They are already confiscating through inflation. Look at the unrealized capital gains tax in the Netherlands, the second property tax in NYC, and the billionaire tax proposal in CA. They will steal through legislation just like FDR (communist) did with his executive order for people to turn in their gold.
When the population realizes it can loot the Treasury by voting the game is over. The time to take action is yesterday.
I recall Jerome Powell attributed inflation to supply chain disruptions (which included factory shutdowns due to the pandemic), labor shortages....etc "Had people complied with immunization inflation would be behind us". Not verbatim but, close enough and who but the brain dead follows these disgusting people. What a racket.
The one idea that always sticks in my head relates to something that was said in relation to Tricky Dick Nixon removing the US Dollar from its last connection to gold on August 15, 1971: “Never believe anything until it’s officially been denied.” This came from statements by then-Secretary of the Treasury John Connally, who was asked on Friday the 13th if the US was going to go off the gold standard for the dollar.
He denied; therefore, he lied.
What I think would be great would be for the Federal Reserve to officially announce that their policy goal is 0% inflation. But it wouldn’t really matter, because we know they would be lying.
I think inflation is abandoning the Fed. When you can’t distinguish between the Stock Market, Polymarket or Las Vegas I’m not sure how relevant they remain.
Confiscation of gold? I don't… not the direct kind, at least. Remember, 1933 happened when the dollar was still backed by gold, so the government actually needed the metal. It doesn't anymore, which kills the main reason to seize it. And grabbing bullion from millions of people is impractical regardless.
The indirect kind is another story. Like Ben said above, inflation is just confiscation by another name. So are taxes. They've been at it since day one, and now they're pushing it to extremes (see the Netherlands and its attempt to tax unrealized gains). That's the playbook, and they'll keep running it.
p.s. That said, it all rests on the government not needing your metal. If that calculus ever changes, and frankly, with everything that's been going on, we can't even be sure the government's official hoard of ~262 million ounces is still there, then it could become a different story. I just don't think we're nearly there yet.
Wrote about the 3 different paths for the Fed and what needs to hold true for each of them. My base case remains a “higher for longer” until the data proves otherwise!
It’s all too common for people to accuse the fed of not doing its job (eg. lowering rates while inflation remains hot). This implies an acceptance of the fed’s own Keynesian economic models. It ignores the economic reality of the situation…
Dollar Inflation happens only when the market sees other assets as being better than dollars. Hint, dollars are not a perpetual asset.
They are already confiscating through inflation. Look at the unrealized capital gains tax in the Netherlands, the second property tax in NYC, and the billionaire tax proposal in CA. They will steal through legislation just like FDR (communist) did with his executive order for people to turn in their gold.
When the population realizes it can loot the Treasury by voting the game is over. The time to take action is yesterday.
Agreed on all points. It's almost like democracy is incom... ah, never mind.
I recall Jerome Powell attributed inflation to supply chain disruptions (which included factory shutdowns due to the pandemic), labor shortages....etc "Had people complied with immunization inflation would be behind us". Not verbatim but, close enough and who but the brain dead follows these disgusting people. What a racket.
I remember that. Absolutely vile.
Agreed
The one idea that always sticks in my head relates to something that was said in relation to Tricky Dick Nixon removing the US Dollar from its last connection to gold on August 15, 1971: “Never believe anything until it’s officially been denied.” This came from statements by then-Secretary of the Treasury John Connally, who was asked on Friday the 13th if the US was going to go off the gold standard for the dollar.
He denied; therefore, he lied.
What I think would be great would be for the Federal Reserve to officially announce that their policy goal is 0% inflation. But it wouldn’t really matter, because we know they would be lying.
Right. Connally would be proud of this crowd.
I think inflation is abandoning the Fed. When you can’t distinguish between the Stock Market, Polymarket or Las Vegas I’m not sure how relevant they remain.
Right on.
I think you’re right. For the forseeable future we’re looking at more of the same. Do you worry about confiscation?
Confiscation of gold? I don't… not the direct kind, at least. Remember, 1933 happened when the dollar was still backed by gold, so the government actually needed the metal. It doesn't anymore, which kills the main reason to seize it. And grabbing bullion from millions of people is impractical regardless.
The indirect kind is another story. Like Ben said above, inflation is just confiscation by another name. So are taxes. They've been at it since day one, and now they're pushing it to extremes (see the Netherlands and its attempt to tax unrealized gains). That's the playbook, and they'll keep running it.
p.s. That said, it all rests on the government not needing your metal. If that calculus ever changes, and frankly, with everything that's been going on, we can't even be sure the government's official hoard of ~262 million ounces is still there, then it could become a different story. I just don't think we're nearly there yet.
Wrote about the 3 different paths for the Fed and what needs to hold true for each of them. My base case remains a “higher for longer” until the data proves otherwise!
https://thefinancenowpodcast.substack.com/p/the-feds-path-forced-by-data?r=62zapk&utm_medium=ios
It’s all too common for people to accuse the fed of not doing its job (eg. lowering rates while inflation remains hot). This implies an acceptance of the fed’s own Keynesian economic models. It ignores the economic reality of the situation…
Dollar Inflation happens only when the market sees other assets as being better than dollars. Hint, dollars are not a perpetual asset.