Tranzition's policiesThe goal of Tranzition is to eliminate the hardships and slavery imposed by the current monetary system while transitioning to a completely moneyless future.
To do this, the core policies that Tranzition will be founded on are aimed at bringing about a fairer, more balanced and equal society.
However, none of these changes will be possible without our Transaction Tax policy. It is our main initial focus because it will bring the funding needed to implement the other policies.
INEQUALITY AND POVERTY
It's mostly the gap between rich and poor that people refer to when mentioning inequality and poverty, and it's that gap that Tranzition's policies target.
- Our Transaction Tax policy brings equality by taxing everyone exactly the same through the transactions they make rather than the amount they earn.
- Our Universal Basic Income policy brings equality by paying each person a fixed amount that is unconditional.
- Our Regional Fund policy brings equality by eliminating all local council rates, fees and levies.
- Our Wages and Jobs policy brings equality by recognising the fact that everyone's hour is the same length and the all jobs within society are of equal worth and value.
- Our Housing and Land policy brings equality by gifting land to first home builders and reimbursing current land owners the value of their land.
In general, people want or need to feel as if they are of equal value and worth as other people within society, so we need to make meaningful changes that bring about more equality.
We need to rid ourselves of the 'I am better than you' and 'I have more than you' mentalities and replace them with thoughts of caring and sharing.
The changes we need to make are big, bold, radical ones, not the little tweaking and tinkering that traditionally occurs when a new government takes office.
It's time for some REAL changes.
It's time for Tranzition.
Tranzition proposes to replace all other taxes, rates and levies, with a tax on all transactions going through the Exchange Settlement Account System (ESAS).
The Reserve Bank of New Zealand says on page 52 of its 2015 report that "typically $25 billion or more" is transacted through ESAS every day. Let's say it's $20 billion every working day (250 days). A tax on those transactions could provide enough revenue to fund all government expenses and then some. How much revenue we gather would depend on the percentage amount we decide upon.
3% = $150 billion
4% = $200 billion
5% = $250 billion
6% = $300 billion
The current government's revenue for 2014/15 was $72.2 billion. “Total core Crown revenue for the 2014/15 year was $72.2 billion. Tax revenue is the major source of core Crown revenue; this totalled $66.6 billion in the 2014/15 financial year.”
Tranzition proposes that the first years transaction tax be set at the 6% level to allow for the total national debt to be paid. It would then be reduced to 3% where it would remain until any future development required it to be raised.
While we remain in a monetary system, this would be a very fair method of taxation that would catch every transaction, even the huge multi-national corporate and banking ones that are most likely the main contributors to that total.
Why do we need such a high tax revenue?
In short, to bring about a society that is more equal, fair and balanced.
Tranzition's aim is “to make changes within our current society that eliminate the hardships imposed by the current monetary system and look after the wellbeing of the people, while transitioning to a moneyless future.”
The national debt as at this writing is about $114 billion, but is fluctuating up and down all the time. With an initial $300 billion in revenue, the total national debt can be totally paid off. Once that debt is paid, the transaction tax would be reduced as mentioned above.
One of the changes we propose is a Universal Basic Income (UBI) to be paid to all citizens that will cost anywhere from $70 billion to $142 billion a year to finance, depending on the level of UBI. We have used the lesser amount in our financial forecast. (see Universal Basic Income policy)
Another proposal is an annual regional fund payment to each regional council that will cost about $8.5 billion. (see Regional Fund policy)
Those, along with other proposals and the funding of existing 'Crown Expenses' at higher levels, will require a higher tax revenue than that currently achieved. A transaction tax maintained at 3% once national debt is gone would provide enough revenue to cover it all and enable us to remove all other taxes, rates and levies while having heaps left for other stuff.
With this tax system, all sectors of society are taxed exactly the same. Tranzition seeks fairness in our society. If we strive to be as fair as we can be, then separation, division and animosity will be lessened.
This proposed tax system is just one step in the journey towards a balanced, fair and equal society, where the gap between rich and poor is reduced and where people eventually no longer see the need for a monetary system at all.
