2 ms·

> The tone in these papers is universally that this would be desirable for the central bank, but hard for the public to accept. Yeah, that’s putting it mildly!

> The tone in these papers is universally that this would be desirable for the central bank, but hard for the public to accept. Yeah, that’s putting it mildly! Isn’t this basically a wealth tax on the middle and working classes?

mitthrowaway2 4y ago
Yes, on anyone who works to earn a wage rather than owning appreciating assets, basically. I don't know, maybe it won't happen. But the signs are all pointing in that direction, so I'm kind of resigned to it going that way eventually. Probably it will start by restrictions on large cash transactions, and on owning or carrying large amounts of cash. Then fees for withdrawing paper cash from bank accounts. Perhaps retailers will be allowed to add fees for cash transactions, too. The last step would be deprecating cash altogether, allowing banknotes to be deposited but not withdrawn (withdrawals will be as a CBDC). Just my guess on how it will go.
- imtringued 4y ago
  >Yes, on anyone who works to earn a wage rather than owning appreciating assets, basically. People who work for their wage are utterly dependent on the benevolence of the rich who withhold their money from the market. Withholding money from being spent or saved is how you get unemployment and inequality. If anything people who work for money will appreciate that they are being paid and the people they pay will also appreciate it. The only people who won't appreciate are those who already have so much money they don't know what to do with it.
imtringued 4y ago
A wealth tax on cash...? Are you kidding me? You can literally avoid it by going to the bank to save your money.
- mitthrowaway2 4y ago
  You misunderstand. The bank would be giving you a negative interest rate, so your account balance would always be exponentially decaying. Cash would allow you to escape this, which is why it would be removed as an option.

mitthrowaway2 4y ago

Yes, on anyone who works to earn a wage rather than owning appreciating assets, basically. I don't know, maybe it won't happen. But the signs are all pointing in that direction, so I'm kind of resigned to it going that way eventually. Probably it will start by restrictions on large cash transactions, and on owning or carrying large amounts of cash. Then fees for withdrawing paper cash from bank accounts. Perhaps retailers will be allowed to add fees for cash transactions, too. The last step would be deprecating cash altogether, allowing banknotes to be deposited but not withdrawn (withdrawals will be as a CBDC). Just my guess on how it will go.

imtringued 4y ago
>Yes, on anyone who works to earn a wage rather than owning appreciating assets, basically. People who work for their wage are utterly dependent on the benevolence of the rich who withhold their money from the market. Withholding money from being spent or saved is how you get unemployment and inequality. If anything people who work for money will appreciate that they are being paid and the people they pay will also appreciate it. The only people who won't appreciate are those who already have so much money they don't know what to do with it.

imtringued 4y ago

A wealth tax on cash...? Are you kidding me? You can literally avoid it by going to the bank to save your money.

mitthrowaway2 4y ago
You misunderstand. The bank would be giving you a negative interest rate, so your account balance would always be exponentially decaying. Cash would allow you to escape this, which is why it would be removed as an option.