u/Sad_Screen8148

Since childhood, we have been told that the govt needs taxes to provide services to people, build roads, and infrastructure. But, that's a COMPLETE LIE. Most of the projects that you see are financed by issuing bonds, be it NHAI, railways, or defense.

The Government of India (as does every other country) can issue a sovereign guarantee on its repayment because, through the RBI only, it has the power to print as much money as it wants. If you and I tried to print even a 10 Rs. note, we would be in jail for a very long time (Article 14 crying in the corner). The RBI's bank account literally has 0 Rupees, yet it can flood the market with billions of Rupees every week, which it is already doing by devaluing the rupee by 4 percent per annum.

Because every country on Earth relies on fiat currencies, taxes are the mechanism to pull money out of the system to keep inflation in check (ideally). Now, every govt overpromises its citizens; it's addicted to cheap credit to fulfill those promises and win elections. We continue to accumulate more debt, and it's always a slow poison. No fiat currency has ever survived in the history of mankind.

When new currency is printed out of thin air, the stock market is the first place it enters to inflate stock prices, making people think that they are making money. Invest in hard assets like Gold and Silver as stocks will be worthless in next 40-50 years (not a financial advice).