- Here Comes The VAT

We now know for certain that the Obama administration is serious about a VAT tax. Wanna know how? It isn’t because Paul Volcker is saying that it’s “not as toxic as it used to be”. That, by the way, is a political assessment, not an economic one. He’s saying that although it will cause the same soaring unemployment and lower standard of living for us that it does in Western Europe, those things are more politically palatable to an increasingly duped American public than they used to be. To be honest about it, although I think it's obvious that a VAT will be a disaster in terms of policy, I think I agree with his political view... Americans as a wehole are more duped than ever.

But to get back on topic… the reason I know a VAT is certain to come down the pipe is not because Paul Volcker’s expert political opinion says it’s politically workable, but because the spin-meisters at CBS News (otherwise known as the ‘other Obama press office”) are now calling it a “national sales tax”. The obvious idea here is that it will be a small and clearly delineated tax like most state sales taxes, and not some highly obfuscated, cleverly hidden, and maliciously and politically ‘targeted’ behemoth like it is in Western Europe.

Whatever they call it, we have to find a way to stop it. Enacting a VAT will be the last thing a free America does. After that, we might as well make the Presdient a King, and elevate the Senate to a peerage, because we will all be their ‘subjects’ again. That would probably suit the Democrat leadership just fine.