market economy. Instead, it adds interest (as distinct from administration charge) and directs the newly-created loan money at rising asset prices, derivatives, consumer credit and, in particular, at putting the whole world into debt. In particular, the system does not direct money at the development and spreading of productive (and associated consuming) capacity so as to give all individuals (including babies and retirees) an independent income. Moreover, it has no mechanism for ensuring economic security, education, health and the degree of economic status for women which are essential for voluntary population control. Lastly, it has no mechanism for interest-free public capital projects (e.g., sewage, bridge); for environmental capital projects (e.g., mangrove-crested barrages); and for clean electricity generation (e.g., tidal lagoons) so as to create them at half the usual cost. Fortunately, binary economics has now developed so as to provide a gentle but powerful correction for the global financial system while, at the same time, promoting economic efficiency and justice and creating the circumstances in which environmental catastrophe can be avoided. At its core the binary proposal has an interest-free loan supply for all binary purposes but still allows the banks to lend their own money and, with permission, that of depositors as long as the banks do not create new money. The binary breakthrough is the understanding that, where productive, environmental, public and new technological capacity is concerned, interest is not necessary and thus the usual cost can be halved. Only binary economics proposes this. Please see http://www.binaryeconomics.net/ and http://knol.google.com/k/rodney-shakespeare/binary-economics/i2b1ciidsw5u/2#

Describe the current stage of your initiative and your implementation plan over the next three years

Binary economics originated with The Capitalist Manifesto (Kelso & Adler, 1958) and many people are familiar with the Employee Share Ownership Plan (although today’s ESOPs are not the true binary ESOP which uses interest-free loans rather than workers’ savings and has full payout of earnings).

Because it is based upon a new paradigm spreading the message is not easy and binary progress is dependent upon the efforts of volunteers. In the USA, the Center for Economic and Social Justice makes commendable effort (see www.cesj.org and www.globaljusticemovement.org) and Harold Channer has made twenty five or so one hour programs for Manhattan Neighborhood Network (the New York public access television station). In London, the Global Table promotes binary economics and has a website and discussion list at www.globaljusticemovement.net.

As yet, there is only one academic post − the writer of this submission is Visiting Professor of Binary Economics at Trisakti University (the founding place of the Indonesian reformasi revolution) in Jakarta. As finance allows, he also attends international conferences, particularly in Islam, in order to promote binary economics.

Binary economists believe that, despite the problems of people coming to understand a new paradigm, the present global economic, financial and environmental crisis is opportune for binary economics to be advanced with great potential for success.

Obvious uses for Prize money include the promotion of binary economics by international conferences in the USA, UK and elsewhere; attendance at other conferences; and the payment of expenses to ensure the effective presentation of submissions to government. There is also a need for a new book to take account of the present global crisis and its consequences.

Describe how your strategy meets the entry criteria ("What We're Looking For")

Binary economics comprehensively addresses all aspects of economies while providing the factors to tackle environmental problems. Thus, by ensuring that all people have a secure income and health, binary economics encourages stabilization of population levels and reduction of consumption.

Binary economics is feasible − the money is created out of nothing (as today) but directed instead, interest-free, to the right purposes. It is also verifiable (being judged on its practical results), and is replicable (there is virtually no limit to its use).

In particular, binary economics is a trimtab whose time has come. It is small, easily inserted into the failing global financial system and largely unseen, yet, because of its ability to magnify the use of (interest-free) money to act on physical reality, is capable of hugely affecting the economy, society and environment to achieve an equitable and sustainable future.

Describe the qualifications and experience of you and/or your team and your ability to execute your implementation plan

The London Global Table is penurious but does have considerable contacts in the UK. Through its association with Trisakti, it would be able to organize conferences in several countries including Malaysia and, through other contacts, probably in New Zealand.

The Economics Department of Trisakti University in Jakarta has an excellent record in organizing large conferences (usually focusing on the real economy) and has the university contacts to arrange conferences in other countries including Bangladesh and Canada. At this moment the Indonesian Ministry of Education is considering a major proposal by Trisakti for the teaching of binary economics.

The Center for Economic and Social Justice in Washington DC has people with substantial organizational and governmental experience and includes political representatives. It has held successful conferences although, of necessity, they have been relatively small.