Progress Report – June 18, 2012

The Leviticus 25 Plan website activity has picked up considerably over the past three weeks, with significant interest coming in from: London, Athens, New York, Stockholm, St. Louis, Australia (Melbourne, Sydney, Brisbane, Canberra, Perth).

Additional notable interest has been coming in from: Goteborg, Toronto, Los Angeles, Houston, Austin, Chicago, Washington.

July 2012 – Round 3:  The Leviticus 25 Plan will be sent again in July to all 50 governors in the U.S., along with all 50 state Chambers of Commerce organizations, numerous financial news sites, financial/economic journalists, and others.


Pressures are mounting on the Federal Reserve (along with other Central Banks around the world) to expand their balance sheets and ‘push’ liquidity out into the market place.  And these efforts will not ‘reach’ individual citizens in any meaningful way.

And further ‘central planning’ based efforts will vest governments with ever more economic control over their citizens.  And further restrict freedom.

F.A. Hayek once summarized, “Economic control is not merely control of a sector of human life which can be separated from the rest; it is the control of the means for all our ends. And whoever has control of the means must also determine which ends are to be served, which values are to be rated higher and which lower, in short, what men should believe and strive for.”

Citizens need direct credit extensions from their Central Banks – for the primary purpose of reducing / eliminating debt at the family level, resetting legitimate incentives for industriousness and work, and restoring economic liberty.

Only then will genuine economic recovery begin in America.  And around the world.

June 2012 quote:

“We must make the building of a free society once more an intellectual adventure, a deed of courage…. Unless we can make the philosophic foundations of a free society once more a living intellectual issue, and its implementation a task which challenges the ingenuity and imagination of our liveliest minds, the prospects of freedom are indeed dark. But if we can regain that belief in the power of ideas which was the mark of liberalism at its best, the battle is not lost.”    ― Friedrich A. von Hayek

Confirmation: “We are trying to rescue the creditors and restart the world that is dominated by the creditors. We have to rescue the debtors instead before we are going to see the end of this process.” — Steve Keen, Australian economics and finance professor – University of Western Sydney


And The Leviticus 25 Plan is the practical application of that concept.  It delivers direct credit extensions to the citizens of a given nation, thereby strengthening the base –   rather than continuing to extend credit to major financial centers, faltering from poor asset (loan portfolio) performance.

The Leviticus 25 Plan will provide for massive debt relief at the family level.  Economic acceleration.  Government cost savings and robust tax revenue growth – all with-out raising taxes.  This Plan will reincentivize work, industriousness, wise decision-making and productivity.

It will relight the fires of economic liberty for citizens.


Keen continues: “I think the mistake [central banks] are going to make is to continue honoring debts that should never have been created in the first place. We really know that that the subprime lending was totally irresponsible lending.

When it comes to saying “who is responsible for bad debt?” you have to really blame the lender rather than the borrower, because lenders have far greater resources to work out whether or not the borrower can actually afford the debt they are putting out there.”

“They were creating debt just because it was a way of getting fees, short-term profit, and they then sold the debt onto unsuspecting members of the public as well and securitized their way out of trouble. They ended up giving the hot potato to the public. So, you should not be honoring that debt, you should be abolishing it. But of course they have actually packaged a lot of that debt and sold it to the public as well, you cannot just abolish it, because you then would penalize people who actually thought they were being responsible in saving and buying assets.”

“Therefore, I am talking in favor of what I call a modern debt jubilee or quantitative easing for the public, where the central banks would create ‘central bank money’ (we cannot destroy or abolish the debt, which would also destroy the incomes of the people who own the bonds the banks have sold). We have to create the state money and give it to the public, but on condition that if you have any debt you have to pay your debt down — no choice. Therefore, if you have debt, you can reduce the debt level, but if you do not have debt, you get a cash injection.”

Spiraling global debt and economic deceleration …

“Europe is imploding under its own volition and I think the Euro is probably going to collapse at some stage or contract to being a Northern Euro rather than the whole of Euro. We will probably see every government of Europe be overthrown and quite possibly have a return to fascist governments. It came very close to that in Greece with fascists getting five percent of the vote up from zero. So political turmoil in Europe and that seems to be Europe’s fate.”

“I can see England going into a credit crunch year, because if you think America’s debt is scary, you have not seen England’s level of debt. America has a maximum ratio of private debt to GDP adjusted over 300%; England’s is 450%. America’s financial sector debt was 120% of GDP, England’s is 250%. It is the hot money capital of the western world.”

“And now that we are finally seeing decelerating debt over there plus the government running on an austerity program at the same time, which means there are two factors pulling on demand out of that economy at once. I think there will be a credit crunch in England, so that is going to take place as well.”

