How liberty is eroded under the cover of providing ‘safety’

Cash is one of the alleged banes of society that has long been in the sights of statist control-freaks everywhere. The debate over cash has recently received fresh input from none other than that paradise of socialism, Sweden. As reported in ‘The Local’, „Robberies raise prospect of retail cash ban“.

In it we learn that Sweden has something called the ‘Work Environment Authority’, one of the countless bureaucracies that tend to spring up in the modern-day State and then perpetuate themselves by constantly inventing new regulations.

 

Per the report in ‘the Local’:

 

“The head of the Swedish Work Environment Authority (Arbetsmiljöverket) has raised the prospect of a ban on cash in Sweden’s retail stores to help tackle the growing problem of robbery. The authority’s director-general Mikael Sjöberg refused to rule out the drastic measure in an interview on Wednesday. “You can’t rule anything out, it just depends on how risky the situation is. We have very extensive possibilities to explore,” Sjöberg told trade union publication Handelsnytt. The authority is set to conduct an inspection of 3,000 small stores across Sweden to chart opportunities aimed at improving the working environment. “It is not acceptable that people go to work in fear and concerned that they could be subject to a robbery, which does actually happen in this sector,” Mikael Sjöberg said. The Work Environment Authority has previously pushed through cash bans on buses in Sweden after a spate of hold-ups. Robberies against retailers accounted for 9 percent of all robbery cases reported in Sweden in 2007, according to statistics from the National Council for Crime Prevention (Brå). From just under 400 cases per annum in 1987, the number of cases had more than doubled by 2007 after a peak in 2005.“

 

We don’t want to give them any ideas, but one might naively ask, why not forbid cars on account of the prevalence of road accidents? A poster named Molly on the EeeUser-forum has put together a number of arguments forwarded by Swedish politicians and bureaucrats in the past in support of banning cash.

While we could not independently verify this list of statements, it certainly rings true, and in part mimics the spurious arguments heard elsewhere before (Molly’s own comments in italics):

 

Marie Löök, Policy Officer at the financial sector union of Sweden, has this to say:”It’s ‘Game Over’ for cash”! “2 out of 3 Swedish crowns are circulating in the ‘shadow economy’.” “Folks using cash usually have something to hide, you don’t pay prostitutes with a credit card.”

Carin Götblad, Police Commissioner of Stockholm County: “Cash is the lifeblood in the veins of criminality.”

Martine Syrjänen-Stålberg of the Swedish Work Environment Association: “A cashless society is a less criminal society.” “It will improve the tax morale.” (and this I find most insulting): “And wouldn’t cashless shopping be much better for senior citizens since they tend to loose their purses/wallets?”

Considering these arguments, which law-abiding citizen could possibly be against a cashless society? As they say: if you have nothing to hide you have nothing to fear … Amen!

 

We have news for Sweden’s bureaucrats: without the so-called ‘shadow economy’ you’d probably soon have no more economy, period. We’re not quite sure if politicians are generally aware of this, but most of the highly taxed welfare/warfare states have an enormous ‘gray’, or ‘shadow’ economy, i.e. a large part of economic activity takes place outside of the purview of the bureaucratic red tape and onerous taxation that marks ‘official’ business activity.

Without this shadow economy, the population’s living standards would suffer a large setback and incomes would shrink across the economy due to the inevitable knock-on effects. This means that if governments were in fact to succeed in strangling the gray economy, government revenues would likely collapse as well (income from consumption taxes like VAT and sales taxes would crater right away, and other types of tax revenue streams would follow as the economy weakened).

Furthermore, the assumption that citizens should not have a right to financial privacy (which cash helps to provide) just because there are criminals for whom cash happens to be useful too (we wonder why there is so much violent crime in the socialist paradise by the way?) is wrong a priori.

Note here that there is another important function that cash provides, besides financial privacy – it allows people to remove themselves from the banking system. After all, deposits held at banks are definitely not 100% reserved. The modern day fractionally reserved banks are basically de facto bankrupt all the time (this is to say, they could most definitely not back all depositor claims at short notice). While there are government guarantees on deposits nearly everywhere (a misguided policy that furthers unnecessary risk taking on the part of both depositors and banks), such guarantees can become worthless in case the government becomes insolvent too.

