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Why We're Headed Toward A "Cashless Society"
Submitted by Bill Bonner via Bonner & Partners (annotated by Acting-Man's Pater Tenebrarum),
Don’t Count on Your ATM Cards
Yesterday, came a report that the prime minister of Poland, Ewa Kopacz, has urged Poles traveling to Greece to take “a larger amount of cash” with them. Why? Because the situation could be “very dynamic,” she says. “Please do not count only on your ATM cards and on ATMs, but take a larger amount of cash with you.”
Queues are forming at ATMs in Greece of late. These ATMs will keep working as long as the ECB provides ELA financing to Greek banks. Unfortunately, the latter are beginning to run out of collateral. We are guessing they are probably giving the Bank of Greece IOUs now that they are issuing themselves. Yes, the situation is “dynamic”.
Photo credit: Simela Pantzartzi / EPA
It’s not the dynamic situation that would worry us. It’s the dynamite that lies beneath the whole world’s money system. It is a system that is fundamentally flawed. It depends on the intelligence and integrity of its custodians. Not that we think Madame Yellen is dumb. Nor do we doubt her honesty. But she is, after all, only human.
And centrally planning an $18 trillion economy – by manipulating asset prices and interest rates – is a super-human undertaking. The odds that something will go wrong? 100% …
It’s all data-dependent …
Cartoon by B. Rich
Controls on Cash
A reader asks a good question:
“I have a question about the recommendation to hold cash. If countries are putting controls on real cash and banking, in what form should a person hold cash? U.S. dollars or some other currency. If we truly go to a “cashless society” what good would having a hoard of cash do?”
We would like to have a better answer, but we only have the one we have. Money is always a convention. It is an understanding. People recognize money as a stand-in for wealth.
Since the beginning of civilization, people have experimented with different kinds of money. They ended up – almost always and almost everywhere – with gold and silver. Why?
Because they were handy. And because they were hard to produce. They were cash that governments could not easily control. No super-humans were needed to manage them.
Governments – the people who are able to boss other people around – always want to control money. They put their faces on it. They mint it. They clip coins. And they print pieces of paper and call it money.
But they could never completely control cash. People hoarded gold. They hid it. They ran away with it. They used it to make trades between themselves… regardless of what the feds said. And when the feds’ money went kaput – which it always did – they turned back to gold, because they knew they could trust it.
And now, the feds are making a new attempt to bring money totally under their control. For example, under the pretext of cutting funding for terrorists, the French government already has a law in the pipeline banning cash transactions of over €1,000 ($1,120).
There’s nothing stopping governments from banning cash transactions altogether… and ending the usage of paper money. Economists pretend it is a matter of convenience to the consumer (no more waiting for the clerk to make change for the fellow in front of you).
… or they try to sell it as a useful macro tool for central planners (they will be able to stimulate demand by imposing negative interest rates)…
… or they say a cashless world will be safer – you won’t be held up at gunpoint, and terrorists will find it harder to get financing.
But the real reason is control. If governments can eliminate cash, they can easily track, tax, and confiscate your money.
Bank robberies of the future
Cartoon via armstrongeconomics.com
When You Need a Stash of Cash
And if the feds can control your money, they will be able to control you. Do you voice an opinion they don’t want to hear? Do you belong to a group they want to get rid of? Do you want to know what happened to your tax money? Watch out… With a keystroke, you could be “disappeared.”
“Sometimes, when the government tells you to do something, it’s best to do the opposite,” says a French neighbor. In 1944, her father was the adjutant mayor of a small town in southwestern France. The Allies had landed in Normandy and the Germans were pulling their forces back to the Rhine. Our friend tells the story:
“Someone had blown up a German truck as it went through town. People were doing that. Taking pot shots at the Germans. The SS didn’t like it. They would gather up the mayor and a few other people. If they didn’t turn over the guilty person, they would kill the mayor. Or sometimes the whole town.
My father got a message that told him he was supposed to go to the town square. Instead, he went into the woods. It’s a good thing he did. Otherwise, I wouldn’t be here.”
When do you need a stash of cash? When the feds try to outlaw it. Hold some dollars. And some gold. We realize that our answer to the reader’s question is insufficient. After all, what good will cash be after it is declared illegal?
We’re not sure. Maybe we’ve spent too much time in Argentina, where people have more supple and more subtle attitudes to monetary regulations. Trading pesos for dollars, on the black market, is illegal. Do it and they take you for a scofflaw. Don’t do it and they take you for a fool.
