricane Insurance Fund |
| 9 | Warrants Paying for Change first optimizes the payment terms. All CU payments to member-states will be in the form of warrants attached to bonds; this allows the CU to pay lower interest rates. These warrants make the bonds sellable to the public. [See explanation of Registered Warrants in the Appendix below]. |
| 10 | Foreign Aid & Grants including Non-Government Organizations (NGOs) |
A Caribbean version of the previous European Marshall Plan will be very significant in the roadmap to reform and transform the Caribbean member-states. Planning the Plan is one thing; Executing the Plan is another. But in between the Plan and the Execution is the heavy-lifting task of funding the change. This is why this series of commentaries is so important. This is entry 4-of-5 in this series of commentaries on the Marshall Plan, the historic European one and Caribbean versions. Here, as follows, is the full series being presented this month of May (2019):
- Marshall Plan: A Lesson in History
- Marshall Plan: Cuba – An imminent need for ‘Free Market’ Emergence
- Marshall Plan: Haiti – Past time for Mitigation
- Marshall Plan: Funding – What Purse to Fund Our Plans?
- Marshall Plan: Is $91 Billion a Redux for Puerto Rico?
In this entry for this series we focus on “How” to fund the Marshall Plan. In the European model, “it” was about the money; for the Caribbean version, money will be equally important. The theme of recovering and rebooting the Caribbean economic landscape has been detailed in many previous Go Lean commentaries; consider this sample list here:
| http://www.goleancaribbean.com/blog/?p=16848 | ‘Two Pies’ – Funding Plan for a New Caribbean |
| http://www.goleancaribbean.com/blog/?p=16836 | Crypto-currency: Here comes ‘Trouble’ |
| http://www.goleancaribbean.com/blog/?p=16530 | Efforts to de-Americanize the world’s economy |
| http://www.goleancaribbean.com/blog/?p=16210 | In Defense of Trade – The Real Threat of Currency Assassins |
| http://www.goleancaribbean.com/blog/?p=15798 | Lessons Learned from 2008 Great Recession – Region Still Recovering |
| http://www.goleancaribbean.com/blog/?p=14834 | Counter-culture – Monetizing the Change |
| http://www.goleancaribbean.com/blog/?p=14248 | Leading with Money Matters – Almighty Dollar – From US$ to C$ |
| http://www.goleancaribbean.com/blog/?p=13744 | Caribbean Economics – The Quest for a ‘Single Currency’ |
| http://www.goleancaribbean.com/blog/?p=10513 | Transforming ‘Money’ Countrywide |
| http://www.goleancaribbean.com/blog/?p=3582 | For Canadian Banks – The Caribbean is a ‘Bad Bet’ |
The hope for a Marshall Plan for Cuba and Haiti will only be an empty promise unless the regional infrastructure accompanies the Planning and Executions. The Way Forward for the Caribbean economic landscape therefore presents these necessary ingredients:
- Regional Currency – Trading in Caribbean Dollars (C$) rather than local currencies.
- Regional Capital Markets – There are 9 Stock Exchanges; these will expand due to C$ adoption; i.e. Warrants.
The current economic landscape is deficient and defective. We must reboot and change all of it: Top-Down and Bottoms-Up. This is a Big Shift being considered here, transforming how we finance government spending: Looking to Capital Markets for fostering a landscape with Registered Warrants instead of “cash”. Wow! (See more on this in the Appendix below). Only with these technocratic strategies, tactics and implementations, can we even contemplate rebooting Cuba and Haiti.
This product offering – Registered Warrants – is part of the Way Forward for the new Caribbean.
Our Way Forward for the entire Caribbean includes the entire Caribbean, with Cuba & Haiti too. So we have to prepare the region for the full inclusion of these problematic countries. With them, we can better leverage the political, social, security and economic fabric of the regional society. This is the Caribbean’s future. This is how we intend to make our homeland, Cuba & Haiti included, better places to live, work and play. 🙂
About the Book
The book Go Lean…Caribbean serves as a roadmap for the introduction and implementation of the technocratic Caribbean Union Trade Federation (CU), for the elevation of Caribbean society – for all member-states. This CU/Go Lean roadmap has these 3 prime directives:
- 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 public safety and protect the resultant economic engines.
- Improve Caribbean governance to support these engines, including a separation-of-powers between the member-states and CU federal agencies.
The Go Lean book provides 370-pages of turn-by-turn instructions on “how” to adopt new community ethos, plus the strategies, tactics, implementations and advocacies to execute so as to reboot, reform and transform the societal engines of Caribbean society.
Download the free e-Book of Go Lean … Caribbean – now!
