Socialism is running short of other people’s money to give away … Little kiddies pay close attention.
People need to be aware that worsening the situation of one class of tax payers is never going to improve the situation of another. The particular wealth tax proposal mentioned by the IMF en passant is odious in the extreme, especially as the wealth to be taxed has already been taxed at what are historically stratospheric rates. It is noteworthy that the alternatives discussed by the IMF for heavily indebted states which are weighed down by the wasteful spending of yesterday appear to have been reduced to ‘default’ (either outright or via hyperinflation) or ‘more confiscation’.
How about rigorously cutting spending instead?
Lastly, a popular as well as populist target of the self-appointed arbiters of ‘fairness’ are loopholes, but as we have previously discussed, they are to paraphrase Mises ‘what allows capitalism to breathe‘.
Closing them will in the end only lead to higher costs for consumers, less innovation, lower growth and considerable damage to retirement savings.
It’s a cirle to doom, sort of like what Obamacare will be.