IMF Plots to Plunder Your Assets
No wonder liberals are so keen to take our guns away. We are coming up fast on the point where people start to say, If you want to confiscate any more of my property, you will have to step over my dead body to get to it. Forbes reports on what our rulers have in the works:
The International Monetary Fund (IMF) quietly dropped a bomb in its October Fiscal Monitor Report. Titled “Taxing Times,” the report paints a dire picture for advanced economies with high debts that fail to aggressively “mobilize domestic revenue.” It goes on to build a case for drastic measures and recommends a series of escalating income and consumption tax increases culminating in the direct confiscation of assets.
From the report:
“The sharp deterioration of the public finances in many countries has revived interest in a “capital levy”– a one-off tax on private wealth–as an exceptional measure to restore debt sustainability. The appeal is that such a tax, if it is implemented before avoidance is possible and there is a belief that it will never be repeated, does not distort behavior (and may be seen by some as fair). … The conditions for success are strong, but also need to be weighed against the risks of the alternatives, which include repudiating public debt or inflating it away. … The tax rates needed to bring down public debt to precrisis levels, moreover, are sizable: reducing debt ratios to end-2007 levels would require (for a sample of 15 euro area countries) a tax rate of about 10 percent on households with positive net wealth. (page 49).”
First, IMF economists know there are not enough rich people to fund today’s governments even if 100 percent of the assets of the 1 percent were expropriated. That means that all households with positive net wealth–everyone with retirement savings or home equity–would have their assets plundered under the IMF’s formulation.
Second, such a repudiation of private property will not pay off Western governments’ debts or fund budgets going forward. It will merely “restore debt sustainability,” allowing free-spending sovereigns to keep tapping the bond markets until the next crisis comes along–for which stronger measures will be required, of course.
Third, should politicians fail to muster the courage to engage in this kind of wholesale robbery, the only alternative scenario the IMF posits is public debt repudiation and hyperinflation. Structural reform proposals for the Ponzi-scheme entitlement programs that are bankrupting us are nowhere to be seen.
Obama will respond to any effort to reduce the cataclysmic rate of increase of government spending with another shutdown charade, which the media will help him pin on Republicans. The national debt is reaching the point of total fiscal implosion. Consequently, government revenue must be increased infinitely. That means everything you possess is subject to confiscation. When the 10% one-time levy fails to produce the infinite wealth Obama’s ever-increasing spending requires, there will follow a 20% levy, then a 30% levy, until the parasites in Washington have chased all the capital abroad and bled every productive American dry.
Those of us who aren’t part of the ruling oligarchy will die as either rebels or paupers.
On a tip from Steve A. Cross-posted at Moonbattery.
Either Harry Reid has something up his sleeve, or, he is the dumbest Democrat leader ever to put an issue
It must be nice to be an emperor’s wife. By one account, Michelle Obama has spent over $44.4 million of