Today, December 16th, is the anniversary of the Boston Tea Party - an American Tax Protest that contributed to the liberation of America.
Today, December 16th 2007, is another Tea Party to protest the most regressive and immoral tax in place today - the Inflation Tax.
Have you ever heard the complaint that the rich are getting richer and the poor are getting poorer? Well the reason why is the inflation tax.
An inflation tax is a metaphor for the economic disadvantage suffered by holders of cash and cash equivalents in one denomination of currency due to the effects of inflation, which acts as a hidden tax that subtracts value from those assets. Among the negative effects of inflation tax is that it affects the middle and lower class the most. When governments raise revenue by printing notes and bills they increase the amount of money available in the economy. Through a change in real money balances this causes inflation. Financing expenditure in this way is called seignorage and the effect of increasing the money supply and causing the holders of money to pay an inflation tax is the most obvious cost of inflation.
Today, independent supporters of Ron Paul have organized a Tea Party to focus national attention on this issue by inviting Americans to give donations today. The huge amount of money raised today will force the main stream media to focus on Ron Paul, the inflation tax and the problems we are facing as a result of this structural injustice.
When the Federal Reserve lowers interest rates to try to avert a recession, what it does is print more money out of thin air and pump it into the stream of commerce. The first people to get that fresh money (banks, the government and big business special interests) get the benefit of the full value of that money before the market adjusts to the increased money supply with inflation. When you and I get hold of that money, it has lost value and our savings lose value as the dollar is debased as a matter of policy. The aggregate effect of this process is that the nation's wealth gravitates from the middle class and poor to the financial elites in our society.
America's greatest threat is not Islamic Facism, it is the fiscal policies that are destroying America and most especially the middle class.
If you love America, please consider donating today to be part of this historic day.
Watch the live graph of the money pouring into the campaign at an amazing rate.
It is about 9:15 am est and they have already rasied clost to 1.5 million since midnight!
Restore the Republic!
Go Ron Pau!