Obama's shortcut to Redistribute the Wealth

Many have assumed that the way Obama will "spread around" or "redistribute" the wealth will be through social legislation.However, there is a more nefarious way, that he will use to accomplish the same thing, and there is not much anyone can do about it, if he continues with his present policies.
Here is his master plan, which he has actually telescoped, by his actions:
1.) Continue to explode the deficit.
2.) Allow prices to rise, by pushing policies that encourage spending.
3.) Force production costs to rise dramatically, by legislating bills such as "Cap and Trade", CAFE standards increases, tighten resources availability, through legislation, allowing unions to demand higher wages, and of course, increasing taxes.
3.) Continue to authorize additional printing of money.
4.) Increase reliance on lenders such as China.
Once inflation starts to accelerate, it will have the effect of redistributing wealth. Once hyperinflation occurs, homeowner debts, car loans, personal loans, etc. will be paid off almost immediately, as the original amounts will be the equivalent of a few hours wages.
Senior citizens, and others on fixed incomes, will become destitute, while the only winners will be the ultra-rich that were able to invest outside of the country, maintaining their wealth.
At that point, the lower 90% of the economic strata, will be in the same boat, with the middle class completely eliminated.

Is this fiction?
No, this is what actually happened to Germany between 1920 and 1924.
www.ingrimayne.com...

Inflation hurts some people but helps others by redistributing wealth and income. Buyers, for example, are hurt by higher prices, but offsetting this is the gain that the producers get from the higher prices. People on fixed incomes will suffer, as will creditors, who are owed fixed amounts of money in the future. On the other hand, those making fixed payments, such as most debtors, will benefit. The German hyperinflation illustrates the redistribution that inflation causes in a dramatic way. It eliminated the value of all life insurance policies and all savings left in banks. When life insurance policies were paid in 1923, the value of the check was usually worth much less than the stamp used to post the letter. The hyperinflation eliminated all debts that existed prior to 1921. For example, the value of German mortgages in 1913 measured in U.S. dollars was about $10 billion; in late 1923 these mortgages were worth only one U.S. penny.

By 1924 the inflation had radically redistributed the wealth of Germany. The segment of society that was hit the hardest seems to have been the middle class. The poor had little wealth to lose while the rich were often able to get their wealth into forms not adversely affected by inflation. Wealth held in foreign bank accounts, gold and precious metals, and land maintained value.

For those that believe that "spreading the wealth around" will help them, learn from history the truth of such a policy.

[edit on 27-4-2010 by ProfEmeritus]

Very good writeup. S&F



Wish I had more to add

reply to post by Thirty_Foot_Smurf

Very good writeup. S&F

Thank you.
I love your signature!

This idiocy is not even worth commenting on, except I am afraid more morons will read it and think it's true. So in an effort to save them, I must disassemble it.

if he continues with his present policies.

1. What policies in particular can you name? So far the only redistribution of wealth has been to raise millionaires tax rate a whopping 2%. OOOOOh! SOCIALIST!!!

Here is his master plan, which he has actually telescoped, by his actions: 1.) Continue to explode the deficit. 2.) Allow prices to rise, by pushing policies that encourage spending. 3.) Force production costs to rise dramatically, by legislating bills such as "Cap and Trade", CAFE standards increases, tighten resources availability, through legislation, allowing unions to demand higher wages, and of course, increasing taxes. 3.) Continue to authorize additional printing of money. 4.) Increase reliance on lenders such as China.

Wow! That is some special power you have, being able to read people's minds and foresee the future. I'll be sure to bookmark this and haunt you with it in two years when NONE of it comes true.

Once inflation starts to accelerate, it will have the effect of redistributing wealth. Once hyperinflation occurs, homeowner debts, car loans, personal loans, etc. will be paid off almost immediately, as the original amounts will be the equivalent of a few hours wages.

