Do High European Tax Rates Create Low Capital Formation and Spawn High Borrowing Rates?

DSC00139Do High European Tax Rates Create Low Capital Formation and Spawn High Borrowing Rates?

Finland and Government Payments?  by Thomas M. Cole JD

As our tour guide explained, in Finland no one has to worry about school, books or pencils until collage.  The government here covers all education expenses from age one and a half where child care kicks in, to collage and beyond if you’ve got the ability to go that far.

Healthcare was the same story. All is covered except dental for people of the older generation, which is not covered so well.  Pensions also cover high earners at a e1500 Euro/month and less for low earners at e750/month after 58 years.  They are moving the retirement age up to 68 soon, however.

Also exciting for Finlanders is the paid maternity leave of a year and a half for mom and six weeks for dad. Also there is the child credit of E500 a month for each child till age of majority. Parents may collect on multiple children.  Can we Americans recognize this same trend at home? Many in the USA call it runaway welfare with multiple babies creating enhanced income from the state.

Borders and Public Policy

Surly Finland has a secure border so these extravagant state giveaways are not overwhelmed with foreign interlopers. Think again. As our Art PHD historian guide explained,

We Finlanders are very lazy in the baby department, only creating 1.5 babies per family. So the government is immigrating people from Somali and Russia to keep our population stable. We will see how this works out…”

Even the state of Finland now has a policy to maintain population with no thought to national and cultural unity. Why would this be? To what advantage is a stable population and to whom does this advantage accrue?

The Euro and Frankfurt Control 

Touring across the Finish country our guide was extolling the benefits and virtues of the socialism. Finland is now part of the Euro system. They gave up their Finnish Mark several years ago with much debate and disagreement. Now Finland looks to the European Central Bank ECB in Frankfurt Germany to set their monetary policy. Accordingly ECB monetary  policy is set by The Bank of International Settlements (BIS) in Basil. Smaller EU nations tend to give away sovereignty in exchange for promises of better trade agreements, alleged pacts of protection within NATO and promises of better economic conditions.

The results are far from conclusive as Finland struggles with 20% unemployment and young people leave the country for greener pastures. As our guide explained,

“We Finns are very lazy with the baby’s only making 1.2 baby’s per marriage.”

So to compensate, Finland is importing new citizens primarily from Lithuania, Poland and Somalia. The state is worried that a dwindling population will cut into Finland’s ability to pay pension bonds and other aging population debts taken on by the state. Keeping in mind that since adopting the Euro, the state has no ability to print it’s own money, and now must go to the ECB in Frankfurt to borrow.

Once we understand the power of the Euro and ECB over Finland and other EU countries, Finland’s curious immigration policy becomes more clear.

Finland’s nanny state monetary and population growth policy are more an accommodation of EU/Frankfurt/ECB than a policy to benefit Finland, and here’s why.

First as the Finland State takes cash from citizens, they have less to save and invest. Finland takes 30%-60% income tax and a Value Added Tax (VAT) of 25%  a whopping 85% top rate. Add in corporate tax rates and we see Europe’s top taxing hot spot. But everything is paid for now by the government. Or at least everything that Basil and the UCB wants paid for.

Here’s the rub, the catch, the clincher, to this everything you want is free system.

As capital is drained off from the citizens in the form of high taxes, there is no capital left for investment. The Nanny State puts an end to capital formation. Free economies require capital formation. Nanny-State high tax rates preclude the formation of capital and force citizens into becoming debtors for major purchases such as cars and houses.

This condition of being cash poor is ever so convenient for the UCB, the bankers for the Euro Zone and it’s shareholders in the International Monetary Fund (IMF). Now every Finland home or car buyer must come to them, hat in hand asking for a loan.

Keeping in mind the Euro was a dream put into motion by Henry Kissinger and other one world banking types who formed the Bilderberg Group in 1954 for for the stated purpose of creating a one Europe currency. It took this long for the reality to be created across Europe. This is all pointed out in clear documentation from my book 200 Years of Central Banks…

And so now under the guise of helping Europe, the ECB is now dictating national birth and immigration policies in Finland and all the other EU countries. Not for their own good, not for the good of Europe or the world, but for the good of a handful of international bankers.To make sure these EU countries can successfully pay their bond debts.  Making all of Europe as one, dependent on Frankfurt ECB and Basil BIS for financing. Keeping in mind the Euro was the design and goal of the Bilderberg group, Founded in 1954, founding member Henry Kissinger.