America is still caught in the deleveraging process. It tried to get out, it seemed to be working for a short while, and the government stimulus seemed to certainly help. Now, that they are going back to reducing that stimulus, they are pulling up the one thing that was keeping the demand up in the American economy and it is heading back down again. We are now seeing the assets market crashing once more. That should cause a return to decelerating debt — for a while you were accelerating very rapidly and that’s what gave you a boost in employment — so you are falling back down again.”

Australia is running out of steam because it got through the financial crisis by literally kicking the can down the road by restarting the housing bubble with a policy I call the first-time vendors boost. Where they gave first time buyers a larger amount of money from the government and they handed over times five or ten to the people they bought the house off from the leverage they got from the banking sector. Therefore, that finally ran out for them.”

China got through the crisis with an enormous stimulus package. I think in that case it is increasing the money supply by 28% in one year. That is setting off a huge property bubble, which from what I have heard from colleagues of mine is also ending.”

“Therefore, it is a particularly ugly year for the global economy and as you say, we are still trying to get business back to usual. We are trying to rescue the creditors and restart the world that is dominated by the creditors. We have to rescue the debtors instead before we are going to see the end of this process.”

Full report submitted by Chris Martenson – accessed from ZeroHedge:

The Leviticus 25 Plan – Beyond America

The Leviticus 25 Plan was designed as an economic acceleration plan for America.

Would it have application for other countries as well?

Answer:  It would have application anywhere that a people have aspirations for economic  liberty and self-determination.  This would certainly apply to other nations in the Western World and possibly beyond.

The U.K., Sweden, Denmark, Greece, Germany, Italy, Australia, New Zealand, Norway,  Spain, France… and others.

This plan is based upon the principles of economic liberty set forth in the Book of Leviticus –  to provide direct economic liberty and debt relief to the people.

‘Central bank’ credit extensions made directly to the people of a nation, rather than continuing with Central Bank (government) support for failing financial institutions, provides powerful opportunities for economic liberty and debt relief at the family level and overall economic acceleration. For any nation.

‘Productivity’ is well recognized as a primary driver for economic growth.  Social programs in America currently include widespread built-in ‘disincentives’ – wherein  those who earn additional income lose social program ‘benefits.’  Such disincentives serve as ‘stalling’ factors for productivity gains and economic growth.

The Leviticus 25 Plan removes such disincentives and ‘restarts’ the engines for economic growth and gains in efficiency.

In addition, the Plan’s massive debt relief benefits at the family level will free up enormous amounts of capital which would have otherwise gone to the ‘servicing of debt.’  Over long periods of time.

And this availability of massive amounts of ‘new’ capital will naturally provide long term benefits to individual families – strengthening their financial standings for years to come.  And it will naturally provide for a strong ‘flow’ of new tax revenue gains for government.  Without raising taxes.

These benefits should apply beyond the borders of America.

To people everywhere – who desire to be free.

“The End Game” – Global Macro Investor, May 2012

Analysis by Raoul Pal – Global Macro Investor:

“The world has no engine of growth with most of the G20 countries approaching stall speed at the same time.  The Western World is about to enter its second recession in an ongoing depression…”

“Fact:  This will be the lowest cyclical peak in GDP growth in G7 history.  These are the weakest ever foundations on which to enter a recession.”

“The ten largest debtor nations on earth have total debts of over 300% of World GDP.”

Pal warnings:

  • With very limited room for government bailouts, we can very easily join the next dots from the first bank closure to the collapse of the whole European banking system, and then to the bankruptcy of the governments themselves.
  • There are almost no brakes in the system to stop this, and almost no one realises the seriousness of the situation.
  • The problem is not Government debt per se. The real problem is that the $70 trillion in G10 debt is the collateral for $700 trillion in derivatives…
  • Yes, that equates to 1200% of Global GDP and it rests on very, very weak      foundations
  • From an EU crisis, we only have to join one dot for a UK crisis of equal      magnitude.
  • And then do you think Japan and China would not be next?
  • And then do you think the US would survive unscathed?
  • That is the end of the fractional reserve banking system and of fiat money.
  • It is the big RESET.


  • Bonds will be stuck at 1% in the US, Germany, UK and Japan (for this phase).
  • The whole bond market will be dead.
  • Short selling on bonds – banned
  • Short selling stocks – banned
  • CDS  – banned
  • Short futures – banned
  • Put options – banned
  • All that is left is the Dollar and Gold


  • We have around 6 months left of trading in Western markets to protect      ourselves or make enough money to offset future losses.
  • Spend your time looking at the risks of custody, safekeeping, counterparty etc.      Assume that no one and nothing is safe.

Raoul Pal, 22 years experience in global finance – founder of Global Macro Investor.  Also previous affiliation with  GLG Global Macro Fund – London and with Goldman Sachs’ hedge fund business  – equities and equities derivatives.

Report accessed from Zero Hedge


The Leviticus 25 Plan provides massive, sweeping debt relief benefits for American families.  This debt relief would be critical for economic survival – in light of a looming global economic contraction.

There is no other plan that would do more to preserve economic liberty for Americans than this plan…