Brace yourself, because people who understand hyperinflation are going to have a field day with your 3rd grade understanding of how it works. (Psssst....hint: hyperinflation devalues the currency which means it takes a whole lot more to pay off your house) Do you really think we would all be able to pay off our houses and cars with just a few bucks? Hardy har har!

Senior citizens, and others on fixed incomes, will become destitute, while the only winners will be the ultra-rich that were able to invest outside of the country, maintaining their wealth.

Here you are calling investors who invest outside our country "winners". I call them anti American tax cheats who deliberately move their money offshore to avoid paying taxes and enrich themselves.

Democrat's version of redistribution is to the middle class and poor, unlike republican versions, which all go to the rich. Whose side are you on? BTW, how much do you make yearly? If it's over $250,000, I can see why you would be talking this trash, but if it's in the $50,000 range, I must ask you........What the hell is wrong with you? Do you like struggling, and just barely squeaking by?

reply to post by 12GaugePermissionSlip


His socialist policies are what he speaks of. Would you have him go for 80% right away? Wouldnt work, they need to do baby steps.

You have to know the deficit will be an issue within the next decade. If not then you are either an apologist or in willful denial.

Hyperinflation is coming. We are following the dame playbook as the Wiemar Republic. Look into it. You just cant continue to print money without inflation rising, Its economics 101.

Investors wouldn't have to go elsewhere if they got a better return on their money domestically. Also 101 stuff.

Redistribution is the crux of the issue no matter what the amount. Neither I nor you are entitled to anyone elses money. What you support it theft plain and simple.

It isn't fair to the middle class no matter how to spin it. The middle class is always who gets the shaft. The rich always know how to shelter their money and the middle class is who always wind up paying for the poor. Always always always.

You apparently are an apologist for the democrats' socialist agenda. Why do you feel its always necessary for the have-nots to leach off of the haves?

They said that there is a sucker born every minute and you apparently bought into this socialist utopia hook line and sinker.

I suppose you bought everything Billy Mays pitched too.

I was reading an article somewhere about Venezuela and how Hugo Chavez used this recent economic downfall to usher in more Socialist policies which were initially not favored.


[edit on 27-4-2010 by prionace glauca]

reply to post by 12GaugePermissionSlip

Bravo Sierra Extraordinaire

Your tag sure fits your posts.
It is you that have no understanding of hyperinflation. When it occurs, people that receive WAGES (you know, that money that people who really WORK receive) get paid in hyper-inflated currency. Someone who may have made $40,000 a year, suddenly is making $4,000,000. Of course, since mortgages and loans are legal instruments that cannot be altered without the agreement of both parties, if that person held a $100,000 mortgage, he/she would have no trouble paying it off in a matter of weeks.

I don't even know why I took the time to respond to you, since your post shows complete ignorance of economics. In addition, it is quite OBVIOUS that you never read the link I posted, which would have explained to your feeble mind these facts. Now you can go back and spread some BS around on some other thread. I won't bother to respond to posters that can't even read the links that have been posted, and just run off at the mouth, with nothing to back up their statements but their "feelings", as misguided as they are.
People like you fail to learn from history. I wouldn't want to rely on your economic knowledge to live a decent life.

reply to post by prionace glauca

I was reading an article somewhere about Venezuela and how Hugo Chavez used this recent economic downfall to usher in more Socialist policies which were initially not favored.

Yes, you are correct. That is ALWAYS how socialists bring their agenda to fruition. Hitler did it, Castro did it, Lenin did it, and now Obama is doing it.
Hitler's National Socialist state, however, was the classic example of how to take an economic disaster and turn it into a socialist bonanza.
Star for you.

reply to post by Thirty_Foot_Smurf

Hyperinflation is coming. We are following the dame playbook as the Wiemar Republic. Look into it. You just cant continue to print money without inflation rising, Its economics 101.

Star for you.
Absolutely correct. That is why I posted the link to the history of the Wiemar republic, and the causes and resulting Hyper-inflation. It is obvious that the poster you responded to, never bothered to read the link, and knows virtually nothing about world history.

