Posted on 01/02/2014 11:12:18 AM PST by RKBA Democrat
Anyone who thinks it is a fantasy that government will simply just confiscate 10% of everyone’s accounts in Europe better have another look at the fool they see in the mirror staring back at them. This IMF solution is traditionally French and is really coming because the people in charge are effectively Marxists and this idea came from the IMF under the control of French ideology. They will expropriate these funds to save a banking system that they screwed up and will never reform anything because they are incapable of admitting any mistake.
These European government officials really are playing a dangerous game that is inviting total chaos, civil unrest, and may set themselves up for invasion. Instead of Napoleon invading Russia, it may be the other way around when they smell weakness.
Let me make this very clear. I have many French friends and they know the people in charge are just Marxists. Adam Smith wrote Wealth of Nations because he visited France to investigate Physiocracy that argued agriculture was the only real wealth. Karl Marx did not come up with Communism himself. He was more of a socialist. He did not advocate confiscating all property. It was the French movement of a commune at the time that convinced him their way was better. It was Engels who steered Marx into Communism. These ideas have emerged from France and this is why we have some of the most insane ideas still emerging from this country. There is a core philosophy among some that this socialism is correct.
The IMF proposal to expropriate everyone’s accounts in Europe will happen. The consequences could be absolutely the collapse in confidence that will be off the charts. Why should people trust government ever again or any bank for that matter?
My advise to Europe – move as much as you can buying US stocks for now and even take delivery of the share certificates to prevent them from finding accounts in New York and demand they too be handed over. Hollande will come up with that one you can bet. He will weaken Europe and destroy the future of generations yet to come.
They touch my stuff and I’ll kill ‘em.
Trees are nice, too.
What they are more likely to do is to either manufacture, or at the least take advantage of, a major financial crisis. The perfect example would be when (not if, mind you, but WHEN) the market tanks. After most people get their financial clocks cleaned, Obama will "ride to the rescue" by offering everyone with an IRA or 401(k) the option of transferring X% of their fund into special US Treasury instruments. These will bear "guaranteed" interest of 3%/year (or maybe even be indexed for inflation - which the government regularly understates), AND (here's the real hook) he'll offer to restore the account of anyone making such a choice to its full value as of the beginning of the "crisis." Millions will jump on this - and forever have a large part of the retirement plans run by the government at sub-par rates. Further, those funds will - guaranteed - be used to "loan" the government money when there are future shutdowns.
Oh, and if you don't cooperate with Obamacare and a host of other mandates, they'll take it out of your retirement plan.
Of course, it'll start out as a voluntary program, but within 2 or 3 years it'll become mandatory - plus mandatory additional "contributions" (i.e. taxes). IOW
IT'S A TRAP!!!!!!
If the people don't start shooting politicians in the street after something like this, then it is over and done for this country.
A good reason to invest in land, precious metals and other appreciating physical assets, and establishing a trust or LLC to control what can’t be converted.
The eviromentalist would have a hissy fit!
After the last market drop, that is exactly what started the talks about nationalizing 401Ks. They were saying that everyone that saves for their own retirement were just victims of Wall Street and are not capable of taking care of their savings.
The union folks I used to work with could not understand that CALPERS had lost money too, “because their benefits are government guaranteed”. I would tell them that the government can just print money to pay out benefits if that is what it came to, but the money would be worthless.
Understand what you’re doing by putting money in a bank. You’re nothing but an unsecured creditor with deposit insurance. And you’re risking those funds for not even 1% interest in return.
“So any FReepers who have over, lets say, $100,000 in one account, break up the total to five separate accounts at five different banks or credit unions.”
That wil work. For now. Just a stroke of a pen away from making it $100,000 per person for ALL accounts.
Let’s face it. As a bank depositor you are nothing but an unsecured creditor with shaky deposit insurance. So, you’re taking the risk of bail-in’s and default for what? Not even 1% interest? Sounds like a lousy deal to me.
“A simpler solution they could implement is a mandatory 1% purchase of government bonds by retirement accounts. It starts small, as a way to supposedly diversify peoples’ holdings. Then up the percentage that must be held in government bonds. They aren’t officially confiscating it, but actually are.”
Yup. Other countries have done similar. What used to be a smart investment, a 401(k) of IRA, is rapidly becoming a really rotten one.
“IT’S A TRAP!!!!!!”
Most investments are a trap right now. IRA’s or 401k’s? Stroke of a pen, they belong to the state. Bank accounts? Welcome to bail-ins. Land? I sure hope you like property and wealth taxes.
And remember...it’ll all be for the children.
Yeah, and Marx, completely opposed to free trade [speaking of Adam Smith], once made the comment that he was in favor of it because it would cause the workers to revolt and thus help to usher in communism.
To this day, even some FReepers read that comment as a justification against it.
I’m sure someone could keep a branch open for them, too.
Easier said than done. I have been trying to find out for weeks now where the best place is to establish a business without having to travel there, and to open a trust as well. The laws regarding both seem thus far too murky for someone not highly trained in legalese to easily establish either...
That reminds me...
The commies read something into Thomas More's "Utopia" that was not there.
More used his little bit of fiction to prove the insanity of Utopia. I have taken the time to study it and More spoke as "Morus" and used Socratic dialogue to point out the fallacies of such a regime.
The commies thought he was endorsing a Marxist system and they erected a statue to him on Red Square.
Have never read that -- heading to Amazon now to order it.
Woo-hoo! Free for Kindle! Thanks for the pointer.
Let me know when you read it, okay?
Booikmark
Stop giving them ideas!
In addition to the difference in work and effort put forth by the savers, there is also missing from that “equality” calculation the vacations, days off, restaurant meals, delivered pizzas, fancy cars, etc, the savers gave up in comparison with the non-savers.
I know plenty of people who made more than I did throughout their careers but who have less in a retirement account. They were busing jetting around or driving fancier cars or eating in restaurants instead of cooking at home. They saw every movie in the theaters, always had the latest gadgets, dressed in the latest fashions.
There was a reason I cooked at home, drove the car a few more years, wore my clothes until they were worn out, and saved my money and it wasn’t in order to finance the lifestyles of the spendaholics.
I will not be penalized for my responsible decisions and hard work in order to subsidize someone else’s laziness and bad decisions.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.