Revenues of the newly established U.S. Treasury Department will be determined and allocated for the extinguishing of the amount of assumed public debt, possibly in relation to NAWAPA XXI. While Glass-Steagall is being implemented, simultaneous estimates can be made as to the future revenue flows which will be available to the government with a full use of both the explicit and the implied powers of Congress. This would set a precedent for the linking of credit creation and the organization of the enocomy, and insightful use of Article I, Section 8 of the Constitution relative to today's needs.
By a completed study outlined in Section I, Part 1 of the NAWAPA XXI Report, in determining the actual capacity of the current U.S. manufacturing, transportation systems, as well as the complete needs of NAWAPA XXI itself, the regulations necessary to achieve the bill of materials will be determined.
The regulations will create possible revenue flows to be tied to the extinguishing of the new credit created, or old debts outstanding, which will involve channeling the resources of the nation, including: (1) import tariffs on manufacturing necessary to promote the development of domestic steel industries, power generators, pump facilities, pressure vessel construction, heavy industrial equipment and other needs; (2) revenues from treaty agreements for technology transfer; (3) internal excise taxes, associated with manufacturing; (4) other internal revenue which would promote manufacturing for the project; (5) taxes on speculative processes.
NAWAPA XXI will consist largely of long-term investments; however, these will generate a degree of economic activity in the present, which will create more active wealth in anticipation of the future wealth in our present circumstances. Taxable income from the indirect increases in land values, newly operating businesses, and millions of newly employed workers will be substantial. It will also result in direct tax income to the various governments involved, from secondary uses of water and power, as well as increased land values, increased tax base through national park and reservoir recreation, and other direct and indirect benefits.
NAWAPA XXI will also free up currently strained capacity, both in infrastructure allocations in the form of Treasury commitments which have been sunk, by staving off attrition, and by creating new infrastructure to remove the cost of repairing, or replacing older infrastructure. New flood and drought control systems will also prevent additional damage that occurs ‘naturally’.
Once the revenue generated by NAWAPA XXI is determined, these streams could be tied to the creation of credit by the Treasury, and loaned by the credit fund to be established, and tied to the portion of the current debt which is estimated to be fungible in relation to the new revenue flows.
With the federal funding of NAWAPA XXI, the future creation of the new wealth will be pre-allocated at the beginning of the arrangement, under the terms of the bonds issued for its construction. The issuing of new debt upon the old one is to be recommended in such a way that the terms and contracting of it are made to publicly demonstrate to all potential investors in the U.S. the direct connection, that will be brought into being, between the new regimen of regulated revenue flows, defined by the revenue sources and the lifespan of the project, and the wealth which it will bring to the country.
This will tie the extinguishing of the newly assumed and created debt to the wealth creation and revenue streams. In this way, these will no longer be seen as monetary debts, but be linked to, and defined by a policy of increasing productivity.
Arranging for the funding of the debt will establish the added soundness of the credit fund. The Treasury may, according to the needs of the fund, allocate specific revenues to provide for additional issuance of currency to the fund to pay the interest on the bonds which may make up its capital stock.
If the credit fund is established as a national bank with the ability of being a depository for the Treasury, and the ability to issue bonds on the credit of the U.S. to private investors, further arrangements could be made such that loans authorized by Congress for multiple projects will cause various categories of debt to increase in value.
NAWAPA XXI will not be able to build enough wealth in order to make fungible the entire valid claims of U.S. domestic and foreign debt; however, it will return the proper tools by which government extinguishes debt by building wealth, not begging for it.