Category: Taxation

Why pay taxes…

when they can just print money?


Day 1 in Coronavirus Home Isolation, we are thankful that the governments of the world are printing trillions of dollars to keep us fed and paying our bills.

Day 2 we start to wonder… if the governments of the world can simply print money… why have I been paying taxes for all these years?


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The taxes we have paid all our working lives pales into insignificance to the amount of currency printed by governments over the past month.

If you have been reading this blog and other similar blogs, you are part of the Financial Awakening. You understand that there is a finite amount of resources in the world. You also understand that currency is a claim over these resources.

When currency is printed by banks and governments, it is creating new claims on the finite resources. In effect, it is stealing resources from those who had been saving their currency and allocating those resources to others.

Once the panic of coronavirus is over, the reality of what we have done will set in and the inflation will begin.

Pay attention to how different countries attempt to combat this inflation. There will be:

  • price fixing;
  • rent fixing;
  • wage fixing;
  • loan fixing;
  • more printing; and,

many combinations of the above.

Of course this has all been tried before and by potentially every failed civilization in human history.

The Financially Awakened (especially those in the US) will be on the lookout for a currency reset. A reset to a gold or silver standard would be a reset back to good money. However, a reset to a new fiat currency, would be simply be starting a debt based system over again.

There has been some talk about a new Digital Dollar. This is not a cryptocurrency. This is simply another fiat currency, which will be electronically printed and issued at the discretion of those in control.

Regardless of many good intentions at this time, we must remember that no country has ever printed itself into prosperity.

To finish I would like to say – citizens paying taxes can be a wonderful thing. Taxes can build great nations. Just as important however is the Golden Rule – Governments should be spending less than they earn. Additionally, well managed countries with plenty of savings, would have no trouble managing pandemics, without the need to print.

So tell me…

  1. What would you do if you were the leader of a country, which was tens of $ trillions in debt?
  2. How will you protect yourself against consumer price inflation?

Please stay healthy… and wealthy.

GOLDSMITH