Thank you for the email invitation. Your appreciation of my public service reinforces my vigor for such service.
I have been working since the market crash of 1987 (when I was at NYU) on avoiding new financial disasters like the Great Recession of 2008.
My first research on optimal bank foreclosure rule (so that the FDIC could no longer foreclose banks on an ad hoc basis), while I was still at NYU, was enacted by the Congress in FDICIA-1991.
I knew first hand at a meeting with top bank executives in 1994, when I was an economist at the Federal Reserve, that the optimal bank foreclosure rule enacted in FDICIA-1991 was being transgressed through the bank holding company structure. [See pro-prosperity.com/research.] I had protested against this violation, despite the anger of the executives present in the meeting.
I chose to leave the Fed in 1995 to communicate my research findings directly with the Congress.
Since joining the UIC in 1995, I have been working on a new economic paradigm to prevent continual usurpation of hard earned wealth of households and firms - who persevere to produce globally competitive goods and services to prop the prosperity and security of the nation - by a few privileged indolent firms, based on unconstitutional Acts they passed through the Congress.
In a general equilibrium math model, articulated in plain English, I have been able to prove inefficiency and unconstitutionality of the Federal Reserve Act of 1913 and of the FDIC itself. I have also written how these acts must be amended to comply with the constitution and to avert continual depressions.
This research with a title, "An Economic Theory of Constitutional Governance," available at pro-prosperity.com/Research/moralhazardliberty.pdf, proves axiomatically, robustly and unambiguously that the Federal Reserve Act of
1913 and the Federal Deposit Insurance Corporation included in the Glass Steagall Act of 1933 are both inefficient and unconstitutional.
This research also shows that the prevalent economic paradigm is prone to cause continual depressions and is schizophrenic (irrational).
More usefully, my research derives a constitutional economic paradigm to formulate and enact government policies (including the amendments of the Federal Reserve Act and FDIC) so that the capital earned by firms and households - who persevere and produce - is not destroyed by a few indolent schemers whose shenanigans and fortunes, ironically, depend on the former.
This research - widely circulated among government officials, members of Congress and President - must have frightened the profession of finance and economics including perhaps the academy, judging by the dogged and deliberate efforts to block its publicity among the public.
But the anger mounting from the left, right and center will lead to an implementation of the findings of the truth, discovered through selfless research to fulfill the common longing of people who have absolute power in a democracy.
Please feel free to circulate this paper
(pro-prosperity.com/Research/moralhazardliberty.pdf) written very rigorously, but in very plain English that can be understood by non-economists. A reading of the introduction and "practical implications of propositions" within the paper will obviate a need for comprehending the general equilibrium math model meant for the academic audience.
I am very occupied for reforming the intellectual thinking/philosophy and, so, participating in message boards may not serve the best public interest. I remain dedicated to fulfilling the common longing of people, which will obviously be fastened if this research is circulated widely.
You can post this email on any message board you want and circulate the paper everywhere.
With all my best,
Professor Sankarshan Acharya
University of Illinois at Chicago