Reserve Bank Report - http://www.rbnz.govt.nz/-/media/ReserveBank/Files/Publications/Annual%20Reports/ar-2015.pdf
Working Days - http://newzealand.workingdays.org/
Crown Revenue - http://www.treasury.govt.nz/government/revenue
National Debt Clock - http://www.nationaldebtclocks.org/debtclock/newzealand (you might need to click the 'Convert to NZD' button)
UNIVERSAL BASIC INCOME
Tranzition proposes the introduction of a three-level Universal Basic Income (UBI) to be payed to every New Zealand citizen. A UBI is unconditional and is also often referred to as an Unconditional Basic Income.
- $100/week for people from birth to working age* (deposited into a locked nest-egg account until working age is reached, then unlocked)
- $300/week for people from working age to retirement age**
- $500/week for people from retirement age onwards
The answer is... with a transaction tax that will replace all other current taxes, fees and levies, and result in an estimated $150 billion per year in revenue. (see our Transaction Tax policy)
The following examples are based on the above mentioned tax revenue and use population figures by age (2018 5th percentile) from Statistics New Zealand... http://nzdotstat.stats.govt.nz/wbos/Index.aspx?DataSetCode=TABLECODE7514#
*Working age set at 15 years old for this example
**Retirement age set at 65 years old for this example
(*Working age set at 15 years old for this example)
(**Retirement age set at 55 years old for this example)
Another version of the UBI (Example 3) would only have two levels.
- $100/week for people from birth to working age* (deposited into a locked nest-egg account until working age is reached, then unlocked)
- $700/week for people from working age onwards
*Working age set at 15 years old for this example
Retirement age irrelevant as all people 15 years and over would get the same.
Tranzition suggests starting the UBI off using example 1 where the retirement age remains at 65 years old. The decision to reduce the retirement age would be made via public vote at a later date, as would the decision to have a higher two-level UBI as in Example 3, which would require a transaction tax at a higher level.
Examples 1 and 2 have working age people receiving $300 per week and assumes most people would want to work to increase their income. However, if a person is unable to work due to illness or disability and the UBI is not enough for them, there would be an additional 'disability income' available. This would most likely be set at $200 per week to match the $500 of the level 3 UBI and is not factored into the above examples.
The advantages of a UBI:
The bureaucratic 'red tape' that comes with current social welfare payments will no longer be needed.
Stress, depression, anxiety and other mental illness associated with the current social welfare system will be eliminated. The stigma thats attached to the current welfare system will go because all people will be in receipt of a UBI.
While still within an enslaving monetary system, people will have the means with which to have their basic needs met, and therefore be happier, healthier and more active members of society.
People currently working excessive hours can cut them back if they want to and those without work can take on those hours if they require the extra income. There will always be someone that wants to have more money than the UBI provides, and therefore seek a job. However, if the UBI is adequate for someone and they don't want to work, so be it.
With $150 billion dollars of tax revenue from a 3% transaction tax (see our Transaction Tax policy), Tranzition proposes the introduction of a regional fund that would be allocated to each region / council.
Here are three possible options of allocating the regional fund:
- A simple flat rate of $2,000 or $2,500 per head of population.
- Add a percentage value to the operating revenue of the previous year.
- A combination of 1 and 2 where a percentage is added to the previous years revenue plus $500 per head of population.
Example for option 1: Shows 2015 operating revenue*, 2018 population projection**, and the regional fund based on $2,500 per head of population. (Note: the Chatham Islands would require a higher amount to equal their 2015 operating revenue.)
Example for option 2: Shows the 2015 operating revenue* with 3% added over three subsequent years starting at 2018.
Example for option 3: Shows 2015 Operating Revenue* plus 1%, plus $500 per head of population**.
The regional fund would be enough to eliminate the need for rates, fees and levies in each region and would provide all the finances needed for the construction and maintenance of infrastructure within each regional community, such as roads, schools, medical centers, play grounds etc..
Whatever allocation method is chosen, the fund would ensure each council is financed sufficiently.
For our financial forecast, we've used our option 2 and rounded up to $8.5 billion for simplicity.
