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Will the Swedes be forced to buy Gold?
JohnnyCache
Posts: 1,673 ✭✭✭✭✭
This article is a couple of days old, and the topic of negative rates is not new either, but it does feel as if we are inching our way towards this new reality.
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Will the Swedes, or others, just be the initial test subjects until we see a wider adoption of this kind of policy?
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Business Insider - Negative rates in a nearly cashless society
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Will the Swedes, or others, just be the initial test subjects until we see a wider adoption of this kind of policy?
.
.
.
.
Business Insider - Negative rates in a nearly cashless society
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.
.
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Comments
Give Me Liberty or Give Me Debt
negative interest rates can only be forced upon the population if they are also forced to store their money in the form of zeros and ones. A cashless economy is a prerequisite to an effective negative interest rate policy. By charging negative interest rates on savings that cannot be held outside of the electronic banking systems, savers can be "convinced" to spend even when they prefer to save.
This effective tool to stimulate spending. implemented under the false guise of thwarting terrorists and tax evaders, will become the new central bank weapon of choice. The market should determine spending choices, it's commonly referred to as free enterprise. Be aware there are those, even here, who argue that we should be willing to sacrifice such personal freedoms in the name of defending ourselves from the boogeymen.
The success of a cashless economy will of course be dependent upon the successful removal of ALL forms of money.
Will the Swede's be forced to buy gold? Hopefully when they are forced to buy something, they will still have the freedom of choice on what they are forced to buy.
Give Me Liberty or Give Me Debt
Knowledge is the enemy of fear
If I have a billion dollars, and want to guarantee no loss of principle, it makes perfect sense to pay a bit of "negative interest" for that protection.
Or, "spend" (invest) it for maybe a gain, maybe a loss, maybe break even.
No mystery, although, apparently there's a good deal of FUD going around
Liberty: Parent of Science & Industry
If I have a thousand dollars, there is no need to pay "negative interest rates" to park it anywhere, there are infinite options to just stash it. Cash is one, and one of the best.
And when cash is banned?
Give Me Liberty or Give Me Debt
If I have a thousand dollars, there is no need to pay "negative interest rates" to park it anywhere, there are infinite options to just stash it. Cash is one, and one of the best.
And when cash is banned?
LoL, then just strap it to a flying pig, and send it to the Tundra of Hades. No one is "banning cash".
Ever.
Liberty: Parent of Science & Industry
If I have a thousand dollars, there is no need to pay "negative interest rates" to park it anywhere, there are infinite options to just stash it. Cash is one, and one of the best.
And when cash is banned?
LoL, then just strap it to a flying pig, and send it to the Tundra of Hades. No one is "banning cash".
Ever.
Welcome to Bizzaro Baleyville
Give Me Liberty or Give Me Debt
the last paragraph:
The one thing that may put the brakes on a brave new cash-free world is Swedes’ sentimentality when it comes to their coins and notes. “A recent survey I worked on showed that two-thirds of Swedes think carrying cash is a human right,” says Arvidsson. “We like having our own currency and it fits in with the identity of being a Swede; we’re even releasing new banknotes in 2015. So people like to know their cash is there, even if they don’t necessarily use it.”
Liberty: Parent of Science & Industry