QUESTION: Mr. Armstrong; I have been reading your blog for years now. It is obvious that you are well connected behind the curtain. It did not take but perhaps a day or two after you explain the difference between wealth and income to suddenly see Elizabeth Warren adopting the position to impose a wealth tax of two percent on people with assets of 50 million or more. Will this not cause the rich to leave as they did in France?
ANSWER: Warren's proposal is not only going to be the final nail in the coffin of capitalism and the United States but indeed, investors will migrate to China. The danger is clear. The famous legal case that led to the Supreme Court's Right to Privacy was Griswold v Connecticut. It involved a doctor who was criminally convicted for giving married persons information and medical advice on how to prevent conception with a condom. The religious extremist took the view that the Bible said go forth and propagate and thus they imposed their religious beliefs upon the majority by criminal law. The Supreme Court correctly created the Right to Privacy out of a simple logical conclusion. How would the state outlaw the use of a condom in marriage? How could it be enforced? Would a state policeman have to inspect before you had intercourse? Would you then have to apply for a license to have intercourse so the state would then know to send the policeman into your bedroom?
Martin Armstrong is a world renown economist and the creator of the Economic Confidence Model. He is the founder of Armstrong Economics - a public service and blog for the average person to comprehend the global economy and for professionals to access the most sophisticated international analysis possible.