David McWilliams: Bailout will sink Ireland before we can even swim

Aindriu

Well-known member
Joined
Jun 28, 2007
Messages
8,621
Foreign banks and creditors should lose everything they gambled on the likes of Anglo, but instead, they have been saved by the taxpayer
Make no mistake about it, this 'bailout' will sink Ireland. We are witnessing a monumental struggle between the innocent average Irish person and the guilty creditors of the bust Irish banks.
Interestingly, the financial markets have seen through what the Government and the elite are trying to do and have reacted with ferocious negativity to the Irish deal.
The markets realise that the Irish State is not bust; rather the Irish banking system is bust. Therefore, rational people can see that any deal which is framed to give Ireland a chance has to sever the link between the bust banks and the solvent State.
He is right with this one!

Read the whole article here.
 


Malbekh

Well-known member
Joined
Apr 30, 2009
Messages
3,012
Yeah, he seems to have ditched the hyperbole of recent articles and radio interviews, along with the scaremongering stories, to give a simple rational piece that pretty much explains what most of us already know.

We can't afford to repay an interest loan of 5.83%, and the markets know it. And as this and the Greek scenario seems to be the EU/ECB template, therefore yield rates will continue to rise on all Eurozone countries until they change their tune.

If, as McWilliams suspects, the ECB/EU will change their tune having bumped Portugal into the Stability Fund, but before Spain, it's going to leave a lot of angry punters, particularly the Irish who could have ridden the storm out for a few months to get those better terms and conditions.
 

atlantic

Well-known member
Joined
Jan 25, 2008
Messages
649
Ireland was Lehmans x20 ,so is Portugal and when Spain comes looking the jig is up.The ECB will have to bailout Spain on its own ,the IMF will have no mula and the yanks are not going to take to kindly to bailing out european countries via the IMF.Its only starting in the Euro zone and the printers will be on full blast.
 

Aindriu

Well-known member
Joined
Jun 28, 2007
Messages
8,621
I for one hope that this will bring the whole megalith of the Eurozone to an end anyway. We all know it is really all about the German banks primarily in any case.

Bring back the Punt!
 

atlantic

Well-known member
Joined
Jan 25, 2008
Messages
649
The Euro and interest rate fixing was always about Germany ,one sizes fits all will not work.The next move will be taxation harmonization ,people reckon this won't happen because of this treaty and that treaty ,the European elites care less about treaties they always break them ,batter,bribe and bully smaller states into submission.This European project is all about the few controlling the masses and making them serfs to do their bidding.The more they can centralize power the faster they can achieve this.There is no need for bombs or bullets when you control the printing of money, supply and interest rates.

Thomas Jefferson:Banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered.

Not far off the mark 200 years later if we look at whats going on in the ECB and Fed

I for one hope that this will bring the whole megalith of the Eurozone to an end anyway. We all know it is really all about the German banks primarily in any case.

Bring back the Punt!
 

powderfinger

Well-known member
Joined
Jun 13, 2007
Messages
3,350
Mc Williams writes.

Amazingly, our so-called negotiators signed a deal that will be the last of its kind ever signed by a European government and, in so doing, they have condemned their own people.
Is there a deal signed?
 

hammer

Well-known member
Joined
Jul 6, 2009
Messages
58,180
Kenny needs to offer McWilliams a job / senate position. He has the experience & knowledge that we badly needed over the last 3/4 years. Unfortunately Fianna FAIL were to intent on protecting their own.

BTW why doesn`t the Government now offer a "deposit product" to Irish citizens that pays proper annual interest ( exempt from DIRT ) of 4%

Most wealthy people would take the hand off you for 4% net.
 

atlantic

Well-known member
Joined
Jan 25, 2008
Messages
649
That idea would be to simple for the plebs in power.
Kenny needs to offer McWilliams a job / senate position. He has the experience & knowledge that we badly needed over the last 3/4 years. Unfortunately Fianna FAIL were to intent on protecting their own.

BTW why doesn`t the Government now offer a "deposit product" to Irish citizens that pays proper annual interest ( exempt from DIRT ) of 4%

Most wealthy people would take the hand off you for 4% net.
 

goosebump

Well-known member
Joined
May 23, 2008
Messages
4,940
Bring back the Punt!
What reserves to we use to support it?

