Funny. There are actually a whole bunch of libertarians of Thiel's ilk whose views have the same flaw but in reverse. They assume that if they can stop the government from "debasing" money and "devaluing" their savings, they can sit on money today safe in the knowledge that it will be worth more tomorrow. Of course, without technological innovation that won't happen either. Worse, if this were possible it'd be far more toxic to technological progress than any "welfare state" could ever be; taxes merely make it slightly less profitable, whereas this libertarian idea is pretty much guaranteed to drive returns on all but a handful of investments into the negative compared to just sitting on the money. With no financial incentive to innovate, why bother?