I read this great article by Paul Rosenberg from the Nestman Blog. Here's the gist of it.
"All governments – communist, capitalist, fascist, monarchy, theocracy, whatever – survive on the skim. They take money from productive people, by force or threat of force. However prettied-up or justified this fact may be, it remains the central fact of rulership.
It’s a simple but disturbing truth: A late-stage state’s modus operandi must always be “government against the people” "
Whatever form of government, including the government set up by the founders of the United States, it is always inherently against the people. Their sole purpose is to serve their people by taking their people's money. Think about that statement again. The government takes their own people's money then they give it back to them.
Thus, the government's purpose or reason for being is to give back or better said spend back the money it collects to it's citizens. Ideally, the government does this well and the citizens are satisfied. That is the premise. The citizens have an expectation that government as Rosenberg says Western government portray themselves as the "saviors of the weak, the healers of the sick, and the fixers of every problem."
Government make claims that they will do. Often times these claims are unrealistic or absolutely do not make long term sense. They make claims like if you expand government we will beat the war on poverty, end racism, make up for past injustices, give everyone the right to free healthcare, pay for everyone's retirement, or other often impossible to deliver claims. But they sound good and citizens as history have shown will often times vote and demand that type of government. It is often good strategy for a politician to run under those claims.
This is when the problems start to develop.
The people expect their government to be a Sugar Daddy. That is someone who lavishly spends on them. It's all great when the Sugar Daddy has money to spend. But what happens when the Sugar Daddy runs out of money? Or does not have enough money anymore to fulfill the lifestyle of their mistress. At that point, the mistress would begin to lose interest or even think of leaving.
The Sugar Daddy knows this, so in order to stay relavent in the life of their mistress, he has to keep pleasing her. Or else she may jump ship or lose interest.
That is why it is impossible for a government to cut spending. Because they know that once they do, they are done. So they keep spending and they keep growing to try to meet the insatiable appetites of their citizens.
So faced with this situation, government always tries to take more and more from its citizens. However, this can only go on for so long. The smart ones realize that they work and work yet they cannot keep the rewards of their work because it gets taken by the statist government. So what do they do. They either flee to another state or country which is less taxing. Or they adapt their ways to avoid excessive government confiscation of their money.
Like it or not, the governments of the United States, much of the Europe, Japan, and many other countries are at the stage where they are one big overextended Sugar Daddy. They have overextended themselves and have gotten in way too much debt to be able to meet the promises they made to their citizens.
The Sugar Daddy will now get desparate and try more confiscation. At some point its citizens will clearly see what is happening. Many of them will be angry at the results. If they take too much, the ones whose money are being stolen will either flee or take evasive actions. If they fail to deliver on promises, they will anger another group of citizens. In either case, there will be turmoil. The time to prepare for that turmoil is now.
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