I frequently find myself thinking about our economy.

How can we overcome our challenges and turn our current dead end road into an economic superhighway? Is there a way to reduce taxes, while increasing investments in education, health care and and retirement, while reducing our national debt to zero all at the same time? Einstein’s Lost Secret may provide the solution for this seemingly outrageous proposition.

When it comes to economics I deeply appreciate most aspects of Adam Smith’s basic premise in  “The Wealth Of Nations” . The idea that the sum of individuals pursuing their self-interest would result in greater progress for the collective is still undisputed.

If he would write his book in this decade he might describe his process as economic crowd sourcing. The sum of individual (small) pieces of information can,  when aggregated,  exceed any information produced by a group of experts ( wikipedia vs. encyclopedia).  This Wisdom of the crowds when fed back into the system (e.g.: as an algorithm) has produced stunning economic growth a la google.

This “invisible hand” as described by Adam Smith is the sum of our individual efforts and is just as he predicted perfectly capable of correcting the markets if need be. The only downside of this approach is, that we may not appreciate the brute ferocity with which the markets will correct themselves. We are currently on a trajectory that provides us with 2 opposite prospects: extreme progress or … the opposite. It will be the choices we make in the next few years that will define our destiny.

So what can we do that we haven’t done before?

The options currently under review regarding our economic recovery are quite basic: increase revenues (taxes) or reduce expenses. However none of these 2 options will be welcomed with open arms among those who pay the price for them. We want our parents or grandparents to be able to enjoy their retirement. We want our loved ones to have adequate health care. We want our children to have proper education. We don’t want to drive on desolate roads.  And we want to leave as much capital as possible on the table owned and managed by individuals instead of governments.

How can Einstein’s Lost Secret Help?

Einsteins full equation is

E = mc2+pc

This is very different from the popular short version of the equation that doesn’t include the PC. What is so dramatically different about the full equation is that even if there is absolutely no mass, there can be still energy (see Janet Conrad- Experimental Physicist).  P stands for momentum. Momentum is a vector and has a specific direction. Direction means information. This means that information can be directly converted into energy. And energy can be converted into money. Thus information can be directly converted into money.

Isn’t this already being done through maximizing productivity and efficiency?

NOT REALLY! Yes thinking of ways to do things better thus increasing productivity is a first step in the right direction. But I propose to take this concept much further. We actually need to start thinking of information as an energy source. When we open our mind to this idea, we won’t be confined in our search for solutions in one specific area.

Since 1870 our U.S. economy accomplished an average annual productivity growth of a bit more than 2%. I believe that once we start treating information in the same way as energy or capital, we will dramatically increase our Information energy production and will very quickly solve our economic problems.

One of my current projects is to conceptualize a  “Conceptual Energy Plant” which creates energy out of pure information. More about that later.

What are the simple and fast takeaways of a +PC mindset?

Education! Education! Education! We are still looking at the education of children as an expense. I believe that education is an investment with a 12 to 14 year fixed term. Our economic output in 2006 was 7 times larger than our 1946 output during  Harry Truman’s presidency. But the weight of the materials required for the 2006 output was almost the same as for the 1946 output. This means that most of our economic growth reflects the evolution of our ideas. We have created information technology now we actually have to evolve to an information society.


Einstein’s forgotten secret is the least published portion of the most published equation in human history. +pc  Energy = momentum which means Energy can be converted directly into information and vice versa. By applying this knowledge to all aspects of our lives we will create a productivity surge that has never been seen in human history. This productivity surge can allow us to eliminate our national debt without dramatic tax increases and without cutting important government programs.