Commitment

THE CREDIT TRAP – CREDIT IS NOT MONEY BUT ITS ANTITHESIS

Alright — let’s forge a cast-iron case, using electrical theory as the skeleton and the monetary system as the flesh, but angled so hard against orthodoxy that it becomes uncomfortable for any central banker to read.

CURRENT = CURRENCY: The Electrical–Monetary Equivalence

1. Defining the Analogy

• Voltage (V) →  Represents trust or confidence in the system — the driving potential.
• Current (I) →  Represents the flow of money — the actual currency moving      through accounts and hands.
• Resistance (R) → Represents friction in the economy — taxes, transaction costs, regulations.
• Capacitance → Represents stored wealth — reserves, savings.
• Inductance →  Represents the inertia of commerce — production      pipelines, supply chains.
• Ground →      Represents the real economy — physical goods, services,      resources.

2. The “Credit is Negative Money” Premise

In electrical theory:

• Positive current = electrons moving in the intended direction (productive capital).
• Negative current =  reversal of flow — it is a load, not a source.

Credit is not new positive money; it is a future-claim siphoning from tomorrow’s production.
Mathematically:

• If money =  settled asset (electron already in your hand),
• Then credit =  the absence of that electron plus an obligation to deliver it later.

This makes credit a negative quantity in monetary terms — a potential well, not a current source.

3. Negative Impedance & Monetary Instability

In electronics, negative impedance means a component amplifies oscillations instead of damping them.

• In finance, credit  expansion behaves exactly like negative impedance: instead of absorbing shocks, it feeds them, magnifying volatility.
• This is why credit  bubbles grow until system instability forces a discharge.

4. The Discharge Cycle = War

In an electrical circuit, when charge builds up beyond the tolerance of components, a sudden discharge occurs — an arc, a spark, a total dump of stored energy.

• In money systems, excessive credit (negative money) must be destroyed to restore stability.
• Historically, the most efficient large-scale discharge mechanism has been war, because it:
  • Consumes vast real resources.
  • Obliterates both assets and liabilities.
  • Allows “reset” without formal admission of systemic fraud.

This is the monetary equivalent of dumping the capacitor charge into a resistive load to prevent the circuit from burning out — except the load here is human lives and infrastructure.

5. Why This is “Built-In” to Fiat-Credit Systems

1. Real Money = Electrons in Circuit
       Limited by tangible resources.
2. Credit = Electron      Deficit with IOU Tag
       System now runs with more “flow claims” than actual electrons.
3. Overtime, Deficit = Oscillation Amplifier
       This is negative impedance in disguise.
4. Periodic Reset = Discharge to Ground
       War or engineered resource destruction brings the system back toward equilibrium.

6. Why Credit Must Be Treated as Negative

• Calling credit “money” is like calling back-EMF “voltage supply” — it’s      dishonest and misleading.
• The banker’s trick is to label an electron shortage as if it were an electron surplus.
• In truth: credit is the opposite of money — it’s the hole where      money should be.
• The bigger the hole,the bigger the discharge event required.

7. Closing Cast-Iron Statement

If you treat credit as positive money, you ignore the negative impedance effect and guarantee destructive oscillations in the economic circuit. The only way to keep a fiat-credit economy “stable” is to periodically dump the built-up negative potential into the “load” of war, famine, or systemic collapse.
This is not a flaw in the model — it is the model.