Tax absolutely does destroy money. You think the government has a bank account they collect tax dollars into? Taxation is one if the ways that the government removes money from the economy, and hence controls the amount of money in the economy.
Do you think there is a fundamental difference between you spending $20 at the grocery store vs the government spending $20 (through EBT/SNAP/WIC benefits) at the same store?
The only difference is how the money gets accounted for, it’s still circulating through people’s hands. It doesn’t just magically cease existing because it was collected via taxes.
Right, and deficit spending proves my point. The government spends money that doesn’t exist. They don’t collect taxes in April, count it all up, see how much they’ve got, then work out the deficit, then create that much extra money. They spend what they want/need to spend, then remove excess from the economy with taxes.
Tax absolutely does destroy money. You think the government has a bank account they collect tax dollars into? Taxation is one if the ways that the government removes money from the economy, and hence controls the amount of money in the economy.
Do you think there is a fundamental difference between you spending $20 at the grocery store vs the government spending $20 (through EBT/SNAP/WIC benefits) at the same store?
The only difference is how the money gets accounted for, it’s still circulating through people’s hands. It doesn’t just magically cease existing because it was collected via taxes.
We’ve been deficit spending most of my life. That money, and then some, is going back into the economy.
What it does is make the middle class poorer and whoever the government gives it to richer.
Right, and deficit spending proves my point. The government spends money that doesn’t exist. They don’t collect taxes in April, count it all up, see how much they’ve got, then work out the deficit, then create that much extra money. They spend what they want/need to spend, then remove excess from the economy with taxes.