As outlined in 200 Years of Central Banks, by this author, the usual goal of one money/one world schemes is to concentrate monetary control in one group, and spread debt load to the joining nations. These joining nations are lured in with the usual promises of cheap money, better economies and some fanciful promise of military protection. The result is joining nations end up with monstrous debt loads, higher prices, a diluted population, lower wages and greatly diminished sovereignty.

This is the result of giving up national sovereignty for alleged economic and security benefits. A nation looses it’s boundaries while it’s borders are now internationally controlled. It’s birth rates and population are controlled and augmented to insure bond pay back to the international bankers, while national identity is erased by influxes of foreigners further disemploying locals and dropping the pay scale.

All this leads to further borrowing and indebtedness by citizens, whose national assemblies are more aliened with Frankfurt as a collection agency, than that of representatives of a sovereign nation.

America is now in the same stages of enforced debt, porous borders, rising taxes and devaluing currency. Our immigration polices are set by foreign bankers. Our tax rates set by foreign bankers. Our Central Bank the Fe dReserve is run by a foreign banker, Stanley ‘Fisher, Israeli citizen, appointed by our impostor in chief Barry Soetoro Obumma. Throughout the western world, Christian freedoms are under attack as Marxism rides the high tide of financialism, hiding behind the worlds central banks.

by  Thomas M. Cole JD

Vichy France as Model for Obama USA

Thomas M. Cole JD ” 1

Vichy France akin to Democrat/Socialist USA?

Todays Obama Democrats have much in common with the Vichy French government of WWII infamy. Some will recall the Germans defeated the pacifist French in about 20 days. The war lasted from the German invasion of France on May 10, ‘1940’ to France’s surrender and Armistice with Germany a month later.

That was one fast war.

Note that Frances surrender while maybe saving French and German lives also supplied Germany with 40% of it’s labor supplied by French citizens during the next five years of war. This slave labor cost the rest of the world a major headache and many lost lives.

But regardless of that, to make a comparison of todays USA Democrats to Vichy France fair, it must be said for the French; they gave up in the face of superior fire power and a determined invader. But here today in America we have a different
type of invasion. Our new invaders are of an ideological type and of a foreign south of the border type.

On first account the Democrats have given over to a foreign invasion. The Vichy French gave into the invading Germans. As Wikipedia puts it..

In 1940, Marshal Pétain was known as a First World War hero, the victor of the battle of Verdun. As the last premier of the Third Republic, being a reactionary by inclination, he blamed the Third Republic’s democracy for France’s sudden defeat. He set up a paternalistic, semi-fascist regime that actively collaborated with Germany, its official neutrality notwithstanding. The Vichy government cooperated with the Nazis’ racial policies.

USA’s democrats have put a foreign national into power. That is part of our invasion. Barak Husain Obama is a foreign national born in Kenya, raised in Jakarta and Hawaii. This impostor to the throne has set up a semi Fascist regime. Recalling Fascism from Wikipedia….

Fascists sought to unify their nation through an authoritarian state that promoted the mass mobilization of the national community[5][6] and were characterized by having leadership that initiated a revolutionary political movement aiming to reorganize the nation along principles according to fascist ideology.[7] Fascist movements shared certain common features, including the veneration of the state, a devotion to a strong leader, and an emphasis on ultranationalism and militarism.

OK so here President O has several connections to Fascism. Certainly the authoritarian state and mass mobilization of community has a familiar ring to it, and who couldn’t find Obama resonance in the…

…leadership that initiated a revolutionary political movement aiming to reorganize the nation along principles according to fascist ideology….part of the Fascism definition.

Is this young clean cut leader really that far from Benito? Would O take over as permanent leader if he could? Course he would. With congress neutralized, his job would be much easier and more rewarding too.

President O is using revolutionary action, and has created party-armies like the newly armed DHS with 1.5 billion rounds of armor piercing ammo, and it seems the IRS is now a trusted ally in the lefts war on conservatives. Are we really that far from one party rule?

Benito Mussolini Founder of Fascism

Vichy France Akin to Democrat/Socialist USA create a fascist government to control the French people. A normal democracy or Republic would not work because who would agree to surrender? of thought and of expression; critics were frequently arrested. Elective bodies were replaced by nominated ones. The “municipalities” and the departmental commissions were thus placed under the authority of the administration and of the prefects (nominated by and dependent on the executive power). In January 1941 the National Council (Conseil National), composed of notables from the countryside and the provinces, was instituted under the same conditions.When government institutions such as the IRS are turned on the opposition with complete egging on and protection
from a sitting President, we must conclude that indeed Fascism is at hand.

