Saturday, July 29, 2006

A study in cause and effect

Government affects the economy in three major
ways:

1. by taxation and spending,
2. by regulation, and
3. by control of money and banking.

Taxation is economic hemophilia. It drains the
economy of capital which might otherwise be used
to increase both consumer satisfaction and the
level of production and thus raise the standard
of living. Taxing away this money either prevents
the standard of living from rising to the heights
it normally would or actually causes it to drop.
Since productive people are the only ones who
make money, they are the only ones from whom
government can get money. Taxation must
necessarily penalize productivity.

...until all of the above grinds production to a
halt.

Do you hear that braying in the distance?

Do you have your donkey yet?

See the rest.

Update:

The peanut gallery here is putting forth a number
of distractions.

Best you fixate on the vegetable patch and that
donkey, then you'll probably survive.

So many distractions, so little time.