jump to navigation

Dr. Armen Papazian, Friday, 12-21-12 December 22, 2012

Posted by The Space Show in Uncategorized.
Tags: , , , , , , , , , , , , , , , , , , , , , , ,
trackback

Dr. Armen Papazian, Friday, 12-21-12

http://archived.thespaceshow.com/shows/1918-BWB-2012-12-21.mp3

Guest:  Dr. Armen Papazian.  Topics:  Creating money via wealth not debt to finance space development. Please direct all comments and questions regarding Space Show programs/guest(s) to the Space Show blog, http://thespaceshow.wordpress.com. Comments and questions should be relevant to the specific Space Show program. Written Transcripts of Space Show programs are a violation of our copyright and are not permitted without prior written consent, even if for your own use. We do not permit the commercial use of Space Show programs or any part thereof, nor do we permit editing, YouTube clips, or clips placed on other private channels & websites. Space Show programs can be quoted, but the quote must be cited or referenced using the proper citation format. Contact The Space Show for further information. We welcomed Dr. Armen Papazian to discuss his space financing theories based on creating money in our global economy through wealth rather than by debt and debt instruments.  I urge you to read his papers and see his presentations on this subject at www.isdhub.com. Definitely download and reach “Money Mechanics For Space” which you will find on the left side of the website under the Planetary Referendum box.  Also, do vote on the Planetary Referendum, an issue our guest brought to our attention several times during our discussion.  You will also find additional presentations and papers of interest to us and this subject on the isdhub.com website so do check them out.  While our program was in two segments, the overriding discussion focused on how we presently create money by debt, why this is a problem causing methodology, and why we need to move to alternative ways to create money, both in the U.S. and around the world.  Since we do focus on lots of economics, having his papers and presentations handy to supplement our discussion will prove useful.  Dr. Papazian explained how we create money today and the problems our current methodology causes as it is based on the concepts of scarcity, risk, and time.  We spent considerable time talking about scarcity and time in economics, in the practical administration of government policy, academia, and why we need to move away from these concepts. Our guest suggested an alternative scenario in which money is created through wealth with space as the leading wealth creating industry because space represents abundance, not scarcity. A wealth based money creating economy does away with scarcity as the underlying foundation, replacing it with abundance. In this discussion, he introduced us to Public Capitalization Notes (PCN), a very important tool & part of this alternative approach to creating non-debt money. We fielded listener emails and calls with many questions for our guest.  Listeners wanted to know if there was a cost for money and how would that be handled?  What about the time value of money, risk & inflation?  Armen made it clear that he was not suggesting a disruptive change in our economic systems, instead, he was advocating a parallel economic system and an evolutionary approach toward wealth and abundance based money creation using PCN tools.  Near the end of our discussion, we applied what our guest was saying to space investments such as recent projects discussed on The Space Show and their very significant infrastructure requirements.  From this discussion, we learned how space can be a game changer and rather than banks, governments, and individuals owning debt, these financing parties would own equity or assets in the space project.  In Armen’s closing comments, he urged us to vote in the Planetary Referendum for Cosmic Awareness and to be supportive of their crowd sourcing program.
     Please post comments/questions on The Space Show blog. If you want to email Dr. Papazian, you can do it through me or the Contact page on his website.
About these ads

Comments»

1. DougSpace - January 21, 2013

Just got done listening to the program. In the end, I too remained unconvinced that Dr. Papazian’s concept is workable. It took a full 1 hr 15 minutes to finally mention that the Public Capitalization Notes would be purchased. But there was little explanation of how this would be done or what the market implications of this would be. What if nobody valued these notes because ownership of PCN-financed space science projects wouldn’t likely give a return on investment? Might the people who invest in the PCNs loose their shirts? How would that not be like going into debt?

Or, if the purchasers of the PCNs were somehow shielded from their purchases becoming worthless, there’s still the issue of who and how projects are decided upon. With debt-based financing, the concentration of grantors of the loans (on the private side) is focused sharply on ensuring that the market will value whatever that loan went toward. A mistake (I.e. unpaid loan/debt) carries strong consequences and hence a strong corrective force.

Finally, if politicians are the ones choosing where this money goes, I could imagine that this approach could quickly warped into cronyism. As we saw with the fiscal stimulus, projects and groups that got the money were highly likely to also happen to fall amongst powerful political allies.

2. Jim Davis - January 4, 2013

Dr. Papazian was a very interesting and compelling guest but ultimately unconvincing.

No one would dispute his observation that the creation of money, as long as it is linked to the creation of wealth, is a good thing. My understanding is that money creation is linked to debt precisely as a means to ensure that wealth creation does indeed happen at some point which is also why there are time constraints involved.

Papazian apparently thinks that he knows beforehand exactly what will and will not create wealth. It seems to be an article of faith with him that creating money to finance space projects will ultimately create wealth. He may even be right. But there is no way to know that up front.

The incursion of debt might be an imperfect way of deciding what ventures will ultimately create wealth but I am unconvinced Papazian’s way, blind faith in space, is any better. I can easily see the Federal Reserve having a long list of organizations that want that $40 billion. Why would NASA automatically be at the head of the line?

3. AFree American - December 26, 2012

A recent fad among a certain class of academics is to deride Scarcity Based Economics & promote “Economics of Abundance” on the premise that the universe is infinite so nothing is scarce. (eg: Dr. Martin Schwab 12/4/12, Dr. Armen Papazian 12/21/12)

A simple test: Does a deliciously prepared steak & potatoes dinner appear on your table upon demand without the consumption of anyone’s capital or labor?

Until free steak dinners are the norm, the real world is one of Scarcity. Intelligent people since Adam Smith use the Scarcity Based Economics model because it most accurately models reality.

Knowingly or not, wishful thinking academics are taking advantage of humanity’s chronic “something for nothing” desire to defraud people into accepting yet another relabeled, repackaged & thinly disguised Marxist “to each according to his need, from each according to his ability” economic system. Marxism has repeatedly, disastrously, failed every time it has been tried in economies large & small. That is settled economic science.

The fraud takes the form:
If you will just join me in promoting “Economics of Abundance”, “Fill in the blank with audience’s most cherished wishful dream here” can be yours at little or no cost to you. Of course, no economic system based on Marxism can produce any such dream. For The Space Show the wishful dream includes, for example, Mars Colonies.

It is now time to call out these academics, expose their fraud, & roundly denounce them.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 67 other followers

%d bloggers like this: