Based on the Writings of Gottfried Feder
“Breaking the Bondage of Interest. Restoring Economic Sovereignty.”
❓Q1: Who creates money in the NS economy?
A:
In the NS economic model, the state creates money, not private banks. Money is issued interest-free by state-controlled institutions for productive purposes—especially infrastructure, housing, agriculture, and job creation.
This eliminates the parasitic cycle of debt, speculation, and interest payments that enslave nations and workers alike.
❓Q2: How does money enter circulation?
A:
Money enters circulation through state-issued credit—not backed by gold or deposits—but by the productive value of the labor and goods it enables.
For example, when the state launches a public works project (like building homes or roads), it grants interest-free credit to contractors or firms. These businesses pay workers directly with that credit. The money then circulates through the economy as wages, payments, and purchases.
❓Q3: If there’s no gold backing, what gives the money value?
A:
Labor and productivity. Feder argued that work—not gold—creates value. A stable currency doesn’t depend on metal reserves but on the ability of a nation to produce, build, and sustain itself. Gold is a commodity, not a measure of value.
The real backing of money is the combined economic strength of the people: their labor, goods, skills, and infrastructure.
❓Q4: How does a business pay its workers?
A:
Businesses that contribute to the national economy (construction firms, farms, manufacturers) receive interest-free credit from the state’s economic banks. They then use this credit to pay wages, buy materials, and fund operations.
There’s no middleman bank extracting interest—just a direct link between national credit and national labor.
❓Q5: Won’t printing money cause inflation?
A:
No—not if credit creation is tied to production. Feder stressed that inflation only occurs when money is created without backing from real goods or labor. In the NS model, credit is issued only for productive ends, and it flows back to the state as goods are sold or projects are completed.
It’s a closed loop, not endless debt. When the job is done, the money naturally returns via tax revenues or price payments.
❓Q6: What happens to private banks?
A:
Private banks lose their power to create money out of nothing. They may continue to operate as service providers, but they will no longer control the lifeblood of the nation.
The power to issue currency belongs to the people’s state, not profit-driven institutions.
❓Q7: How does this help the working class?
A:
- Wages are secured through debt-free credit, not squeezed by debt cycles.
- The cost of living drops when interest is removed from housing, food, and goods.
- Job creation becomes a national mission—not a side effect of profit-making.
- Workers are no longer slaves to rent, interest, or inflation driven by international finance.
This system empowers the worker while still honoring the entrepreneur and craftsman—as long as their work serves the nation.
❓Q8: Is this communism?
A:
Absolutely not.
Feder’s system protects private property and entrepreneurship, but removes unearned income through interest and speculation. The state ensures that ownership is tied to labor, merit, and national service, not financial manipulation.
It is a third position—neither Marxist nor capitalist, but National Socialist: based on work, order, and service to the people.
❓Q9: What role does gold play?
A:
None. Feder demolishes the myth that gold is a stable “measure of value.” Gold is volatile, speculative, and controlled by global finance. Tying currency to gold causes artificial scarcity and benefits only hoarders and bankers.
NS money is backed by national productivity, not foreign metal.
❓Q10: How does this solve unemployment?
A:
Once freed from interest debt, the state can fund large-scale employment programs directly: roads, farms, housing, schools, energy. There is no need to wait for “private investment” to trickle down.
Every willing hand can be put to work, and every worker can be paid in money backed by the very value he produces.
❓Q11: Where does this model lead?
A:
To a nation that is:
- Free from foreign debt.
- Prosperous through labor.
- Rooted in ownership, not rent.
- Organically united—workers and producers under one economic will.
It leads to a sovereign, just, and productive economy—ruled not by gold, but by the will of the people.
❓Q12: How does a private factory that produces goods every day pay its workers in the Feder system?
A:
In the National Socialist economy, private businesses that engage in continuous production (like factories, farms, or workshops) do not rely on private bank loans or investor capital. Instead, they receive state-issued, interest-free credit based on their labor needs and output plans.This is how the system ensures that all productive work is funded, wages are paid on time, and inflation is avoided—without debt or financial speculation.
🏭 Here’s how it works for a factory:
- The business registers with its vocational group (Berufskammer)
It presents a production plan showing:- What it makes
- How many workers are employed
- What inputs (materials, machines, energy) are needed
- The state issues interest-free credit
Through a state-run economic bank, the business receives credit to:- Pay wages
- Purchase raw materials
- Maintain its operations
This is real money, issued directly based on anticipated production.
- The factory produces and sells goods
Workers are paid. Products are made. Goods are sold on the open market or to public buyers. - The business repays the credit
As revenue flows in from the sale of goods, the business reimburses the state bank, closing the credit cycle.
This keeps the economy balanced—money in equals goods out. - The cycle continues
As long as the business remains productive and needed, it receives ongoing access to rolling credit, keeping the workforce paid and the goods flowing.
✅ This means:
- Businesses don’t need to hoard cash or borrow from private banks
- Workers get paid in debt-free, value-backed money
- Production is guided by national needs, not speculative profits
- The state does not profit from interest—it simply circulates credit where it is needed most
🔁 Feder’s Factory Credit Cycle:
Stage | Action |
---|---|
1. Registration | Factory joins vocational chamber |
2. Credit Issued | State provides interest-free credit |
3. Labor Performed | Workers paid, goods produced |
4. Goods Sold | Revenue flows in |
5. Credit Repaid | Factory reimburses state bank |
6. Cycle Repeats (From Stage 2) | Ongoing funding based on need/output |
🛑 No interest. No debt slavery. No banker middlemen.
In Feder’s economy, labor and production are honored, not exploited.
The state becomes the servant of national productivity, ensuring that those who work are always paid, and those who produce are always supported.
This model works for factories, farms, construction firms, and any business that serves the people.
❓Q13: How does taxation work in the Feder system?
A:
In the Feder model, taxation is not a tool for funding government debt or enriching international financiers. The state creates interest-free credit to fund national projects and production. Taxes are used only to regulate the money supply—to remove excess currency after labor and production have occurred.This transforms taxation from a burden into a precision instrument of monetary stability.
❓Q14: Do businesses need to request money to pay wages?
A:
Yes—and this is where Feder’s model is revolutionary.
Businesses do not rely on private banks or debt-laden investors. Instead, they access interest-free credit from the state, tied directly to productive labor.
Here’s how it works in a streamlined credit cycle:
🔁 Feder’s National Credit Flow:
- A business proposes a productive activity
→ Example: Building homes, manufacturing tools, growing food - The state bank evaluates the plan
→ Confirms that the project serves the national economy
→ Approves a credit line based on labor and material needs - The business receives interest-free credit
→ Used to pay wages, buy raw materials, and cover operations - Workers are paid and spend their wages
→ Money circulates through the economy (groceries, housing, transportation) - The final product enters the market
→ Goods are sold, homes rented, services delivered - Money returns to the state
→ Via utility payments, modest taxes, service fees, and credit repayment - The credit is retired
→ Prevents inflation
→ Ensures money only exists while tied to real production
✅ Why this system works:
- No inflation spiral
- No interest debt
- No banker middlemen
- Just labor-backed currency that begins and ends with work
Businesses are not chasing loans—they are building value with national support.
The state enables work. The work justifies the money. The money fuels life.
❓Q15: How are goods like bread priced, and how do we ensure that wages from specific sectors are enough to afford essential needs like food, housing, transportation, and electricity?
A:
In the Feder system, prices and wages are not left to blind market forces or manipulated by private financiers. Instead, they are coordinated nationally through vocational chambers (Berufskammern) that ensure:
- Fair pricing of goods based on labor and input costs
- Sufficient wages across all productive sectors to afford a dignified, stable life
This guarantees that a construction worker, farmer, machinist, teacher, or train conductor all receive real purchasing power—without debt, inflation, or exploitation.
🧱 Step-by-Step: How Pricing and Wages Are Synchronized
1. Production Cost Determines the Price of Goods
Let’s take a loaf of bread:
- Cost of flour (from the farmer)
- Cost of milling (from the miller)
- Cost of labor (from the baker)
- Cost of delivery (from transport workers)
- Modest mark-up for reinvestment—not speculation
In this model, a loaf might cost $2.00. That price is not manipulated by market sharks or currency devaluation. It’s calculated based on real input.
2. Wages Are Calibrated to Match Life’s Essentials
Now, take a steelworker earning a weekly wage of $800. That wage is set through vocational planning based on:
- Productivity
- National need
- Living costs (food, rent, clothing, utilities, transportation)
This ensures that the steelworker can afford:
- 20 loaves of bread = $40
- Rent in a clean, state-supported home = $200/week
- Public transportation = $25/week
- Electricity, water, heat = $40/week
- Modest savings, insurance, or child needs = $100
- Remaining discretionary income = $395
This isn’t accidental—it’s planned. Wages and prices are tied together from the start, not left to chaotic markets.
3. Sector Parity Ensures All Labor Can Sustain Life
Each sector is reviewed regularly. For example:
Sector | Average Weekly Wage | Core Affordability Goal |
---|---|---|
Baker | $700 | Can afford the bread he bakes—and more |
Mechanic | $850 | Covers food, rent, savings |
Teacher | $750 | Supports children, books, housing |
Farmhand | $650 | Provided with food credits or housing aid |
Factory Worker | $800 | Can purchase the goods he produces |
If one sector falls behind in affordability, its wage scale is adjusted upward, or essential costs are reduced through subsidies or state ownership.
4. National Oversight Prevents Disparity or Crisis
The National Economic Council regularly reviews:
- Cost of living reports
- Wage scales across regions and sectors
- Resource availability (grain, energy, housing capacity)
- Inflation or supply shocks
This prevents the systemic rot we see in capitalist systems, where wages stagnate while prices rise—leaving the worker poor, despite working.
✅ In Practice: Real Examples
Example Worker | Sector | Monthly Pay | Able to Afford: |
---|---|---|---|
Wilhelm (Baker) | Food | $2,800 | Food, housing, energy, school supplies, transport |
Marta (Seamstress) | Clothing | $2,400 | Clothing, food, electricity, children’s care |
Ernst (Engineer) | Infrastructure | $3,400 | Mortgage-free home, car, savings |
Jakob (Farmer) | Agriculture | $2,600 | Food, fuel, family costs; receives seed subsidies |
No loans. No debt. No inflation. Just earned wages matching the real economy.
🛠 Summary:
- Goods are priced based on labor + real cost of production
- Wages are designed to ensure all workers can afford national essentials
- Sector wages are regularly balanced and corrected
- Public utilities, transport, and housing are subsidized or state-run to keep costs low
- Speculative pricing is eliminated—no more price gouging, hoarding, or rent traps
In this system, the nation becomes a single economic body, where every part works together—and no one is left behind.
❓Q16: How are goods and services priced in the Feder economic model?
A:
In the Feder system, prices are determined by the actual cost of production plus a modest, non-exploitative surplus. This pricing method is rooted in labor value, national planning, and the elimination of parasitic profit-seeking.
There is no market speculation, no stock-driven volatility, and no artificial inflation from middlemen. Every price reflects real work, real resources, and real national need.
🛠 Pricing Formula:
Cost of Goods/Service =
(Materials + Labor + Distribution + Equipment Wear)
➕ Modest Surplus for Reinvestment
Let’s break that down:
🥖 Example: How Bread is Priced
Component | Description | Cost |
---|---|---|
Wheat cost | Paid to farmer (seed, labor, harvest) | $0.40 |
Milling + packaging | Includes energy and labor at the mill | $0.30 |
Bakery operation | Labor, ovens, flour handling, cleaning | $0.60 |
Distribution | Fuel, truck maintenance, driver wage | $0.30 |
Fixed equipment costs | Oven wear, repair fund, baking tools | $0.20 |
Modest surplus | Saved for equipment upgrades or national fund | $0.20 |
Total Price | Cost of final product to public | $2.00 |
There is no price gouging, no stockbroker price spikes, and no layering of debt-financing. The price simply reflects the real social cost of producing bread and ensuring its continued production.
👩🏭 Services Follow the Same Logic
For example, a haircut:
- Labor time of the barber (1 hour)
- Electricity, water usage
- Tool wear (clippers, chairs)
- Shop rent (publicly regulated)
- Modest margin to cover improvements or training
Final price: set locally based on vocational chamber review, ensuring both fair pay for the worker and affordability for the customer.
🧱 What Keeps Prices Honest?
- Vocational Chambers (Berufskammern): These organize each profession—bakers, masons, tailors, etc.—and coordinate wages and fair prices under national guidelines
- State Audits: To prevent hoarding or abuse
- No Speculation: Prices are not allowed to float freely based on gambling, fear, or investor behavior
- No Interest Burden: Goods don’t carry hidden costs from loans or bank debt
- Local Input, National Oversight: Workers and producers help set pricing realities based on local costs
🚫 No More:
- Predatory markups
- Artificial scarcity
- Venture capitalist price control
- Supply-chain collapse pricing
- “What the market will bear” exploitation
✅ Summary:
Feature | Capitalist System | Feder System |
---|---|---|
Price set by | Speculation & profit | Labor + cost + modest surplus |
Adjusted by | Investor demand | Production need and availability |
Service value based on | What market pays | Time, skill, and public utility |
Exploitation factor | High (bankers, shareholders) | None (no parasitism allowed) |
Inflation risk | Constant | Minimal; drained through taxation and public spending |
In Feder’s economy, prices are honest, stable, and fair—reflecting what the American worker puts into the nation with his hands, not what a banker decides behind closed doors.
❓Q17: Are people allowed to save money if wages and prices are coordinated by guilds and vocational sectors?
A: Yes — absolutely. Saving is encouraged. But unlike under capitalism, saving is not a desperate hedge against inflation or unemployment.
Under the Feder-based economic model:
- Wages are planned, but only to ensure they reflect the value of labor across different sectors.
- Prices are coordinated, but only to guarantee affordability, availability, and national self-sufficiency.
These are not rigid, top-down commands. They are negotiated between guilds, workers, and state economic offices, rooted in real costs: materials, labor hours, transportation, living expenses and quality.
💰 So what does this mean for saving?
- ✅ Citizens are absolutely allowed to accumulate money from their wages.
- ✅ That money retains its value because inflation is eliminated.
- ✅ Your savings are not eroded by banker-driven currency manipulation.
- ✅ You’re not punished for being responsible or planning for your family.
And since money is not created by debt, there is no pressure to constantly spend or borrow to “stimulate the economy.”
🔁 Savings in a Stable Economy
In this model:
- You work → you get paid in currency backed by national labor.
- You spend some on goods, housing, and services.
- You save the rest — and it still buys the same value next year as it does today.
No inflation means true financial freedom.
No compound interest debts mean you’re never a slave to banks.
And because speculative hoarding is discouraged through taxation on idle large capital, the system naturally redirects wealth toward real, life-serving investment — like apprenticeships, homesteads, or family businesses.
✅ Summary:
In the National Socialist economy, saving is not only allowed — it is safe, stable, and life-affirming.
Your labor creates value. Your value is preserved. Your future is your own.
❓Q18: How much money should be in circulation in the Feder system?
A:
Feder’s core principle is simple:The amount of money in circulation must match the total value of available goods and services.
That means:
- If the nation can produce 1 million homes, 10 million tons of wheat, and 500 million hours of labor…
- Then only enough money should exist to enable the purchase and distribution of those real things.
There is no fixed amount of money. It is adjusted dynamically based on:
- ✅ Output
- ✅ Productivity
- ✅ Population
- ✅ Demand
Money should:
- Expand when productive capacity increases
- Contract when goods are consumed or services completed
Excess currency is removed through:
- Taxes on luxury or speculation
- Utility payments to state-run services
- Loan repayments or public service fees
In this system, money is not wealth—it is a tool of coordination between work and life.
❓Q19: Do businesses need to request money to pay wages?
A:
Yes—and this is where Feder’s model is revolutionary.
Businesses do not rely on private banks or debt-laden investors. Instead, they access interest-free credit from the state, tied directly to productive labor.
Here’s how it works in a streamlined credit cycle:
🔁 Feder’s National Credit Flow:
- A business proposes a productive activity
→ Example: Building homes, manufacturing tools, growing food - The state bank evaluates the plan
→ Confirms that the project serves the national economy
→ Approves a credit line based on labor and material needs - The business receives interest-free credit
→ Used to pay wages, buy raw materials, and cover operations - Workers are paid and spend their wages
→ Money circulates through the economy (groceries, housing, transportation) - The final product enters the market
→ Goods are sold, homes rented, services delivered - Money returns to the state
→ Via utility payments, modest consumption taxes, service fees, and credit repayment - The credit is retired
→ Prevents inflation
→ Ensures money only exists while tied to real production
✅ Why this system works:
- No inflation spiral
- No interest debt
- No banker middlemen
- Just labor-backed currency that begins and ends with work
Businesses are not chasing loans—they are building value with national support.
The state enables work. The work justifies the money. The money fuels life.
❓Q20: How are goods and services priced in the Feder economic model?
A:
In the Feder system, prices are determined by the actual cost of production plus a modest, non-exploitative surplus. This pricing method is rooted in labor value, national planning, and the elimination of parasitic profit-seeking.
There is no market speculation, no stock-driven volatility, and no artificial inflation from middlemen. Every price reflects real work, real resources, and real national need.
🛠 Pricing Formula:
Cost of Goods/Service =
(Materials + Labor + Distribution + Equipment Wear)
➕ Modest Surplus for Reinvestment
Let’s break that down:
🥖 Example: How Bread is Priced
Component | Description | Cost |
---|---|---|
Wheat cost | Paid to farmer (seed, labor, harvest) | $0.40 |
Milling + packaging | Includes energy and labor at the mill | $0.30 |
Bakery operation | Labor, ovens, flour handling, cleaning | $0.60 |
Distribution | Fuel, truck maintenance, driver wage | $0.30 |
Fixed equipment costs | Oven wear, repair fund, baking tools | $0.20 |
Modest surplus | Saved for equipment upgrades or national fund | $0.20 |
Total Price | Cost of final product to public | $2.00 |
There is no price gouging, no stockbroker price spikes, and no layering of debt-financing. The price simply reflects the real social cost of producing bread and ensuring its continued production.
👩🏭 Services Follow the Same Logic
For example, a haircut:
- Labor time of the barber (1 hour)
- Electricity, water usage
- Tool wear (clippers, chairs)
- Shop rent (publicly regulated)
- Modest margin to cover improvements or training
Final price: set locally based on vocational chamber review, ensuring both fair pay for the worker and affordability for the customer.
🧱 What Keeps Prices Honest?
- Vocational Chambers (Berufskammern): These organize each profession—bakers, masons, tailors, etc.—and coordinate wages and fair prices under national guidelines
- State Audits: To prevent hoarding or abuse
- No Speculation: Prices are not allowed to float freely based on gambling, fear, or investor behavior
- No Interest Burden: Goods don’t carry hidden costs from loans or bank debt
- Local Input, National Oversight: Workers and producers help set pricing realities based on local costs
🚫 No More:
- Predatory markups
- Artificial scarcity
- Venture capitalist price control
- Supply-chain collapse pricing
- “What the market will bear” exploitation
✅ Summary:
Feature | Capitalist System | Feder System |
---|---|---|
Price set by | Speculation & profit | Labor + cost + modest surplus |
Adjusted by | Investor demand | Production need and availability |
Service value based on | What market pays | Time, skill, and public utility |
Exploitation factor | High (bankers, shareholders) | None (no parasitism allowed) |
Inflation risk | Constant | Minimal; drained through taxation and public spending |
In Feder’s economy, prices are honest, stable, and fair—reflecting what the German worker puts into the nation with his hands, not what a banker decides behind closed doors.
❓Q21: How does the Feder-based economic system contrast with the current American economic system?
A:
The current American system is based on debt, speculation, and profit-seeking by a financial elite. It is a system where:
- Money is created as debt, by private banks
- The economy is driven by consumer credit, not productivity
- Workers are taxed to fund interest payments on loans the government didn’t need to take
- Speculators get rich, while families drown in inflation, rent hikes, and collapsing wages
In contrast, the Feder model is built on:
Labor, national interest, and productive purpose.
🔥 Side-by-Side Breakdown
Category | 🇺🇸 Current U.S. System | 🛠 Feder-Based NS System |
---|---|---|
Money Creation | Private banks issue debt with interest | The state issues interest-free credit |
Purpose of Credit | Speculation, consumption, bank profit | Productive labor, infrastructure, housing |
Who Owns the Banks | Private shareholders, global finance | The people, through the national state |
Debt | Perpetual and compounding | Eliminated for the worker and nation |
Worker’s Role | Wage slave for shareholders | Core value creator and national partner |
Taxation | Funds interest, bailouts, foreign wars | Regulates money supply, supports public need |
Ownership Model | Corporate, centralized, global | National, organic, and locally rooted |
Housing & Utilities | Privately speculated and inflated | State-owned or cooperatively managed |
Economic Security | None—job loss, bankruptcy, eviction | Guaranteed through national planning |
🧨 What the U.S. Calls “Free Market” is Actually:
- A casino controlled by Wall Street
- A rigged game where the working man loses and financiers win
- Debt slavery where the only way to survive is to borrow—and then pay interest for life
- Corporate monopolies buying up land, homes, medicine, and even food
✅ What the Feder System Offers:
- Stable prices based on real labor and cost
- Wages that match the cost of living
- Housing you can afford without a mortgage trap
- No student loans, medical bankruptcies, or credit card bondage
- State utilities that return money to the people—not shareholders
In the U.S., money serves banks.
In our system, money serves the worker.
In the U.S., production serves Wall Street.
In our system, production serves the Volk.
🧠 Summary:
System Goal | U.S. Model | NS Feder System |
---|---|---|
Maximize Profit | For elites and shareholders | For national development |
Control Over Money | Private bankers | The sovereign state |
Worker’s Condition | Indebted, replaceable | Honored, empowered |
National Direction | Globalist chaos | Life-affirming national order |
We don’t reject markets. We reject financial enslavement.
We don’t reject enterprise. We reject parasitism.
❓Q22: What would the transition to the Feder economic system look like? Can it be implemented without panic—and how does it gain support?
