Users Online Now:
Donate To GLP
Back to Forum
Back to Thread
REPLY TO THREAD
THE ECONOMY & YOU # (Daily Updated Videos & Articles)
Ms Sans Serif
In accordance with industry accepted best practices we ask that users limit their copy / paste of copyrighted material to the relevant portions of the article you wish to discuss and no more than 50% of the source material, provide a link back to the original article and provide your original comments / criticism in your post with the article.
[quote:RoXY:MV8xNTc4NDI2XzI4MTkxMDIwXzczMDE2NUZC] [b]"Vulture Capitalism": Iceland’s New Bank Disaster - A Dress Rehearsal for Greece and Italy?[/b] by Olafur Arnarson and Michael Hudson and Gunnar Tomasson The problem of bank loans gone bad, especially those with government-guarantees such as U.S. student loans and Fannie Mae mortgages, has thrown into question just what should be a “fair value” for these debt obligations. Should “fair value” reflect what debtors can pay – that is, pay without going bankrupt? Or is it fair for banks and even vulture funds to get whatever they can squeeze out of debtors? The answer will depend largely on the degree to which governments back the claims of creditors. The legal definition of how much can be squeezed out is becoming a political issue pulling national governments, the IMF, ECB and other financial agencies into a conflict pitting banks, vulture funds and debt-strapped populations against each other. This polarizing issue has now broken out especially in Iceland. The country is now suffering a second round of economic and financial distress stemming from the collapse of its banking system in October 2008. That crisis caused a huge loss of savings not only for domestic citizens but also for international creditors such as Deutsche Bank, Barclay’s and their institutional clients. Stuck with bad loans and bonds from bankrupt issuers, foreign investors in the old banks sold their bonds and other claims for pennies on the dollar to buyers whose web sites described themselves as “specializing in distressed assets,” commonly known as vulture funds. (Persistent rumors suggest that some of these are working with the previous owners of the failed Icelandic banks, operating out of offshore banking and tax havens and currently under investigation by a Special Prosecutor.) At the time when those bonds were sold in the market, Iceland’s government owned 100% of all three new banks. Representing the national interest, it intended for the banks to pass on to the debtors the write-downs at which they discounted the assets they bought from the old banks. This was supposed to be what “fair value” meant: the low market valuation at that time. It was supposed to take account of the reasonable ability of households and businesses to pay back loans that had become unpayable as the currency had collapsed and import prices had risen accordingly. [b]CONTINUE AT: http://globalresearch.ca/index.php?context=va&aid=27673[/b] [/quote]
Economic Armageddon and You
Wondering about the American economy? This animated video explains inflation, stagflation, recession and more, all in 5 minutes.
NB: UPDATES AT LAST PAGE
Pictures (click to insert)
Big Round Smilies
Aliens and Space
Friendship & Love
Misc Small Smilies
View All Categories
Next Page >>
Creepy AI Telemarketer Sounds Human, Denies Being a Robot
Possibility of Cloning Quantum Information from the Past
How nanotechnology can trick the body into accepting fake bones
What Is Happening To Alaska? Is Fukushima Responsible For The Mass Animal Deaths?
Bill & Melinda Gates Foundation Invested Millions in Scandal-Plagued Private Prisons,
EPA says taking over private property will benefit the economy
Society Should Prepare for Devastating Solar Flare (CME)
Arizona Senator Introduces Legislation To Nullify NSA
Google Planning Brain Microchip
JPMorgan files patent for Bitcoin-style payment system
Nelson Mandela Was On The U.S. Terrorist Watch List Until 2008
DOJ Agency Warns Of Police Militarization
Bill of rights to protect black shoppers from racial profiling...[Another Sharpton Shakedown]
Chart Of Radiation Dose Levels In Millisieverts
Christians Are Being Burned Alive, Beheaded, Crucified, Tortured To Death And Imprisoned In Metal Shipping Containers
Facebook teams up with NYU for artificial intelligence study
U.S. Power Grid Unprepared for Renewable Energy
NSA and CIA Spied in Online Games
Geoengineered Snow Storms Wreaking Havoc Around the Globe
EPA To Control Private Streams And Creeks
NASA to attempt to grow vegetables on the moon
New Evidence Shows Native Americans' Origins are Older than Previously Thought
National Parks Could Close Again: Another Government Shutdown Set for Next Month
Predatory tax lien buyer spreading misery across U.S., but who’s behind it?
Virginia Cops Encouraging Citizens to Take Photos of Other Citizens Taking Photos
Disclaimer / Copyright Info
with questions or comments about this site.
"Godlike Productions" & "GLP" are registered trademarks of Zero Point Ltd.
Website Design Copyright © 1999 - 2014 Godlikeproductions.com
Page generated in 0.008s (12 queries)