money

How the Rich Get Richer! | Armstrong Economics

Posted on by johnbarleycorn12

COMMENT: You always support the rich and never see what they do to the rest of us. LW ANSWER: You simply believe the propaganda of governments. The rich get richer by INVESTING in assets. They list Bill Gates among the top in the world. Do you really think one gets rich by making more per hour than the next guy? Wealth is created through assets – not wages. The NUMBER ONE suppressor of the people is all governments. I worked hard trying to get Social Security reformed and privatized when the Dow was 1,000 instead of 100% government bonds. I gave up. There are too many pension funds that are restricted to buying government bonds. It is not the rich that prevent others from investing. It is always the government. If you really add up what you pay in property taxes each year and subtract that from the value of your home, you will quickly see that you probably lost money. When you sell the house, they do not count the taxes paid for decades as part of the cost. Wealth is created by INVESTMENT – not buying bonds and certainly not by wages. Who prevents the average person from investing? It’s not Bill Gates.
— Read on www.armstrongeconomics.com/world-news/corruption/how-the-rich-get-richer/

Food for thought

Socialist Seattle Councilmember To Pass Dangerous, Crippling Amazon ‘Head Tax’ | Daily Wire

Posted on by johnbarleycorn12

Despite protests from hundreds of Seattle business leaders and voters, the Seattle City Council is ready to pass a “head tax” that may stymie business growth, negatively impact low income communities, and kill new jobs, all while funneling money into the Council coffers to take on homelessness.
— Read on www.dailywire.com/news/30513/socialist-seattle-councilmember-pass-dangerous-jason-rantz

They never get enough money 💵

Prostitute Tokens of Rome & Regulation | Armstrong Economics

Posted on by johnbarleycorn12

QUESTION: Mr. Armstrong; I read about the prostitute tokens of Rome after another one was found here in London. They say they are not sure why they exist. Some said it was to mock Tiberius. That does not seem plausible all the way up here in Britain. Can you elaborate on their origin? Was it really a crime to pay a prostitute with a coin that had the image of the emperor? Thank you HW ANSWER: Yes, many of the people seem to just look at Tiberius (14-37AD) who the rumors said he was engaging in wild sex acts himself. But that too was rumor and speculation. It does not seem that these are some political mockery of Tiberius. There are far too many denominations and designs no less they have been found throughout the empire. The more likely scenario is just looking at Augustus (27-BC-14AD) who was very conservative if not prudish. He banished Ovid who wrote his Metamorphoses to Romania for advocating free love and exiled his own Daughter who he basically disowned. He passed family laws that forbid young men to remain unmarried. It is far more likely that Augustus made it treason to pay for sex with a coin that had the image of the emperor when they all did. While these tokens have been attributed to Tiberius, I believe that is simply out of character and were by no mean political mockery, but because of the policies of Augustus. I have written extensively about that topic before. The tokens are also known as spintriae. Yes, it was treason to pay a prostitute with a coin that had the image of the emperor and they all did – hence the tokens. From an economic perspective, these are rather important for they demonstrate that the government cannot outlaw anything with regard to human behavior even under the pretense that it is for their benefit.
— Read on www.armstrongeconomics.com/history/ancient-economies/prostitute-tokens-of-rome-regulation/

History

Bondholder Suing Spain for the Bail-In of Banco Popular | Armstrong Economics

Posted on by johnbarleycorn12

It was only a question of when, but now those investors who lost 100% of their money in Banco Popular in Spain are filing a lawsuit demanding answers in a court filing in New York seeking information from the purchaser of the stricken bank – Banco Santander who paid just €1 to take over troubled rival Banco Popular. This entire affair demonstrates why European bank shares and bonds are FAR TOO RISKY to own. The government demands that European banks raise capital. However, if you invest in a European bank and there is a problem with more bad loans than expected, they can seize the bank and sell it for even €1 and you have lost all rights to your investment. I have warned many times, you cannot play around with governments. They can change the law retroactively, do whatever they desire and will NEVER be prosecuted for even outright fraud. They are the Devil and you just cannot reason with power gone crazy.
— Read on www.armstrongeconomics.com/international-news/spain/bondholder-suing-spain-for-the-bail-in-of-banco-popular/

Rightfully so

Has Draghi Just Lost It? | Armstrong Economics

Posted on by johnbarleycorn12

QUESTION: Why are long-term yields on risky European debt below that of US Treasuries? Is this the European bubble madness? HN, Frankfurt ANSWER: This is unquestionably a bubble, but the buyer has been the ECB (European Central Bank). Yields on risky European bonds have been driven below the yields of long-dated US securities. The financial system may appear to be riddled with anomalies, distortions and erroneous prices, but all of those labels assume it is the madness of crowds rather than the government. Mario Draghi has created the worst possible financial nightmare perhaps in modern history since governments began borrowing in the 12th century. These are not driven by a free market, but one that is manipulation of a central bank gone absolutely mad. The average return on European junk bonds is below “risk-free” US government bonds. This is completely driven by the insanity of the ECB. In fact, Draghi purchased around $ 2.6 trillion in securities since his Quantitative Easing began in March 2015. He assumed that this would stimulate the economy. However, all it has done is kept the member states on life-support. He is trapped and has no way out, which is why he has come out and said that the ECB will reinvest when the bonds they hold mature. There will be no end to this madness and he has single-handedly wiped out the bond markets. There is no free-market remaining so the question becomes – how will governments ever sell its debt in the future?
— Read on www.armstrongeconomics.com/international-news/europes-current-economy/has-draghi-just-lost-it/

Doubling down