Tuesday, July 26, 2016

[or is 'swindling' a better word?]
The BIS (Bank For International Settlement) is very good at 'talkin' the talk'. It just has never been so good at following through with 'walkin' the walk'. A recent comment from the BIS:
 “We badly need policies that we will not once again regret when the future becomes today.”
It makes for a good soundbyte, but it is hypocritical when the fundamental structure of the monetary system (that the BIS is helping to operate) takes from the future for certain people to make profit today.
“The principle of spending money to be paid by posterity, under the name of funding, is but swindling futurity on a large scale,” -T. Jefferson


Anonymous said...

NatWest paves way for introduction of negative interest rates

Bank warns business customers it may have to charge to accept deposits but says it has no plans to do so for personal accounts

A major high street bank has paved the way for the introduction of negative interest rates for the first time in Britain by warning customers it may have to charge them to accept deposits.

The warning by NatWest was made in a letter changing the terms and conditions for the bank’s 850,000 business customers, which range from self-employed traders, charities and clubs to big corporations.

It could mean that an account holder with £1,000 in a NatWest account could see that shrink to £999 or less the following year as the bank charges a negative rate of interest.


Anonymous said...

Forget Helicopter Money, Helicopter Coupons May Work, OECD Says

“Helicopter money by itself isn’t going to be any more effective at gaining economic growth than what the central banks have been doing already,” Mann told Francine Lacqua and Tom Keene on Bloomberg TV. As a saver, “you’re just going to take the helicopter money and put it in your mattress -- where you’ve been keeping the rest of it,” she said. “Now, helicopter shopping coupons: we could talk about that, where you actually have to go spend the money.”

“We can’t just stick with this low nominal GDP growth,” said Mann. “As policy makers and as politicians we have to recognize that we have the tools” and that “it’s our responsibility as politicians and policy makers to do that because otherwise our youth won’t have jobs and a better future and our old people: we won’t be able to pay for their pensions. ”


hmmm...i guess things aren't as good as talking heads suggest?