First savers are taxed at 100% by the banks. Now the Federal Government is further stepping on your head by charging you for the right to lend them money. That is incredible. They are so f*cking you in the ear. Financial literacy in the US must be at an all-time low.
From the article In Bond Frenzy, Investors Bet on Inflation in the New York Times:
“At a time when savers complain that they are earning almost no interest from their bank accounts, some investors on Monday bought United States government bonds that effectively had a negative rate of return. Bizarre as it sounds, that is correct. In an auction of a special kind of five-year Treasury bond, investors paid $105.50 for every $100 of bonds the government sold — agreeing to pay the government for the privilege of lending it money.”
Economically speaking, saving is not investing. Saving is the act of “not consuming.”
You can always capture inflation in commodities. It’s a lot cleaner, and it’s not corrupt.
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