A Quote by Ronald Reagan

When a business or an individual spends more than it makes, it goes bankrupt. When government does it, it sends you the bill. And when government does it for 40 years, the bill comes in two ways: higher taxes and inflation. Make no mistake about it, inflation is a tax and not by accident.

Ronald Reagan

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Quote Author

Ronald Reagan
American - President
February 6, 1911 - June 5, 2004

It makes no difference to a widow with her savings in a 5 percent passbook account whether she pays 100 percent income tax on her interest income during a period of zero inflation or pays no income tax during years of 5 percent inflation. Either way, she is 'taxed' in a manner that leaves her no real income whatsoever. Any money she spends comes right out of capital. She would find outrageous a 100 percent income tax but doesn't seem to notice that 5 percent inflation is the economic equivalent.

Warren Buffett

The Constitution was written to protect individual freedom and limit the ability of the government to encroach upon it. The liberals don't like that. The Democrats are very unhappy. The Constitution limits government too much. So they want to rewrite it, have a second Bill of Rights. So they want a new Bill of Rights that spells out what government can do instead of a Bill of Rights that tells government what it can't do.

Rush Limbaugh

While visiting Kenya, former President Clinton was offered 40 goats and 20 cows for his daughter, Chelsea, by a love struck government official. Bill said, "No way!" How does that make Hillary feel? Bill almost gave her up for one cow.

Jay Leno

Perhaps the most important reason to be skeptical of government inflation numbers is that the government, like a fox campaigning to guard a hen house, has many reasons to be disingenuous. As the world's largest debtor, the Federal Government is inflation's primary beneficiary.

Peter Schiff

Because food and energy prices are volatile, it is often helpful to look at inflation excluding those two categories - known as core inflation - which is typically a better indicator of future overall inflation than recent readings of headline inflation.

Janet Yellen

Every time the Fed implements 'quantitative easing,' a.k.a. printing more money, two things go up: taxes and inflation. When taxes and inflation go up, more jobs are lost.

Robert Kiyosaki

If the US government spends 40 percent of the nation's income, as it does through either borrowing or taxes, that income is not available for people to spend. The deficit is an indirect method of taxation. Of course, politicians prefer to borrow instead of tax because then someone down the road has to deal with the consequences.

Milton Friedman

I talked to a lot of employers who just are, are fearful of what's coming next out of Washington. It's all the spending, it's all the debt. It's their national energy tax, they want to call it cap and trade - more mandates, higher costs, more taxes. Their healthcare bill - more mandates, higher costs, higher taxes.

John Boehner

Government policies try to prevent the emergence of serious unemployment by credit expansion, i.e., inflation. The outcome was rising prices, renewed demands for higher wages and reiterated credit expansion; in short, protracted inflation.

Ludwig von Mises

Inflation is probably the most important single factor in that vicious circle wherein one kind of government action makes more and more government control necessary. For this reason all those who wish to stop the drift toward increasing government control should concentrate their effort on monetary policy.

Friedrich August von Hayek

Government has no wealth, and when a politician promises to give you something for nothing, he must first confiscate that wealth from you -- either by direct taxes, or by the cruelly indirect tax of inflation.

John Wayne

Government is not a solution to our problem, government is the problem. ... Government does not solve problems; it subsidizes them. Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. If it stops moving, subsidize it. ... The problem is not that people are taxed too little, the problem is that government spends too much.

Ronald Reagan

The government will always tell you that it wants low inflation. The real issue is the horizon over which to bring inflation down.

Raghuram Rajan

The idea that when people see prices falling they will stop buying those cheaper goods or cheaper food does not make much sense. And aiming for 2 percent inflation every year means that after a decade prices are more than 25 percent higher and the price level doubles every generation. That is not price stability, yet they call it price stability. I just do not understand central banks wanting a little inflation.

Paul Volcker

Besides the healthcare bill being unconstitutional and a great expansion of federal government, I think if it does not respect people's individual religious views and makes groups or individuals do things that are contrary to their deeply held beliefs, there is going to be a visceral negative reaction.