How the government takes your money without raising taxes

The silent tax that empties your wallet

The government doesn't need to raise taxes to take your money. It just creates money out of nothing. While you produce more than ever thanks to technology, the money-printing machine dilutes the value of what you earn. The result is devastating: you work more hours than your parents did, and your purchasing power is collapsing.

The trick of the monetary aggregates

Money is not what it seems. More than 90% of the money in circulation is not banknotes or coins, but debt. The Central Bank creates reserves (M0), banks multiply them through credit (M2, M3). Every new loan generates money that didn't exist before. The effect is an invisible inflation that acts as a tax on savers. Meanwhile, income tax (IRPF) has quadrupled in real terms, as even pro-government media admit, and the tax burden falls hardest on labour income, not on capital.

The hierarchy of money quality

Not all money is equal. Cash is the only money backed by the central bank; bank deposits are promises to pay. When banks create money out of nothing, the money that already exists loses value. That is why public debt ends up working as an income transfer mechanism: those on fixed salaries pay for the party of those who can shelter in real assets.

With these figures, the question is not whether the government is taking your money, but how it does it without most people noticing. Money creation is the silent tax that turns your work into a discount voucher for financial elites. And nobody seems willing to stop it.