It's Just Money
Back in 10 there was some talk of taking the US (taxpayer) off the hook for the latest Greek dalliances. Seems some folks didn’t understand why the US should be involved in bailing out a EU country. Some thought Greece was outside our IMF assigned trading zone.
But, alas, wiser heads prevailed and we did get to participate.
And, before the ink is dry on those printed dollars, whoopsie, Greece and Italy are down for the count, unless somebody comes to save them. Greece will likely be bailed out again as they have agreed to remain in the EU and Italy caught a breath of fresh air with the EU central bank buying up high interest loans and promising 5.56% loans for a decade.
An article in the Washington Post, "Europe's Banks Facing Major Capital Reckoning" sums it up pretty well. "European banks are facing a reckoning over hundreds of billions of dollars in loans extended to the continent's cash-strapped governments with potential losses so large, if countries default, that some financial firms could be put out of business,."
There is some talk of trying to tap China for buying some kind of bond conjured up through the IMF. That talk carries a big hint about appointing a Chinese person as Chief, IMF. I'm 'fair thee well amazed' by it all, given enough tax payer dollars those Wall Street boys can fix anything.
But, on the other hand, what's this about the President initiating a 'buy American plan'? Got Canada's dandruff up in a hurry. "---iron, steel, and manufactured goods" used in public buildings or works are to be supplied by American firms. That does seem to fly in the face of globalisation. What would China and the IMF think of that? I'm never sure if we are serious are just in campaign mode.
Otherwise - - -Posted by Roy Ellis at September 15, 2011 6:39 PM