* Operating Revenue from http://www.localcouncils.govt.nz/
** Population from http://nzdotstat.stats.govt.nz/wbos
WAGES AND JOBS
Tranzition accepts that living within a society that's controlled by a monetary system requires that people have a source of income. This system is imposed on us and in order to survive, we need money. To help eliminate some of the hardships created by lack of money, Tranzition proposes a Universal Basic Income (see our Universal Basic Income policy) to supplement any money earned.
Traditionally, the way to get an income is through working in a job or business where you are paid wages for the hours you work... the money is 'compensation' for the hours you put in. It's an unfair way of being compensated because people are paid different amounts but everyones 'hour' is exactly the same length.
Different amounts are also paid because some jobs are seen as being of 'more value' than others, or that 'more skill' is required to do them. Put another way, some jobs are seen as having lesser worth and importance therefore don't deserve a higher wage. As an example, carers are amongst the lowest paid people in our society and yet they do a job that is one of, if not the, most important. This is an unfair situation as all jobs have an equal part to play in keeping our society going, like links in a chain.
Tranzition feels we should try to minimise wage inequality as much as possible. To do this, we need to...
- Acknowledge that peoples jobs are all of equal worth and importance within society.
- Acknowledge that everyone's 'hour' is exactly the same length.
- Set a minimum wage (e.g. $15/hour)
- Introduce a maximum wage (e.g. $60/hour)
- Establish a system where everyone's starting wage is exactly the same (e.g. $15/hour), no matter what the job, and increases yearly by an agreed upon amount to the maximum wage limit. (e.g. at $1/year it would take 46 years to go from a $15 minimum to a $60 maximum)
The amounts above are just examples and would be arrived at via vote.
This proposal decreases the gap between highest and lowest wages while still allowing for wage increases as a person gains experience and expertise in their chosen job.
Tranzition advocates a change to a 4 hour working day, which is a logical step to take with technological unemployment becoming more and more widespread.
Technological unemployment is when technology / automation / mechanization increases productivity to the point where many people lose their jobs as less people are needed to operate the technology.
The obvious solution to widespread unemployment is to 'job share'. When technology increases productivity, instead of an employee working the same 8 hours and producing twice as much, the employee can reduce their hours to 4 and another person can do the other 4.
The original employee is producing the same (or more) so their wage can remain the same. The new employee will now have 4 hours of work and have more purchasing power. The employers profits will increase because now there is more people in the community with paid employment and the ability to buy the products produced.
Technological unemployment will, eventually, bring an end to the monetary system. In the future, money will no longer be needed and we'll WANT as much technology as possible. Every task that can be automated will be, resulting in even more people being free to share the jobs that CAN'T be automated. Potentially, people might only need to work for 5 or 6 hours a week... maybe less.
But while still in a monetary system, PEOPLE need the jobs because they NEED money to survive. The majority of people don't WANT money, they NEED it to live within the enslaving society we (humans) have created for ourselves. This is why Tranzition proposes a Universal Basic Income (UBI) to give people the money needed to survive. It's up to the individual to decide if they want a job to earn extra money so they can thrive.
Tranzition hopes that the financial, social and political systems we put in place will help to free people from the hardships imposed by the current system and bring about a fairer, more balanced and equal society.
HOUSING AND LAND
Tranzition seeks to help people achieve the stability and security that comes with having a place to call home and the ability to put down roots and become a part of their community. The current model of home ownership is unsustainable into the future and therefore needs serious reform.
Having decent, warm houses for people to feel safe and secure is important for the wellbeing of all within society, especially children and elderly.
To encourage the construction of new homes in regional New Zealand, we will allocate up to $1 billion per year for the purchase of sections which will be gifted to first home builders.
This land will not be 'owned' by the first home builder but they and their family will have the 'occupation rights in perpetuity' until they sell or otherwise dispose of the house to a new occupier. Any future sale would only consider the house value and not include the land value. It could be seen as a long lease but with no financial outlay. Occupiers would have all the same legal rights as any current land 'owner'.
In order to keep to Tranzition's ideals of fairness and equality, current land owners would be offered a payment equal to the last GV of their land. This offer would include the same 'occupation rights in perpetuity' as given the first home builders previously mentioned.
