Negative Interest Rates and the War on Cash (2)
by Raúl Ilargi Meijer
Posted October 1, 2016
History teaches us that central authorities dislike escape routes, at least for the majority, and are therefore prone to closing them, so that control of a limited money supply can remain in the hands of the very few. In the 1930s, gold was the escape route, so gold was confiscated.
The existence of escape routes for capital preservation undermines the viability of the banking system, which is already over-extended, over-leveraged and extremely fragile. This time cash serves that role. We can therefore expect cash to be increasingly disparaged in order to justify its intended elimination. More…