The Switch

wealthymattersIn 1910 the British GOI increased the import tariffs on silver from 5% to 11%. A market report in 1912, by Pixley & Abell, a gold wholesaler, pointed to a 28% fall in silver demand in the Indian bazaars in the three years following the increase. They attributed this to not just a fall in demand for silver due to tax increases, but also a substitution of gold for silver in people’s savings as gold became more attractive on a relative basis.Between 1910 and 1930 net imports of silver in India fell from 98m ounces to 31m, according to British Geological Survey reports. After this time India gradually became the world’s largest gold consumer, a position it finally lost to China in 2015.

Uncertainty for the Pound Sterling as Memo is Leaked

pound-uncertainityTheresa May, the UK Prime Minister, told the country to take the new opportunities ahead and to set the standard for other nations to follow during her recent speech. The speech had a positive reception but was later overshadowed by a memo that was made to the Cabinet Office. The Times and the BBC saw the memo and reported that it spoke about the lack of a common exit strategy for the country. The government denied what the memo said, according to a BBC report. The memo noted that it would take at least another six months to prepare to Brexit and require as many as 30,000 additional staff members to handle the amount of paperwork involved. Read more of this post

Something To Chew Over

akhilesh-yadav wealthymatters

Thought For The Day


My Thoughts

I suppose that even dodos have figured out that what we are told in the mainstream press and often on social media is what some or other person or entity wants us to know so that hopefully we are influenced in a way that benefits them. And wealthymatters readers are far from idiots.

The editorial below has appeared in today’s ET. Following are my thoughts:

How Modi Stole Manmohan Singh’s Thunder


Jaitley should borrow Chidambaram’s withdrawal tax

P Chidambaram as Finance Minister in the UPA government had many path-breaking initiatives, and one such was his proposal to tax cash withdrawals from banks. The unfortunate part was that it never got the backing of his own government, so abandoned.If only Prime Minister Manmohan Singh was half as powerful as Prime Minister Narendra Modi is, the proposal would have seen the light of the day and Singh, Chidambaram & Co would have stolen the black money thunder on which Modi is gloating now. Read more of this post

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