A:
Yes, the transition can be managed strategically, gradually, and without chaos, provided it is led by a disciplined political movement that prepares the groundwork.
This is not a reckless overnight revolution. It is a deliberate, phased return to economic sanity and sovereignty.
🧱 STEP-BY-STEP TRANSITION STRATEGY
🔹 1. Establish Public Understanding and Ideological Clarity
- Launch a mass education campaign exposing how the current system exploits the people through:
- Debt
- Rent traps
- Inflation
- Medical bankruptcy
- Housing speculation
- Teach the core principles of the Feder system:
- Labor-backed money
- Interest-free credit
- National ownership of banks and infrastructure
- Productive credit issuance for housing, farming, transport
📢 “We don’t need to burn the system down—we just need to stop feeding the parasite.”
🔹 2. Create State-Controlled Pilot Programs
Start small, to show proof of concept:
- A state-owned bank issuing interest-free loans for:
- Housing development
- Small-scale farming
- Infrastructure repair
- National or state-run utility programs where revenues go back to the people (not investors)
These will outperform private alternatives, building trust and momentum.
🔹 3. Nationalize the Central Bank and Major Commercial Banks
- Revoke the power of private banks to create money through debt.
- Transfer all credit-creation power to a People’s Credit Authority, accountable to the national interest.
- Guarantee the savings and checking accounts of citizens to prevent panic.
This step must be fast, firm, and backed by legal authority.
🔹 4. Cancel Odious Debt
- Begin by wiping out student loans, credit card usury, and unpayable mortgage interest.
- Homeowners keep their homes. Farmers keep their land.
- No compensation to speculators, hedge funds, or foreign financiers.
This will be met with elite outrage—but public jubilation.
🔹 5. Reissue National Currency
- Detach from the Federal Reserve dollar and create a new labor-backed sovereign currency, issued by the state.
- Peg the money supply to national production capacity.
- Offer 1:1 exchanges for wages and necessities—no one loses their paycheck or savings in the transition.
All essential goods remain stable or decrease in price due to removal of interest and middleman profit.
✅ PREVENTING PANIC
Fear comes from uncertainty. To prevent panic:
- Ensure continuous access to food, power, and housing during the transition.
- Freeze rents and home foreclosures.
- Broadcast clear, daily updates on what’s changing and what isn’t.
- Maintain police and military discipline to protect the working population from destabilization by outside forces or finance-driven sabotage.
🤝 HOW DOES THIS GAIN SUPPORT?
Simple: The people already know the current system is failing. They feel it every time they:
- Swipe a card and sink deeper into debt
- Get gouged at the grocery store
- Watch landlords raise rent without limit
- Pay taxes just to see bailouts handed to billionaires
Support comes from:
- Veterans who want sovereignty
- Workers who want stability
- Families who want homes
- Youth who want a future without debt
- Elders who want dignity and security
💡 The Message:
“You worked for it. You built it. You should own it.
The NSAP will give it back to you.”No inflation. No interest. No more tribute to financial parasites.
❓Q23: How does international trade work under the Feder economic model, if our currency never leaves the country?
A:
In a Feder-based National Socialist economy, foreign trade is conducted through barter-style, bilateral agreements—not through speculative foreign exchange markets or gold payments.
The internal currency (backed by national labor and productivity) does not circulate internationally, but that does not prevent trade. Instead, trade is handled through state-directed, product-for-product or credit-balanced exchanges, based on national need and strategic benefit.
🔁 HOW IT WORKS:
- Foreign buyers place orders for goods produced in the NS economy (e.g. machines, chemicals, food surplus).
- The state evaluates the trade offer and agrees only if it benefits the nation.
- In return, the foreign nation delivers:
- Raw materials (e.g. iron ore, oil, rubber)
- Energy resources
- Essential imports the nation cannot yet produce
- The trade is settled product-for-product, or using controlled trade credits—not foreign currency.
⚙️ EXAMPLE: Trade with South America
- 🇩🇪 Germany agrees to send 500 tractors and industrial tools
- 🇧🇷 Brazil agrees to deliver 50,000 tons of rubber and coffee
- The exchange is balanced through state accounting, not speculative pricing
- No Deutsche Marks or Dollars are exchanged. Just real value.
🚫 NO TO THIS:
- ❌ No floating exchange rates
- ❌ No foreign debt repayment in gold
- ❌ No speculation on currency values
- ❌ No vulnerability to Wall Street or IMF currency attacks
✅ YES TO THIS:
- ✅ State-managed, interest-free foreign trade
- ✅ Bilateral value-matching agreements
- ✅ Strategic resource imports and targeted exports
- ✅ Full retention of internal currency sovereignty
💡 But what if a country demands “hard currency”?
Then we don’t trade. Simple.
We will never again sell the soul of the nation for access to globalist markets.
Instead, we:
- Build self-sufficiency
- Form alliances with like-minded trade partners
- Use raw materials and productive labor to barter for what we need
This gives us economic independence and diplomatic leverage without ever surrendering monetary control.
📦 Summary:
Capitalist Trade | NS Feder Trade |
---|---|
Based on foreign currency, interest, and speculation | Based on real goods and strategic need |
Vulnerable to currency wars, IMF blackmail, inflation | Immune to currency manipulation |
Controlled by corporations, banks, trade blocs | Controlled by the nation-state |
Seeks profit for exporters | Seeks value for the Volk |
Traded with anyone, even enemies | Trades only with nations of mutual benefit |
❓Q24: What methods are used to remove excess currency?
Feder proposed a multi-pronged approach, combining targeted taxation with state-operated revenue cycles:
🔹 1. Sales Tax on Luxury and Non-Essential Goods
- Targets non-productive consumption and high-income excess.