More to come on this in future updates. Stay tuned …
What not to be in Argentina
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These articles are really getting old. (and stupid)
Bring it! The sheep will line up for the Beast chip and the rest of us can trade and barter without cartel interference in new Edens and rediscover reality.
Banksters desire to herd the masses into their control has been clear for a long time.
Consider the ATF-alcohol, tobacco and firearms-All three items are excellent cash alternatives but regulated by .gov a long time ago.
Due to their danger? Nope, due to their value in trade without any involvement of a bankster or .gov. (were they all not nearly precluded from private sales).
not to worry - krugman pwns his anti keynesian foes
http://www.bloomberg.com/graphics/2015-krugman-battles-austerians/
During the Argentine peso crisis in 2002, the primary medium of exchange in street markets was links of gold necklaces.
I created Gold to park wealth, silver to transact daily.
Thank you, Father.
"Gram'pa? What's an ATM?"
ass to mouth, like POTUS,
but you're too young for sex ed. Skadattle!
Don't forget Kyle Bass's warning from a "senior member of the obama administration", AKA Tim Geithner:
"We're Just Going to Kill the Dollar"https://www.youtube.com/watch?v=PJQKJqGC7w0
They want to go cashless because it would allow the only tool in the Keynesians know of to keep the debt-based monetary system afloat, lowering interest rates. Up against the zero lower bound banning cash is the only way to push rates negative. It will only cause super bubbles and it will still fall apart but they will never admit their system is a failure.
ZIRP is already destroying defined benefit pension plans like metastisizing cancer. They just don't speak of the mathematical certainty of the fixed income implosion. Denninger is useful in this regard for explaining how laddered bonds work and why they are being mortally wounded. NIRP would be an admission that they want to burn all paper, because that is what it would hasten.
/Pro Tip - it is going to happen anyway
I wonder what Kyle's going to do with all of those nickels?
Ever heard of a plug nickle? Ouch...
2015 - $1.37T US cash in circulation domestic/foreign
2004 - $664B
Who's cash is it? Seems it belongs to....wait for it..............................YELLEN and THE FEDERAL RESERVE
Legally, they are liabilities of the Federal Reserve Banks and obligations of the United States government. Although not issued by the Treasury Department, Federal Reserve Notes carry the (engraved) signature of the Treasurer of the United States and the United States Secretary of the Treasury.
Federal Reserve Notes are the only type of U.S. banknote currently produced. Federal Reserve Notes are authorized by Section 16 of the Federal Reserve Act of 1913 (codified at 12 U.S.C. § 411) and are issued to the Federal Reserve Banks at the discretion of the Board of Governors of the Federal Reserve System.
We, the treasury prints them and gives them to the FED.
Cash or not may be a Federal Reserve decision?????
"Greece" is currently not only "cashless" but in fact "money-less" as well...and that costs "cashless Greece" twenty percent plus in interest on their "cash-less cash."
That sounds like very valuable cash to me.
I would be long Greek Euro's if the Fed opens swap lines to "cashless Greece."
Twenty percent return on "cashlessness cash" sounds pretty darn good to me...
No cash?
No sir, we show an account balance of $14. Sorry.
-oops
Thats -14. Owed to the IRS since 1943. Plus interest and penalties. Compounded daily. Bichez.
What'ya gonna do about it?
Yes, unfortunately. That's why this guy makes so much sense.
http://redefininggod.com/nwo-schedule-of-implementation/
Raise rates, blame FED, abolish FED, introduce new debt slavery instrument.
Riiiight... Ron Paul is a secret NWO agent. Because (like Armstrong and Cahn and many others) he is warning about something big this fall, the Illuminati is going to go ahead and do something so as not to squander his massive cred with Joe Sixpack. The rabbit hole runs very deep - between the "everything is god" dudes ears.
Been meaning to ask.
Why did you create mosquitoes?
And...Why do men have nipples?
Because a tranny without nipples would just look weird........
For the same reason he created bankers, apparently.
Nice! This is a test: The bloodsuckers are swarming on all sides in all shapes, sizes, and dimensions. How do you respond? Accept The Mark, go willingly to the FEMA fun camp, snuggle up to Uncle Sugar and Aunt Nanny State? Or go the other way and say: Yay, though I walk through the valley of the shadow of death I shall fear no evil, for Thou art with me.
