Posted Feb 14, 2013 by Martin Armstrong
The EU Commission is moving forward on a Financial Transaction Tax. This is pretended to impose more discipline on traders. The problem is there is nobody in government that even understands trading to regulate anything. This is just another tax and grab scheme. The supporters say it is nothing just 0.1%. That is how they always start. The US income tax was insignificant – just 3% on the rich. That rose to 98% within 50 years.
The most disturbing thing is only 11 members out of 27 agreed. This shows that when the major players, Germany and France want something, all others will be dictated to. This is clearly a step in the destruction of the EU and the Euro. Once the tax is in, they will raise the rate significantly convinced people will just pay rather than change their behavior.
This is always all about money – never reform. They cannot raise enough money to pay all the pension to themselves that they promised themselves all along. This is how EVERY empire, nation, and city state has failed throughout history – the impossibility to tax enough to pay whatever they owe.
Nations die by economic suicide whenever there has been debt. Rome faced also its unfunded pension of the military. Once people realized they would never be paid fair value, armies began to to sack their own cities as a right to pay. The future is getting very interesting. This is another reason why Britain may leave the EU in a referendum.