Inflation: The Tax You Don’t Notice

It is often said ” money doesn’t go as far as it used to” . Most people chalk it up to rising prices or greedy companies and take it no further. However that is not truly the case. If people realized they were in actuality paying a hidden tax, they may ask some serious questions.

The American people pay scores of taxes on everything from gasoline to gurdles and everything in between. One of the least known and most insidious is known as inflation.

To understand inflation,one must have a basic understanding of how our banking and monetary system works. In short, our money does not in fact come from the treasury, but is loaned to the government by a private corporation known as the Federal Reserve. As with any loan, there is interest attached to it, which is why we have the income tax. This private corporation has a monopoly over the money supply and because of that the only place the “money” can come from to pay for the debt is from the Fed, they have to constantly increase the money supply to pay for it. Since our money is no longer backed by anything (i.e gold, silver), putting more money into the circulation only decreases the value of the currency.

A simple illustration of this is you buy a pound of meat for $1 and then more currency is put into circulation, that additional currency has decreased its buying power, thus it takes more of it to buy the same amount of goods and to reflect that diminished value the “price” of the meat increases to $1.50.

What this means for you is you must work more to maintain even your current standard of living. The cost of living adjustments that people receive are mere pittance, designed to appease and pacify a population that, for the most part, have no idea what is befalling them.

This is why it is imperative that sound money be restored. It would halt the erosion of our currency’s buying power and severely stifle inflation. Executive Order 11110, which allows the treasury to issue silver backed United States notes rather than fiat Federal Reserve notes should be reactivated. Bills such as HR 1207 which audits the Federal Reserve, HR 2750, which abolishes the Fed, need to be supported and passed in their original form.

The alternative is an ever decreasing currency, having to work even more and eventually a collapse of the currency and economy. The choice is yours.

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