Really Crazy Taxes That Altered Society like the Beard Tax Creating Resistance & Status Symbols | Armstrong Economics

COMMENT: Mr. Armstrong; As a Canuck, I enjoyed your piece on the window and step tax for I fear Trudeau may start reading your blog for ideas. You have to come up with a program that blocks politicians. I love how they call Trump a racist down there showing they are real idiots for they do not know the definition of race. Trump is no keener and that’s why they hate him. I thought I would share with you that here in Canada, during 1885, we did impose a racist tax. Canada created the Chinese Head Tax, which taxed the entry of Chinese immigrants. What would they call that today? SF ANSWER: True, Trump is no keener (ass-kisser) but at least you know what he thinks whereas the career boys just smile and lie to your face so you never know. Yes, politicians do seem to get ideas from each other. The US had this civil asset forfeiture and now everyone is confiscating money because that’s what the Americans do. Today, civil asset forfeiture is an outright crime against the people for it is not even a tax – just an illegal taking of innocent people’s money. When it comes to money, there have been some really crazy taxes and hypocrisy behind it. I would have been discriminated against by Peter I, the Great in Russia. Back in 1705, he imposed a tax on men who did not shave. If you paid the tax, you did not have to shave. The police were authorized to shave any man on the spot. If you paid the tax, you were given a supply of tokens to give to the police so they did not shave you on the spot. I suspect there was no shaving cream applied, but the brute force with a knife. Here is one of those tokens that were issued to men who paid a tax to be allowed to wear facial hair. I suppose race did not matter, so it was just tyranny. Peter the Great was supposedly trying to modernize Russia demanding that men should be clean-shaven. Nevertheless, Peter the Great was painted wearing a mustache. Yet Peter the Great may not have actually stolen the idea of a beard tax from King Henry VIII of England. In that case, Henry VIII was notoriously in financial trouble and he debased his coinage because he was broke. During 1535, Henry levied a tax on all men who had beards thereby inventing the beard tax. What was interesting, Henry VIII discovered that imposing a tax on beards turned them into a status symbol. Beards became reserved for the affluent and revered by the impoverished who could not pay the tax. Henry VIII’s greed made beards the symbol of resistance. Henry VIII, himself, wore a beard during his reign. What politicians always do is the constantly create more and more schemes to invent new taxes rather than raising taxes, which is too obvious. Roosevelt imposed all sorts of taxes including the Marihuana Tax in 1937. He put a tax on silver and even potatoes. You will find all sorts of taxes imposed on some really crazy things throughout history. So get ready. When the Democrats come back, it will be with a vengeance like nothing before. There have even been people who suggested that there should be a tax on emails because it is competing with the Post Office.
— Read on www.armstrongeconomics.com/world-news/taxes/really-crazy-taxes-that-altered-society-creating-resistance-status-symbols/

The Significance of the Velocity of Money | Armstrong Economics

QUESTION: Greetings Marty, I have followed you since the old Money Radio days! Can you help me understand the disparity between the declining velocity of money, the growth of the economy and what the natural consequence may be? Thank you for your willingness to share your knowledge! Regards, MRM ANSWER: Oh yes. Buzz Schwartz was a fantastic guy. I enjoyed doing his show there in California. The economic growth has been declining for decades as has the velocity of money, As the velocity declines, it shows that people are either saving more or they do not have disposable income after taxes to spend. Normally, the velocity will decline and that is a sign of a recession. This is the normal reaction when people save and do not spend. However, if you are not in an economic recession/depression there is no FEAR FACTOR of what the future will bring, then the velocity declines because people really do not have the money after taxes to spend. This is one reason I keep harping on – it’s the taxes stupid! In the USA, the velocity bottomed during the 2nd quarter of 2017 and has started to turn up with Trump lowering taxes. This is the first uptick since the decline began from the 3rd quarter of 1997 when the capital flows began to shift creating the 1997 Asian Currency Crisis. When Obama raised the tax rate from 35% to 39.6% in 2013, that began the real sharp decline. The decline in the velocity of money and the rising burden of taxation is very alarming. That has been the worst combination which has suppressed the Euro zone economy. We see this with central banks setting targets for 3% inflation and they cannot reach that level.
— Read on www.armstrongeconomics.com/uncategorized/the-significance-of-the-velocity-of-money/