I created Gold and Silver to park wealth, Bitcoin to transact daily.
There, fixed it for ya, Gawd.
With a $100 bill worth $14 and change in 1967 buying power?
Cash is in a planned obsolescence spiral if they don't issue $500 and $1000 bills.
Per the Fed's own stats you'd need over seven hundred and twelve dollars to equal a single $100's buying power in 1967.
And when the ATM's shut down and banks take a holiday, how will you purchase food?
[Greece is in the process of answering this question right now...]
SELL GERMAN DENOMINATED EVERYTHING..
-
@Yen Cross: These articles may be old and stupid, but some are persuaded by reading them to dump cash, and that helps push up the price of gold and silver.
Many holders of precious metals are becoming impatient waiting for the price to go up!
That's a good point... I agree with your comment.
I certainly wouldn't want to discourage anyone from buying some hard(au,ag) protection.
The day is getting old, the people are getting stupid.
It's easler to fool people than convince them they've been fooled
I call bullshit on this article.
If there's ANYTHING that Cyprus and Greece has taught us, it's that...
1. Thou shall Not have all your money in one bank or in one country.
2. Thou shall have at least 2 month's Income in Cash (at home).
3. Thou shall buy Gold when it's truly cheap (getting hammered), and quietly store it in a safe place -- where Opportunists, Parasites and Predators can't find it (cause they don't know you even have it, much less where you have it).
"cause they don't know you even have it" ??
Any ideas about how to buy Au, Ag anonymously without paying a high premium? Most coin shops will sell bullion/coin without ID but their mark-up's a killer compared to online sellers!
I have to think that there are just too many crooks dependent upon good ole cash for a "cashless US" to happen.
And good luck trying to implement it, too. You want to finally piss off enough people to really start a revolution?
Take away their cash . . .
We are headed to a freedomless society.
Say hello to iron fisted supranational ZWO tyranny via control of the money and media.
Lot of fucking guns in the USA my palie, theys gona have to gets dem y its no easy tisk.
Which is precisely why they are staging hoaxes such as sandy hook to manufacture the political consent to disarm Americans.
Joe Lieberman's Sandy Hook donations site certificate was issued before the event occurred.
Go figure.
Lot of fucking guns in the USA my palie, theys gona have to gets dem y its no easy tisk.
Yeah, because US citizens' guns have preserved them from tyranny so far.
You want to know why .gov keeps talking about gun control? Because when it doesn't go through, all the gun owners can sigh and say, "well, thank God I'm in America, the Land of the Free!' and go back to watching the Kardashians while .gov keeps adding more locks to their cages.
Guns rights aren't your defence. They're just a teddy bear for you to clutch while .gov rapes you, day in, day out.
dove entrails... data dependent... indeed
Everyone does realize when they ban cash is when the shooting starts right?
I always heard, "by the rising of the moon",
but I like yours better.
+ 100111100001111100001111001101100110000
You made a mistake, it should be this:
100111100001111100001111101101100110000
Why don't you two get a digital room?
Actually, I don't think the shooting starts when they ban cash. I think it starts when they try to enforce a ban on barter.
They'll do the ban, and you'll have the FSA in the cities -- they're already on e-benefits, no change for them. Middle class in cities will play along as long as they can -- at some point they'll be taxed into nonexistence, face it, it's getting harder and harder on the actual wage earners -- but at some point they'll break, and either decide to be poor and join the FSA, or go black market, where the barter comes in. When the gov't goes after them, it's going to look like the war on drugs, picking off a few sloppy people, maybe getting some fines from others.
Outside the cities, the FSA will find only Walmart will take the money, and everything else is going to be barter. As soon as a gov't entity tries to enforce a barter ban, especially outside the cities, there's going to be dead agents of the gov't, because seriously, at that point, the people have nothing left to lose. Any gov't that forces people into a nothing to lose position is functionally retarded and will get torched at any weak spot. They can't send troops to every small town everywhere at the same time, and I doubt the local PDs are going to be too keen to fuck their neighbors up (especially when it can be lucrative for them not to.)
All of this will just be a short prelude to a collapse. If things are so bad you're having to get rid of cash so you can steal people's bank balances more effectively, your financial system is already dead.
It died in 2008. It's been on debt based, vampire (QE) life support since.
When they ban cash positions will be taken. Large, grotesque spectacles will be made of those out of position. Traitors will be sacrificed to psych out the opposition. Others will be turned.
