Imagine taking home a mere 25 percent of your income with which to buy food, cars, gas, homes, etc. My guess is the rich will be fleeing France in droves -- but they better do it before the government restricts them from doing so.
Holland also proposed a 10 percent cut in government spending -- aka entitlements -- which I assume will not go over very well with the French citizens, who have grown accustomed to cradle-to-grave government handouts. The entitlement cuts will likely spark more violence in the streets.
Holland claims the high tax rates will be in place for only two years (yeah, right).
According to TheBlaze.com, "other measures included are: new income tax level at 45 percent for those making more than (EURO)150,000, an increase of capital gains taxes to bring them more in line with how salaries are taxed, and a cap on certain deductions for large companies on their income taxes."
While France is being launched back into the dark ages by its elites, the United States continues its own socialist/Keynesian economic policies. Federal Reserve Chairman Ben Bernanke announced on Sept. 13 an endless round of Quantitative Easing, also known as QE3 or, ahem, dare I say . . . money printing, although QE1 and 2 did not work.
The maddening part is liberal economists such as the New York Times' Paul Krugman will say it didn't work because the Fed didn't print enough money.
Money printing decreases the value of the dollar and increases inflation. To counter this argument, our government brushes off these concerns by telling the American people that inflation is low, so therefore not to worry. Not true. The reason inflation numbers are so low is because in 1980, to cook the books, the government quit calculating food and energy into inflation numbers.
Think about that: The two LARGEST household expenses no longer a factor in inflationary numbers. Really?
The Globe and Mail in Canada reported today that the Chinese "Yuan hits record as QE3 weakens dollar."
According to the article, "The yuan briefly hit a record high on Friday, extending its recent strength as further U.S. quantitative easing weakens the U.S. dollar and sparks interest in riskier assets such as emerging market currencies."
"The Chinese currency also scored its biggest monthly gain this year, rising 1 per cent in September, with its unusual strength on Friday alone being linked to strong corporate demand for yuan and banks’ efforts to avoid carrying short yuan positions over the long holiday next week, traders said."
"The Chinese currency also scored its biggest monthly gain this year, rising 1 per cent in September, with its unusual strength on Friday alone being linked to strong corporate demand for yuan and banks’ efforts to avoid carrying short yuan positions over the long holiday next week, traders said."
Getting back to France. It is the third largest economy in the world. The country's demise is not good for anyone, including the United States -- as all of our economies are intertwined. Regardless of who is the next U.S. president, we have some hard economic times ahead of us.
This, I believe, will prompt a "restructuring" of the economy. My concern is: Who will be in charge of that restructuring? Please don't let it be Barack Obama...
Then, despite the dismal economic numbers here and abroad, we have this article come out today reporting that the United Nations is proposing additional global taxes on the richest countries. From the exclusive story on Fox News: (Emphasis mine.)
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