In addition, the government will build homes which will be rented out at affordable (non-profit) rates. An example might be $50/week base price (living, kitchen, laundry and bathroom, etc.) plus $50/week for each bedroom making a 3 bedroom house $200/week in total. All these houses will meet a standard that ensures a comfortable, warm, healthy and safe environment and will be the same price no matter where in New Zealand they are.
Tenants of the government built homes will be offered the opportunity to buy the house at any time. The rent paid by the tenants will be deposited into an account to be put towards the purchase if they choose to accept the offer. No deposit would be required. They would then have the same 'occupation rights in perpetuity' of the land as mentioned above.
Taking these steps means that eventually land in New Zealand will not be 'owned' by anyone but instead be shared by occupiers.
Private landlords will be required to ensure all rental properties are of the same or better standard of those rented out by the government and priced no higher than government price plus 50%.
Foreign buyers will only be allowed to build new houses.
Tranzition will encourage off grid housing with less need for infrastructure so that homes can be built more quickly anywhere. We'll also encourage alternative building techniques and make it easier for self builders to build the homes they want.
Local council bureaucracy is at the heart of our housing issues. Therefore the consenting process will undergo serious reform to enable all construction projects to get underway as quickly as possible.
Tranzition suggests we completely overhaul our current government / political system so that those in 'government' truly are in service to, and working on behalf of, the people.
- Politics: the activities associated with the governance of a country or area, especially the debate between parties having power.
- Government: the action or manner of controlling or regulating a nation, organization, or people.
- Demos = People
- Kratos = Power
In an effort to give people the ability to have a more direct say in the governance of New Zealand, Tranzition proposes a system be put in place using multiple communication methods allowing citizen input to arrive at decisions in a fair and balanced manner.
This 'direct democracy' system will be like an ongoing referendum process to arrive at the decisions that need to be made with all outcomes being binding and final.
It's our view that party politics should eventually give way to a new form of societal decision making giving people the ability to have a more direct say in the governance of New Zealand.
The idea is to introduce an open, direct democracy within a non-party system. Submissions would be taken from all people via all communication methods. They would then be discussed openly in all media formats so that decisions can be arrived at confidently through a voting process achieved via all possible formats. 75% (or more) agreement from all eligible voters would be needed to pass anything being voted on.
Parliament would become the place where the policies, laws, rules etc. are written and then distributed to the population for discussion and debate. The 'MPs' will be the administrators that produce the information in a non-biased way. An example of one outlet for this information would be via Parliament TV, which currently only airs live broadcasts when the house is sitting but is broadcasting a signal 24/7. This resource ought to be taken full advantage of.
As far as the election process is concerned, one option might be a system where two representatives, one male and one female, are elected into service from nominations within each electorate. This would bring fair representation from both genders but would result in 142 elected MPs with our current electorates. We usually have 120 so boundary changes would be needed to remain at that level or lower.
An alternative would be to remove electorates and instead have regional representatives with a minimum of 3 per region and an additional 2 for every 100,000 per capita population or part there-of over 100,000. This would result in 122 seats at current population levels, all elected. Numbers of representative could be altered up or down as determined by the people. Or perhaps simply 6 per region giving us 96 MPs.
Whatever the choice is, the time is right for a political change. At the very least, MPs should be paid less (minimum wage as per our Wages and Jobs policy) and there should be less of them.
It's time for Tranzition.
Tranzition sees education as being at the core of co-creating a sustainable future where we can thrive and survive.
All education from preschool to tertiary will be fully funded. This funding will allocated fairly and equally on a per student basis to all public schools. There will be no funding provided to private schools.
Tranzition will aim to reduce class sizes so that teacher – student interaction is maximised. This will require the active encouragement of new teachers.
Other teaching methods will be actively sought and implemented if thought to be beneficial. For example, one such method might be minimally invasive education using the 'hole in the wall'* model.
All current student loan debt will be wiped. (see Clean Slate policy)
Because it's recognised that people take on training when embarking on a career choice, this training will be deemed as being a part of their career path and seen as work. Therefore, tertiary students will be paid a 'study wage' equal to the minimum wage. The budget for this is estimated at $6.8 billion.
