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I was thinking about this very idea. The Federal Reserve introduces a crypto currency that is centrally controlled and replaces the dollar (over time). Next, in
by netman21 13y ago
I was thinking about this very idea. The Federal Reserve introduces a crypto currency that is centrally controlled and replaces the dollar (over time). Next, income taxes and State sales tax are eliminated and the revenue is replaced with a transaction fee.
The beuatiful thing would be that this would give the Federal Reserve a real control over the economy. Things heating up? twist a knob and increase the transaction fee. Recession on the horizon? Twist it the other way and reduce the transaction fee.
So, I looked into what transaction percentage would be required to replace current government receipts. Well, the US takes in $10 Trillion a year. Since GDP is only $15 Trillion the whole idea blows up. A 66% transaction fee just won't work.
(I know that GDP is not the same as Total of All Transactions. Is it velocity x GDP?)
- wirelessest 13y agoI think current tax receipts are 2.5 trillion, so this is a bit more manageable.
- ceejayoz 13y ago> Well, the US takes in $10 Trillion a year. No, it doesn't. Federal revenue runs about 2.5-3.0 trillion.
- notdrunkatall 13y ago>The beuatiful thing would be that this would give the Federal Reserve a real control over the economy. Though such a system would certainly give the FED more control over the economy, I don't know how beautiful that would be.