Wednesday, April 11, 2012

The War on Cash (Spain Edition)

Spain plans to limit cash transactions to EU2,500 to fight tax fraud. Italy was the first to implement cash limitations. Does anyone doubt that such a regulation will eventually be adopted in America? Of course, with limitations on how much can be withdrawn from banks.

Another good reason, to stockpile nickels now.

1 comment:

  1. It is always the same. They also did this during the Mississippi Bubble:

    "On the eleventh of December, Law obtained another prohibitory decree, for the purpose of sweeping all the remaining specie in circulation into the bank. By this it was forbidden to make any payment in silver above ten
    livres, or in gold above three hundred. The repeated decrees of this nature, the object of which was to depreciate the value of gold, and increase the illusive credit of paper, began to awaken doubts of a system which required such bolstering.

    The whole essay is worth a reading.