Boy you're weaving. You gave no such thing. I asked: why, if the instant the FairTax becomes law, we will have upwards of 30% inflation such a fact has been ignored by myriad economists quoted in these discussions? We have seen a couple of references to inflation today buried in some analysis, but nothing addressing the earth shattering predictions by Rob,FG,PhD economist.
If the US had 30 percent inflation the international bond markets would be virtually destroyed overnight. Equity markets would take one look at the exploding interest rates and drop precipitously. The dollar? Who knows? With worldwide financial markets melting down it may be the only safe haven. Gold would go to 2,000 dollars an ounce.
I would think that some economist, somewhere would have addressed this prediction that upwards of 30% inflation in the US would be created overnight. Yet I don't see it. I'm asking you why?
If the US had 30 percent inflation the international bond markets would be virtually destroyed overnight. Equity markets would take one look at the exploding interest rates and drop precipitously. The dollar? Who knows? With worldwide financial markets melting down it may be the only safe haven. Gold would go to 2,000 dollars an ounce.Exactly. That's why the FairTax is a really, really bad idea. Really.
Now you are saying 30% inflation will cause economic ruin. This morning it was 15%, and I agree that it would be awful. That's why I don't see how you are so gung-ho for the FairTax scheme with 100% paychecks (which means 18-25% inflation).
So, Bigun describes the effects of the FairTax being implemented as the return of Jimmy Carter as President, a disaster of major proportions.
And, you see it as heralding the destruction of the international bond markets, equity markets, and exploding interest rates.
Sounds like a great plan!
And you still haven't answered my simple question that you are afraid to answer.