It creates demand for dollars and gives them value. You HAVE to have dollars. If you don't, you can't pay taxes which are only payable in dollars. If you don't pay taxes you go to jail. If the threat of imprisonment weren't there, the prime mover which initially creates demand for dollars would be gone. They'd just be printing crap that nobody actually needs to live. Eventually the dollar would lose most or all value. No one ever states this explicitly though so it took me forever to get it too. The closest they'll get is saying "without the FED we wouldn't need an income tax." And it's like what? Why? How are the two related? The relation is that taxes denominated in jew bux make the jew bux fiat bankster funny money valuable in the first place. Fiat really should just be called a tax token. I know that term is already taken to describe old fractional coins used to pay property tax in the olden days. But the term applies perfectly to all fiat money. Literally all of it is just a token whose real purpose is to pay taxes with. I suspect they don't call it that just to obfuscate what is really happening.