david mcgee Posted June 15, 2011 Share Posted June 15, 2011 IMHO the real story out there, but under-reported ( for obvious reasons ) is the Worlds and particularly Europes inability to tackle the credit crunch or whatever you want to call it. The only plan i can see is, " say F all and hope time will be a healer ". Well it wont and the slow burn looks like causing civil unrest in time all over the World. Greece looks like a complete basket case and anyone naive enough to think they can repay what they owe lives in cloud cookoo land. Once Greece defaults the dominoes will start to fall, led by Ireland, Portugal, Spain and italy. Britains banks are virtually state run or they would be insolvent, they still have huge liabilities being covered up in the vain hope of a dramatic turnaround. George Osbourne will sell Northern rock for ?1 billion, not bad when the tax payer put in ?1.4 billion, but will anyone be daft enough to give him this for a brand damaged beyond belief? RBS shares still trade well below the rate that the Government supported them at and any chance to punt them at a profit is donkeys years away. The lesson from the credit crunch was it was totally imprudent to have organisations too big to fail, well as a result of the credit crunch we now have fewer banks, resulting in organisations that could easily bring down entire Countries. Have we learnt lessons from the credit crunch? You bet your life we have. ( dont trust banks) Have we done anything about it? Nope, weve made it even worse. Link to comment Share on other sites More sharing options...
FWJ Posted June 15, 2011 Share Posted June 15, 2011 A good blast of inflation - that debt'll dwindle in no time. Link to comment Share on other sites More sharing options...
Geoff Kilpatrick Posted June 15, 2011 Share Posted June 15, 2011 We are seeing greater fool theory in action as the reality of banks' toxic debt being passed on to the public sector hit home. Link to comment Share on other sites More sharing options...
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