I wrote this is response to Dave Birch’s Mad Man for a day blog entry. He went to a WeveÂ get together about the future of Â NFC payments. (Near FieldÂ Communication). He had to take the position that NFC paymentsÂ weren’tÂ going to happen. Which got me thinking about money generally as usual…
Eurogroup Chairman Jeroen Dijsselbloem caused uproar in financial markets by saying in an interview with Reuters and the Financial Times that the Cyprus solution gave a flavour of how Europe would handle future bank crises, by making banks solve their own problems rather than using European taxpayers’ money. ReutersÂ 26/03/2013
Negative Interest Rates, QE is it working? Is money velocity increasing?
Imagine in the words of a Rolf Harris:
â€œCan you see what is yet?â€
Then in the voice of David Attenborough:
â€œHere if we look closely anywhere in the Western World and look at the habitat of the small shop keeper. In the UK we can observe this nervous creature â€“ the independent business paying all taxes at full whack with the full cream burden of employers PAYE contribution. The wilder-beast of the High Street savannah being savaged at every increase in Uniform Business Rates to International Cheetah â€“ ACME Corporation, it pays almost no corporation tax with it’s HQ domiciled in the Cayman Islands mopping up every retail opportunity.
Ah but hold on, I can see some Cheetahs struggling, the savannah of the High Street’s habitat of grass land has become so mismanaged and overgrown that the rarest of species the â€œshopperâ€ is struggling to actually get to the water lagoons. Their travel money to get there is being taken by 7% inflation, rising unemployment, poor pay from the said Cheetah employer and soaring energy costs back at their caves caused through a lack of investment in the National Grid since the mid 1950’s.
Oh dear, the future doesn’t look good for the shopper’s disposable income, even if they do get to the High Street Water Hole of the Cash Machine. They find themselves increasingly confused about the future, their off-spring are in increasingly deficit of an education not fit for purpose and many who thought they could raise extra revenue by renting out a nest box, find that their fledglings just refusing to saddle themselves with â€œdebtâ€ just to work for the ACME Corporation for 6 peanuts an hour. The older shoppers with off-spring still with them struggle even to help their young ones with third party car insurance to help them discover the High Street. So in these times of draught the youngsters are just glad of a monthly phone contract as hand-out.
So called experts in the field of economics predict just a handful of ACME Corporation operating out of town to maximize off-shore profits with kick backs in the form of reduced business rates for bringing employment to the area. But ACME Corporation pack is growing for strength to strength with the lock-in of the staff discount. Observers have commented that this relationship is very similar to early industrialisation for the business development of the pub to â€œlockâ€ in profit to the balance sheet.
The economic equivalent of soil scientists are however getting very worried about the ability of the High Street to even sustain â€œSmall Businessesâ€ and with the success of PayPal handling the DWP Identity Contract, many observers in the payment management field â€“ see PayPal as a natural contender for the Universal Stamp for Credit Worldwide USCREWD. It started off a pilot scheme to replace Food Stamps in the US, however this same behaviour was seen in the UK with a welfare payments card. However many can see the benefits of the USCREWD system where more the productive beasts can be crated up and exported to another farm depending on their economic output inabilities and they should be happy as they will get to keep their benefits â€“ not matter where they are put out to graze.”