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What is Authentic Democracy? And Democratization of Money

June 27, 2013

What is Authentic Democracy?


Democratization of Money

By Reed Camacho Kinney

June, 10, 2013

Dialogical, consensus-based community decision making processes, authentic democracy – its civil and civic spheres – is based on face-to-face accountability among one’s peers, combined with the wholesome relationships of community conviviality. Each community navigates emerging reality from the creative, critical thinking that dialogue generates. (1)

 Theoretically, the structures of civil and civic organizations of community, in decentralized economic social organization, DESO, approximate the ideals of democracy better than any existing democracies.

Democracy is “…a long-term complex, dynamic, and open-ended process…” (2)

The measure of democracy is generally applied to national governments, and their national systems. By contrast, community in decentralized economic social organization, DESO, does not include representational government, does not legislate, and does not include political parties.

Theoretically, existing democracies are supposed to provide citizens with security and the right to “…express themselves without the danger of severe punishment…” And, the right to, “…seek out alternative sources of information. Moreover, [that] alternative sources of information exist and are protected by law. “(3)

Conventional news media is controlled by the “monetary authority,” the central bank. Each existing democracy is forced to subsist on loans from the central bank, which impoverishes every country.

Politicians accept grants from corporations enabling corporations to dictate legislation favorable to them, including tax reduction, see Park Avenue: money, power and the American dream – Why Poverty?

The central bank is a private institution owned by men who are insulated from society, or are anonymous. Those owners and their respective families leverage hundreds of trillions.

The internal machinations of the central bank are kept secret. The plebiscite is distracted with televised, political drama. One of the characteristics of conventional democracy is competitive elections among political parties. The central bank wields “unbridled money power,” (4) which can support or defeat democratic governments. The central bank manipulates governments with economic depression. (5) The primary purpose of the central bank is to force all counties into maximum debt.

As controlled by the central bank, conventional news media, and the media/‘educational’ system shape public opinion to regard the malaise of alienation as normal.

By contrast, published on the internet are currents of humane initiatives to abandon the competitive economy of contrived-scarcity in favor of small, semi-self-sufficient enclaves. (6)

The internet provides us with information about alternative exchange systems in progress. (7) …information about the nature and history of the central bank. (8)

Currently, many semi-self-sufficient collectives have side-stepped mass centrist society.  The challenge is how to coordinate those mutualistic groups into more populace communities without losing their dialogical organization.

The basis of authentic democracy is the face-to-face group of real dialogue among respective, mutualistic, semi-self-sufficient, family groups, which form the basis of community in decentralized economic social organization – with independence from the central bank.


The central bank is an automatic mechanism manned by uncritical dependents. The central bank is owned by unconscionable men obsessed with world domination. Proportional to the globalization of that power, citizens’ rights are diminished.

Existing democracies are dominated by the central bank’s debt-based system. The central bank is structured to consolidate its centers of economic control in order to ultimately establish an international, uniform, debt-based exchange system.  (9) Theoretically, people in existing democracies have the right, “…to form relatively independent associations or organizations, including independent political parties and interest groups” (10)

A requirement for effective social change is citizens’ maximum potential consciousness of the primary cause of societal disparity (11), coupled with the vision of what society ought to be.


The advantage of authentic democracy is that its organization does not include centralized power. Rather, the executive function of its civil and civic organization is shared equally by all of its members.

Each community is based on three spheres of organization, which are interconnected and interdependent.

The civil sphere is composed of respective groups, of three to five, semi-self-sufficient, mutualistic families. Each group is sovereign. Within each group, each nuclear family is secure in their privacy and property. (Privacy:  corporal, family, property, with protection from “prescription,” religious, commercial, and political) They comprise the smallest voting unit of their civic organization, the community coordinating committee, CCC.

The civic organization, the CCC, links the mutualistic community groups to the community cooperatives, the civic-economic component of community. Administrated by its mutual family groups, the CCC supervises and manages the community civic-economy, all community cooperatives.

The civic-economy provides the community members’ guaranteed minimum standard of service, GMSS, which provides all members with dignified, independent lives, which includes free capitalization for all members’ respective, private, productive endeavors.

