No introduction needed, just read this article by Justin Raimondo, and follow the many links within.
Posts Tagged ‘economy’
The Road to Dictatorship
Wednesday, March 3rd, 2010We’re Broke – Pay up!
Friday, May 29th, 2009Senator Kent Conrad-D, North Dakota was on the floor of the senate this week, calling for a federal Value Added Tax (VAT) of 20-25% on all goods. The frightening part is not that this message was brought to the table, because it has been brought up many times before. The frightening part is that the senate was general receptive to the idea. The further horror, is that unlike previous proposals to replace income tax with a VAT, this proposal would not do so. It is simply another tax added on to all the others we already pay!
So, just what is a value added tax, one might ask? Unlike a national sales tax, which would add 20-25% of the item’s price onto the item at the checkout counter, it would instead add 20-25% of the item’s original price, putting it directly onto the listed item price, hiding the tax in the cost of the item itself. This is an effective means of camouflage to confuse gullible consumers into thinking that the item cost is simply what they see on the tag and that such is set by the manufacturer and retailer.
This means that if you have a power drill which now costs $100, the price tag will be changed to $125 and then the state sales tax (if your state has such) will be added on as a percentage of the $125. (Which means that unless the cash register adjusts for the VAT, you’re paying tax on a tax.)
Federal gasoline taxes works like this now. It is in the pump cost listed and only known to the consumer if you read the fine print labels on the pump. (You didn’t honestly think that the money you’re spending on gasoline was just for the fuel, did you?)
First and foremost, what gall does Senator Conrad have? He wants us to pay an extra quarter on every dollar for all purchases! Where does the Constitution allow for a VAT or sales tax by the federal government? 25%? The worst state sales tax I’ve heard of is around 9%. Talk about greed!
Secondly, this is a tacit admission by the government that things are just as bad as we think they are. The federal government is broke with it’s monumentally stupid spending and now must seek measures to prevent complete collapse.
Third, if this doesn’t show the tax-and-spend mindset of the Democratic party, nothing does.
Take some time to figure out the impact on your life, if this becomes reality.
Start with your grocery bill. Take what you spend on groceries in a week and multiply it by 1.25. What’s the end result? Without changing your diet, your food is suddenly going to cost this much more.
How about just buying a can of pop from a machine, currently at $0.75. That can of pop just jumped to $0.93, which will most likely be rounded up to $1.
Let’s say you want a simple, economical car – such as a Honda Civic Coupe. Currently the starting list price on the vehicle, according to Honda’s Web site, is $15,305. If the VAT is passed at 25%, this starting list price will jump to $19,131.
Now factor in a house. Even if you’re looking for a small home at say, $65,000 – that price is going to jump to $81,250. A $250,000 home, like many selling here in the Salt Lake valley, has now jumped to $312,500.
Do you think that you’re saving money buying online? A VAT bypasses sales tax issues and all online prices will jump up 25%. That $150 iPod you’ve been thinking of treating yourself to, without adding additional features, memory or even changing the packaging: just changed to $188. The federal government just took $38 from you because you want to listen to music.
Just keep doing the math yourself on the common things you buy. How about clothing? Cleaning products? Automotive supplies? Is gasoline going to be included in this as well, on top of the current federal fuel tax? It’s as if you just got hit with a 20% net pay cut.
If you think you’re having a hard time making ends meet now…
Now This is a Bill
Tuesday, March 24th, 2009Rep. Ron Paul, R-TX has entered a bill into the house which is as follows:
111th CONGRESS 1st Session
. R. 1207
To amend title 31, United States Code, to reform the manner in which the Board of Governors of the Federal Reserve System is audited by the Comptroller General of the United States and the manner in which such audits are reported, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
February 26, 2009
Mr. PAUL (for himself, Mr. KAGEN, Mrs. BACHMANN, Mr. BARTLETT, Mr. JONES, Mr. REHBERG, Mr. POSEY, Mr. BROUN of Georgia, Mr. POE of Texas, Mr. BURTON of Indiana, Mr. ABERCROMBIE, and Ms. WOOLSEY) introduced the following bill; which was referred to the Committee on Financial Services
A BILL
To amend title 31, United States Code, to reform the manner in which the Board of Governors of the Federal Reserve System is audited by the Comptroller General of the United States and the manner in which such audits are reported, and for other purposes.
- Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
- This Act may be cited as the `Federal Reserve Transparency Act of 2009′.
SEC. 2. AUDIT REFORM AND TRANSPARENCY FOR THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.
- (a) In General- Subsection (b) of section 714 of title 31, United States Code, is amended by striking all after `shall audit an agency’ and inserting a period.
- (b) Audit- Section 714 of title 31, United States Code, is amended by adding at the end the following new subsection:
-
- ‘(e) Audit and Report of the Federal Reserve System-
- (1) IN GENERAL- The audit of the Board of Governors of the Federal Reserve System and the Federal reserve banks under subsection (b) shall be completed before the end of 2010.
- (2) REPORT-
- `(A) REQUIRED- A report on the audit referred to in paragraph (1) shall be submitted by the Comptroller General to the Congress before the end of the 90-day period beginning on the date on which such audit is completed and made available to the Speaker of the House, the majority and minority leaders of the House of Representatives, the majority and minority leaders of the Senate, the Chairman and Ranking Member of the committee and each subcommittee of jurisdiction in the House of Representatives and the Senate, and any other Member of Congress who requests it.
- `(B) CONTENTS- The report under subparagraph (A) shall include a detailed description of the findings and conclusion of the Comptroller General with respect to the audit that is the subject of the report, together with such recommendations for legislative or administrative action as the Comptroller General may determine to be appropriate.’.
Not only is this bill important in what it is trying to accomplish, to allow the Federal government to audit the Federal Reserve, but it is as a bill should be – short, concise and addressing one issue only.
Compared to the thousand page bills we tend to get from Congress, this is a major breath of fresh air!
The Big Takeover
Tuesday, March 24th, 2009This article in the Rolling Stone, by Matt Taibbi – is well worth the read. If you’ve been confused by the economic insanity of late, this article will clear things up quickly.
USSA
Tuesday, March 24th, 2009In a story from the Washington Post today:
“Treasury Secretary Timothy F. Geithner today told Congress the administration will seek unprecedented power to seize non-bank financial companies whose collapse could jeopardize the economy, a move Geithner said would have allowed the government to bail out insurance giant American International Group at a far lower cost to taxpayers.”
[...]
“The administration’s proposal contains two pieces. First, it would empower a government agency to take on the new role of systemic risk regulator with broad oversight of any and all financial firms whose failure could disrupt the broader economy. The Federal Reserve is widely considered to be the leading candidate for this assignment. But some critics warn that this could conflict with the Fed’s other responsibilities, particularly its control over monetary policy.
The government also would assume the authority to seize such firms if they totter toward failure.
Besides seizing a company outright, the Treasury Secretary could use a range of tools to prevent its collapse, such as guaranteeing losses, buying assets or taking a partial ownership stake.”
In creating legislation of this magnitude, the Federal government is tossing aside any and all pretenses of supporting a free market system. This is not an attempt to protect any citizen of the United States or any company from failure, but instead to impose full governmental control of the entire economic system. Socialism, Marxism, communism – give it the the label you want – if this legislation passes, the United States of America as it was originally founded, is dead and buried!
Welcome to the United Socialist States of America.
