The derecho de consumo (the internal or consumption duty) [of Mexico] is an impost averaging nearly twenty per cent on the United States cost of the bill. It supplies the place of a direct tax for the support of the departmental government, and is decidedly the most troublesome, if not the most oppressive revenue system that ever was devised for internal purposes. It operates at once as a drawback upon the commercial prosperity of the country, and as a potent incentive to fraudulent practices. The country people especially have resort to every species of clandestine intercourse, to escape this galling burden; for, every article of consumption they carry to market, whether fish, flesh or fowl, as well as fruit and vegetables, is taxed more or less; while another impost is levied upon the goods they purchase with the proceeds of their sales. This system, so beautifully entangled with corruptions, is supported on the ground that it supersedes direct taxation, which, in itself, is an evil that the 'free and independent' people of Mexico would never submit to.
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p.149Josiah Gregg
With a view of oppressing our merchants, Gov. Armijo had, as early as 1839, issued a decree exempting all the natives from the tax imposed on store-houses, shops, etc., throwing the whole burden of impost upon foreigners and naturalized citizens; a measure clearly and unequivocally at variance with the treaties and stipulations entered into between the United States and Mexico. A protest was presented without effect... But this system of levying excessive taxes upon foreigners, is by no means an original invention of Gov. Armijo. In 1835, the government of Chihuahua having levied a contribucion de guerra for raising means to make war upon the [Native Americans]... foreign merchants ...were taxed twenty-five dollars each per month; while the native merchants... paid only from five to ten dollars each. Remonstrances were presented to the governor, but in vain. In his official reply, that functionary declared, "que el gobierno cree arreglado el reparto de sus respectivas contribuciones,"— the government believes your respective contributions in accordance with justice — which concluded the correspondence...
Josiah Gregg
For several years past the revenues of the government have been unequal to its expenditures, and consequently loan after loan, sometimes direct and sometimes indirect in form, has been resorted to. By this means a new national debt has been created, and is still growing on us with a rapidity fearful to contemplate—a rapidity only reasonably to be expected in a time of war. This state of things has been produced by a prevailing unwillingness either to increase the tariff or resort to direct taxation. But the one or the other must come. Coming expenditures must be met, and the present debt must be paid; and money cannot always be borrowed for these objects. The system of loans is but temporary in its nature, and must soon explode. It is a system not only ruinous while it lasts, but one that must soon fail and leave us destitute. As an individual who undertakes to live by borrowing soon finds his original means devoured by interest, and, next, no one left to borrow from, so must it be with a government. We repeat, then, that a tariff sufficient for revenue, or a direct tax, must soon be resorted to; and, indeed, we believe this alternative is now denied by no one.
Abraham Lincoln
I'm a free-marketeer. I believe in free markets, but... sometimes you have things that look like free markets but aren't because of artificial reasons. I'm not very happy with the current state of what calls itself free market economy in the world because you've got all these grotesque monopolies that are able to game the system in a way that's to their advantage by virtue of their power, and that's not a free market. A real free market has some kind of countervailing influence from the government to keep a monopoly in check, but this government... it's not about free marketing principles, it's about greed pure and simple. And this government wants to assure that the other people that they went to college with get just as rich as they do. This country is going to make Mexico look like Sweden inside of ten years in terms of wealth distribution, because there are no countervailing forces. They've eliminated tax basically for the ultra-rich, they've eliminated any control over monopolies, the greedy have free reign and its just going to be the super rich and the peasants.
John Perry Barlow
The question therefore now comes forward, To what other objects shall these surpluses be appropriated, and the whole surplus of impost, after the entire discharge of the public debt, and during those intervals when the purposes of war shall not call for them? Shall we suppress the impost and give that advantage to foreign over domestic manufactures? On a few articles of more general and necessary use the suppression in due season will doubtless be right, but the great mass of the articles on which impost is paid are foreign luxuries, purchased by those only who are rich enough to afford themselves the use of them.
Thomas Jefferson
Leisure held the first place at the start, and came to hold a rank very much above wasteful consumption of goods... From that point onward, consumption has gained ground, until, at present, it unquestionably holds the primacy.
Thorstein Veblen
Gregg, Josiah
Gregory I, Gregory the Great
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