- Does not apply to essentials like food, rent, or work tools.
- Helps reduce inflation pressure caused by excess purchasing power.
🔹 2. Profit Taxes on Speculative or Unproductive Gains
- Applied to profits not tied to labor, including:
- Stock gambling
- Real estate flipping
- Middleman finance schemes
- Prevents money from being hoarded or misused in financial parasitism.
🔹 3. Resource-Use or Extraction Taxes
- Applied when natural resources (land, fuel, minerals, water) are exploited for private gain.
- Reflects the principle that the Earth is the property of the nation, not of capital.
🔹 4. Minimal Transaction Fees
- Tiny levies on large-scale financial or capital movements, not daily trade.
- Used to slow speculative currency velocity without harming productive exchange.
🔹 5. State-Owned Utilities and Infrastructure Fees ✅ New Addition
- In a Feder-based system, essential services like electricity, water, and transport are nationalized.
- When citizens pay utility bills, fares, or service fees, that money:
- Flows back to the state
- Is removed from circulation
- Helps fund maintenance without private profit extraction
- This creates a natural and automatic sink for currency, tied directly to real usage—not tax enforcement.
These services don’t exist to profit—but to serve the people and keep the economic bloodstream clean.
❓Q25:🧾 What taxes are abolished or reduced?
Taxes Eliminated Under the Feder System
(🚫 = abolished because the underlying practice is outlawed — “A” • 🔁 = replaced by cost-price public service or resource-use fee — “B”)
- 🚫 No income tax on wages from productive labor — workers keep every dollar they earn.
- 🔁 No property tax on your family home — perpetual county “rent” disappears; local costs fold into low-cost utilities.
- 🚫 No inheritance / estate tax — family wealth passes intact to the next generation.
- 🔁 No sales tax on essentials — food, medicine, children’s clothing, and rent are never revenue sources.
- 🔁 No payroll / FICA deductions — Social-Security & Medicare funded directly from state credit, not sliced from paychecks.
- 🔁 No utility surcharges on basic water, heat, electricity — state-run services bill at true cost, nothing more.
- 🚫 No capital-gains or “windfall” tax on stock trades — stock speculation is illegal; productive reinvestment isn’t taxed.
- 🚫 No hidden “interest-repayment” taxes — interest slavery is gone, so the tributes vanish.
- 🚫 No taxes to fund banker bailouts, NGOs, or globalist tribute — public revenue serves the Volk, not parasites.
- 🚫 No federal corporate income tax — firms operate at cost + 5 % reinvest surplus; paper profits disappear.
- 🔁 No patchwork federal excise taxes on phones, air travel, tires, etc. — invented to service debt; scrapped once interest slavery ends.
- 🔁 No gasoline & diesel road taxes at the pump — replaced by a transparent upstream resource-use fee paid at the refinery.
- 🔁 No obscure “sin” excises (tanning beds, cable TV, vaping, etc.) — either folded into the luxury-goods sales tax or eliminated.
- 🚫 No tax on interest income & bond coupons — interest-bearing paper is outlawed, so the tax disappears with it.
- 🔁 No mortgage-recording or title-transfer surcharges — land remains national property; lifetime use rights replace bank mortgages.
Bottom line: once debt interest, Wall-Street speculation, and private-bank money printing are outlawed, America’s tax code shrinks from 70,000 + pages to a handful of clear, corrective levies targeting only luxury consumption, non-essential consumption, raw-material extraction, and oversized capital transfers. Wages stay whole, prices stay honest, and paperwork disappears.
🎯 Purpose of Taxation in This System:
- Drain excess currency only after value has been produced
- Preserve price stability without inflation
- Prevent hoarding, speculation, and parasitism
- Encourage national investment and useful spending
- Fund shared needs like infrastructure and essential services through state ownership, not profit extraction
✅ Summary:
Purpose | Tool Used | Burden Target |
---|---|---|
Currency regulation | Luxury sales tax | Wealthy consumers |
Speculation deterrent | Profit tax | Non-producers |
Resource justice | Extraction/land use tax | Private profiteers |
Currency velocity | Micro transaction fees | Large capital flows |
Infrastructure revenue | State-owned utility/service payments | Fair user contribution |
❓Q26: How does a guild operate, set prices, and accept new members?
A:
A guild ( Berufsstand ) is the basic “economic parliament” for each trade—bakers, steelmakers, truck drivers, teachers, etc. It unites workers, foremen, technicians, and proprietors of that craft into one corporative body. The guild replaces both adversarial unions and profit-fixated trade associations.
🛠 1. Structure: From Shop Floor to National Board
Level | Who Sits | Main Tasks |
---|---|---|
Shop Council | All employees + owner/manager | Elects delegates; files weekly cost & wage data |
Local Guild Board | Delegates from 8 – 12 shops | Verifies cost sheets; settles grievances; forwards data |
District Guild Assembly | Boards of a county/metro area | Consolidates prices, wages, quotas |
National Guild Chamber | Elected reps ( ½ workers : ½ owners ) | Final vote on reference wage & price, 5-year plan; liaises with National Economic Council |
State observers (non-voting) sit at every level to ensure transparency and parity.
📊 2. How Prices & Wages Are Set
- True-Cost Reporting
– Each shop’s weekly ledger lists:
materials + labor hours + energy + transport + upkeep - Cost Averaging
– Local Boards average costs; outliers are inspected (inefficiency or cheating). - Benchmarked Basket
– National chamber checks whether the average worker in that trade can buy the Standard Living Basket (food, rent, utilities, transit) with ≤ 85 % of net wage. - Decision Vote
– If basket share > 85 %, wages rise or a cost input gets a state subsidy until balance is restored.
