There’s not true. There’s MMT which says that taxation is a money sink in an abstract sense. But that’s not a universally-accepted theory, and even if you do accept it it doesn’t say that taxes aren’t necessary. According to what I’m seeing on wikipedia, under “Criticism”, MMT proponents say they never said a government could spend without revenue.
Both MMT and more widely-accepted economic theories say that if the government prints money without bringing in proportional tax revenue that leads to inflation which gets to a similar result as not having money in the first place.
In practice the government has bank accounts that tax money goes into, and spending comes out of.
Flips to page one Ah, we should pull their funding! Why didn’t I think of that?
Not paying taxes would work, but only if everyone did it. So is this how we starve the beast?
The federal govt doesn’t actually spend our taxes, they just erase that money from circulation as I understand it.
Classic MMT
There’s not true. There’s MMT which says that taxation is a money sink in an abstract sense. But that’s not a universally-accepted theory, and even if you do accept it it doesn’t say that taxes aren’t necessary. According to what I’m seeing on wikipedia, under “Criticism”, MMT proponents say they never said a government could spend without revenue.
Both MMT and more widely-accepted economic theories say that if the government prints money without bringing in proportional tax revenue that leads to inflation which gets to a similar result as not having money in the first place.
In practice the government has bank accounts that tax money goes into, and spending comes out of.
Wait what