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Who We Are
The movement behind the Go Lean book – a non-partisan, apolitical, religiously-neutral Community Development Foundation chartered for the purpose of empowering and re-booting economic engines – stresses that reforming and transforming the Caribbean societal engines must be a regional pursuit. This was an early motivation for the roadmap, as pronounced in the opening Declaration of Interdependence (Pages 12 – 13):
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.
xvi. Whereas security of our homeland is inextricably linked to prosperity of the homeland, the economic and security interest of the region needs to be aligned under the same governance. Since economic crimes … can imperil the functioning of the wheels of commerce for all the citizenry, the accedence of this Federation must equip the security apparatus with the tools and techniques for predictive and proactive interdictions.
xxiv. Whereas a free market economy can be induced and spurred for continuous progress, the Federation must install the controls to better manage aspects of the economy: jobs, inflation, savings rate, investments and other economic principles. Thereby attracting direct foreign investment because of the stability and vibrancy of our economy.
Sign the petition to lean-in for this roadmap for the Caribbean Union Trade Federation.
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Appendix: Warrants of Payments
In financial transactions, a warrant is a written order from a first person that instructs a second person to pay a specified recipient a specific amount of money or goods at a specific time.[1] The warrant may or may not be negotiable and may authorize payment to the warrant holder on demand or after a maturity date. Governments may choose to pay wages and other accounts payable by issuing warrants instead of checks.
History
In the 18th century, warrants were used by the military to authorize payments to soldiers and suppliers. George Washington, for example, signed warrants that ordered quartermasters to deliver money or acquire supplies.[2] These warrants were used by quartermasters to issue vouchers to acquire food, supplies, munitions, clothing, transportation, etc., for the use of the American military and to maintain Washington’s headquarters. Warrants could be redeemed by the army paymasters, but most often they were used like cash by the recipient. Warrants, like bills of exchange and vouchers, were often heavily discounted and depreciated in value. The fortunes of war could be traced through the discount rates on warrants, vouchers, and Continental dollars.
Modern warrants
In government finance, a warrant is a written order to pay that instructs a federal, state, or county government treasurer to pay the warrant holder on demand or after a maturity date. Such warrants look like checks and clear through the banking system like checks, but are not drawn against cleared funds in a checking account (demand deposit account). Instead, they may be drawn against “available funds” or “out of fund 0027” so that the issuer can collect interest on the float or delay redemption. If the warrant is conditional on funds being available, the warrant is not a negotiable debt instrument. In the U.S., warrants are issued by government entities such as the military and state and county governments. Warrants are issued for payroll to individual employees, accounts payable to vendors, to local governments, to taxpayers receiving tax refunds, to recipients of unemployment benefits, and to owners of unclaimed money. A warrant differs from a check in that the warrant is not drawn on a checking account, is not necessarily payable on demand, and may not be negotiable.[5][6]
Warrants deposited in a bank are routed (based on the MICR routing number) to a collecting bank which processes them as collection items like maturing treasury bills and presents the warrants to the government entity’s treasury department for payment to the bank each business day.
Regular warrants are redeemable by the government treasurer after they are issued. “Registered warrants” bear interest and need not be redeemed by the treasurer until the warrant maturity date.[7] If warrants cannot be immediately redeemed by the issuing entity, the collecting bank may accept the warrants as short term debt instruments and collect interest when redeemed in accordance with a prior agreement with the issuing entity. The collecting bank may refuse to accept a warrant issue, in which case other banks may also refuse to accept them.[8]
“The warrants of a municipal corporation are not negotiable instruments. They do not constitute a new debt, or evidence of a new debt, but are only the prescribed means devised by law for drawing money from the treasury.”[9]
The U.S. Securities and Exchange Commission said on July 9, 2009, that California’s registered warrants are “securities” under federal securities law and will be regulated as municipal securities by the Municipal Securities Rulemaking Board.[10] Under these regulations, anybody who profits by buying and reselling warrants must be registered as a municipal securities broker-dealer.[11]
Although registered warrants are evidence of a municipality’s obligation to pay, because they demonstrate an intent to disburse funds when those funds become available, the US Supreme Court has ruled that a holder of a valid warrant cannot obtain a writ of mandamus for specific performance of the obligation to pay, enforced against a treasurer or other employee of the municipality.[12] …
United Kingdom
In the UK, warrants are issued as payment by the NS&I when a Premium Bond is chosen.
The difference between a warrant and a cheque is that a cheque usually places no explicit time frame on when the amount is to be paid.
Source: Retrieved May 13, 2019 from: https://en.wikipedia.org/wiki/Warrant_of_payment
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VIDEO – What is WARRANT OF PAYMENT? What does WARRANT OF PAYMENT mean? WARRANT OF PAYMENT meaning – https://youtu.be/9LY7Ol5ec6E
Published on Apr 20, 2017 – … Governments may choose to pay wages and other accounts payable by issuing warrants instead of checks …
- Category: Education
- License: Creative Commons Attribution license (reuse allowed)