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Tax Cuts, Secession, and the Need to END Centralization

If the Bush tax cuts were allowed to expire on January 1st, right in the middle of this huge economic downturn, it would be devastating especially combined with Ben Bernanke’s QE 2 that will effect in further increased inflation. Even if it were only those whose income is above $250,000 that would be affected, the so-called “millionaires and billionaires,” that would still have devastating effects on everyone, because when the “millionaires and billionaires” suddenly have much more of their income taken away by the government, they immediately close plants, cease expansions and capital projects and investment, which is followed by more and more lay-offs, higher unemployment.

I WAS supportive of that tax cut extension bill, even with that one compromise of extending unemployment benefits. However, now that I see that more and more crap is being added to the bill, more and more pork and deficit-spending, I can see now that it was a mistake even to support it with just the one provision to extend unemployment benefits.

My fear had been that if the Bush tax cuts are allowed to expire that that would be the point of the SHTF, and that such devastation during this recession/depression would spark new protests, and may be the real beginning of what the doom-and-gloomers Peter Schiff and Gerald Celente and others had been predicting: “civil unrest,” rioting, food riots, looting, societal chaos, etc. And empty store shelves, especially food store shelves, people literally starving. I’m not in the mood to see any violence, and, while most people will be worried about stocking up on their food necessities, I’ll be worried about stocking up on my vitamins and supplements. I don’t want to deal with that.

However, this tax cut bill currently in Congress is another temporary tax-cut extension, for only two years. I just don’t think such a temporary extension will encourage businesses to invest and expand any more than they already are. In fact, this whole thing is just ridiculous.

If the current Bush tax cuts expire on January 1st, the new Republican-led majority in the House and the higher number of Republicans in the Senate will probably not let too much time go by without fixing the situation right away in the new term. Or will they?

So right now, I am at least tentatively supportive of the Mike Pence-Jim DeMint Tax Relief Certainty Act, which would permanently extend the Bush tax cuts. THAT is what the economy needs — permanent tax cuts — so that businesses and investors have long-term confidence and security and are willing to take the necessary risks with THEIR money and capital. THAT is what will effect in the creation of new jobs and more prosperity for lower- and middle-income Americans, and a higher standard of living for all.

The current tax-cut extension bill is garbage, it’s like a band-aid, a kick-the-can-further-down-the-road piece of garbage, and worse, it’s loaded with tons of disgusting pork. Yech!

This morning, Robert Wenzel posted a video of Michael Milken, who remarked on California’s current crisis, and that the state — and maybe other states — may have to compromise states’ rights with the federal government as a trade-off for federal assistance. Sorry. It should be going the other way. The people of those other states who are living responsibly and aren’t engaging in the kind of socialist public theft that California is doing should not have to foot the bill for California’s irresponsibility. And the people of California shouldn’t be giving up their freedom and independence as a compromise for a nanny-federal government to take care of them. Wenzel also posted about Ireland’s fiscal problems, and about George Sorros’s suggestion that EU just print more money. Wenzel has the correct solution for Ireland, and for all the other EU states:

The only real solution is for individual countries to secede from the EU, bring back their own currencies, restructure their debt, i.e., go bankrupt, and start fresh with a new stable currency, and attempt to keep it that way, by shrinking the role of government and its drain on money.

You betchya! THAT is exactly what America should be doing! The only real solution for Europe as well as for the U.S. is for states to secede from their centralized, Leviathan parasitic monsters who have usurped the states’ freedom, prosperity and independence.

As we have seen, especially in the last decade or two of how the U.S. federal government has taxed and regulated the people into near-impoverishment, as well as making us less safe with the feds’ expansionism and provoking the inhabitants of foreign lands, centralism just doesn’t work. The idea of “limited government” is an impossibility, as Hans-Hermann Hoppe has noted. The federal government has grown and grown and grown since America began, and it has never, ever shrunk. And it never will shrink. This whole thing of centralism is a sham, a fraud. It can never work, and it never will work. Centralism only leads to totalitarianism, as we are seeing right before our very eyes. The only way to save our freedom and prosperity, and retain our security as a population of this North American territory, is to abolish the federal U.S. government, and let the states have their independence and sovereignty back that the feds stole and usurped.

And for those who believe that it is statism in general that is the evil, sure, we should get rid of all statism. However, for right now, the main problem is centralism. At least let’s get rid of the federal government, and the people of the states will be freer and much more prosperous. As Hans Hoppe has written quite a few times, especially in his book, Democracy: The God That Failed, it is much better to have many smaller States rather than one big State. If the people of each state can retain their independence and freedom from the federal leech, THEN they can worry about getting rid of their state government. Smaller States are better, because such an arrangement allows people to “vote with their feet.” If things in Illinois get out of hand, then people in Illinois can move to Ohio, etc. But it’s MUCH more difficult for Americans to leave the entire U.S., for many reasons.

But, as far as statism in general is concerned, we can address that with non-violent resistance, and have a revolution against despots and tyrants by, as Carl Watner has written, without firing a single shot. Perhaps just ignoring the State is helpful, especially if millions amongst the population would do that. Hans Hoppe has the right idea:

In any case, this goal (of rolling back State power) can only be reached if, instead of talking and seeking access to the State, the State is openly ignored, avoided and disavowed; and its agents and propagandists are explicitly excluded from one’s proceedings. To talk to the State and include its agents and propagandists is to lend legitimacy and strength to it. To ostentatiously ignore, avoid and disavow it and to exclude its agents and propagandists as undesirable is to withdraw consent from the State and to weaken its legitimacy.

Here is Prof. Hoppe in a 2005 lecture on the advantages of small States and dangers of centralization:

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