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The difference between paper and money

derrybderryb Posts: 36,776 ✭✭✭✭✭
edited August 16, 2024 2:23PM in Precious Metals

Guess art investment is not what it's cracked up to be. Paper vs real money.

The Rich Can’t Sell Their Art, So They’re Borrowing Against It

"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

Comments

  • DoubleEagle59DoubleEagle59 Posts: 8,300 ✭✭✭✭✭

    Ha!!

    We can have our discussions (or arguments) over the pros and cons of owning Gold, but when you come right down to it, owning Gold is having 'wealth'.

    Plain and simple wealth.

    "Gold is money, and nothing else" (JP Morgan, 1912)

    "“Those who sacrifice liberty for security/safety deserve neither.“(Benjamin Franklin)

    "I only golf on days that end in 'Y'" (DE59)
  • tincuptincup Posts: 5,110 ✭✭✭✭✭

    "Good as gold" !

    ----- kj
  • DocBenjaminDocBenjamin Posts: 1,260 ✭✭✭✭✭

    All that glitter ain't Gauguin.

  • blitzdudeblitzdude Posts: 5,886 ✭✭✭✭✭

    The Metal of Kings. THKS!

  • dcarrdcarr Posts: 8,422 ✭✭✭✭✭
    edited August 18, 2024 5:39PM

    Sometimes, rather than selling an asset that has appreciated a lot (such as art), the owner might borrow against the new higher value rather than sell at that value. In that manner, income taxes are avoided. But there interest expenses. So it is a trade off. If the difference between incurring the taxes versus interest expense is about equal, the owner might opt to borrow against the item rather then selling it so that they retain ownership of it.

  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭

    It's happened. I agree with dcarr.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,800 ✭✭✭✭✭

    Sometimes, rather than selling an asset that has appreciated a lot (such as art), the owner might borrow against the new higher value rather than sell at that value. In that manner, income taxes are avoided. But there interest expenses. So it is a trade off. If the difference between incurring the taxes versus interest expense is about equal, the owner might opt to borrow against the item rather then selling it so that they retain ownership of it.

    If they decide to tax unrealized capital gains, the asset becomes a liability and an accounting nightmare. The result will be a dramatic decline in the value of all capital assets and a major selloff. In addition, with a CBDC in place, the only option will be to leave or to become poor and controlled.

    Tax political contributions instead.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭

    So another "if" with dire consequences.......meaning the "if" will not happen.

    Can you think of any "ifs" that might result in positive outcomes and therefore more likely to occur?

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,800 ✭✭✭✭✭

    So another "if" with dire consequences.......meaning the "if" will not happen.

    Just pointing out the idiocy of what might happen, because it wouldn't be the first time - we've seen things like this - over and over.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭
    edited August 21, 2024 11:31AM

    @jmski52 said:
    So another "if" with dire consequences.......meaning the "if" will not happen.

    Just pointing out the idiocy of what might happen, because it wouldn't be the first time - we've seen things like this - over and over.

    Yes...we hear these crazy "ideas" all the time. That's designed to make us afraid or willing and hence easily manipulated. These ideas never come to fruition, but "they" get what they want...your vote.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,800 ✭✭✭✭✭

    This is an idea being pushed by a major party that I’m not likely to vote for. So tell me how I’m being manipulated.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭
    edited August 22, 2024 6:00PM

    @jmski52 said:
    This is an idea being pushed by a major party that I’m not likely to vote for. So tell me how I’m being manipulated.

    Because you're afraid they will win and therefore vote for the other party.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • blitzdudeblitzdude Posts: 5,886 ✭✭✭✭✭
    edited August 22, 2024 6:54PM

    I'm rolling with forward, fack backwards. RGDS! God Bless "Merica. SEMPER!!

    P.S. Edit God bless the Metal of Kings! THKS!

  • jmski52jmski52 Posts: 22,800 ✭✭✭✭✭

    Because you're afraid they will win and therefore vote for the other party.

    In other words, you:

    a) are just fine with the other party and their proposed policies, or you

    b) don't know the difference and believe everything you see on TV. Good luck with that.

    In reality, experience has shown repeatedly that if voting mattered, they wouldn't let you vote.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭

    Both parties are exactly the same. They make promises they can't or don't intend to keep and spend.money like drunken sailors.

    If you can't see they are the same then good luck to you.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,776 ✭✭✭✭✭

    @cohodk said:
    Both parties are exactly the same. They make promises they can't or don't intend to keep and spend.money like drunken sailors.

    It's their priorities that set them apart.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • UpGrayeddUpGrayedd Posts: 583 ✭✭✭✭✭

    @derryb said:

    @cohodk said:
    Both parties are exactly the same. They make promises they can't or don't intend to keep and spend.money like drunken sailors.

    It's their priorities that set them apart.

    Their priorities are power and keeping it. Anyone that believes either party cares about you or me is naive, at best.

    Philippians 4:4-7

  • cohodkcohodk Posts: 19,073 ✭✭✭✭✭

    @derryb said:

    @cohodk said:
    Both parties are exactly the same. They make promises they can't or don't intend to keep and spend.money like drunken sailors.

    It's their priorities that set them apart.

    Their priorities are also the same....all encompassing power for themselves. And they are both getting more and more hungry. We are but pawns and we are weak.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,800 ✭✭✭✭✭

    The Fed owns both parties. End the Fed.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • GoldminersGoldminers Posts: 3,920 ✭✭✭✭✭

    @jmski52 said:
    The Fed owns both parties. End the Fed.

  • bidaskbidask Posts: 14,016 ✭✭✭✭✭

    One is easier to carry in your wallet

    I manage money. I earn money. I save money .
    I give away money. I collect money.
    I don’t love money . I do love the Lord God.




  • derrybderryb Posts: 36,776 ✭✭✭✭✭

    @jmski52 said:
    The Fed owns both parties. End the Fed.

    Both parties own the FED. End the parties

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

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