How Governments Expropriate Wealth with Inflation and Taxes

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Commentary In an interview with The Wall Street Journal, Treasury Secretary Janet Yellen admitted that the chain of stimulus plans implemented by the U.S. administration helped create the problem of inflation. “Inflation is a matter of demand and supply, and the spending that was undertaken in the American Rescue Plan did feed demand,” Yellen admitted. Of course, Yellen went on to say that the spending was appropriate due to the collapse of the economy as governments were trying to prevent a recession. This reminds us of a few of the problems of disproportionate government intervention and the negative impact on the middle class. The misguided massive lockdowns were imposed by the government. Countries that had strict testing, such as South Korea and other Asian and European economies, kept the economy working and the pandemic under control. However, the problem is larger and deeper. Central banks and governments have exhausted all demand-side policies at the expense of the middle class by eroding real wages and deposit savings. ...

Source: https://www.theepochtimes.com/how-gover ... 53167.html