Sweden Begins 5 Year Countdown Until It Eliminates Cash

Tyler Durden's picture

How much louder can the “ban cash” calls get?

Recall it was just last year when we catalogued the growing cacophony of crazies for whom banning physical currency is the only way to ensure that depositors can’t simply reassert their economic autonomy under a low or zero rate regime..

Put simply, if interest rates get too low, depositors will simply take their money out the bank and put it in the mattress or the safe where, to quote WSJ from last week, “interest rates are always low no matter what central bankers do.

Most recently, Larry Summers called for the abolition of the $100 bill in the US and in Europe the €500 note is to go the way of the dinosaurs.

Perhaps the most telling sign that citizens are starting to panic is that in Japan, they’re selling out of safes. Literally.

It shows a vague sense of unease,” one Japanese lawmaker who brought up the soaring safe sales in parliament on Monday remarked.

Now, the excuse given for banning big bills is that it combats crime. And maybe it does. But in the end the rationale is simple: if there are no more physical banknotes, people have no economic autonomy. Let’s say consumer spending is stagnating. No problem, take rates to -20%. We bet they’ll start spending then - either that or see their deposits haircut by 20%.

In short, no cash means no effective lower bound and with no lower bound, the economy can be completely centrally planned - for all intents and purposes.

Consumers not spending? No problem. Just tax their excess account balance. Economy overheating? Again, no problem. Raise the interest paid on account holdings to encourage people to stop spending. So with Citi, Harvard, Denmark and Peter Bofinger, member of the German Council Of Economic Experts, all onboard, we’re surprised to hear that Sweden (already one of the leaders in the cashless society movement) is looking to phase out a series of new bank notes it just introduced last year and moved ever closer to the cashless utopia.

“Last year Sweden introduced a series of new banknotes replacing its old kronor notes. But figures suggest these too could be gone from circulation in half a decade if the development towards a cashless society continues,” The Local reports,” continuing that “cash transactions today represent no more than two percent of the value of all payments made in Sweden, [and that estimate] will drop to below 0.5 percent within the next five years.

Some welcome the trend - credit card providers, for instances - others have reservations. “It is happening at a furious rate. And it's important to many older people to be able to use cash. I mean, today it is legal tender and you have to be able to use it until parliament decides otherwise,” Christina Tallberg, chairwoman of Swedish pensioners' organization PRO, told Swedish Radio on Friday.

Well, until parliament or perhaps more appropriately, until The Riksbank and Stefan Ingves decides it. Because at -0.55, it’s a “how much lower can you go type scenario.”

Well, if you go kronor-less, that question ceases to make sense. The "problem" simply goes away.

“Sometimes you have to learn new things. It's a little awkward for a transitional period, but I think it's going to be so simple that you pretty soon realize that this is a lot easier and better than having cash,” said working environment ombudsman Krister Colde of the Commercial Employees' Union (Handels).

Famous last words Krister.

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jaap's picture

Swedish people...., you have lost (your freedom).

 

BorisTheBlade's picture

What's left of it anyway.

TahoeBilly2012's picture

Mark of the Beast (TM) brought to you to Tribe Inc.

Bokkenrijder's picture

When it comes to 'racing-to-the-bottom' the left wing socialists of Sweden set a new 'gold' standard hahaha! The scary thing is that the rest of Europe appears to follow their 'lead.'

I wonder what will collapse first: the egalitarian multicultural paradise, or the socialist workers paradise...

p.s. apparently yet another person got stabbed to death in a Swedish asylum seeker house last week, but this of course is being completely ignored by the European mainstream (Lügenpresse) media.  Scroll down to 11:55am http://www.foxcarolina.com/story/31384562/the-latest-man-stabbed-to-deat...

tmosley's picture

If they can't buy cash with their electronic deposits, they will buy gold, silver, and cryptocurrency.  If those things are banned, then they will buy durable goods as a store of value and barter items.

These idiots don't understand that this is forcing their currency to hyperinflate. When it loses all value, they will be mightily confused. Shortly before their fall and necks are broken by a rope, they may understand that they have made a mistake.

layman_please's picture

when swedish finally realise, why the cash was essential for their economic liberty, it will already be too late. those other things won't be banned, because they won't have any money left to buy anything, anyway.

capital controls and bail-ins to the rescue, so i wouldn't put my money on hyperinflation.

even though the reasoning for all this might be to stimulate consumption, the result will be confiscation, both monies and freedoms. but don't expect central bankers to know that, as they are merely errand boys.

eforce's picture

People criticise the plan laid out in 1984/The Protocols but forget the amount of death/suffering in the alternative systems of governance...

J S Bach's picture

The Swedes are some of the most physically beautiful human specimens on the planet, but their collective intelligence is wanting.  From socialism to altruistic "immigration" to cashless monetary policies - they border on the insane (not that the rest of the West is much better).

bookofenoch's picture

I agree. I'm embarrassed to be from their full retard tribe. So are the other Swedish escapees. We, the remnant, fled with the looks and the brains, and what stayed behind was the obedient sleepy dregs.

Nordics debased themselves beyond redemption. Their bloody fate saddens me, but it's too late to reverse course. Brown devastates blonde, and abject poverty Sharia rule is their sticky end.

Freddie's picture

The Swedes (who are also being run by zio death squads like the rest of the west) are very screwy. 

Much of the good looks have to do with:

1. Fairly homogenous white gene pool.

2. Eugencis practiced in the past.  They wanted pretty people.  Even kids who were just hyperactive might have been sterlized.

3. Better nutrition post WW2.

So they practiced eugenics to keep a pretty and non-hyper active population only to be destroyed by feral animals from the middle east and africa.

I think the latter invasion was more the zios than Swedes.

Was the zio takeover done with murder of Olaf Palme?

Umh's picture

They are accustomed to living in a homogenous society. Somewhat like children growing up in a gated community.

Ace006's picture

The reasoning appears to be "Life here is great. 3M more foreigners would really enjoy life here too. They'll fit in with our ways. Nothing will change at all."

Google "angry Swede" for some great videos.

orez65's picture

"... their collective intelligence is wanting"

It's a consequence of their inbreeding.

Ace006's picture

Can anyone say "Stepford Wives"? You look at Mona Sahlin and you know the motor's running but the lights aren't on.

She received the fucking medal, you know. True story.

When Swedes like the gentleman above left only the brainless were left.

Couldn't Rick Moranis make some comedy movies about Sweden? The scripts would write themselves. " Take off, you hoser. Let's import 3M Africans to empty our bed pans. I'm sure they won't mind."

Redhotfill's picture

Evolution my friend, either something is prized for its beauty, or its utility. Obviously since they are brainless and crazy the only thing keeping those genes going is the beauty.  If they were ugly they would be extinct or close to it.

giggler321's picture

already neg. rate -  does anyone really think this s*** is gonna last 5years?  no way.  hey I know you've heard this before but this time it's different!  seriously, they seem to nudge down almost quarterly.  only thing i think could happen is cash out and then ban it at the same time making it not legal tender after everyone's stuffed their safes with it.

adanata's picture

 

 

giggler321....

I suspect that is the plan. Neg rates/fees/penalties/cash ban; all set up runs on the banks. As noted elsewhere, it would take twenty years of continuous printing just to cover half of the digital money now on deposit. African countries/Egypt already running short or are completely out of paper dollars.

The Sheeple are told, SO sorry, outta bucks, no cash for you. It's digital assets or no assets at all. Fail to comply and the sky will fall.

This is the wet dream of the IRS/Barons of Basel: total control of human herd...

Slomotrainwreck's picture

When there is a lack of true money, the market will continue to place value on what is now worthless coins and paper currency. Previous legal tender items will survive in one way or another. The rarer, the more valuable.

JRobby's picture

Sheep will be slaughtered worldwide. Europe is just the start.

Try arming yourself against the oppressors when cash is gone.

"We see now when it is too late what we are up against"

kiwigal's picture

That's how revolutions start,at some point the people will overthrow the powers that be. People collectively still have the power to decide their future, all through history we see this.

MagicHandPuppet's picture

"All your cash are belong to us, Slaves!"

Sudden Debt's picture

That's exactly what it is.

They don't want the common people to have money and that also destroys their prospects of ever becomming rich or starting a business of their own.

Living from month to month is the new crede...

Cruel Aid's picture

Oh they are only the first, anyone think they thought of this on their own, anybody think Obama is just a miracle candidate. its that agenda again. Its just that there is no fight back there

PrometeyBezkrilov's picture

They are not idiots and they understand what they are doing, this is why they are doing it. They have over 1200 think tanks working for them, collecting data on societal behaviour. It means the swedish lemings will never figure out what happened and even if they did they would not do anything due to being pussyfied over the years.

MalteseFalcon's picture

If young Swedish people want to self cull through inviting invasion and banning cash, then let it be.

Just make it voluntary, so older, wiser Swedes can finish out their lives with some dignity.

monk27's picture

Sweden, is that still a country ?

ThirdWorldDude's picture

Yes, though it's devolved into a banana parliamentary monarchy sitting in Uncle Sugar's lap.

Jack Burton's picture

Uncle Sugar staged a silent coup in Sweden over a little over a decade. They used money and threats to tame the political and media classes. These now do USA's bidding first before anything else. NAS spying allows blackmail, while the promise of corporate jobs after office allows multi nationals to control Swede politicians. Others simply want to be Americans, and seek to become fabulously wealthy by serving uncle sugar.

ThirdWorldDude's picture

To be more specific, the coup occured exactly 30 years ago, on the 28th of Februari 1986.

monk27's picture

... yes, though it's devolved into a banana parliamentary monarchy. 

 

Well, the way things are going chances are it won't be a country anymore in 5 years, so the question of which form is their currency will become rather moot...

ZD1's picture

 

 

Instead of using pics of blond hotties in their articles about Sweden, Tylers need to instead start using pics of women in burqas. 

Dancing Disraeli's picture

Instead of pics of blond hotties, in their articles about Sweden, Tylers should instead post a poignant picture of a lone poop floating in a pool.

adanata's picture

 

 

We are not much better; if at all, but how pathetic are the Swedish Sheeple?

It's good to be old....

Pheonyte's picture

It's not the young Swedish people that want this. More and more of them see it for the bullshit that it is and want their nation back. It's the accursed baby boomer generation that's brought this down upon them, as upon the rest of us. Those in positions of power right now all came of age during the 60s and 70s, and the havoc they've wrought is plain for all to see.

Lore's picture

No. Every young generation wants to believe that it is 'speshul.'  It's a common myth, fed and exploited by various groups for a very long time. Widening the gap between generations, like destruction of the traditional family, serves corrupt controlling interests.  What you call the 'boomer' generation is merely the latest cohort to enjoy an orchestrated period of stability between orchestrated periods of instability. The project is much older and darker.  

Kirk2NCC1701's picture

Maltese, have to strongly disagree. It's these Older Swedes who raised this generation of eunuchs, toadies and wimps.

Let them suffer the consequences of their ill-advised policies. As they sowed, so let them reap, and weap. - c/o Darwin Club

Arnold's picture

Cue the blonde jokes.

 

 

(As a ute, part of my summer job was to haul dead racing horses out of the paddock. It was someone's pride, sweat and joy. Summer thunder storms and other reasons, took a fair number in my time there... For us crew it was a situation where if we were not laughing and joking, we would be crying. A life lesson learned young.)

any_mouse's picture

Possible a few were sacrificed for an insurance payout that would be greater than their future earnings.

It is a business with investors and accountants after all.

 

sessinpo's picture

 Bokkenrijder    I wonder what will collapse first: the egalitarian multicultural paradise, or the socialist workers paradise...

------

Both are illusions anyway

Blue Vervain's picture

But it will backfire since when interest rates go negative people who would take their cash out of the bank will instead buy gold in order to retain their savings.

joeyman9's picture

Remember back in the olde days when the gold bashers used the argument, "Well it doesn't pay any interest."  At least it doesn't charge negative interest.

piceridu's picture

The Battle of Little Big Björn...Krister's last stand.

BuddyEffed's picture

ban is to bank as
broke is to broker

junction's picture

Sweden's leaders are quislings, agents of the CIA who follow orders.  As Julian Assange well knows. 

layman_please's picture

sweden has well established lines of old oligarchy (wallenbergs) who control most of their domestic and international economy, and are surely all included in the european globalist circles. it seems socialism makes people more gullible. go figure s/

joeyman9's picture

Socialism (in the public mind) equals MOAR FREE STUFF!!!!!  (until you run out of other people's money Margaret Thatcher).