Italy sovereign debt crisis: The Italian public debt-to-GDP ratio has skyrocketed to over 160 percent, but Paolo Savona wants to talk about unregulated cryptocurrencies – June 14, 2021,
Politicians are often a reflection of the IQ of the population, I was alive long enough to remember the value of the Italian lira which was worthless when I was growing up. Around January 2002, the Italian lira was replaced by the Euro, which was supposed to have a stimulative effect on all of Europe.
I personally referred to this transition to the European Union as a bailout, because countries like Italy refused to abandon their socialism and/or if you want to call it the Italian Welfare State. Some people like to blame the central banks for Government spending and stupid regulations on the economy, I disagree, I say it’s the people and our current democratic system.
Socrates hated democracy because the majority are often economic or financial idiots who will vote for the government to steal from the most productive in society. The Roman Empire fell without a fight, the welfare state in old Rome got so large that the productive people of that Roman period, saw no reason to participate or fight for the Roman economy.
In modern Italy, there has been a massive brain drain and the reason for this brain drain is that the old guard wants the young to subsidize their standard of living via ridiculous costs of living, regulations created by entitled lunatics, and a pyramid scheme welfare system that the young working-class are paying for it today know they won’t enjoy in their retirement years.
Because of this unsustainable Big Government which is held together by an accommodative central bank, which is protecting old and outdated concepts from failing, the cure being brought forth by people like Paolo Savona is to blame something external, something the government is having trouble controlling, blame something like cryptocurrencies.
Let’s ignore that the real theft of Italy’s wealth which is the public sector, again think about this for a moment. The Italian public debt-to-GDP ratio has skyrocketed to over 160 percent. a good debt-to-GDP ratio should be below 60%(which I think is too high) Italy is at 160%. One would think instead of worrying about cryptocurrencies Italy would be working on addressing its sovereign debt crisis.
The Italian Government as far as I know isn’t spending any money on Bitcoin? How Italians spend their PERSONAL money is their own business, I’m not a huge fan of Bitcoin, but it exists primarily because central banks are too scared to raise interest rates.
If central banks can’t raise interest rates, inflation is inevitable, which makes cryptocurrencies a viable option. After all, cryptocurrencies are transparent, what we all know Paolo Savona is leaning towards is preventing cryptocurrencies from being too profitable. As I like to point out, Europe is all about regressive taxation.
In Europe, they often want to punish people for consumption I think it’s because most of Europe’s history is socialist ideals and because of this, the idea of a consumption-led economy scares the European powers. In America, people on the Left and the Right do not trust their government.
This is why America is naturally so vibrant, even people on the Left are skeptical of their government. Now, unfortunately, the Left has been winning the economic war in America, but there are enough Americans who are believers in capitalism to start their own country and based on the success rate of the Political Right States vs. The Political Left States if America were to fracture, chances are most Americans would flee to the Red States.
I bring this up, because this is the reason for Italy’s brain drain, Now that Italians have the option of taking their talents to some other EU country, which rewards their talents, the only way for the Italian government to fight back is to call for more regulations on NEW INNOVATIONS!
I hope people eventually understand why socialists or Left-Leaning nations have such a difficult time innovating things. If I’m an innovative person and I live in a Left-Leaning country, I might be terrified to release my invention to the public, in fears my government might confiscate my property and even find a way to demonize me, as well as my company and family.
I’m obviously not the most bullish on cryptocurrencies, but I do believe they have a right to exist and operate freely. Nobody is forcing people to buy Bitcoin, people buy because there are no gains in our centralized banking system for the regular person and because central banks who reward stupid ideas are also artificially raising the cost of living for the poor and middle class, people who want to have the life they were promised by their ancestors are having to go further out onto the risk curve.
My solution has always been the same, if you consume more than you produce meaning you’re dependent on the government to survive, you should not be allowed to vote, if you work in the public sector, you shouldn’t be allowed to vote. There should be an out-of-pocket cost to vote because if you’re too cheap to vote, chances are, if you can vote for free, you will vote to have a politican who can steal for you.
When people have to pay to do something, they’ll ask themselves if it’s really worth it. Most people don’t vote, by the way, the people who tend to vote in mass are Leftists, who are usually voting to get unearned benefits. Conservatives usually vote out of reaction to the Left attempting to massively change society.
But again this problem wouldn’t exist if there was a cost to vote, because no freedom-loving person, would allow CORPORATE WELFARE! Would many of us capitalists donate portions of our wealth to help the poor? Of course, we would, but we’d do so in a sustainable manner.
As a successful person, I don’t want poor people robbing me, but I also don’t want them taking my kindness for weakness either. So in a society in which there is a cost to vote, I’d donate portions of my wealth to educate people on business, starting their own businesses, and why Western Societies are the best societies for FREEDOM, I’d equally educate people on the drawbacks of socialism, which includes corporatism and corporate welfare.
In Capitalism, we allow bad ideas to fail, what we will do in a capitalists society if something fails is keep a record of it. Because sometimes failures are due because of bad leadership. But in a free society, there is a price for that freedom and in order to protect freedom you have to prevent thieves from destroying your society
Would I vote to give unionized teachers a pay raise? Of course not! When people can vote for free, they’ll often vote to steal from others, if you think about it, why shouldn’t they vote to steal from others? What do they have to lose, their vote is free!
Anyway, that’s wishful thinking and the reality is that central powers that be are looking for something to blame, currently, that appears to be Bitcoin and other cryptocurrencies. So if you’re hoarding these assets in hopes of fiat price gains, you may want to start including potential tax liabilities to those gains.
Unregulated spread of cryptocurrencies a concern, says Italian regulator | TheHill
Interesting times ahead