The existential needs of all members of community are met through the structures of their community civil, civic, and civic-economic organizations.  Members are capitalized interest free by their mutual community bank.


Independent people, living a symbiotic relationship with nature are ingenious, adaptable, and original. They share their affinity for each other with the plants and animals they keep, and their ecological industry. Productive families share the goods of their work with their neighbors; their interpersonal relationships.

The semi-self-sufficient lifestyle is what the “executive groups” of community, the mutual family groups, accomplish. Two noteworthy factors: (i)  The self-directed work of independence engenders a generalized affection, (ii) people working-with-each-other-for-each-other creates efficiency with conviviality.

The individual, mutual family groups compose civil organization. With the use of their community coordinating committee, CCC, the mutual family groups become a self-articulated “grammatical” community; multiple mutual family groups engaged in structured dialogical, consensus-based community decision making processes.(12) Realizing their community coordinating committee, they have attained their community civic organization. The CCC receives its instructions from the mutual family groups through their structured communication format. (WHAT IS COMMUNITY? )

Community objectives may include the consolidation of some of their cottage industries in order to increase efficiency and to reduce production cost.  Even so, each mutual family group retains sufficient autonomous production to preserve its sovereignty. Sovereignty is concrete independence. The decentralization of power is extended as far as it is practical to do so.

Through their CCC, the community members supervise and manage their community Co-operatives.

Two types of community owned Co-operatives: (i) public productive enterprises, Pub. P. E., are businesses purchased by the community in order to generate conventional Federal Reserve Notes, FRN, for deposit in the mutual community bank, MCB, (ii) Core public productive enterprises, Core Pub. P. E., compose the production-based economy that provides community members with their guaranteed minimum standard of service, GMSS.

The purpose of purchasing public productive enterprises is to access capital, Federal Reserve Notes (not to the exclusion of other means), in order to create Core public productive enterprises. Core Pub. P. E. are the basis of community economic stability. Core Pub. P. E. provide gainful employment, and what they produce meets the existential needs of all community members.

The manner each community decides to deploy its Core public productive enterprises is discretionary. For example, a community may provide itself with a mobile water well drilling rig, or other means to create wells. The water Co-op may install independent water for each community dwelling and public facility.

Proportional to the stabilization of its Core public productive enterprises the need for public productive enterprises is diminished. The objective is independence from conventional Federal Reserve Notes.

Examples of Core Pub. P. E.

Mutual community bank, MCB, free capitalization for members with Federal Reserve Notes, and with autonomous community money, CAM

Community construction

Community water

Community renewable energy

Community food – harvest, processing, distribution, storage

Community appropriate industry, flexible, multi-factory (13)

Community educational organization, education through art (14)

Community health services

The guaranteed minimum standard of service, GMSS, includes the right to privacy, corporal, family, property, and protection from “prescription,” religious, commercial, and political

The community decides what they need for concrete independence.

Examples of permanent, semi-self-sufficient dwellings are provided by the Eco-Village movement.

(Click on: Combining the existing components of decentralization with DESO civil, civic, and civic-economic organization will bring real community into the light of day.

For people living in real community, the words of a contemporary, semi-self-sufficient farmer living in Alaska, while speaking to his children, would resonate with them: The hereafter means that you will be here after me. Learn from me now, how to live well in this world, and you will live well in the hereafter.

 Democratization of Money

By Reed Camacho Kinney

June, 10, 2013

Authentic democracy is contingent on emancipation from the debt-based exchange system.

Creating mutualistic, work-based money emancipates people from the central bank. Community autonomous money is work-based and functions in proportion to members’ productivity.

Duplicating itself is among the primary functions of real community. By doing so, it expands its decentralized infrastructures, which in turn, create an ever wider spectrum where community autonomous money can function. Independence is based on groups of people taking these matters into their own hands.

Dialogical consensus-based civil and civic community decision making processes, authentic democracy, functions in small populations, perhaps as many as fifteen hundred in a community, and more likely fewer. Sufficient diversity of private and public production among members establishes permanent, semi-self-sufficiency.  Community objectives include optimum public productivity with generous discretionary time for members. Members decide what size population they are amicable to.

