To be fair, covid accounts for a doubling of Australia's net government debt to $729 million in June this year.
Is the crypto boom & bust just part of 'every bubble being pricked' in wider market sell-off?
- Thread starter grubstake
- Start date
Help Support Prospecting Australia:
Yes, the States take their 10% after the Commonwealth. That is one of the reasons the Commonwealth can afford to have half the population paying no net tax - everyone then gets caught with the State GST.Also do not forget that every taxed item you purchase you have already been taxed on that same money you are using to purchase that said item
user 22230
Gavin of Garfield
- Joined
- Dec 7, 2021
- Messages
- 998
- Reaction score
- 2,682
The gov is really just saying assume the position
And not to mention that the Commonwealth still take tax out of Superannuation accounts in accumulation phase by taxing their earnings at the rate of 15%.
The total value of superannuation assets held by Australians is approx 30% more than the total valuation of all companies listed on the ASX,
Even allowing for non taxed retirement phase fund earnings that would still represent a lot of tax moolah that we contribute through our superannuation during our non retirement years.
I don't think that is such a great amount (see above, less than excise and customs duty) - keep in mind that you do not pay normal income tax on money that you put into superannuation. So instead of paying say 30% personal income tax on your income tax you only pay 15% on the amount of your income that you put into Super - for a lot of people it saves them tax, and it actually deprives the government in the short term because they get less tax on it than if it were declared as personal income tax. Because in the long term they hope to have to pay out less in pensions at retirement, thus costing government less overall.
As much a I like gold. What is the point of holding if everything fails. It has no practical use in a self sufficiency environment. I'm still keeping mine
For at least the last 3000 years, you have been able to trade gold for anything you desire, I don't think it will ever lose its intrinsic value, but I'm with you, the last thing I'll give up is my pretty little golden rocks that took so much effort to find!
Dave, you saved those golden rocks from a life(?) of lying in the cold,wet,dirty ground and they thank you for it and they are happy to stay with you. Now I will go snd take another tablet.
Mackka
Mackka
- Joined
- Nov 16, 2013
- Messages
- 197
- Reaction score
- 442
- Joined
- May 1, 2016
- Messages
- 3,425
- Reaction score
- 4,286
That is 100% correct. The heavy lifters are single professionals/miners paying high tax and high income earning families means tested out of most government subsidies, such as child care , FTB , tax offsets etc.
30,000 australian crypto accounts suspended following the collapse of Digital Surge now in administration.
Not crypto but I just looked at Cobalt prices- $51,955/tonne .
- Joined
- Dec 13, 2015
- Messages
- 1,092
- Reaction score
- 2,131
I think if you have gold and or sliver you will be way ahead when digital and or fiat currency fails or is locked and you can't get it.
Gold and silver have stood the test of time, many thousands of years and many cultures have worshiped these precious metals, must be a good reason for that.
In 5000 years time how many will still be worshiping digital/fiat currency,
Dave's Office
Have Detector Will Travel
Years ago I bought shares in a profitable nickel company that had huge reserves and the price of nickel had shot up to over $20,000 a ton and was predicted to reach $50,000 per ton, within 6 months the price of nickel was about $8,000 Pt and falling, the company was bought out and I got about one third of my money back and 12 months later the mine was shut down. Boom And Bust, I might as well had a punt on the neddy's.
Dave's Office
Have Detector Will Travel
I think it was Glencore that bought the company out and shareholders never had a say, I never would have sold the shares if I had a choice. Capitalist *******s
Some metals like germanium and gallium are closer to that price per kilogram.
I assume you mean the small shareholders - a majority of shareholders had to vote in favour if it was a public company. Of course that can occur by the incoming company buying a majority of the shares. There are risks in capitalism - but you might not have got a third back if it was not taken over. Other economic systems are often much worse - China got taken for a ride in central Africa with some copper mines (i.e. few people making decisions and no shareholders to check what is happening).I think it was Glencore that bought the company out and shareholders never had a say, I never would have sold the shares if I had a choice. Capitalist *******s
Actually silver collapsed as a standard a few hundred years ago (lasted 16th to 18th Century) and gold became the sole standard. The issue was partly scarcity and Spain's control of the market (the America's are one of the richest silver regions in the world). Once we started large-scale mining of lead and zinc (eg zinc for the roofs of Europe) the small amount of silver always present in those ores made a huge amount of silver available. Countries went onto a gold standard in the 19th Century, but by 1935 the world abandoned the silver and gold standards, respectively, in favor of government fiat currencies pegged to the pound sterling or the U.S. dollar - so we have survived solely on fiat currencies for 87 years now.
https://en.wikipedia.org/wiki/Silver_standard
Silver and gold proved to be a problem in cojnage. I remember that with increasing silver prices, the value of silver in our Australian coins was higher than the value of the coins, Newspapers were regularly reporting convictions of Chinese sailors caught trying to smuggle our coins back to China.
