Posted on 05/06/2010 8:06:16 PM PDT by Brugmansian
Huge National Debts Could Push Euro Zone into Bankruptcy
Greece is only the beginning. The world's leading economies have long lived beyond their means, and the financial crisis caused government debt to swell dramatically. Now the bill is coming due, but not all countries will be able to pay it . . .
If the emergency surgery isn't successful, there will be much more at stake than the fate of the euro. Indeed, Europe could begin to erode politically as a result. The historic project of a united continent, promoted by an entire generation of politicians, could suffer irreparable damage, and European integration would suffer a serious setback -- perhaps even permanently . . .
The current government debt bubble is the last of all possible bubbles. Either governments manage to slowly let out the air, or the bubble will burst. If that happens, the world will truly be on the brink of disaster.
(Excerpt) Read more at spiegel.de ...
Annual world output is something like $60 trillion, and I heard that the depth of the derivatives fiasco might reach to $600 trillion.
Are numbers like that even POSSIBLE....?
Things are getting to the point where it’s hard to identify what is nuts.
The liberals have got to be sweating bullets!
No more free donations?
OMG!
Keynesian economists just don't get it. Innovation and investment comes from the private sector. No government programs can create value. Period.
Total BS because it was a socialist project. Socialism was to be the glue to hold them all together. And "Socialism is fine until you run out of other people's money" (Margaret Thatcher) Looks like the money ran out.
money is meaningless.
That’s what this is all going to come down to. The question that remains is are we going to start all over with new money that isn’t meaningless? Or are the powers that be going to figure out a way to dupe us serfs into continued use of their meaningless money?
I have a fear we are truly seeing how empires collapse in real time, first hand.
Once the government bubble is solved, we will once again pull ourselves up from the dregs and invest in the market.
Unfortunately, governments cannot “slowly let out the air” and deflate the bubble in an orderly fashion. This is the final result of decades of growing socialism - eventually you end up with a couple generations of citizens who are completely dependent upon the central government, either as public union employees who “earn” wages and benefits totally out of proportion to private sector employment, or as outright welfare dependents.
Either way, these people will not willingly give up their sense of entitlement to other people’s money. At best, they will not vote for politicians who threaten to do this. At worst, they will go stark raving mad and set cities on fire (Greece) if the government actually does try to cut back.
This is what happens when socialist countries eventually end up with half the population being dependent upon their proxy thieves in the government continuing to confiscate the earnings of their neighbors.
Bubbles are great if you can figure out a way to make a windfall when they pop.
Any ideas?
This could be a good thing in the long run. Let countries look after their own interests instead of following the dictates of Brussels or the UN. The frog may wake up and discover he’s being boiled to death.
Brokers Believe Worst Is Over and Recommend Buying of Real Bargains
–New York Herald Tribune, October 27, 1929
That is proprietary information. Blankfein and Soros hold the rights.
Good!
Socialist, copycat, multi-cultural, United States wannabe’s
SupraNationalism will die, nationalism returns. But not without some hitches.
Right, China?
We live in interesting times.
I bet you will literally hear it blow!
“Any ideas?”
Invest in body bags.
Anyone who can look you in the eye and tell you that they will sell you a dollar bill today for $1.40 tomorrow is a racketeer, and anyone who tells you they will regulate those swindlers instead of punishing them is an even worse criminal.
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