Karl Denninger: Banning Everyone!

[Thailandnotes]

Re: Karl Denninger: Banning Everyone!

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.

I agree with this, there's been tons of speculation here about why you won't be able to cash in, but it has died down a lot recently. I'm wondering if anyone has read anything about black markets for gold. I'm sure they will blossom as fears of confiscation/taxation increase with price.

[raja]

Re: Karl Denninger: Banning Everyone!

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.

In the last several posts, EJ has said nothing about the risks of gold . . . he only talks about how great an investment it is.

For some reason, he refuses to examine the negative side in detail. Why?

Back in 2001, there was much less risk of gold taxation/confiscation. Now, the economic situation has become desperate, and the risk of government interference has increased.

When considering an investment, it's wise to devote as much or more time to the risks than be swayed by the promise of potential gains.

This isn't an issue of EJ vs. Denninger, or who was right in 2001 . . . it's a question what to do now. Denninger raised one valid criticism about gold, which you said EJ agrees with, so let's have some analysis by EJ on it . . . something more than the rare, one-line comments.