Quote (excellence @ May 8 2021 12:33am)
negative interest rates isnt a new concept. this just gives governments an “out” for such a ridiculous measure that easily defeated by buying index funds. or even buying fucking cigarettes that arent overly taxed in one area and then driving them across state lines to be sold in densely populated areas (do not recommend this but it makes me laugh)
Richard Werner have some good stuff on interest rates, hes the first one to produce scientific paper on the subject and is fighting everyday about this. While negative rates isn't a new concept I tend to see this as additional taxation, it's a way to make you do something with your money and not hoarding it. It also have a notable effect and I think it's the key here ; it drives banks out of business, they have to close or merge together thus merging into what we could call as "big banks"
Since Basel I, II and Basel III (monetary policy from the bank of the central banks, bank for international settlement, btw this is the most important bank in the world and most doesnt knows it exist), the implementation of more and more rules from central banks on banks, the implementation of negative interest rates. It clearly does make most banks out of business or merge together. Since the creation of the ECB I don't remember the exact numbers but the amount of banks in the euro zone is easily down from 30%. That's huge for a decade or so.
I like to think of money as a tool we exchange for time, one has to exchange some of it's time in order to get money. A worker exchange it's time for money, a beggar exchange it's time for money, a person that benefit from the unemployment benefits have to spend some time in order to get money. By accepting the digital currency system below we give them the power to do anything with our time, they can print money out of this air, we can say that they steal our time out of thin air and this is what they are doing right now at an tremendous pace. In such a centralized system they can do anything with our time, they could have a say on where it's possible for us to spend it, they could put additional taxation if you keep more than X amount in the account, they could even make it with an expiration date, this is being tested in china right now.
Such a centralized system is very dangerous, I think we can all agree to say that time is limited is our life, let's agree to question their goodwill. Governments are the biggest cause of death and human misery in the world, let's think about the implication of such a centralized money system.