– Votes require ⅔ majority of worker delegates and ⅔ of owner delegates—ensuring consensus. - Publication
– Final reference price/wage tables are posted nationwide; retail may deviate ±3 % for distance/quality.
(Example: National Baker Guild 2025 — reference loaf $1.70, guild wage $22/hr.)
🔑 3. Joining a Guild
For a Worker
- Show craft certificate or 1-year trainee log.
- Pay one-time registry fee (covers ID card, record archive).
- Take guild oath: “I serve quality, honesty, and the Volk before profit.”
- Gain voting rights in shop council after 6 months of good standing.
For a Business / Master Craftsman
- Submit cost-sheet template for audit.
- Agree to guild quality code & 5 % reinvest-surplus cap.
- Provide training slots for apprentices (ratio set by guild).
- Owner receives equal vote weight to one elected worker in local board.
⚖️ 4. Conflict & Discipline
- Wage or safety complaints → Shop Council → Local Board → Guild Arbitration Court → State Labor Tribunal (rare).
- Price cheating or hoarding → Immediate audit; fines up to revocation of license.
- Political sabotage (e.g., refusing national directives) → Guild expulsion & state takeover of facility.
🌱 5. Why It Works
- Shared table, not class war—both sides must reach ⅔ consensus.
- Cost transparency—no hidden “overhead” or loan interest.
- State observer guarantees national, not sectional, interest.
- Automatic upward wage adjustment keeps every trade’s purchasing power intact.
- Open doors—any competent worker or honest owner can join and get full voice.
“The guild is the workshop of justice: where labor and leadership meet, and the nation prospers.”
“Money, in its original meaning and invention, is a claim on performed labor—nothing more! With the concept of interest, money has been turned into an earthly God.”
— Gottfried Feder, Kampf gegen die Hochfinanz
❓Q27: 🔧 HOW IS LABOR VALUED?
Feder’s Answer: Function, Productivity, and National Value
❓Q28: WHO DECIDES THE VALUE OF LABOR?
Answer: Labor value is determined not by supply and demand, nor by union agitation or capitalist exploitation, but by a nationally coordinated corporatist structure of producers, workers, and state representatives. (Guilds)
This is done through the Central Council of the Economy (Zentralwirtschaftsrat), a vocational-based chamber composed of:
- Representatives of each professional group (e.g., agriculture, construction, textiles)
- One employer and one employee delegate per group
- Overseen and regulated by the National Socialist state
Their task is to:
- Determine wage scales per sector
- Align wages with national priorities
- Ensure balance between worker needs and national output
This isn’t free-market wage fluctuation or class warfare bargaining—this is state-guided economic justice rooted in labor’s contribution to the Volksgemeinschaft (national community).
❓Q29: HOW IS LABOR “BACKING” THE CURRENCY?
Answer: Feder’s key insight: money represents a claim on labor and production, not a piece of gold or a speculative investment.
So when the state issues money—say, for a housing project—it is doing so based on a calculation of labor and material required to complete it. This means:
- Money is created to pay the workers, suppliers, and engineers involved.
- The completed project (e.g., houses) is now real wealth backing the money that was spent.
- That money then circulates among the population as wages and consumption—tied directly to real goods.
No interest. No fictitious capital. Just a closed economic loop of work ↔ goods ↔ money.
❓Q30: HOW ARE WAGES PAID?
Answer: Wages are paid from state-issued, interest-free credit granted to productive businesses.
Example:
- A builder receives a contract to construct homes.
- He applies for credit from a state economic bank (Aufbau- oder Wirtschaftsbank).
- He receives book money for wages and materials.
- Workers are paid in cash or book money, which they then spend in the economy.
- As goods are produced and sold, the money is recovered by the state through low taxes, service payments, or loan repayment.
Thus, the money never outruns its purpose—it is matched to productive capacity.
❓Q321:IS THERE A STANDARD “HOURLY WAGE”?
Answer: No fixed universal rate—but labor time is valued based on function, skill, and national importance.
Each profession or trade is organized into a guild-like system, where wage standards are:
- Based on productivity per hour (e.g., bricklayers vs. engineers)
- Adjusted for training, responsibility, and contribution to national need
- Balanced to ensure a dignified living, not exploitation or luxury
The state ensures that wages are enough to sustain a family, build savings, and participate in the economy, without excesses that lead to class divisions or waste.
❓Q32: WHAT PREVENTS ABUSE OR UNDERPAYMENT?
Answer: The state and vocational chambers have full oversight. Key safeguards include:
- No private banking leverage over wages (no interest debt, no Wall Street pressure)
- No exploitative wage competition across industries—standards are set nationally
- Dispute resolution within each vocational group before state arbitrators
- Productivity-linked bonuses or incentives based on over-fulfillment of work targets
This creates a moral economy, where value comes from work—not manipulation.
❓Q33: WHAT IS THE FINAL GOAL?
To create an economy where:
- Money represents completed or expected labor
- Labor is dignified and rewarded
- The state balances consumption, production, and wages
- Everyone contributes according to ability and receives according to function
In Feder’s words, this is an economy that “frees labor from bondage” and replaces the tyranny of money with the leadership of value-creating work.
🔥 Common Fears & Misconceptions About the Feder Economic Model (with Responses)
❌ FEAR 1: “It kills innovation! Without profit incentives or competition, people won’t innovate.”
RESPONSE:
- Innovation under capitalism is not driven by virtue, but often by greed, patent hoarding, and monopolization.
- In the Feder system, invention is honored nationally. Inventors and creators are rewarded directly by the state and community—not by exploiting consumers or gatekeeping knowledge.