The business will not start until this preamble completes. Its not like Soros isn't executing his account managers who are off by a penny...
The banksters are forcing people to go back to bartering <=> shoot in foot
Give me cash or give me death...
Once Deutsche Bank is liquidating then the CBs will start the buying programs. Goldman wanted DB gone, and they get it. Wonder why GS has such a hard on for DB?
The Soviet Union is just a great idea to be following for all the central planning morons out there.Believe me,anything,anyhow,anywhere,anywhen that Government runs or operates is doomed to a level of idiocy that only the guy on the front of MAD Magazine should be trusting.Government of any type at any level is like a cancerous tumor that needs the lifeblood feeding it cut off.
This is somewhat of a side comment but I'd appreciate feedback. Martin Armstrong likes to advocate for doing away with all taxation and to have the Fed and Treasury simply "print" money for the government to fund itself. But with a cashless society, as he believes will ultimately come, the government would end up having even more control over people if taxes are no longer an adjunct to the overall system. By defult, his advocacy for doing away with taxes promotes elevated totalitarianism. Does the guy not see this? Hard to think he doesn't see it. Which leads me to wonder about a few other things... ;-)
They already simply print the money for the government. Banning cash could be the next step. I'm hoping it all falls apart before they get total control.
THE FEERAL RESERVE WILL RAISE INTEREST RATES.
THAT 12 BILLION DOLLAR AIRCRAFT CARRIER WILL BE PAID FOR WITH INTEREST...
In order for cash to be banned would require huge constitutional changes... Part of the consitution specifically relates to commerce and payment as related to individuals traveling over state lines.
There's so many parts of banning cash for payment that wouldn't EVER meet constitutional muster, that that's why assclowns like FINRA exist. The fucking CIA wouldn't exist if cash was banned.
The beauty of this clusterfuck we call Amerika is that now everyone can be an equal oportunity taker. Tell the tards at the local Obungler poles that they can't pay cash for their cigarettes and get cash back for the titty bar later.
Bitchez, cash ain't going no~where anytime soon.
SCOTUS will protect us.
HA MF HA.
Indeed. I heard SCOTUS Medical is the best protection out there. /s
Yeah, that's what I was thinking. The SCOTUS has been making decisions according to what the government wants not what's constitution says.
Well, the 3 tribe members voted predictably in both cases, for bigger gov. and anti-Christian, just like their happy days in the USSR. The goy are being cooked alive once again.
Yeah and ten years ago people would have thought it absurd and un-constitutional for the government to use its agents to enforce "a tax" being paid to a health insurance corporation.
Furthermore, one would have been called an insane lunatic to further stipulate that nine black robed judges who have supposedly studied said constitution (and the attendant bill of rights) would in fact stand with the government and corporations against the people and uphold it as law.
What is this constitution you speak of?
nmewn you of all people should know better. You're comparing apples and oranges. I started buying property overseas 15 years ago just because we all see what's been discussed, is finally coming to fruition.
There's a big difference between telling an individual that they can be taxed for something, as opposed to how they have to pay that tax. There's NO way all 50 states would agree to something so Draconian. It would literally split the country into 4-5 pieces.
As pathetic as Zerocare is, there's still many loopholes around it. Telling a country of 320-340 million that they can't make a purchase without physical currency is a whole different can~O~worms.
My point of course was, never depend on "the law" (or its interpretation) staying as the contract originally stated and all parties understood it to mean at the time.
They could in fact ban cash tomorrow calling it a "national emergency"...a threat to "our way of life"...attach whatever shallow, vaccuous, rote headline grabbing witticism a statist wishes.
As I say, thats when the shooting starts, my saved labor (gold or paper) doesn't belong to the government or the banks or a corporation.
You make a compelling argument, and that's what I repect most about you. Obviously, temporary extenuating circumstances apply.
Remember last year when the Wallmart EBT cards couldn't be read for 8-10 hours in some stores?
The FSA digressed into full "pavement ape" mode, and no amount of free bottled water would fix it. Just imagine if their ex-presidents were rejected.
Paer is paper, and I tell friends "all the time" to buy some metal. Metal isn't hard to move if you do it properly.
Sorry bout the late reply, grillin chicken here.
We're cool ;-)
always my friend. :-)
Money does not work for me.
Barter does.
I believe that a cashless economy will make my life easier, not harder, as there will be more potential trading partners.