Bolshevism and fascism both advocated a revolutionary ideology, believed in the necessity of a vanguard elite, had disdain for bourgeois values, and had totalitarian ambitions. In practice, fascism and Bolshevism have commonly emphasized revolutionary action, proletarian nation theories, single-party states, and party-armies. Wikipedia

Originally a member of the Italian Socialist Party (PSI), Mussolini was expelled from the PSI due to his opposition to the party’s stance on neutrality in World War I. Mussolini denounced the PSI, and later founded the fascist movement. Following the March on Rome in October 1922 he became the youngest Prime Minister in Italian history until the appointment of Matteo Renzi in February 2014. After destroying all political opposition through his secret police and outlawing labor strikes, Mussolini and his fascist followers consolidated their power through a series of laws that transformed the nation into a one-party dictatorship. Within five years he had established dictatorial authority by both legal and extraordinary means, aspiring to create a totalitarian state. From Wikipedia

… In October 1922 he became the youngest Prime Minister in Italian history…After destroying all political opposition through his secret police and outlawing labor strikes, Mussolini and his fascist followers consolidated their power through a series of laws that transformed the nation into a one-party dictatorship. Within five years he had established dictatorial authority by both legal and extraordinary means, aspiring to create a totalitarian state. From Wikipedia

What Purpose a Vichy France- A Vichy USA

Taking a look at how Vichy France came to be, we can determine what it’s purpose was. When Germany overran France, France had to create a fascist government to control the French people. A normal democracy or Republic would not work because who would agree to surrender?

Next this control was sold to the German command, so the Germans knew they had a willing dictatorial Government in control of France. One that would do the Germans bidding, like a slave overseer on a plantation.

In Vichy France WWI war hero Marshal Philippe Petain led the Vichy regime. A Parliamentary vote of 212 for and 23 against Petain gave him total control over France, except that he was a puppet of Germany of course. Here is the text of the vote…

The National Assembly gives full powers to the government of the Republic, under the authority and the signature of Marshall Petain, to the effect of promulgating by one or several acts a new constitution of the French state. This constitution must guarantee the rights of labor, of family and of the fatherland. It will be ratified by the nation and applied by the assemblies which it has created…

Delegation of Constitutional Powers Deemed Illegal

French historians now say it was an illegal action because the French Senate had no right to delegate its constitutional powers. Yet delegate it did, to the German Puppet Petain.Our congress today has done a similar thing which we will get to later.
Petain immediately began a tightening of controls over France, establishing new laws to criminalize thought and expression and centralizing power. From Wikipedia…

Petain’s regime soon began taking on authoritarian—and in some cases, overtly fascist— characteristics. Democratic liberties and guarantees were immediately suspended.[14] The crime of “felony of opinion” (délit d’opinion) was re-established, effectively repealing freedom of thought and of expression; critics were frequently arrested. Elective bodies were replaced by nominated ones. The “municipalities” and the departmental commissions were thus placed under the authority of the administration and of the prefects (nominated by and dependent on the executive power). In January 1941 the National Council (Conseil National), composed of notables from the countryside and the provinces, was instituted under the same conditions.

USA’s foreign President O has similar tendencies… Obama has made it clear to his minions at IRS and media that dissenting opinions will bring retaliations. Using the IRS to attack and squelch conservative groups, and to throw national elections his way. These are the actions of a tyrant, and similar to the Vichy figure head Petain.

Obama has illegally appointed NLRB members to national boards, instructed his Attorney General to ignore prosecuting laws that prevent unending illegal immigrations, while bringing the full force of Federal law to any business or group that crosses him personally.
Persons such as the Koch brothers, TeaParty groups, AZ and TX Ranchers opposed to Mexican invasion have all been targeted by the White House. Even going so far as to sue AZ Governor Jan Brewer over her attempt to enforce Federal regulations on immigration in her state. The List goes on.

The interesting point is in both cases, Vichy France and post Obama USA, the country had been defeated. France had been over run by superior German military forces in ten days. The USA has also been defeated by a foreign force. Our master in the USA now demands a Vichy Government USA that will control the masses, one that will guarantee obedience and continued bond payment to debt holders.

These events are now the cause of our seemingly lawless President, our seemingly useless and feted congress and the endless spewing out of class and racialy inflammatory stories from our media.

 

Congress has illegally delegated it’s constitutional powers to a private entity. One that now has created a Vichy USA government led by foreign national Barak Husain Obama. A government not under the US Constitution. A Vichy USA puppet government.

Or maybe people are voting for this new Vichy government because it promises more than free enterprise under our former constitution.

Is the USA Defeated and by Whom….