Tax Revolt

" In 1775-76, the American colonies revolted because of
taxation without representation. The total tax burden
imposed by England was about 1%.

Note: if anyone wants to pick up my share of the tax
burden, I would be happy to let him have my right to vote.
Too bad that deal is not available.

There will be a revolt when the voters finally figure
out that they will not be able to milk the system for more
than they are paying in milk. The voters today look at the
Federal Government as if it were a cow with an udder with
290 million teats. When the tax burden becomes too great,
they will finally figure out that they are part of the
udder rather than the squeezing fingers.

But before this happens, the FED will start picking up
more of the tab. The public will pay for the system, not
by direct taxation, but by indirect taxation: monetary
depreciation. That's why I don't worry about deflation. I
look at that list of free goodies to immigrants, and I
know for sure that there will be no deflation in my old
age.

Ludwig von Mises was once asked if he had an inflation
hedge. He answered: "Age!" He died in 1973. He was
correct. He missed out on the big push in the second half
of that decade, plus everything since then.

I don't have that hedge available to me (I hope). So,
I will be asked to do my share: to pick up the tab."

Gary North's REALITY CHECK
Issue 256 July 11, 2003