A Controversial Proposal continues . .

With all of the economic activity described in my previous posting
now taking place, the banks see opportunity and on the basis of a
contract chain: utilites agreeing to pay for SPS construction, can
borrow or float bonds based on present tax reduction and accelerated
depreciation strategies, thus the risk is reduced for the
bondholder. The utilities pay the constructors, who in turn pay the
refiners, who in turn pay the miners. These contracts, can be used
as collateral for the mining companies to float their own bond
issues and also to increase the capitalization to prepare for
massive investment in moon infrastructure.

With these initiatives under way the new Solaran government can
issue bonds for hundreds of billions of dollars to fund the
development of a habitat for 250,000 to a million people. How will
they pay that money back and what would secure it you may ask. Well,
when your grandpa told you to invest in real estate because they
weren't making any more of it, well he was just plain wrong. That's
what we'd be doing. All of that real estate would be used to secure
the bonds. All of the companies that'll be making soap, t-shirts,
cooking oil, nail clippers, pens, sunglasses, etc will have to
locate somewhere and all of their employees will have to live
somewhere. The Solaran government will sell habitat land to all who
are interested and use the proceeds to repay the bonds. Besides
right now there are too many Wall Street financiers who are out of
work. Poor guys. They need to find new sources of income. I figure a
trillion or so dollars of new economic activity should help the poor
fellows. Heck, they might even be able to buy a few new suspenders
for their power suits. Wouldn't it be nice to be in an economic
uptrend again, especially one with substance, rather than one fueled
by the imaginary earnings of dot-coms?

Anyways, this new land that will hit the market in 20 years may have
some value today. A virtual land market can be established and
people can bid for the right to own a piece of property after we
build it. These rights can then be resold to other buyers. A virtual
property market can be established. For a while there will only be a
finite amount of habitat land. I'm sure specualtion will drive up
the price as more people warm to the idea of living in a habitat. I
mean when activitiy actually starts taking place out in orbit, when
it becomes more real to people, then they might start thinking to
themselves that they could actually be up there in a few years.
Maybe they'll start planning for their retirement, or buying some
land for their kids, rich people buying land for themselves, medical
facilities in the low gravity section could draw wealthy retirees.
Depending on the degree of pre-purchase we could significantly
decrease the amount of Solaran government borrowing.

The planners will come to our discussion group and read all of our
wonderful ideas, and realize that we've thought of, and answered all
of the issues that they're now facing. They'll read Xenophile2002's
reference to the skytran transportation issue, and Ryan Healey's
reference to Vanadium Redox for transportation, and they'll appear
like geniuses to their bosses with the quick and well thought out
responses to the issues that confront them :)

The call will go out for an automobile that relies on Vanadium
Redox. GM, Ford and DaimlerChrysler will proceed with their
research, if only as a means of reducing their taxes and, the hidden
benefit, of drawing talent to their companies or rewarding key
employees with exciting new development work.

The oil companies will be watching all of this societal
transformation taking place and scheming of ways to derail the whole
thing. But then some smart Vice-Presidents in the major oil
companies will realize that they're not in the oil industry, but in
the transportation industry. They unseat the CEOs, and take the
companies in a new direction. They'll push today for Vanadium Redox
to be introduced to their filling stations so that the new cars that
come out with Vanadium Redox system will have a place to fill up.
Now the Vanadium Redox will have to be recharged which will only put
a larger strain on the electrical supply system, and further drive
the need for electrical powerplant construction.

The ones who'll be really upset are the oil prodcucing countries.
But so many want to be rid of western influence, that now that
they're getting their wish, they may find it will be at a cost
that'll be difficult to bear. But this should increase the security
for the western nations because now we'll not have to worry about
the powderkeg that is the Middle East.

As the elctrical power from the SPS starts to come on-line, and to
the US primarily because it started the whole process, there will
start to be a transformation of American society. First the
powerplants, next the cars, next desalinization plants along the
coasts to provide water for the thristy cities of the desert, then
maybe an electrification of the roads? The result would be first, a
marked decrease in pollution, secondly a decrease in attacks against
America because the Great Satan wouldn't be as involved in the
Middle East, thirdly a massive investment in new plant and
infrastructure across America would result in increases in
productivity (we could even see a whole new interstate system to
take advantage of electric cars, or better yet, something like from
the movie "Minority Report," and when enough SPS's come on-line and
their per unit cost starts to drop because all of the orbital
infrastructure has now been fully amortized, then their would be a
decrease in electrical costs which would free up money for each
family to spend elsewhere.

Oh, the future is glorious, if only the President would read this
post and hire me to be his advisor :)))))