Once a persons value is measured in what he can do (Or in my case, repair, commission and operate) rather than how patient he is with fuckwits, again, my value as a person can be expected to rise.
Financial apocalypse? Bring it on!!
Emp? Carrington event? I will have electricity afterwards quite quickly...
When "the shit gets real" people like me are OK, it's the lying and pretending that is so neccesary in this world of moneychangers that I can't succeed at.
I get your point, but at the same time, we've had bullshit like Choke Point happen. They may not be able to ban cash completely, but the can fuck up the gateways between cash and the regular banking system more than they already have; certainly enough to firewall the finance economy from the daily necessities economy enough to prevent liquidation. Then it's just a matter of getting NIRP going on the banking side and everyone is trapped.
I think the bigger tell here won't be a cash ban so much as capital controls that have the same effect, e.g. prevent money from leaving the country or the banking system, meaning limiting FX and PM transactions among other things. Combine that with no printing larger denomination bills and some real inflation and you've got 99% of a cash ban's effects but it still passes constitutional muster. And, in the meantime, don't change any policy limits and in a few years FINCEN will get notices over transacations that can barely pay for cheeseburgers. So it's win-win for TPTB. Of course it also means the system is on the verge of total collapse.
THE ONLY THING THE FEDERAL GOVERNMENT OWNS ARE LIABILITIES.
ALL FREE CASH FLOW PRODUCING ASSETS ARE OWNED BY WALL STREET.
BANNING CASH WOULD MEAN ZERO GOVERNMENT...JUST ASK GREECE.
There's no redundancy in a cashless system. That's why all the checks and balances have been put into place.
Black budgets would cease to exist, and everyting would be traceable. To the determinant of governments.
Capital controls are exactly the way things are moving. The more restrictive governments are on commerse, the more it will move off shore. China and Russia are loosening restrictions when the U.S. is tightening.
The world has a supply glut and over capacity. There's going to be some conflict over the next 10 years. Based on the rookies running the show, it isn't going to be pretty.
They had it planned for last July and no one fell for it. They definitely will start something before 2016-17 because of this;
http://missilethreat.com/defense-systems/s-500/
Understood, the point is the same, making cash worthless/valueless to exchange for real goods & services. But it really is an indictment of themselves & how far they are willing to go.
As the article says...for CONTROL.
I have something you want. You have something I want. BB doesn't need to know.
Just leave your phone at home.
Own real assetts including Gold, Silver and Real Eastate.
Obama say's Reggies Eastate ing good
It would only work if the whole world did it at the same time.......
unlikely......not to say the Govt doesn't wants a cashless society.....as they can tax every transaction.
The problem is the over borrowing of the Govt.....and being cashless will not stop the borrowing.
They have this ass backwards.
Yes some people don't pay tax and some minimize their tax bill......that is natural.
And what happens in the 3rd World in a cashless society?
What about beggars...?
Will they have a mobile swipe machine?
It doesn't have to happen in all countries. Since when did the US care about the third world? Other than to use as target practice of course.
TuPhat, I think he meant the 3rd World within our borders.
Dude I've been cashless since 2010. Bitcoin last price: $250.13
Going "cashless" will be a very long drawn out process and fraught with innumerable problems. Remember - every man, woman and child (to be determined the age) will have to be identified and be issued a card (basically their 'cash' card). This is NOT an overnight scenario where you go to bed with cash and at 7am - bingo - your cash is completely useless. The .gov would love that to happen but it's humanely and techologically impossible.
THEY WANT CASHLESS SOCIETY BECAUSE THEY WANT CASHLESS PEOPLE MEANING BROKE, HOLDING THEIR DICKS IN THEIR HANDS. WOMEN HOLDING SOMETHING ELSE.
THAT'S THE PLAN OF WORLD BANKSTERS.
Anything that cannot be controlled or easily confiscated will be outlawed. Know of any countries currently having their offshore assets siezed or accounts frozen??
How much more fragile can they make society? One EMP and we are cashless squared.
Just got back from Argentina. Changing dollars to Pesos is no problem. You go to the neighborhood where it's done and MANY people ask you to change and you go in an office without any signs and change dollars at a higher rate than the banks.
How about a bankless society instead? Isn't everyone sick to death of these parasites charging the us (via the government treasury dept) for the privilege of printing our own money? Isn't it obvious that the banking business model of fractional reserve is one that are both fraudulent and debt producing? Isn't an economic model predicated on growth an impossible burden on finite resources and an incredible burden on everyone as we all have to work harder each year to make up for inflationary pressures?
