Mid-term Minister of Finance Update
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by infin
It has been fascinating watching the economy during the past month while we have battled to retain our territories from Chile (and failed). The two key assumption I draw from the data are:
1. Tax revenue has collapsed over the past month from $589,223 in the past full month to $145,233 in the current month to date. Yesterday's tax revenue was $3,500 for example.
2. The Reserve Bank of Australia commenced a stimulus strategy of buying gold on market once it was detected on day 1764 that the price of gold was falling dramatically. This indicated a fall in liquidity of AUD - a smaller amount of AUD was available for traders and thus demand for AUD was increasing.
Between day 1764 and today the RBA bought 1611.76 gold at a total cost of $860,331.33, an average price 534.40AUD per gold. The bulk of gold purchases occurred over the last 2 days (1770 and 1771) after gold fell below 520 AUD. It was also decided to increase the RBA's holding of gold given the enormous AUD holdings and limited gold holdings. Increasing the weighting of gold holdings improves the government's financial position should the AUD devalue again in the future. This will also allow the Australian government to buy AUD if inflation breaks out again which it was not in a position to do previously.
It is fascinating to see how rapidly the price of AUD has gone up indicating a demand for Australian made product. It is not clear what AUD holders are doing with their currency however as the currency is not being used in on-market transactions attracting taxation revenue. With very few territories for most of the term, much of the taxation revenue that would normally have accrued to the Australian government is going going to Chile instead.
Expenses to date have been $400,000 to ADF, $50,000 for 5 MPP renewals and an assumed $1,000 for citizen fees.
A full report will be tendered to the Senate upon completion of the CP term.
Regards,
infin
Minister of Finance
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Comments
This has embezzlement written all over it.
I have all the receipts for the lap dances and intend to claim them on tax.
Um, there is no AUD. There is a one world currency with a localised label. Just saying.
Ty Majester. Very helpful.
Is the Australian version of this currency not called AUD?
Majester just has to say something you know? Just so everyone knows that he's there.
No one knows what Maj is doing. I heard something about Venezuela with eSA's Vanessa in a bikini and the eUS' Izzy Stevens having one on one bilaterals he scheduled 'Margaritas and Ministers'.
.. yeah nice report too BTW.
o/
The monetary market is global and there is no distinct 'AUD' currency, only the generic 'CC'.
This means the value of AUD is equal to the value of every other currency and you, the government of a wiped low-pop nation just provided stimulus for the global economy using our wartime reserve funds...
Just saying.
Thanks for releasing the report.
The currency or 'CC' is called AUD only for people with Australian citizenship. It simply changes name depending on your country.
It was a nice idea though.
Just re-brand it 'Speculative investment' and hope the gold price goes up ; ) .
that was the other angle to it. rba holds far too much currency and so I bought gold when it was cheap. if cc goes back to 2000 at least we have some gold too now.
^ That's the best play. Well done
Excellent work infin
And we do exactly what with Gold as a government?
Perhaps:
- Print money to increase the global currency?
- Upgrade national org companies so that the limited storage can be even more of a pain?
- Declare war instead of just using a free Natural Enemy declaration to be different?
I am facinated, mainly because I have never considered a need for us to horde Gold. Rock my world.
because if you weight the government's holdings solely in currency, it becomes worth much less when the price of gold goes through the roof again to 2000. You know like when it was 2 months ago? Basic investing strategy... for anyone who can be bothered.
When gold goes back to 2000, the RBA can buy the surplus currency back at 400% profit - pretty neat huh? Of course I most probably won't be MoF then but if the next guy is keenn enough the money is there for the taking.
Thank you for the report.
Gold has been depreciating for 2 months. I can see how the trend predicts another spike in value like when there was more currency in circulation (before the mystery shopper), air-strikes and other smaller currency destroyers.
You clearly lost me at Basic.
All it requires is another change in policy by admin as he is known to do and gold goes through the roof again. Is that such a difficult concept to grasp?
Yup. But we love you anyway.
Well we don't, but you are one of ours and we get first dibs on hating at least.