What should happen? Well in all honesty, I think most people no longer have principals. If you believe my book (and you should), then you will understand why these state of events arise. You will also understand that people are going to continue paying taxation because they don't appreciate the extent of the waste. People don't reflect on the fact that taxpayer funds are not used to support people (welfare & services) anymore, they are used to keep people in power. If you use public transport, if you use roads, hospitals, there are discrete taxes or user charges applied in order to fund these things.
The reality is that the US financial system is only going to go bankrupt if taxpayers stop paying tax. The question is - Would they? I could see that as a possibility if taxes increased a great deal, or if inflation totally destroyed the US economy. Bush has suggested the exposure could be $US 1 trillion, thats 2x more than the cost of the Iraqi War. He's what you might call an expensive president. He's done very well on Halliburton stock though.
The US constitution actually does not permit the government to collect income tax, so what will happen if people cynically stop paying tax? Particularly if there are no bonds in their pension plan. Asian governments own a good share of the US bonds. on issue It might be wise to run your own superannuation in future. Governments just cannot be trusted.
So is Barrack Obama any different? Well I think he will be assasinated if he is. I don't see him tracking down the retirement funds of former CEOs who have ill-begotten gains. But in fairness, a lot of people knew what was happening, they just decided not to think. The reason they didn't think is the topic of my current book - A Market Theory of Values.
Andrew Sheldon www.sheldonthinks.com