4 ms·
Hmm.. I wonder why we have problems. Well, maybe it's because we're taking half the money and giving it to the billionaire class. And no, your new tax idea won'
by jl2718 5y ago
Hmm.. I wonder why we have problems. Well, maybe it's because we're taking half the money and giving it to the billionaire class. And no, your new tax idea won't work.
If you plan to take anything from anybody, you're going to have to use force or threats of violence. This only works against the powerless, not the powerful. That's tautological. I don't care what your 'solution' is.
However, there are plenty of organizations that easily raise money without coercion. They are called businesses. They do this by selling stock and borrowing cash. The government also does this. They print dollars and sell bonds. No difference![1]
This is not theoretical anymore. T-bill issuance has been sailing along at nearly $2T per month for the last year.[2] That's 100% of tax revenue in two months. And yet, CPI is hardly affected. No, it can't go on forever, spending must be controlled, but tax revenue is actually irrelevant. Inflation occurs when supply exceeds demand. Demand for dollars comes from economic growth and investment. Eliminate the tax burden and dollar demand will soar. The only difference is that we will no longer be subsidizing the untaxed foreign and domestic users of the dollar economy.
So just stop collecting it. It's obsolete. Stop forcing productive people to fund the ultra-rich, and let the wealth naturally accumulate to those doing the work. No 'trickle-down' economic theory needed if you don't force everybody to carry it to the top in the first place.
[1] for a tighter analogy, consider Eth as legal tender for smart contracts
[2] https://www.sifma.org/resources/research/us-treasury-securities-statistics/ https://www.sifma.org/resources/research/us-treasury-securit...
- pineaux 5y agoThis is a blind spot for Americans, but the main reason you can print so much money without a penalty, is because foreign entities that hold dollars as a reserve currency, have a vested interest in keeping the dollar stable.[1] They buy up dollars to increase their reserves and keep the dollar inflation low. America can do this because they can protect their world reserve currency status by show of force. [1] https://www.investopedia.com/articles/forex-currencies/092316/how-us-dollar-became-worlds-reserve-currency.asp https://www.investopedia.com/articles/forex-currencies/09231... [2] https://www.gresham.ac.uk/lecture/transcript/print/when-currency-empires-fall/ https://www.gresham.ac.uk/lecture/transcript/print/when-curr...