pp
Comments:
Whenever a society creates vast discrepancies in wealth allocation, instability develops. Socialists and collectivists like to redistribute wealth through force (usually using the tax system) to make society "fair". In practice, this is not effective in the long run as the former Soviet Union, Zimbabwe, and present day Cuba demonstrate. Some of the wealth is redistributed but the ruling class benefits most. The United States has developed this issue over the past 40 years as Corporatism (a polite word for Fascism) where large Companies and the Government cooperated to rob the middle class, as become entrenched.
What is the solution?
Deflation.
Deflation causes the correction of malinvestments that afflict the economy when an economy reaches the decadent phase as it has today, just like the late 1920's.
Deflation will spank the banks, and crush the pathological growth of the size and power of the Federal Government.
A new culture will develop once deflation becomes strongly evident and cause the collapse of the culture of entitlement and kleptocracy that has formed. This culture will have traditional values such as honesty and hard work, rather than ponzi schemes, theft and an attitude of entitlement.
This is why I am increasingly optimistic in spite of the headlines.
Good will ultimately come of this suffering.
Whenever a society creates vast discrepancies in wealth allocation, instability develops. Socialists and collectivists like to redistribute wealth through force (usually using the tax system) to make society "fair". In practice, this is not effective in the long run as the former Soviet Union, Zimbabwe, and present day Cuba demonstrate. Some of the wealth is redistributed but the ruling class benefits most. The United States has developed this issue over the past 40 years as Corporatism (a polite word for Fascism) where large Companies and the Government cooperated to rob the middle class, as become entrenched.
What is the solution?
Deflation.
Deflation causes the correction of malinvestments that afflict the economy when an economy reaches the decadent phase as it has today, just like the late 1920's.
Deflation will spank the banks, and crush the pathological growth of the size and power of the Federal Government.
A new culture will develop once deflation becomes strongly evident and cause the collapse of the culture of entitlement and kleptocracy that has formed. This culture will have traditional values such as honesty and hard work, rather than ponzi schemes, theft and an attitude of entitlement.
This is why I am increasingly optimistic in spite of the headlines.
Good will ultimately come of this suffering.
Comments
Post a Comment