In addition, these guarantees are usually limited. Eliminating cash would remove people’s right to take physical possession of their property – the savings or cash holdings that the banks are supposed to warehouse for them. Fear not though – no government can really eliminate cash anyway, even though many would probably like to do so. The reason is that the shadow economy would then simply move toward using the cash issued by a foreign nation, or would move to a gold payment system.

Of course all these avenues could, and likely would, be declared illegal as well, but e.g. not even the death penalty was enough to enforce Diocletian’s price control edicts in the third century, so we can already state that this won’t work either. The main point remains though that statists everywhere are always eager to attempt to misuse a perceived threat to safety to further roll back individual liberty.

Such attempts by the bureaucratic nanny state to encroach upon the rights of allegedly free people should always be resisted – because it is exactly as Benjamin Franklin has famously said: “They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety. “

 

 
 

 
 

Dear Readers!

You may have noticed that our so-called “semiannual” funding drive, which started sometime in the summer if memory serves, has seamlessly segued into the winter. In fact, the year is almost over! We assure you this is not merely evidence of our chutzpa; rather, it is indicative of the fact that ad income still needs to be supplemented in order to support upkeep of the site. Naturally, the traditional benefits that can be spontaneously triggered by donations to this site remain operative regardless of the season - ranging from a boost to general well-being/happiness (inter alia featuring improved sleep & appetite), children including you in their songs, up to the likely allotment of privileges in the afterlife, etc., etc., but the Christmas season is probably an especially propitious time to cross our palms with silver. A special thank you to all readers who have already chipped in, your generosity is greatly appreciated. Regardless of that, we are honored by everybody's readership and hope we have managed to add a little value to your life.

   

Bitcoin address: 1DRkVzUmkGaz9xAP81us86zzxh5VMEhNke

   
 

2 Responses to “Sweden discusses ‘cash ban’”

Your comment:

You must be logged in to post a comment.

Most read in the last 20 days:

