• 4 Posts
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Joined 3 years ago
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Cake day: August 5th, 2023

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  • NO TAXES!?!
    I never said anything close to no taxes! I said the opposite of no taxes!

    I said the purpose of taxes isn’t what people think it is.
    Governments don’t need to take money so they have money to spend.

    That doesn’t remotely mean I don’t want taxes, or taxes aren’t necessary.
    Taxes are absolutely necessary!
    Taxes are the flip side of government spending.

    The government spends into the economy with one hand, and taxes out of the economy with the other hand. Taxes are the real inflation control.


  • 99% of that is correct. That is exactly what governments do. You understand exactly what I’m saying also.

    The one part that’s wrong is tiny, but absolutely foundational to what I’m saying,

    What governments do, doesn’t necessarily correlate with how things work. What they do, and have done for centuries, could be wrong.

    I’m arguing that it is wrong. I’m saying that everyone has been running their economies and making monetary policy decisions based on wrong ideas, since fiat currencies were invented.



  • Steve@communick.newstoLemmy Shitpost@lemmy.worldTaxes are cool
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    2 days ago

    I guess if you want to define the term that way, you can.
    Seems an odd choice of phrase.

    If you export something, you don’t have it domestically any more.
    But this doesn’t work that way.

    Diluting is a better term. But diluting isn’t exporting.

    But still, that’s nothing to do with what I was saying.
    Which is why I’m not sure you understood what I was saying.




  • Steve@communick.newstoLemmy Shitpost@lemmy.worldTaxes are cool
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    3 days ago

    That’s the old economic model that treats a government like any other organization in the economy. It’s not.

    Taxes aren’t loans. Banks aren’t governments. Completely different and uncomparable.

    The difference is banks don’t control their own currency. That single difference changes everything.




  • It really is how this works.
    It’s just that nobody realised until the last couple decades. And now we have a century of inertia behind economic theories that say otherwise. A century of economic theory that’s been horrible at predicting the real economy by the way.

    But it’s not difficult to understand.
    If a government can make money out of nothing to pay for anything it needs to (the definition of fiat currency), then it doesn’t need to collect taxes to pay for things. If it doesn’t need to taxes to pay for things, then what do taxes do? Taxes remove money from the economy, offsetting the money added by government spending from nothing. This is direct inflation control.