Finance & Fury Podcast

Welcome to Finance and Fury Last Monday ep – Cash Restrictions Bill – Went through black economy and outline of regulations Today – Go further into implications of this – along with other considerations such as bail-ins and negative rates why bill needed – not for the black market Case for black market is a guesstimate – 3% of GDP — roughly $50 billion - recommendations given by KPMG, along with the guesstimate showing the 65% increase in black market economy over past 3 years This figure, it said, was a qualitative estimate (guess), based on a wide definition of what activities make up the black economy - activities including underpaying wages or paying for work cash-in-hand, under-reporting income, sham contracting, ABN and GST fraud, illicit tobacco, money laundering, unregulated gambling, criminal acts, counterfeit goods and illegal drugs - Proper modeling on the economic and social costs is work has not yet been done - Yet the Government is moving ahead with proposed laws that could make people crimina