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Fed's truly scary idea: tax you into spending

It's positively diabolical. Some Dallas Fed economists suggest perking up the economy by taking a piece of every dollar you have the gall to save.

By Bill Fleckenstein

...There’s a lot of chatter in this paper about the Fed helping the economy by buying real goods and services, or other domestic securities, such as longer-term Treasurys. But here’s the most staggering idea in the paper: It contemplates taxing your savings.

Koenig and Dolmas propose what they admit is a radical idea: a "stamp tax." In this, a currency would have to be stamped periodically, and you would be charged for your currency, "in order to retain its status as legal tender. The stamp fee could be calibrated to generate any negative, nominal interest rate the central bank desired." They toss out a few numbers, say 1% a month, to validate your currency. In other words, it would cost you 12% a year to have the gall to save money.

So basically, these unelected morons are contemplating a new law -- "Thou shalt not save, thou shalt spend." And, if you don't, we're going to confiscate your money, via a tax, after we've already confiscated your money via debasement.

It is truly breathtaking to witness the measure of hubris, arrogance and wanton disrespect of people's money on the part of these idiots. That they would even entertain the idea of such a penalty (not that they will necessarily be able to get away with it) boggles the mind. That's the mindset of this group of lunatics, that it would cast itself as a dictator from ancient times, with the public there to do its bidding. ...