The 'study wage' will be an additional fund on top of the basic education budget which will be increased to $16 billion.
The good health of all New Zealanders is paramount and sufficient funding will be provided to all hospitals and medical centers.
The health budget will increase to $20 billion.
Tranzition will bring the so called 'alternative' therapies and medications into the mainstream through education.
Healthy eating and living will be encouraged though education programs such as cooking home grown foods. This will be done in schools as well as in the community through the 'Grow New Zealand' scheme.
We will decriminalise cannabis and start education programs on the overall benefits of the cannabis plant, not just as it relates to health.
Health is a huge topic and of utmost importance. We encourage people to voice their concerns and submit ideas so that meaningful changes can be implemented for the good health of all.
Tranzition intends to transform our energy system by shifting to clean, renewable energy sources such as wind, solar, geothermal, tidal etc..
One way of doing this is to ensure that every roof on every house or building is covered with solar panels and grid tied so that energy can be shared by all. Having said that, Tranzition will encourage off grid housing with less need for infrastructure so that homes can be built more quickly anywhere.
We'll encourage inventors to 'rediscover' free energy. Free energy is an example of technology that has been invented by numerous people over the years only to be 'silenced' by energy companies because there is no profit to be gained from free energy. However, free energy is something that a government should be actively seeking for the good of its people... if it's possible, let's use it.
For Tranzition, it's people before profit. We feel that it's the responsibility of the government to encourage systems that help the people as opposed to helping power companies improve their profits.
Whether or not we can support a larger population is a rather divisive issue. It's clear that with an estimated $150 billion in revenue (see our Transaction Tax policy), a larger population is affordable financially. However, it's also clear that many of our current population would prefer a cap put on the levels of immigrants and refugees coming to New Zealand.
With Tranzition's tax and other policies in place, numbers of immigrants and refugees can increase if agreed to by New Zealand citizens. We suggest that the refugee quota be doubled initially and any further increases be made by citizen agreement.
ROADING AND TRANSPORT
Local roads will be funded by regional councils using Tranzition's 'Regional Fund', while state highways will be government funded.
Railways will be improved and freight moved off roads and onto trains as much as possible minimising the deterioration of roads from oversized trucks.
Tranzition suggests a new transport network be developed using an emerging technology called Evacuated Tube Transport Technology (ET3) at an estimated cost of $10 billion.
*“Car sized passenger capsules travel in 1.5m (5') diameter tubes on frictionless maglev. Air is permanently removed from the two-way tubes that are built along a travel route. Airlocks at stations allow transfer of capsules without admitting air. Linear electric motors accelerate the capsules, which then coast through the vacuum for the remainder of the trip using no additional power. Most of the energy is regenerated as the capsules slow down. ET3 can provide 50 times more transportation per kWh than electric cars or trains”
Tranzition believes that our current debt-based monetary system is at fault for the poor state of our current society. As such, we propose that all student loan, tax and benefit related debt will be wiped. Future government loans will be interest free and private lending interest rates will be strictly governed.
New Zealand's national debt is about $114 billion as at this writing which puts every New Zealand citizen in debt to the tune of about $25,000. This debt has interest added of about $5 billion per year, or $169 per second. These figures are fluctuating up and down all the time so you might like to visit the National Debt Clock* for the latest figures...
*http://www.nationaldebtclocks.org/debtclock/newzealand (you might need to click the 'Convert to NZD' button)
After Tranzition is elected into service and the government's revenue is increased with a transaction tax, the national debt can be payed off. We propose that the first years transaction tax be set at 6% to allow for the total national debt to be paid, while also implementing our other policies. We would then reduce the transaction tax to 3%.
Tranzition proposes that we nurture local communities and foster sharing and caring within them through the creation of smaller 'villages' where people can re-connect to the land and people. Communities created under the 'Grow New Zealand' scheme will be encouraged.
This proposal is currently being developed.
GROW NEW ZEALAND
Grow New Zealand is a scheme proposed by Tranzition where communities are encouraged to create gardens that feed them nutritionally as well as spiritually. They will be mentored by people who share the vision and have the knowledge to teach those that wish to learn.
This proposal is currently being developed.