Over the weekend, The Financial Times published an article calling for a ban on physical cash.
This is just the latest in a series of articles being promoted by the financial media proposing this concept. The arguments presented in these articles are always the same:
1) The Central Banks are wonderful institutions that are trying to save the world.
2) The reason Central Banks have failed to create another economic boom (despite spending $11 trillion) is NOT because they are incompetent, corrupt, and following financial models that have no connection to reality.
3) The reason Central Banks cannot create growth is because of consumers’ unwillingness to spend money.