We the People own all the wealth collectively. It is ordained. It is up to the masses of American voters to decide where that wealth will be. Money is derived from the government that is of for and by the people.

It is through the grace of the poor masses that the glutonous few have been allowed to accumulate so much of the wealth to the point where many can no longer survive.

There will be a redistribution. It will happen only when the masses wake up and realize it was there own non voting faults for allowing this mess to happen.

The will wake up, it is just a matter of how long fat, salt and sugar rich foods can continue to provide them with a sence of prosperity and its anti depressent and pleasure.

When they can no longer eat they will wake up and redistribute.

It will happen unless the government does it on its own. Doubtful. Hopeful it will be peacefull voting and not by pitchfork.

reply to post by Xeven

We the People own all the wealth collectively. It is ordained. It is up to the masses of American voters to decide where that wealth will be. Money is derived from the government that is of for and by the people.

It is through the grace of the poor masses that the glutonous few have been allowed to accumulate so much of the wealth to the point where many can no longer survive.

There will be a redistribution. It will happen only when the masses wake up and realize it was there own non voting faults for allowing this mess to happen.

Not by a long shot is any of that true.

First of all, it is up to the INDIVIDUAL to decide whether he/she wishes to put the effort and sweat into working hard to achieve their financial goals.
In this country, people that are poor can apply for government loans/grants to educate themselves, and lift themselves up.

It is not through the grace of the "poor masses" that most people attain financial security, but through hard work, sacrifice, and personal trade-offs and commitments. In some countries that MAY be true, but not here in the US. If that were true, Obama would never have been able to become President. There are not many things that I admire about Obama, but I do give him credit for pulling himself out of a situation of poverty, and rising to become perhaps the most influential person in this country, if not the world.
When your "masses" realize that it is not by government legislation that wealth is obtained, but by dedication and hard work, that they will acquire wealth.

Furthermore, if those "wealthy few", that you speak of, had their wealth confiscated, then there would be no jobs, from which to work your way up, on the economic ladder.

Your way was proven to be a disaster, when the old Soviet Union collapsed upon its own weight of financial disaster.

Ask any citizen of the old USSR what their favorite saying was:

"The government pretends to pay us, and we pretend to work."

Originally posted by prionace glauca
I was reading an article somewhere about Venezuela and how Hugo Chavez used this recent economic downfall to usher in more Socialist policies which were initially not favored.


[edit on 27-4-2010 by prionace glauca]

This is true. Unlike socialism which is a self consuming system; Capitalism has natural ebbs and flows and is a self correcting system. The socialists come out of the wood work during the ebbs and try to seize upon the moment claiming that capitalism has failed.

Originally posted by Thirty_Foot_Smurf

Originally posted by prionace glauca
I was reading an article somewhere about Venezuela and how Hugo Chavez used this recent economic downfall to usher in more Socialist policies which were initially not favored.


[edit on 27-4-2010 by prionace glauca]

This is true. Unlike socialism which is a self consuming system; Capitalism has natural ebbs and flows and is a self correcting system. The socialists come out of the wood work during the ebbs and try to seize upon the moment claiming that capitalism has failed.

AH but right now we have "Wild West Captitalism". It is out of balance.
People who dig ditches in the sun work hard. People that do not have the brain power ordained by their birth to successfully graduate college, but have great muscular strength and endurance work hard just not at a desk hiding behind a computer.

We the people own everything that is derived from the government but we can only manage and control it collectively. When the collective wants to redistribute it will be redistributed regardless of your opinion on socialism and capitalism. Americans as a collective own the wealth as a nation even though only a few control its use currently.

reply to post by Xeven


To have wild west capitalism would be to have no regulation and I think we both can agree that business is nearly regulated to death. the businesses that cozy op to the government get a pass on these regulations. Goldman Sachs? Fanny? Freddie? I could go on...