Or perhaps its your suggestion is that we have interest rates circa. 15%?
 

deiseguy

Well-known member
Joined
May 11, 2009
Messages
1,342
Not much new there. Simply a collation of readily available information which everyone should have been able to put together for themselves. There is an ongoing attempt by politicians and the media to put a type of fog around the information to suggest that the sums are not simple when in fact they are around 4th class maths.

Conor Lenihan went "mad Ted" on Dunphys show on Sunday morning when Jim Power outlined the figures in a similar manner. Around 20 mins into part 2
he simply starts spouting random gibberish interspersed with personal attacks on Power to the extent that Power eventually says to Dunphy something along the lines of "what the bloody hell is he saying" the bloody hell is a direct quote. Lenihan would want to careful those Clonea men can be a wild bunch especially when they're p***ed off.

Newstalk 106-108fm Media Player
 

Cato

Moderator
Joined
Aug 21, 2005
Messages
20,400
What reserves to we use to support it?

Or perhaps its your suggestion is that we have interest rates circa. 15%?
What makes you think we'd want to support it?

Yes, heaven forbid that savers would get a decent return on their money.
 

Cato

Moderator
Joined
Aug 21, 2005
Messages
20,400
I was at David McW in the Town Hall Theater in Galway last night and he seemed to me to make an awful lot of sense. The place was packed and he had the audience begging him to go into politics at the end.

Does anyone here argue that the just thing to do is to burn the bank's bondholders (whatever about it being practical or even desirable)?
 

slumdog1971

Well-known member
Joined
Feb 24, 2009
Messages
616
I for one hope that this will bring the whole megalith of the Eurozone to an end anyway. We all know it is really all about the German banks primarily in any case.

Bring back the Punt!
I think people are gettng a buit heated over this euro super state etc and the subsequent loss of sovereignity etc.

I think the solution to our problems lie in Europe. We should be looking to create one state with one set of national accounts. Our debt would immediately half. German and French debt would only increase by a small amount. A more rapid progress in to full federalisation would offer us an opportunity to get rid of the millstones of Bank and Sovereign debt and a chance to build sustainable wealth for everyone.

We should look to become a US of Europe.
 

Cato

Moderator
Joined
Aug 21, 2005
Messages
20,400
A decent return relative to what rate of inflation?
A good point, but for how long do you think inflation would be a problem? Not forgetting, of course, the debt eroding quality of inflation.
 

slumdog1971

Well-known member
Joined
Feb 24, 2009
Messages
616
What makes you think we'd want to support it?

Yes, heaven forbid that savers would get a decent return on their money.
Ultimately savers are liabilities to the banks and to the State.

Interest rates of 15% would destroy an economy
 

atlantic

Well-known member
Joined
Jan 25, 2008
Messages
649
What you are saying is that people that save are a burden on society?
and that the banks don't like savers deposits?
Yer right the government hate savers they want people to pile on debt spend spend spend, just as they do .
Savings is what creates businesses ,jobs and production.
Ultimately savers are liabilities to the banks and to the State.

Interest rates of 15% would destroy an economy
 

slumdog1971

Well-known member
Joined
Feb 24, 2009
Messages
616
What you are saying is that people that save are a burden on society?
and that the banks don't like savers deposits?
Yer right the government hate savers they want people to pile on debt spend spend spend, just as they do .
Savings is what creates businesses ,jobs and production.
Investment create business, jobs and production. Saving won't.

Business people don't want excessive saving either. Modern economies want and need spenders to exist.

Banks want deposits but don't value them becasue they can can go whenever they want. They are a liabaility on a bank balance sheet. We are long past the stage where banks only lend other peoples deposits.
 

Aindriu

Well-known member
Joined
Jun 28, 2007
Messages
8,621
I think people are gettng a buit heated over this euro super state etc and the subsequent loss of sovereignity etc.

I think the solution to our problems lie in Europe. We should be looking to create one state with one set of national accounts. Our debt would immediately half. German and French debt would only increase by a small amount. A more rapid progress in to full federalisation would offer us an opportunity to get rid of the millstones of Bank and Sovereign debt and a chance to build sustainable wealth for everyone.

We should look to become a US of Europe.
Over my dead body! I am Irish not Franco/German!
 

Cato

Moderator
Joined
Aug 21, 2005
Messages
20,400
Ultimately savers are liabilities to the banks and to the State.

Interest rates of 15% would destroy an economy
Hmm... what is the strongest economy in Europe? Does it also happen to have a very high savings ratio? One does not seem to forfeit the other.
 


New Threads

Popular Threads

Most Replies

Top