Authentic democracy, its civil and civic spheres, is based on face-to-face accountability among one’s peers, combined with the wholesome relationships of community conviviality. Each community navigates emerging reality from the creative, critical thinking that dialogue generates. In order to preserve that authentic democracy based on self-managed mutualism, at some point, the growing community population must divide.

Each community anticipates creating its new, burgeoning community with member volunteers, and to finance its first cooperatives. The reduction in population from the “mother” community reinstates her efficient self-management. The new community project interests members on many levels, cultural and economic, with their eye on independence. The new community grows by admitting community selected families from mass centrist society.  It develops its concrete sovereignty with the support of its mother community. Concrete sovereignty is capitalized by each community with its respective mutual community bank – a public service. Multiple communities enable wider applications for their respective community currencies.

The GMSS establishes generalized security. Member participation in the community Core public productive enterprises earns generous compensation. And, each mutual family group is independent and enjoys their personal productivity.

Artists are attracted to the participatory, educational organization of Education through Art. Children are exposed to all the arts, and with community support each child is taught the skills for her chosen passions. Art is integrated with science. The educational organization is managed by all its personnel, and children – proportional to their capabilities. They develop mutualism and individuation while understanding that each is indispensable to the other.

All community cooperatives include an office of the community educational organization. Neophytes, young folks, enter the organization and are guided by their mentors who help them integrate among the skills and functions needed in that cooperative. By ages twelve through fifteen each young person may participate in any civil, civic, and civic-economic organizations at her discretion. Personnel learn to function in multiple departments at their discretion. Perhaps, those with the knack for accounting would be drawn to the mutual community bank.

Each sovereign community, at their discretion, may form inter-community coordinating committees, I-CCC, in order to carry out inter-community investments for larger projects that few could afford on their own. They pool resources. No I-CCC has executive power. They coordinate agreements among communities, not unlike the community coordinating committee and its groups of mutualistic families. And, once the project is realized, for example, an appropriate hydroelectric components factory, then the I-CCC is dissolved, and the new facility is managed from its respective communities. Each community defends its sovereignty, and its authentic democracy.

Authentic democracy expects that all of its members exercise their internal motivation for wholesome, individuated humane growth; happiness.  Authentic democracy is contingent on real community. Real community is based on concrete Independence – Sovereignty. Concrete independence requires mutualistic, economic productivity among members sufficient to meet their existential needs. Authentic mutualism, people working -with-each-other-for-each-other, requires authentic democracy.  The purpose of authentic mutualism is to actualize the individuation of all members. The individuation of all members is the basis of authentic democracy.

Explaining Community Endorsable Money, CEM

In this explanation I will only reiterate the logic of community endorsable money, CEM. The logic of community Vouchers, which are created from CEM reserves, is not elaborated here.

CEM is endorsable money. It is endorsed in series until the endorsement spaces are all filled. It serves the purpose of recording the number of exchanges it facilitates. The source of the CEM, “barter bills,” is the mutual community bank. The bills can be coded. Dated, member endorsements help prevent counterfeit.

CEM itself has no intrinsic value. It is a numerical measure of value that is taken from the first buyer by the first seller. The buyer’s written endorsement proves that the value of what was sold was worth, for example, ten units of exchange value. In actual fact, the seller gave his goods away. To compensate him, as all community members have agreed, he can exchange that endorsed bill for concrete goods or services from any member seller.

The reason community members will use their valueless money as the unit of exchange is that within its own economic context, it facilitates the exchanges of goods and services, and it automatically monitors the volume of production being exchanged.

CEM is returned to the mutual community bank after it has facilitated a number of trades. The last seller signs the space provided for the final seller, and brings the fully endorsed “barter bill” to the mutual community bank. He has given away, for example, his sweater in exchange for the final endorsement on that “barter bill,” and he cannot spend that used up CEM.

Not to explain Vouchers at the moment, we will say that the Mutual Community Bank has given him a fresh, new “barter bill” of equal numerical value, with all of its endorsement spaces empty, in exchange for the used one.

At the mutual community bank, returned CEM is granted an abstract economic value, because it has recorded the values of the trades it facilitated, as if the indirect barter it facilitated now validates its numerical value, a validation it did not have when it was issued.

