News from over the pond in the USA this week was that the rich have increased their wealth by around 15% in the past year. That doesn’t surprise me, the rich are getting richer all over the world. Governments print more money and it disappears. Are you getting your share? Or are you even worse off?
This week has been interesting, with news that the building industry is supposed to get a boost from government. More interesting was news from the European Central Bank, that helped stock markets around the world to recover a little. The big news though, was the rain has stopped!
We hear a lot about so called ‘safe havens’ for investment funds. The United States was a ‘safe haven’ for many US investors and the UK has seemed a safe investment for many funds compared to Europe. It’s not just Government bonds that are seen as ‘safe havens’ by investment fund managers, but blue chip shares too.
Filettino, set in rugged hill country around 100 km (65 miles) east of Rome, is printing it’s own money to get around the austerity cuts. I like this idea! Localised quantitative easing and why not? If central bankers can do it, why not local people. Money is just paper, you can print anything to represent money, notes, vouchers, stamps; you don’t even have to print it with computers and smart phones, it can be just numbers on a computer screen; bits transferring from computer to computer. It just has to be credible. It has to mean something. The town council could issue notes or whatever with the town hall as security; that would be more solid and have more backing than the bank notes we use every day! (more…)