The ‘Inflation Reduction Act’ to Increase Inflation and Impoverish Middle Class Americans, by Pete Hoekstra

Based on the novel theory that government spending borrowed money, monetized by the central bank, actually lowers prices, the Inflation Reduction Act will dole out money to the favored (Democrats) and raise taxes on the disfavored (domestic extremists). From Pete Hoekstra at gatestoneinstitute.org:

  • The IRA [Inflation Reduction Act] is revolutionary in what it purports to do for the climate. The only impact it will have on inflation is to increase it.
  • The IRA deliberately sets about impoverishing many Americans by increasing taxes “on everyone” and increasing tax audits at the same time as prices are skyrocketing. Imposing steeper taxes at a time of steeper prices may not mean that much to the rich, but has the effect of a stealth double-tax that crushes especially middle- and working-class families, who now find themselves forced to choose between necessities such as food, gasoline or rent. Reports state that 42% of Americans are struggling financially.
  • The political theory governing this economic sledgehammer seems to be seems to be that a bigger, centralized government that controls people is “better” — at least for the politicians — than a government that prizes the individual, individual freedoms and the ability to spend hard-earned money the way he or she wishes, rather than how government chooses to spend it for him.
  • The government can then promise everyone goodies to keep them dependent, while it decides what to dole out, when and to whom: what cars you must buy, what doctors and healthcare you are allowed to have; what “social justice” and gender issues your children are to be taught in school; which companies — possibly of campaign donors — should be rewarded with subsidies and handouts, and which, such as donors to other political parties, should be targeted for audits and confiscations.

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