Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: central_va
During a deflationary cycle cash is king.

That's old school. Electronic enforcement of negative interest rates, will ensure that your "cash" deflates along with everything else.

1. Every withdraw becomes fractional, e.g. you only get 97%.

2. The Feds require every person's pay to be direct deposited.

3. Cash withdrawals are limited and at some point the Fed announces a currency change. Each family can only turn in X-amount of the old currency in exchange for X-amount of the new currency.

This has already been done, just not here yet.

And transacting physical gold/silver will once again be made illegal.

Copper might be a good bet.

11 posted on 02/19/2016 6:45:31 AM PST by SampleMan (Feral Humans are the refuse of socialism.)
[ Post Reply | Private Reply | To 7 | View Replies ]


To: SampleMan
Each family can only turn in X-amount of the old currency in exchange for X-amount of the new currency.

My brother was in the 1960s Army in Korea, where they used Military Payment Certificates instead of dollars.

One evening he was out by the base's back fence and saw the local prostitutes throwing wads of these bills over the fence. He scooped up a bunch and thought he was a rich man. The next day they were all assembled and told that there was a new MPC issue and that the old worthless MPCs were to be turned in - any large amounts would be questioned. Sic transit gloria.

He figured the hookers had gotten wind of this "secret" maneuver and threw the soon-to-be-worthless "money" on to the base on the theory that they would soon get it all back anyway.

[Sidebar] I remember reading that before WWII, the French Franc was worth 4.3 to the dollar. After the war, inflation took the rate higher and higher. At some point the govt. waited until it was 430:1, moved the decimal two points to the left, declared only the new currency was acceptable and redeemed the old currency at that rate.

The reason govts hate gold is that they can't tell you the one ounce coin you have now only weighs one half ounce.

21 posted on 02/19/2016 10:59:22 AM PST by Oatka (Beware of an old man in a profession where men usually die young.)
[ Post Reply | Private Reply | To 11 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson