Skip to comments.James Grant: ‘Something Is Going to Go Wrong’
Posted on 04/17/2016 3:03:53 PM PDT by george76
Chief editor of Grant's Interest Rate Observer debunks negative interest rates, banning cash, and helicopter money.
Epoch Times spoke to Mr. Grant about the spotty track record of central bankers, deflation, gold and the gold standard, as well as negative interest rates and a ban on cash.
A negative interest rate is not only a tax on saving, it is the destruction of saving.
Negative interest rates are an attempt to tax thrift. The idea of earning dollar bills and putting those dollar bills in a bank and having them accumulate over time, the accumulation of which is compounded over time by the magic of compound interest, that is called saving.
Now there is an alternative to saving which is called investment or speculation. It involves much greater risk. A negative interest rate is not only a tax on saving, it is the destruction of saving.
I am astounded and have been astounded at the durability of the confidence of the world in these very mortal and fallible people [central bankers].
I find it astonishing. As gold was going down from $1900 to $1005, whatever number it bottomed-out at, do you really trust the central bankers like that?
If interest rates were reduced to less than zero and if large denomination bills were retired, what would one do with ones money?
(Excerpt) Read more at theepochtimes.com ...
Honestly, I’m inclined to believe stories like this, but we were supposed to be eating grubs in the woods while fighting off Chinese soldiers in rural Tennessee by now. I’m glad we’re not, for the record.
I’m not eager for the wheels to come off, either, for the sake of my loved ones.
Naked, Afraid, and Round-Eyes.
negataive interest rates?
Is that inflation paid up front?
Think about it. If they eliminate cash under the ruse of controlling drug transactions....you...you lose the ability to do anything without the government knowing about it.
All electronic transactions will allow the government to track or retrieve every single fiscal move a person makes. They can track, tax, scrutinize.
Welcome to big brother gubbamint.
The good news NOTHING will crash while Obama is president. Not because of his stellar policies on the economy, but because the leftist world wants to be remembered with the historic legacy of the Obama. He was raised on BS, produced BS, won through BS, and governs through vengeance and spite. One thing he will NOT allow is ANYTHING to be perceived as “bad.” And the fedzilla will do his bidding.
IF a republican wins in 2016, which I doubt, economies will crash before the 2018 midterms. Guaranteed. IF, Hillary wins, which I suspect is already fixed, it will be stretched out as long as possible but there are no more options so probably by 2020 it all falls down.
So you have a few more months to prepare.
The government LOVES the idea of a cashless society. Wake up one morning and poof, a few zeros here and there, a decimal point shifted this way or that and tuh duh.
Don't hold your breath. His goal all along was to declare martial law and make himself 'El Presidente' for life.
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