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Pastimes : Home on the range where the buffalo roam -- Ignore unavailable to you. Want to Upgrade?

To: Boplicity who wrote (7850)	6/14/2002 10:23:52 AM
From: T L Comiskey	Read Replies (1) \| Respond to of 13815

Humbled...? Im just getting over Being heart sick.. these last two years have been a Real lesson Laid up too many treasures in things that rust...moth doth corrupt...ect Im a born again Buddhist..<g> T

To: Boplicity who wrote (7850)	6/14/2002 10:29:43 AM
From: T L Comiskey	Read Replies (1) \| Respond to of 13815

The Mind of the Tax man......... from a very bearish investor on Z thread......... What the financial powers that be are capable of. The following is from the Richmond FRB site (Federal Reserve Bank). If a central bank imposed a per period, per dollar carry tax on electronic bank reserves when the interbank rate was pressed to zero by an abundance of reserves, competition among banks to avoid the carry tax would push the interbank rate below zero by the cost of carry. If negative rates were expected to persist for a while, however, banks and the public would hoard currency rather than lend at negative interest. To deal with this problem, a central bank could also impose a carry tax on vault cash and currency in the hands of the public. Modern payments technology makes it possible to impose a carry tax on currency by recording the date it leaves an automatic teller machine and the date it is returned to a bank. For the most part, currency is spent and returned to the banking system by merchants a week or so after it is withdrawn. Thus the imposition of a carry tax on currency would be collected like a sales tax. For instance, a carry tax on currency of 5 percent per year would be sufficient to prevent hoarding as long as the interbank rate was not pushed farther than 5 percent below zero.