The ability to go to college isnt so much intelligence as it is the ability to pay for it/ Wealth begets wealth begets wealth so on and so forth. Funny thing is I have actually dug ditches ( more accurately described as a trench ) with nothing more than a spade shovel in the past. It sucks, I didn't like it. Now, I'm a Network Engineer. Didn't need college to do it either. I just go off of my butt and decided to do something about my bad situation.

I just dont understand this collective mentality. If I own something, I own it. I dont need some commune mentality to help me do what I see fit with it. Also, you'll need to be more concise and to the point as to what you feel needs to be re-distributed by the federal government.

Furthermore if you need to rely on the government to redistribute whatever you're talking about redistributing then we really don't own it as a collective then do we? The government owns it and we practically just borrow it until the government feels it has the right to then take it and redistribute it again. You seem to be contradictory in your statement. Please read up on the aftermath of the Bolshevik revolution in Russia and what they did to their farmers.

One last question. please tell me where in the constitution it says the government has the right to take property from one individual and give to another?

[edit on 28-4-2010 by Thirty_Foot_Smurf]

Sorry, but I fail to see how this will redistribute the wealth. (if any of it is accurate). Fact of the matter is, you have to raise wages in order for your plan to happen. Unfortunately for many of us, that's not going to happen any time soon, especially with the plan you have proposed.

You are suggesting that businesses that are going to be taxed to the point where they have to raise prices on EVERYTHING just to get by are somehow some way going to also raise wages too.

Forgive me but that is laughable.

You dont have to raise waiges , you need to cut taxes plain and simple, its been proven time and time again that cutting taxes pulls the economy out of a slump......

Not spending rediculous amounts of money on pipe dream legislation, bailouts and gigantic healthcare bills.......all this does is raise taxes...

Its simple, if youre working for me and i take a little bit of your paycheck, you get erked, but hey your ok.......now i start taking half of it, do you just work more hours to compensate for your lost wages? NO you quit and go somewhere else where you wont get robbed.......

Simple.......capiche'?

Its clear to anyone w even a basic knowledge of economics that the steps by Obama are bold movements in his "Overhwhelm the system" agenda
Cloward and Piven 1o1

[edit on 28-4-2010 by ManBehindTheMask]

reply to post by ManBehindTheMask


Well, you are half correct. Cutting taxes is needed (even though Obama did that for 95% of working families). But cutting spending is more important. Yes stupid spending needs to stop. Like a military budget that is more than (what is it) the top 15 militaries on earth?

Or how about the shocking idea of raising tariffs on imported goods for American based companies? You know, that stuff they could manufacture here, but outsource overseas because they claim that labor costs are too prohibitive here?

Honestly, tax cuts alone will not do it. You have to cut spending, and that means in my opinion, military spending.

reply to post by whatukno


I agree to that completely, im not saying cutting taxes alone will do it, of course thats not the case, we have huge spending in areas we need to cut out, and tarrifs would be great.

Keeping taxes in control to keep businesses state side would be great.....will it happen, probably not, of course there are some other underlying issues there......like cheaper labor over seas, but raising taxes on larger companies doesnt help.

As to your other points, im absolutely on board with all of that..


However with Obama cutting taxes, sure people got some money back, but hes also gone on a spending spree and has more stimulus bills up his sleeve along with many other things, which are going to jack the taxes back up again, and we all know "free" stuff doesnt come without the taxpayers paying for it.

Nice to see that we do agree on some things tho

redacted

[edit on 28-4-2010 by Thirty_Foot_Smurf]

Dear OP,

You're understanding of socialist ideals and the concept of the redistribution of wealth is lacking.

We socialists don't consider Hitler a socialist. His 'socialist' policies weren't very socialist at all. Unless you can name one that I've missed.

On the idea of the redistribution of wealth, it's the idea to take from the rich and give to the poor...as the hero of old, Robin Hood, did. Hyper-inflation would take from the rich...but it would also take from everyone else as well.