The rich can usually figure out a way to maintain and grow wealth, according to current conditions. It’s a priority in their lives. This time the conditions are: near zero interest rates and low inflation brought about by monetary easing.
It does not take a rocket scientist to figure out that the only wealth growth opportunities are in real assets like stocks and real estate. Interest payments and dividends won’t cut it.
Zero’s next redistributional move would be to tax assets. If so, the wealthy will either hide (i.e. gold) or transfer wealth offshore or move offshore. He knows that asset taxes would do more harm than good for his legacy.
The wildcard: does zero care about his legacy?
RE: Zero’s next redistributional move would be to tax assets. If so, the wealthy will either hide (i.e. gold) or transfer wealth offshore or move offshore.
So, what’s stopping him from going after offshore assets?
They’ve already bullied Switzerland into giving up the names of American account holders.