Close to 5x current size? Where is that extra 1.6 trill coming from? Printing presses? I don't get it.
EFSF from 440bil to 2 trill???
- Thread starter mastacoli71
- Start date
give efsf 400 bil, call it a bank, let it lend out 5$ for every 1$ it has- wolla
lol, if only it were that easy
M
morganist
Aren't they trying to introduce a tax on financial transactions. Could that be it?
M
morganist
These two articles are good.
http://www.economist.com/blogs/freeexchange/2011/08/ecb-goes-shopping
http://articles.economictimes.india.../29896547_1_print-currency-debt-ceiling-bonds
I wrote a book on it you can download for free.
http://morganisteconomics.blogspot.com/p/publications.html
http://www.economist.com/blogs/freeexchange/2011/08/ecb-goes-shopping
http://articles.economictimes.india.../29896547_1_print-currency-debt-ceiling-bonds
I wrote a book on it you can download for free.
http://morganisteconomics.blogspot.com/p/publications.html
M
morganist
There are a couple of places. One the richer countries can lend it to them. Two they can issue bonds to generate income. Three they can print money.
Perhaps a combination of the three. However Germany is reluctant to support either further lending or risk of being liable on even more debt.
Ok, so who is going to lend money to a "pseudo bank" that is bailing out banks that hold "toxic" debt of countries that have been fiscally irresponsible for decades. It will not be cheap regardless of who is backing it. Why do you think Germany is reluctant to do so? Cause they know how bad the situation is or could get.
I personally think financial crisis of 2008 will be nothing in comparison to what we are facing now. We are talking about countries, not just institutions.
The usual suspects (great movie, BTW). Government makes a decision on what to do with the taxpayers money, then leverages the bejebbers out of it. Basically, they are doubling down (again) on a loser. Probably everyone here knows how well that works.
People have absolutely lost their damn minds.