Protect against UKGOV savings confiscation

kidmugsy

C_Mababejive wrote: »

I asked how it could be that the Cypriot Government stole money from people

But they didn't! The bloody fools discussed doing it, but backed off. IT DIDN'T HAPPEN.

lvader

Like anything nothing is a problem until it is, expectations are much different now, money isn't backed by gold so inflation is expected. News and data travels very quickly now and really does affect the way businesses decide to expand or not.

bigadaj

Glen_Clark wrote: »

Well I am still none the wiser because you haven't explained why inflation is so good, or why higher inflation is not better.
In the days when Britain had the world's biggest and strongest economy, inflation was practically unheard of.

At the risk of pointing out the obvious it's primarily due to experience and human psychology.

You may have a point about the olden days when britains as the world power, as the same could be said to a large extent of the us now.

Everyone is fearful of deflation because of teh negative effects that may be experienced, I.e. Why buy something today when you can buy it cheaper tomorrow. Though even this doesn't stop people buying tech products that will be better value tomorrow.

People are used to getting pay rises and things getting slowly more expensive, even though no pay raise and zero inflation would amount to the same thing. Of course things like house price inflation are good things to teh majority of the population, though it Drains the wider economy of money that could, be utilised in productive means.

Let's face it all the central banks are currently promoting inflation with qe as well as low rates and aren't really having a. Lot of success at inflating away the debt.

bigadaj

Glen_Clark wrote: »

I saw a Panorama programme on the huge amount of unpaid council tax in London. The council coud not find out who these properties belonged to in order to send the bill - usually some obscure foreign trust. So if they can't find out who owns it I don't know how they could have found out where the money came from to buy it.
Of course if they were as tough on property owners as they are on motorists or benefit claimants they would seize the property in lieu of council tax, but they never did. Its the establishments benign attitude towards mysterious foreign property owners that is making London so popular and expensive. Its also temporarily propping up the pound.

That last point is odd though, I don't discount a conspiracy theory about dodgy money in these circumstances but surely the government wants a weaker pound?

Glen_Clark

lvader wrote: »

Like anything nothing is a problem until it is, expectations are much different now, money isn't backed by gold so inflation is expected. News and data travels very quickly now and really does affect the way businesses decide to expand or not.

None of that waffle answers the question you were asked

Glen_Clark

bigadaj wrote: »

Everyone is fearful of deflation

Really?
When its never happened before?
Why should 'Everyone' be 'fearful' of their money being worth more?

lvader

You don't understand that negative sentiment has an effect on the economy?

lvader

Glen_Clark wrote: »

Really?
When its never happened before?
Why should 'Everyone' be 'fearful' of their money being worth more?

The big depression was a problem for many, especially the poor.

Glen_Clark

bigadaj wrote: »

surely the government wants a weaker pound?

and they have got one.
Despite the dire state of the Euro, the pound has fallen against it by over 25% since the Euro was introduced.
The dodgy foreign currency flooding into London to buy housing anonymously can only be a temporary respite. This money will only come in to buy them once, and the vested interests seem set against building any more.

JohnRo

The big depression was a problem for many, especially the poor.

It's far from that simple and the effect doesn't make it the cause.

http://www.cato.org/sites/cato.org/files/serials/files/policy-report/1999/5/cpr-21n3.html