Joes said:
Helicopter Ben said:
Tax revenue? At this point there really isn't a need to tax anyone. They just print as much as they want anyways. Taxes are still around just for the illusion of some semblance of fiscal responsibility. More importantly though, as a way to control people.
Thank you, I've been saying this for a long while and I just get chuckles but I'm dead serious. What is the point of taxes when they create and spend money out of thin air anyway? At this point does it matter whether we're 27 trillion in debt or 45 trillion in debt or 63 trillion in debt when it'll never be paid back anyway? Instead of going in the hole 2 or 3 trillion a year why not just 6 trillion a year and stop taxing people?
I get the same reactions here. To clarify, states like CA in this case might care about tax revenue because they can't print. They have to rely on fed gov to bail them out (which they probably will).
As I mentioned though, there is a reason. First, if they announced such a policy, the USD would immediately begin collapsing. Anyone holding US debt, or USD for that matter, would rightfully dump whatever they had.
But the main reason I believe is control. Taxes can be used as a carrot and a stick. Want people to do something? Tax credits. Want people to stop doing something? Increase taxes. You can reward your friends and punish your enemies in the same way. Get rid of the tax system and those powers go away.