My Monetary System Concept

My conceptual monetary system structure is based on the establishment of money as object with  uniquely serialized value of one dollar that always knows its relationship to a  current owner identified by an owner account managed by a bank.  The unit dollar is not held by or managed by the bank, only the customer account that has information on the the gross number of dollars in the account.  The actual dollars that the account relates to exist is in a central digital monetary repository managed by an independent Monetary Authority.  It is "cash in the vault".  Where all the digital cash of the entire country is in a single digital vault.  The total of all dollars in the Monetary Authority repository vault always equals the total dollar amount of all monetary accounts managed by banks.

Total digital cash of the entire country in a digital vault is in a vault that has a door that never opens because the cash in it does not move.  Accounts related to the cash in the vault have transaction driven accounting balance balance changes but the cash itself is a static entity relating to accounting.

Money transactions involve changes involve changing the relationship of current owner of each unit dollar in Monetary Authority repository to a new owner of each dollar in response to the customer account balance managed by the bank.

It would seem that this essentially is the concept expressed at this link:

"Under the Positive Money version, for example, a person’s current account will constitute a legal claim on a fund held at the Bank of England, say, for the purpose of settling payments, and a payment by that person will consist of the transfer of that claim to the payment recipient via a payments systems operated, as at present, by that person’s bank.  The Bank of England fund will contain one pound for every pound that is entitled to be spent, whether or not the entitled owner intends to spend it now, sometime, or never.  There will be no daily scramble, as at present, to ensure that banks have sufficient funds available for spending to settle the amounts that customers wish to spend.  Every customer has their own fund from which their spending is financed. The banks operate therefore only as agents of their customers in administering the accounts and the payments system.
In short, the primary responsibility of banks will no longer be to ensure that they have sufficient liquidity to settle customers’ payments, but to persuade customers, who in the near future do not intend to make all of the payments to which they are entitled, to make their unused money available for lending to others instead."

Joseph Huber says at this link, page 52:

"The compulsory identification of money and debt just creates banking-doctrinal confusion. It confuses the instrument with the object, i.e. it erroneously identifies the unit of account with what is accounted or measured, and confuses the means of payment with what has to be paid." 

Absolutely my thinking!  The unit of account is different than what is accounted for.  The unit of account is in the domain of one principal managing agency.  The account to which it relates is in the domain of a different managing agency.

Further more, Joseph Huber says at the same link:

"To currency teachings, the false identity of money and credit is the very root cause of the system’s dysfunctions. Accordingly, the most fundamental component of any currency teaching is to separate the control of the money supply from the use of that money in banking and finance.36"

Oh Joy, maybe I am not crazy after all.

I thought that MMT embodied many of my concepts about money.  It does as Huber explains but New Theory Currency school of thinking embodies so much more.

The home for MMT is New Economic Perspectives. although many others discuss general money matters there.  My favorite is Bill Black.

The home for NTC appears to be Positive Money