Federal taxes don’t actually work that way. The federal government prints its own money. All taxes effectively go into a giant shredder and are unrelated to spending.
I don’t even know where to begin correcting such an insane statement. Why do you think k taxes are collected if it just gets shredded? Sadistic pleasure?
He makes a good point, it’s just to balance the inflation. Take the tax money to offset the federal reserve printing swathes of money to fund government endeavors.
It’s a real theory. From what I understand though the shredder is a thought experiment, not meant to be taken seriously. They do acknowledge that you have to receive money to spend money. they just think of it like a balancing act instead of a 1 to 1 relationship.
Federal taxes don’t actually work that way. The federal government prints its own money. All taxes effectively go into a giant shredder and are unrelated to spending.
I don’t even know where to begin correcting such an insane statement. Why do you think k taxes are collected if it just gets shredded? Sadistic pleasure?
He makes a good point, it’s just to balance the inflation. Take the tax money to offset the federal reserve printing swathes of money to fund government endeavors.
It’s a real theory. From what I understand though the shredder is a thought experiment, not meant to be taken seriously. They do acknowledge that you have to receive money to spend money. they just think of it like a balancing act instead of a 1 to 1 relationship.
You don’t need to receive money to spend money if you print money. The purpose of taxation is to reduce the monetary supply.