3 December

The idea that modern governments need to collect tax from you so that they have money to spend is ridiculous, and centuries out of date. The money you have is not, despite what politicians say, ‘your’ money. All money in modern societies is government money. They create it, and put it in circulation, for us to use. They can also create money for themselves to use, they don’t need to collect yours to have money to spend. They also don’t have to pay back the money they create to use. Government spending doesn’t create debts, in the way household or business spending does. Who would they pay the money back to - themselves? This idea government spending is debt is political, designed by vested interests who don’t like government and want to undermine it. The function of tax in a modern economy isn’t to give governments money to spend, to ‘balance the budget’ (spare me). It’s to control the quantity and flow of money in circulation. To rebalance it away from hoarders, and free it up for widespread use. Lots of people with money = a healthy economy. A few hoarders with most having no money = economic collapse. Governments need to do the thing modern conservatives hate (because they’re really shills for the hoarders). They need to tax and spend. All the time, and much more than they do now. Most problems State and local governments face for example could be fixed in a day, if the federal government simply created billions of dollars and sent it to them. If that caused inflation, they would then tax the hoarders to reduce the overflow in money supply.