We don't need banks - crowdsourcing is a case in point. We don't need governments even. We'll all still muddle along fine without some loud mouth moron and his bureacratic minions telling us what to do 99% of the time. For 1% of the time, we just need an agency to protect us from predatory entities - nations/corporations/gangs/oligarchs/government agecies - trying to steal our shit and fuck up the world. Meh. honestann says it better usually.
You're on to something YHC-FTSE
Only I would modify what you purpose by stating that we need a bank charterless society.
That's right, get government out of banking and money as completely as possible.
Allow anyone to open a bank, issue credit and "money".
Let fractional reserve compete with full reserve, usury lending with non-usury, let fiat money issuance compete with PM money, bitcoin money.
Let shysters compete with the reputable without government giving a monopoly to anyone.
If you stop to think about it, it is when government grants a monopoly that corruption becomes ingrained & problems become systemic. Government granted monopolies mean that it's the turds rising to the top instead of the cream.
Let people decide for themselves what to utilize.
Isn't there a term for that? What's it called??? .... oh yea, it's called free-enterprise.
tell that to greeks
cashless is slavery
According to Macquarie Research:
http://personal.crocodoc.com/lHeFs3w
China drama & Greek farce
Are Central Banks at the end of the road?
Greek and Chinese dramas question role of Central Banks…
- The latest developments in China and the Eurozone inevitably invite the question whether Central Banks are coming to the end of the road. Given the limited impact of their policies on real economies with stimulus largely being confined within walls of financial assets, has the time of reckoning finally arrived?
- As discussed in the past (here & here), the only sustainable LT outcomes for the over-leveraged and over-supplied global economy are either: (a) allowing the deflationary cycle to go through, thus eliminating global excess capacity in service and merchandise economies; (b) elimination of excess debt via some form of hyperinflation and/or co-ordinated debt cancellation; or (c) banning capital markets via nationalization. Given that neither of these alternatives is attractive, involving pain for either borrowers or savers; intergenerational transfers or courting sharply lower ROIC, CBs would rather kick the can down the road in the hope that a solution would be eventually found.
…and should CBs place monetary policies in neutral gear?
- PBoC’s half-hearted attempts last week to slow the pace of appreciation of the equity market have inevitably and predictably resulted in severe correction. The double-barrel reduction in interest rates and RRR on Saturday is a belated realization that it is courting a significant economic backlash. As discussed here, we do not believe that China’s de-leveraging is either possible or desirable. Having reached leverage of ~3:1, any debate about the evils or virtue of debt has passed a long time ago, and the only viable choice from now on is to continue leveraging, though perhaps at a somewhat slower and safer pace.
- In order to continue leveraging, PBoC has to make sure that: (a) there is no sharp correction in any of the key asset prices; (b) at least some asset prices are appreciating; and (c) there is no further contraction in nominal GDP. This requires a combination of exceptionally stimulative monetary and fiscal policies as well as trust that a country is not yet in a liquidity trap and that it is capable responding to stimulus in safeguarding nominal GDP. The game is no longer about reaching 7% real GDP growth but avoiding zero nominal GDP.
- The same dynamics are playing out in Europe. The battle is between politicians who have not yet grasped that deleveraging is no longer feasible, and the ECB, which is fully onboard. Whether Greece is allowed to exit does not alter the basic argument that the numbers do not work, unless leveraging continues.
China is at very early stages of stimulus
- We maintain that China is at an early stage of significant (probably the largest globally) stimulative action. We expect that over the next two years, RRRs would be reduced to historic levels (i.e. 5-6%); interest rates would be lowered to zero and fiscal spending would become much more aggressive (including multiple banking re-capitalizations). The only question is whether China would send a massive inflationary pulse through global economy or would aim for more moderate impact. Initially, the PBoC would be aiming for moderate outcomes, ensuring support for asset prices but avoiding more disruptive action. However as we progress into 2016-17, more drastic actions might be needed. In the meantime, we remain O/W MSCI China, as equities remain the least systemic asset class that can be leveraged, at least for now.
The painting is "Sta?czyk" by famous polish painter Jan Matejko. Worth seeing and reading about:
https://en.wikipedia.org/wiki/Sta%C5%84czyk_%28painting%29
https://en.wikipedia.org/wiki/Jan_Matejko