The Yap islanders had a non-fiat currency set in stone. Difficult to steal but probably unsuitable for foreign exchange transactions:
Returning to a gold standard produces problems rarely mentioned. For example, it would suddenly upset the wealth of nations - about a tenfold increase in price would be required overnight. It would be a complex interaction - e.g. Russia, Australia, USA and China produce the most gold annually (each producing more in a few years than their central bank holdings). Australia used to pay an extra few dollars ounce for small producers to sell gold to the government, thus keeping more in the country. When it comes to Central Bank gold holdings, Italy is third and France fourth (more than Russia or China - the top being USA and UK) - but that is mostly just relevant to government debt commitments. Privately held gold is much greater and largely unknown (eg India has been suggested to be the largest private holder).
"United States Gold Confiscation—1933
Labeled Executive Order 6102, President Franklin Roosevelt signed on a law on April 5, 1933 “forbidding the hoarding of gold coin, gold bullion, and gold certificates within the continental United States.” It basically meant that private owners were required to take their coins, bars or gold certificates to a bank, and exchange them for US dollars at the prevailing rate of $20.67 per ounce......
“Under the Trading With the Enemy Act of 1917, as later amended by the Emergency Banking Act of March 9, 1933, violation of the order was punishable by fine up to $10,000, up to ten years in prison, or both. Numerous individuals and companies were prosecuted.” $10,000 was a fortune in 1933!...Worse, the ban on private ownership of gold in America—the home of the free—lasted over four decades. Not until January 1, 1975 could US citizens own more than $100 in gold again".
"
Australia Gold Confiscation—1959
The Australian government similarly nationalized gold. The law, part of the Banking Act in 1959, allowed gold seizures of private citizens if the Governor determined it was “expedient so to do, for the protection of the currency or of the public credit of the Commonwealth.” In other words, they made it legal to seize gold from private citizens and exchange it for paper currency. The country’s Treasurer stated in a press release that followed, “All gold (other than wrought gold and coins to a limited extent) had to be delivered to the Reserve Bank of Australia within one month of its coming into a person's possession.” The law also said you weren’t allowed to sell gold, except to the Reserve Bank of Australia (their central bank). Nor could you export any gold (send it outside the country) without the bank’s permission. .....the law....destroyed the local private gold market overnight. Like the US ban, this rule wasn’t short lived either. Reports indicate it stayed on the books until 1976, a full 17 years, before being “suspended.”
"Great Britain’s Gold Ban—1966
''''''To stem the decline in the Pound Sterling, in 1966 the government banned private citizens from owning more than four precious metals coins. It also blocked imports of gold coins (a common move to keep currency from being exported, similar to modern day tariffs on gold imports in places like India). ......The important distinction about this gold ban is that it occurred when Great Britain was not on a gold standard. In other words, we have historical precedence that gold was confiscated without it being part of the monetary system. Gold is not part of the monetary system today, either. Like most confiscations, this law lasted a long time—until 1979, a full 13 years."
There were much nastier confiscations of gold in countries like Italy, Germany, Iraq, Cuba, Russia, India.....involving things like simple confiscation without reimbursement.
These three main gold confiscations have some things in common. They all…
1. Were imposed by Western governments.
2. Arose out of economic crisis.
3. Lasted for a LONG time. Of these confiscations from advanced economies, the shortest was 13 years.
4. Completely forbid any type of hoarding of bullion.
https://goldsilver.com/blog/gold-co...alian government similarly nationalized gold.
So although I hold some gold as part of a mixed bag of investments (more as an inflation hedge). I am at a loss to understand why so many people think gold will save them during a more dramatic event like the collapse of fiat currencies - by the time true collapse occurs you can assume that governments will have confiscated all private gold stocks (with or without reimbursement, which at best will be a t a price set by liocal governments).
