Why are transfer payments not included in gdp
Why an Income Tax is Not Necessary
to Fund the U.S. Government
Originally published and copyrighted in June 2001
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Can this statement possibly be true? In order to answer this question, Americans must first understand what is the source of the money that funds the government and where it goes. Contrary to the sound bites issued by the two mainstream political parties, the reality of how the system actually works will not only open your eyes, but hopefully stimulate the American people to demand that the thievery underway come to an end.
Where do your "income" tax dollars go?
The best place to look for an answer to this question would be a government report, so let's take just one at random:
President's Private Sector Survey On Cost Control
A Report to The President (Reagan)
January 15, 1984. Available from the Congressional Research Service.
The excerpt below can be found on page 12.
"Importantly, any meaningful increases in taxes from personal income would have to come from lower and middle income families, as 90% of all personal taxable income is generated below the taxable income level of $35,000.
Further, there isn't much more that can be extracted from high income brackets. If the
Government took 100% of all taxable income beyond the $75,000 tax bracket not already taxed, it would get only $17 billion, and this confiscation, which would destroy productive enterprise, would only be sufficient to run the Government for several days.
Resistance to additional income taxes would be even more widespread if people were aware that:
With two-thirds of everyone's personal income taxes wasted or not collected, 100% of what is collected is absorbed solely by interest on the Federal Government contributions to transfer payments.
In other words, all individual income tax revenues are gone before one nickel is spent on the services which taxpayers expect from their government."
So what we have is a central bank issuing worthless paper "money" that controls our economy, our lives and our future. This private banking cartel was unconstitutionally granted this power by a devious, scheming group of senators back in 1913. In essence what they did was place the American people into indentured servitude by forcing The People to pay usury on worthless fiat currency (paper money created out of nothing), not to fund the government, but to enrich the bankers and fund wars in which America should never be involved. This system exists not to fund the government, but to allow the U.S. Congress carte blanche power to continue funding unconstitutional agencies and programs by providing them with a bottomless source of worthless ink.
The National Debt and the Deficit
These two little bookkeeping items are not the same thing. Few Americans actually know the difference, but the difference is quite important. We continually hear members of Congress, president after president, and political pundits call for "reduction in the debt." But what does that really mean? Here's how it works in the most simplified way to fit into this document:
Let's say that for 2002, Congress and the President decide they want $1.7 trillion dollars to fund this bloated pig called our government. We know that 100% of all personal "income" taxes extorted by the IRS goes to the "Federal" Reserve Banking System and does not fund a single function of the government. So, let's take the people's blood and sweat off
What other revenues does the government collect? Corporate taxes, social security taxes, constitutional revenues such as excise taxes on cigarettes, alcohol, tobacco, firearms, tires, etc. tariffs on trade, military hardware sales, and some minor categories. Let's say that those revenues will total $900 billion dollars. The politicians want $1.7 trillion to spend on their favorite welfare programs, wars and foreign welfare, but have a short fall of $800 billion dollars. This is called the deficit and the deficit, created by the spending of Congress, creates the "national debt."
How? Because the politicians are $800 billion dollars short, they simply call up Al Greenspan and borrow your children's and grand babies' futures. The "Federal" Reserve Banks don't loan anything of value to Congress. They aren't banks; they're really an overpaid, powerful, private accounting service. When that $800 billion dollars worth of ink is transferred to the Treasury, it gets piled on top of the existing "national debt."
This is how the magical money machine works. Congress overspends. It borrows from this accounting firm called the "Fed" and then turns around and tells you to pay for these crimes against the people. In other words, Congress basically pays the bills with social security and borrowed ink from the "Fed." Pretty slick scam, wouldn't you say?
The people of America are also responsible to a large degree for this out-of-control spending. Americans have been bred to a welfare dependent mentality. Special interest groups who have no interest in the U.S. Constitution, demand that billions of dollars be spent on their pet interests. Billions upon billions of dollars have been unconstitutionally thrown to foreign governments, some days our friend, a week later our enemies. They are only our friend as long as the U.S. throws money at their corrupt governments.
Billions of dollars have unconstitutionally been spent on grants to colleges and universities, which in turn sell their research to the highest bidder, paid for by the sweat off the back of the little guy out in America. No, they don't return any back to the little guy who funded these studies and research programs.
As long as the American people themselves condone continued unconstitutional spending by Congress, the longer they will violate their oath of office, and continue to fund unconstitutional expenditures, placing your children and grand babies in a state of unpayable, massive debt.
Unless The People demand an end to this insanity, our economy eventually will collapse under the weight of this massive, unpayable debt, no matter how much ink the "Fed" transfers into the coffers of the U.S. Treasury. The pain of withdrawal from unlawful government hand-outs will be far less now than it will be down the road.
America became the greatest, debt free nation on earth by a resourceful, independent, self reliant people. Sadly, today we have a large percentage of our population who can't get through the day without a government memo telling them how, step-by-step, with a redistribution of average, ordinary Americans assets into the hands of the unproductive. A very sad commentary to what made our nation great and prosperous.
But I heard the debt is being paid down?
What you heard and reality are two separate issues altogether. The politicians must continue to fool the American people lest they catch on to this chicanery. Let's have a look at the numbers so you can see that any utterance that the national debt has been paid down X billions of dollars, is nothing more than bombastic gas, passed from one administration to the next and the latest recycled Congress.
In the chart below, an R next to the amount indicates a Republican President; a D is for a Democrat in the Oval Office. The Democrats had control of Congress from 1954, until the illusion billed as the "Republican Revolution" in 1994. Both houses of Congress were Republican controlled until after the 2000 "election", but this ended when in May 2001 James Jeffords 'fessed up to his real political agenda.
Current Congressionally created debt:
1.23.2015. $18,098,240,359,740. That's over $18 TRILLION dollars.
The thieves in the Outlaw Congress spend $121,067 per second everyday. They borrow $4,506,849,315 every day of the year from our enemies and through "creative" accounting.Source: www.devvy.com