Expect assassinations if this Cypress deal happens. Specific people made decisions that take billions from people who will be hard to identify. The targets are too easy and the suspects will be too many.
The bankruptcy will come anyway. Leaving the Eurozone has consequences that can be seen, all good. These consequences just cannot be seen by Stylianides.
IMF chief Christine Lagarde said the agreement was "a comprehensive and credible plan" that addresses the core problem of the banking system.
The core problem is the central bank. The central bank lives. The core problem as not been addressed.
The tottering banks held 68 billion euros in deposits, including 38 billion in accounts of more than 100,000 euros - enormous sums for an island of 1.1 million people that could never sustain such a big financial system on its own.
It is all the depositors fault. Blame the victim. Cypress is not on its own. It is part of the EU banking system. Don't tell anyone in Hong Kong, where they manage far more money per capita. These explanations are sheer nonsense.
The point of the central bank is to avoid chaos, we are told. We have a central bank. It brings chaos.
It is no secret that the big money is Russian. The seizure will get to specific Russians, probably shady characters among them. They have money elsewhere too. This sets a precedent. If the Cypress heist works, then where next? This action will bring a response.
One nice thing about being a central banker is all the limousines and caviar with no real responsibility for their actions. I think that will change very soon.
Feel free to forward this by email to three of your friends.
Cyprus government spokesman Christos Stylianides said: "We averted a disorderly bankruptcy which would have led to an exit of Cyprus from theeuro zone with unforeseeable consequences."
Asked about the level of losses on uninsured depositors in Bank of Cyprus, he told state radio: "The assessment is that it will be under or around 30 percent."
The bankruptcy will come anyway. Leaving the Eurozone has consequences that can be seen, all good. These consequences just cannot be seen by Stylianides.
IMF chief Christine Lagarde said the agreement was "a comprehensive and credible plan" that addresses the core problem of the banking system.
The core problem is the central bank. The central bank lives. The core problem as not been addressed.
The tottering banks held 68 billion euros in deposits, including 38 billion in accounts of more than 100,000 euros - enormous sums for an island of 1.1 million people that could never sustain such a big financial system on its own.
It is all the depositors fault. Blame the victim. Cypress is not on its own. It is part of the EU banking system. Don't tell anyone in Hong Kong, where they manage far more money per capita. These explanations are sheer nonsense.
The point of the central bank is to avoid chaos, we are told. We have a central bank. It brings chaos.
It is no secret that the big money is Russian. The seizure will get to specific Russians, probably shady characters among them. They have money elsewhere too. This sets a precedent. If the Cypress heist works, then where next? This action will bring a response.
One nice thing about being a central banker is all the limousines and caviar with no real responsibility for their actions. I think that will change very soon.
Feel free to forward this by email to three of your friends.
1 comments:
It appears that some central bankers and certain government officials may have made a lethal error for themselves. Hopefully, when the dust settles, certain countries will get smaller and less intrusive governments, thereby increasing freedom and economic prosperity.
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