  • The Golden Age Has Just Begun
      Some Things Actually Go Up Before and During the Fall... In recent issues of Seasonal Insights I have discussed two asset classes that tend to suffer  performance problems in most years until the autumn, namely stocks and bitcoin. I thought you might for a change want to hear of an asset that will be in a seasonal uptrend over coming months.   Many things, including bitcoin, stocks and leaves tend to fall in the aptly named fall... but some things actually start to...
  • A Look at the Gold and Silver Price Drop of 3 July, 2017
      Mystery Nosedive The price of gold dropped from $1,241 as of Friday’s close to $1,219 on the close Monday, or -1.8%. The price of silver fell from $16.58 to $16.11, or -2.9%. It is being called a gold and silver “smash” (implication being that one party or a conspiracy is doing the smashing).   The flight of the gold rocket, different phases [PT]   Our goal is to help you develop a clear understanding. The move was no mystery. Monetary Metals makes an intensive...
  • Adventures in Quantitative Tightening
      Flowing Toward the Great Depression All remaining doubts concerning the place the U.S. economy and its tangled web of international credits and debts is headed were clarified this week. On Monday, Mark Yusko, CIO of Morgan Creek Capital Management, told CNBC that:   “…we’re flowing toward the path of 1928-29 when Hoover was president. Now Trump is president. Both were presidents with no experience who come in with a Congress that is all Republican, lots of big promises,...
  • Tales from the FOMC Underground
      A Great Big Dud Many of today’s economic troubles are due to a fantastic guess.  That the wealth effect of inflated asset prices would stimulate demand in the economy. The premise, as we understand it, was that as stock portfolios bubbled up investors would feel better about their lot in life.  Some of them would feel so doggone good they’d go out and buy 72-inch flat screen televisions and brand-new electric cars with computerized dashboards on credit.   The Wilshire...
  • How Dumb Is the Fed?
      Bent and Distorted POITOU, FRANCE – This morning, we are wondering: How dumb is the Fed? The question was prompted by this comment by former Fed insider Chris Whalen at The Institutional Risk Analyst blog.   They're not the best map readers, that much is known for certain. [PT]   [O]ur message to the folks in Jackson Hole this week [at the annual central banker meeting there] is that the end of the Fed’s reckless experiment in social engineering via QE and...
  • The Money Velocity Myth
      Popular Imagery of Money on the Move For most financial commentators an important factor that either reinforces or weakens the effect of changes in the money supply on economic activity and prices is the “velocity of money”.   An image from an article on the intertubes that “explains” the velocity of money (one of the articles we came across started out as follows: “The economy runs smoothly only when there is enough money in circulation. How much is enough?” ...
  • Which Is Worse? America or France?
      French Fraud POITOU, FRANCE – “Which is worse? America or France?” The question must be put in context. We were invited to dinner with local farmers last night. Jean-Yves and Arlette live in a modest house in the nearby town – an efficient and cozy place built about 25 years ago. They’ve added a solarium to the back, where we had dinner.   FAF – French-American Friendship. These days it's a “which is worse” competition... [PT]   Arlette operates a...
  • The Student Loan Bubble and Economic Collapse
      The Looming Last Gasp of Indoctrination? The inevitable collapse of the student loan “market” and with it the take-down of many higher educational institutions will be one of the happiest and much needed events to look forward to in the coming months/years.  Whether the student loan bubble bursts on its own or implodes due to a general economic collapse, does not matter as long as higher education is dealt a death blow and can no longer be a conduit of socialist and egalitarian...
  • Gold and Silver Capitulation – Precious Metals Supply & Demand Report
      Last Week in Precious Metals: Peak Hype, Stocks vs. Flows and Capitulation The big news this week was the flash crash in silver late on 6 July.  We will shortly publish a separate forensic analysis of this, as there is a lot to see and say.   Silver - 1,000 troy ounce good delivery bars, approved by the COMEX. Whatever you do, do not let one of these things land your feet. For readers used to the metric system: these bars weigh approximately between 28 to 33 kilograms...
  • No “Trump Bump” for the Economy
      Crackpot Schemes POITOU, FRANCE – “Nothing really changes.” Sitting next to us at breakfast, a companion was reading an article written by the No. 2 man in France, Édouard Philippe, in Le Monde. The headline promised to tell us how the country was going to “deblock” itself.  But upon inspection, the proposals were the same old claptrap about favoring “green” energy... changing the tax code to reward one group and punish another...  and spending more money on various...
  • Putting the Latest Silver Crash Under a Lens
      An Unenthusiastic Market On Thursday, July 6, in the late afternoon (as reckoned in Arizona), the price of silver crashed. The move was very brief, but very intense. The price hit a low under $14.40 before recovering to around $15.80 which is about 20 cents lower than where it started.   1 kilogram cast silver bars from an Austrian refinery. These are available in 250 g, 500 g and 1 kg sizes and look really neat. We use the 250 g ones as paperweights, so this is an...
  • What Really Happened When Gold Crashed, Monday June 26?
      The Earth is Still Round Let’s establish three facts up front. One, the volume of contracts traded was not “millions” (as at least one conspiracy theorist is claiming). During the 1-minute window when the price of gold dropped from $1,254.10 to a low of $1,236.50 and recovered to $1,247, 18,031 August gold contracts traded. There was negligible volume in the October and December contracts. Two, the Earth is round. This did not occur while “everyone” was sleeping (as at least...

Support Acting Man

j9TJzzN

Austrian Theory and Investment

Own physical gold and silver outside a bank

Archive

350x200

THE GOLD CARTEL: Government Intervention on Gold, the Mega Bubble in Paper and What This Means for Your Future

Realtime Charts

 

Gold in USD:

[Most Recent Quotes from www.kitco.com]

 


 

Gold in EUR:

[Most Recent Quotes from www.kitco.com]

 


 

Silver in USD:

[Most Recent Quotes from www.kitco.com]

 


 

Platinum in USD:

[Most Recent Quotes from www.kitco.com]

 


 

USD - Index:

[Most Recent USD from www.kitco.com]

 

 
Buy Silver Now!
 
Buy Gold Now!
 

Oilprice.com

savant