Rockwell's Thirty-Day Plan

By Llewellyn H. Rockwell, Jr.

When Eastern Europe broke free in 1989, we all realized just how little thought had been given to the transition from socialism to capitalism. Mises had told us the collapse was coming, and we should have been prepared.

As America comes to resemble a command economy, we need a transition plan here too. Yuri Maltsev proposed a "One-Day Plan" for the U. S. S. R. We're not in that bad a shape (yet), so we could do it in 30 days.

DAY ONE: The federal income tax is abolished and April 15th is declared a national holiday. The 40% reduction in federal revenues is matched by a 40% cut in spending. The budget is still almost twice as big as Jimmy Carter's.

DAY TWO: All other federal taxes are abolished, including the corporate income tax, the capital gains tax, the gasoline tax, "sin" taxes, excise taxes, etc. Businesses boom, and the few legitimate federal functions are funded with an inexpensive head tax. People who choose not to vote need not pay it. (Note: this was a mainstream view in the 19th century.)

DAY THREE: The federal government sells all its land, freeing up tens of millions of acres for development, mining, farming, forestry, oil drilling, private parks, etc. The government uses the revenue to pay off the national debt and other liabilities.

DAY FOUR: The minimum wage is reduced to zero, creating jobs for ex-federal bureaucrats at their market wage. All pro-union laws and regulations are scrapped. The jobless rate falls dramatically.