- Technological advances still happen—but their purpose is life-affirming: to better society, reduce labor time, and elevate the worker, not just to maximize shareholder dividends.
- Competition still exists—between guilds, regions, and producers—but it’s directed toward excellence and service, not undercutting wages or exploiting foreign labor.
📌 “We reward creators with honor, not usury. Invention becomes a national service—not a stock market game.”
❌ FEAR 2: “You’re destroying the free market! That’s the best economic system!”
RESPONSE:
- What they call a “free market” is an illusion—in reality, modern markets are manipulated by banks, lobbyists, monopolies, and foreign interests.
- Feder’s system doesn’t abolish enterprise, it abolishes parasitism. You can still:
- Start a workshop or business
- Sell your goods
- Earn wealth through honest labor
- But you can’t:
- Earn through speculation
- Extract interest from others’ suffering
- Corner markets to destroy competitors
📌 “Our market is free from exploitation—not free to exploit.”
❌ FEAR 3: “Who decides the wages? Isn’t that centralized control?”
RESPONSE:
- Wages are determined not by the state alone, but by vocational chambers—organizations of workers and producers within each trade.
- These chambers propose fair wages based on:
- Cost of living
- Sector productivity
- National priorities
- It’s organic self-governance, not top-down bureaucracy.
📌 “The workers of each field help set the standards of their own labor’s worth. That’s real democracy.”
❌ FEAR 4: “If profits are limited, what motivates success?”
RESPONSE:
- In Feder’s system, success is measured in:
- Service to the people
- Mastery of craft
- Contribution to the Volk
- High-performing businesses and individuals are honored, expanded, and entrusted with greater responsibility—not through stock bonuses, but public recognition and growth opportunities.
- The greedy hoarder is disgraced, the noble producer is celebrated.
📌 “Honor replaces greed. Purpose replaces profit.”
❌ FEAR 5: “How do you know what to produce if you don’t use prices as signals?”
RESPONSE:
- Prices still exist—but they are stable, transparent, and linked to labor and material input.
- The National Economic Council and regional planning boards monitor:
- Resource flows
- Production capacity
- Consumption demand
- Adjustments are made intelligently, not chaotically by stock market whims.
📌 “We replace gambling with guidance. Planned economy does not mean rigid—it means responsible.”
❌ FEAR 6: “This sounds like communism.”
RESPONSE:
- Communism abolishes private property. Feder’s model protects it—but with purpose.
- Communism centralizes everything. Feder’s system is decentralized through vocational guilds and regional councils.
- Communism sees man as an economic cog. We see man as a cultural and spiritual being whose work serves his people, not an abstract world proletariat.
- And unlike capitalism or communism, the Nation is the center—not class warfare or global capital.
📌 “We are not capitalist. We are not communist. We are National Socialist. And we serve the people—not profit, not party elites, and not foreign banks.”
NSAP ECONOMIC GLOSSARY
Key Terms from Feder’s Economic Doctrine
🔹 Interest Slavery (Zinsknechtschaft)
The condition where individuals, businesses, and nations are forced to pay perpetual tribute to financial elites simply for using money. Feder’s central enemy. It is the root of all economic exploitation and must be abolished.
🔹 Productive Credit
State-issued, interest-free money created specifically to fund work that results in tangible goods or services—such as building homes, growing food, or constructing infrastructure. This is healthy credit that benefits the people.
🔹 Unproductive Credit
Credit issued for speculation, consumption, or financial manipulation. This includes stock gambling, usurious loans, or foreign tribute payments. Such credit produces nothing and drains the economy. It is banned in the NS economy.
🔹 Book Money (Buchgeld)
Money issued electronically or on paper without physical coins or backing in gold. In Feder’s system, book money is valid and sufficient as long as it circulates to fund real labor and production.
🔹 Labor-Backed Money
Money that derives its value not from precious metals, but from the real economic output of the people—their work, skills, and creations. This is the only legitimate basis for money in a National Socialist economy.
🔹 Corporative Economic Structure (Berufsständische Ordnung)
A system where employers, workers, and state representatives in each trade or profession cooperate to set wages, conditions, and production targets. Replaces both capitalist exploitation and Marxist class struggle.
🔹 Nationalization of Credit
The full transfer of power to issue money from private banks to the sovereign state. Under this model, banks no longer control credit or interest, and can only function as administrative service institutions.
🔹 Rentenmark Example
A historical case Feder cited to show that money does not need gold backing. The Rentenmark stabilized Germany in 1923 without a gram of gold, proving that trust and labor—not metal—back money’s value.
🔹 High Finance (Hochfinanz)
An international class of loan capitalists, bankers, and speculators who enslave nations through interest, debt, and market manipulation. Feder calls for the complete dismantling of their power.
🔹 Volksgemeinschaft (People’s Community)
The unified organic body of the nation. In economics, it means no group—capital or labor—exploits another, and all work together under state-guided cooperation for the common good.
🔹 Interest-Free Money (Zinsfreies Geld)
Currency that is issued without requiring repayment with interest. It is not free in value, but free from parasitism. It returns to the state via productive work, taxation, or goods/services—not compound debt.
🔹 Closed Credit Loop
A system where credit enters the economy to fund work, circulates through wages and production, and then returns to the state as completed value. Prevents inflation and ensures all money serves life and labor.
🔹 Speculation
The act of profiting from artificial price movements without producing real value—common in stock trading, futures markets, and currency manipulation. It is outlawed in the NS economy.
🔹 Economic Sovereignty
A nation’s full control over its currency, credit, production, and trade, free from foreign influence or debt bondage. Feder’s system demands total national independence from global finance.
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