Karl Denninger: Banning Everyone!

[LargoWinch]

The message [by Karl], which has since been removed, read:

“Jesus, when does the idiocy stop? I am sick and tired of people asking the same dumb questions and bringing up the same moronic points. I do not like gold, ok? Got it? Good. It’s a useless hunk of metal and owning it is how you destroy your personal wealth. If you want to talk about useless hunks of metal, go over to the tinfoil hat brigade websites, where they are stockpiling their bunkers for the end of the world. That’s all I have to say on this topic, forever. And to my critics and detractors, **** you, my answer to you is and must be best and most-simply expressed in the following image:

Full article here.



Geez Karl, time for some, huh, vacation?



oh, I almost forgot, about that wealth-destroying-hunk-of-metal:


Yep I know, it does not pay a dividends, but so will California, Spanish, PIIGS and PIIGetS [insert your favorite place here] bonds shortly...

[Anon21456]

Re: Karl Denninger: Banning Everyone!

Didn't saw that post but I read one where he said that gold bugs should discuss gold in the metals forum and not all over the place.
Just that.

[mliu_01]

Re: Karl Denninger: Banning Everyone!

If you post in TF, don't type the word "itulip". it won't show up.

[ThePythonicCow]

Re: Karl Denninger: Banning Everyone!

If you post in TF, don't type the word "itulip". it won't show up.

Uh ... what's "TF" ?

[CanuckinTX]

Re: Karl Denninger: Banning Everyone!

Largo, the article you linked to is over a year old. What's his take now? He must have gone over the Cuckoo's Nest by now.

[ViC78]

Re: Karl Denninger: Banning Everyone!

Uh ... what's "TF" ?

TickerForum.org - Denninger's den.

The guy basically signaled the end of the bear market in March 09 with a post with 42 type fonts and nuclear explosion images all over the place to signify the end of the stock market.

[metalman]

Re: Karl Denninger: Banning Everyone!

a simple 'oops... i was wrong' and it'd all be forgotten & forgiven. what a dope.

[LargoWinch]

Re: Karl Denninger: Banning Everyone!

Didn't saw that post but I read one where he said that gold bugs should discuss gold in the metals forum and not all over the place.
Just that.

I think someone who says "buy out of the money LEAPS on the major indices instead of gold in the event of hyperinflation" is seriously delusional.

It would be preferable for Denninger's audience if he would act more like Jo Jo the Clown (PS: FRED, I think Denninger "Demands Recognition").

[raja]

Re: Karl Denninger: Banning Everyone!

While I mostly disagree with Denninger's view on gold, he does have one point worth considering . . . .

. . . . . the tax structure on gold is unfavorable, . . . . If you try to get around the tax man structure you're going to get creamed; governments can and WILL prevent that from working. My recommendation thus is to buy insurance against a hyperinflationary event using instruments that do not try to evade the formal financial structure .

People say that gold has no 2nd-party liability risk. But it does have an indirect liability to it that can be just as devastating -- the people's liability to the government in the form of taxes and other controls. Ultimately, gold is only worth what the government says it's worth.

The only scenario in which gold has no 2nd-party liability is if the government ceases to exist, i.e., Mad Max.

[metalman]

Re: Karl Denninger: Banning Everyone!

While I mostly disagree with Denninger's view on gold, he does have one point worth considering . . . .

. . . . . the tax structure on gold is unfavorable, . . . . If you try to get around the tax man structure you're going to get creamed; governments can and WILL prevent that from working. My recommendation thus is to buy insurance against a hyperinflationary event using instruments that do not try to evade the formal financial structure .

People say that gold has no 2nd-party liability risk. But it does have an indirect liability to it that can be just as devastating -- the people's liability to the government in the form of taxes and other controls. Ultimately, gold is only worth what the government says it's worth.

The only scenario in which gold has no 2nd-party liability is if the government ceases to exist, i.e., Mad Max.

then he agrees with a point ej's made since 2001... eg...

the government does not want you to own gold. No Goldie Mae to offer government-financed loans to buy gold. No annual interest rate tax deduction on gold debt. No long-term capital gains tax benefits. No special capital gains freebies. The government views gold ownership with the same contempt as the Wall Street Journal does, and probably not a coincidentally.
http://www.itulip.com/forums/showthr...09998#poststop

[Master Shake]

Re: Karl Denninger: Banning Everyone!

While I mostly disagree with Denninger's view on gold, he does have one point worth considering . . . .

. . . . . the tax structure on gold is unfavorable, . . . . If you try to get around the tax man structure you're going to get creamed; governments can and WILL prevent that from working. My recommendation thus is to buy insurance against a hyperinflationary event using instruments that do not try to evade the formal financial structure .

People say that gold has no 2nd-party liability risk. But it does have an indirect liability to it that can be just as devastating -- the people's liability to the government in the form of taxes and other controls. Ultimately, gold is only worth what the government says it's worth.

The only scenario in which gold has no 2nd-party liability is if the government ceases to exist, i.e., Mad Max.

Or, if you own physical and are discrete in how you sell it or exchange it for goods/services.

[Raz]

Re: Karl Denninger: Banning Everyone!

I began buying Gold in 1998. A little early, but better than too late.

I wish I had known of Eric Janszen back then - I would have bought a lot more than I did.
The eye-opener I received from EJ is this: "Why, after 35 years, during which time the Central Banks
could have easily disposed of this barberous relic, do they continue to hold over 40,000 tons of it?".

This is the thought that seems to escape the "Paper Bugs".

[raja]

Re: Karl Denninger: Banning Everyone!

then he agrees with a point ej's made since 2001... eg...

Yes, but he goes much futher than EJ . . . .

In the EJ quote you provided, EJ is talking about the current situation with gold. These are facts.
Denninger is talking about possible future government action that will make gold ownership a losing proposition. He says, "governments can and WILL prevent that from working."

EJ's posts are very one-sided in that he devotes little discussion to the potential downsides of gold ownership and how those downsides might escalate.
If he thinks there is no danger of future trouble, he should say why . . . .

[metalman]

Re: Karl Denninger: Banning Everyone!

Yes, but he goes much futher than EJ . . . .

In the EJ quote you provided, EJ is talking about the current situation with gold. These are facts.
Denninger is talking about possible future government action that will make gold ownership a losing proposition. He says, "governments can and WILL prevent that from working."

EJ's posts are very one-sided in that he devotes little discussion to the potential downsides of gold ownership and how those downsides might escalate.
If he thinks there is no danger of future trouble, he should say why . . . .

flat out wrong... go back and look at ej's discussions of gold ownership back to 2001... we'd ask, 'it you're so sure gold to $2500 then why not 100% gold.' ej always answered 'because gov't will raise the taxes on it to bring the price down... maybe to 80%... who knows.' ej was saying that in 2001 when karl was still playing the tuba for a marching band or whatever the fck he was doing before he started karl's internet playpen. i wish i didn't listen to that argument and went 50% instead of 15%... 9 yrs later & no 80% taxes yet.

[metalman]

Re: Karl Denninger: Banning Everyone!

I began buying Gold in 1998. A little early, but better than too late.

I wish I had known of Eric Janszen back then - I would have bought a lot more than I did.
The eye-opener I received from EJ is this: "Why, after 35 years, during which time the Central Banks
could have easily disposed of this barberous relic, do they continue to hold over 40,000 tons of it?".

This is the thought that seems to escape the "Paper Bugs".

goldbugs are too ideological to understand ej's argument for owning gold... because cb's do.