What is their counter argument, would it increase the velocity of money and inflation, raising interest rates for everyone and inhibiting economic growth? Or would it be that we’d need to raise capital gains taxes, which would cause US investment to flee?
How should it be run, like a Keynesian, an MMT, a monetarist, something else?
Didnt Reagan under a conservative government allow the money to be spent, in order to pay for the debt left over after the great society act?
It therefore would now be a ponzi scheme, where past investors pay new investors, until the outflows outpace inflows and it fails.
Can someone explain to me why this is worse than Europes VAT tax?
According to an International Monetary Fund (IMF) study, any nation that switches to VAT initially feels the negative impact of reduced tax revenues. In the long run, however, the study concluded that VAT adoption has in the majority of cases increased government revenue and proved effective.
It seems to be proven quite effective, and Europe still has them, so why is Trumps worse/better than a VAT?
My thoughts are that China is no longer recycling their profits into US treasuries, and the BRICS countries seemed to be heading down the same path. The US cant sustain high interest rates and needs people to buy this debt, hence there is a lot of talk of tariffs and a “green new deal” type of tariff system on emissions in order to derive additional revenue without increasing taxes on citizens. Citizens want entitlement programs that are ponzi schemes that have already been spent long ago, but they dont want additional taxes, and so you need a scheme to get around their votes.
The same thing happened after the great depression where they rebased gold to a lower value after confiscating it, and some speculate it created an environment ripe for WWII. Our system of printing money tends to increase aggregate demand while misallocating capital, like houses in 2008, and thus it ends in suffering.
Do you live in a house? Somebody spent a lot of effort to build it, and expecting it for free would be silly, and its the same with many other things.
The thing that youre mad about is the fact living standards are falling, because your central bank can print unlimited sums of money out of nothing, as interest rates are set artificially low to monetize debt; which encourages debt accumulation via the cantillon effect, which creates serfdom via a gatekeeping system on an inelastic good.
The closer to the gold standard you were born the cheaper things like your house was, and the less debt was required as debt was actually a liability instead of an asset, because it is inevitably eroded by future money printing.
How about make a flag with ‘is banned’ that indicates it is banned, and then checking whether ‘is banned’ exists before allowing a post to be upvoted. You can use this for free Reddit, its a gift.