FED SALES TAX
Fight inflation by raising prices on all products and services
Stop raising prices on interest rate sensitive products
Keep unemployment low. Keep umployment high.
"Unemployment" "inflation" "income tax policy" "fair tax" "FED"
POSTULATES

1.0.	A National Sales Tax will be created.  The rate will vary from 1/2% to 20% depending on economic activity.
2.0.	The Federal Reserve System (FED) will use the national sales tax to reduce sales.

2.1.

In a “normal” environment, the sales tax rate will be 1/2%. When there is “irrational exuberance”, the sales tax rate will be increased by the FED.  This increased sales tax will reduce the sales of all businesses.

2.2.

Under the current system,  the FED increases prices by increasing interest rates. People purchase less when the price goes up.  This first decreases sales in rate-sensitive businesses.  Many times it decreases the sales of those businesses to the point of creating unemployment in those businesses before the sales of other businesses are reduced.

3.0.  Money from this "tax" is removed from the system.

3.1.

Inflation is sometimes defined as: too much money chasing too few products. This reduces the supply of money.