That is basis enough, for the community to “authenticate” the numerical value of each “topped off ” barter bill returned to the bank, and transferring that value to a reserve account. That value is preserved and accumulated by the community, awarded for their productivity.

All the dated endorsements, the number of “turns,” CEM facilitated are recorded. The community knows what their trade volume is, and by knowing that, they can adjust the number of CEM in circulation to keep their economy solvent.

The volume of CEM is easily infused or reduced by various means. The system is flexible and open to the creativity of community members.

The Community Has Two Economies

1. The civic-economic sector of the economy is composed of all of the community cooperatives.

2. The private sector of the economy consists of all members’ private productive enterprises, which were financed freely by the community.

Community financed, private productivity is sold to members, in part, with community autonomous money, CAM – CEMs and Vouchers.

The proportion of CAM used for such purchases is contingent on the immediate needs of the seller. If the seller can use CAM to purchase what she needs from other community members’ goods and services, then, that is the proportion she will take in CAM. She will take only as many Federal Reserve Notes, FRN, as she needs to purchase outside DESO. Her clients that are not living in DESO will pay her with FRN.

Free capitalization covers the start-up costs of whatever individual members like to produce. Inner-community trade and production is stimulated. The objective is to create new communities to enable inter-community commerce of goods and services, as well as all the arts.


The DESO philosophy of education leads into the world-view of aesthetics, which become the primary reference point by which society patterns its relationships; ethics. There are no words in English to describe a culture oriented to the well being of all members. Perhaps it’s like a band, or orchestra seeking to perfect what meets people’s needs. In community, individuated members would naturally test their values with each other. The equilibrium between participatory, community mutualism and individuation would stimulate dynamic creativity among members.

Creative passion is given community support. There are many examples in mass centrist society of children who are provided the means to proficiency in art and science and become masterful. Community in DESO is designed to provide that needed support to all of its children; happiness, freedom, home. The conviviality of the educational organization leads children into the conviviality of their community culture, self-managed by individuated adults.

Essay Notes

1. Click on: Dialogue is the Basis of Community

2. Democratization Theory and Experience, by Laurence Whitehead, Oxford University Press Copyright Laurence Whitehead 2002, reprinted 2009, ISBN 978-0-19-925328-9, p. 270

3. Ibid, p. 10

4. Ibid, p. 117

“…there may be inadequate counterweights to the corrosive expansion of money power in the political process (Chapter 5); those charged with exercising monetary authority may do so without popular consent, or inadequate checks on their conduct (Chapter 6); citizen insecurity may sap public confidence in the democratic regime (Chapter 7).” Ibid, p. 269

(5) The Money Masters by Bill Still, parts one and two, is about four hours total. You may allot the time for it, relax, get comfortable, and learn what Mr. Still’s research tells us about the truth of our condition. It is a well made study, important and enriching. I think that you will enjoy it.

Click on:

Bill Still’s, The Secret of Oz – Winner, Best Documentary of 2010, is about two hours.

Click on:\

See: Aaron Russo’s Documentary ”America Freedom To Fascism”

Click 0n:

Was Aaron Russo Murdered?

6. Google – Low impact development:

Local Community self-reliance:

Federation of Egalitarian Communities:

Vinay Gupta, The Unplugged – A Speculative Fiction:

7.  Summit County Mountain Hours with Wayne Walton & Joby Weeks

Click on:

Thomas H. Greco, Jr., Reclaiming the Credit Commons Towards a Butterfly Society

Wealth inequality in America:

8. Ibid, content of Note # 4 above

9. Ibid, content of Note # 4 above

10. Democratization Theory and Experience, by Laurence Whitehead, Oxford University Press Copyright Laurence Whitehead 2002, reprinted 2009, ISBN 978-0-19-925328-9, p. 10

11. People must decentralize power to the maximum extent possible with the realization that effective, humane organization does not require centralized power.

12. Click on:  WHAT IS COMMUNITY?

13. Appropriate Industry, Marcin Jakubowski

Click on:

Click on:

14. Click on:  WHAT IS COMMUNITY?

See my blog. Click on:

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