Behold and Beware Our New ‘SWAG’ Economy

[marmar]

from Too Much: A Commentary on Excess and Inequality:



Behold and Beware Our New ‘SWAG’ Economy
January 7, 2012

Today’s swaggering rich are increasingly stuffing their dollars into investments that do America’s 99 percent not one whit of good.

By Sam Pizzigati


Your pop quiz for today: Define “art.”

Wait, you don’t need to panic here. You don’t need to go fumbling in the deep recesses of your mind for some wisdom about “beauty” or “imagination” or “form.” You just need to repeat after Michael Plummer and Jeff Rabin, the two principals behind the midtown Manhattan-based Artvest Partners LLC. “Art,” their maxim goes, “is an asset class.”

.....(snip).....

The elements of SWAG — silver, wine, art, and gold — have “all appreciated quite sharply” over the past decade, notes Roseman, despite “two global recessions, a severe global banking crisis, a credit crunch, and (generally speaking) highly volatile and mostly negative equity market performance.”

.....(snip).....

The SWAG elements have plenty in common. Silver, wine, art, and gold all rate as scarce, transportable, long-lasting physical assets. They also make for wonderful tax shelters. They throw off no income stream and, consequently, create no annual tax liability for wealthy investors. ................(more)

The complete piece is at: http://toomuchonline.org/behold-and-beware-our-new-swag-economy/

[xchrom]

1. Du rec. Nt

[WingDinger]

2. Um, swag is shit bestowed upon you, simply for being so awesome.

[JNelson6563]

3. More and more such things have a medieval flavor to them.

Back in the good old days of feudalism. There are those who would happily see us go back to that.

Julie

[supernova]

4. Remember Jean Valjean

carries around with him the sterling silver candlesticks the Bishop gives him (after he decided to steal them).

The candlesticks and for many in previous eras, the family silver and jewels (if you had any) represented a way to convert to quick cash in case a need to start over arose.

I'm not surprised this form of "security" is making a comeback. Wine seems to be the most difficult. It is volatile and doesn't travel well.