Main Street is in the hands of a Roulette Wheel

[lib2DaBone]

http://jsmineset.com/2010/05/07/main-street-is-in-the-hands-of-a-roulette-wheel/


The name of the "Roulette Wheel" is Credit Default Swaps. It does not matter what the G-7 or the G-20 does. It does not matter what the IMF, ECB and Fed under a beard do.

CDS are going to take down every major currency, making trillions for the players. It will in time turn on the USA as it is already operating against the financially weaker Illinois and New York debt.

The OTC derivative credit default swap is about to clean the clock of the world. It will not go away but only grow bigger. The situation is in the cross hairs of the richest people on the planet hell bent on getting richer. That is the message of the Dow dropping 1000 points regardless of how it happened.

Huge National Debts Could Push Euro Zone into Bankruptcy
Greece is only the beginning. The world’s leading economies have long lived beyond their means, and the financial crisis caused government debt to swell dramatically.

[rucky]

1. I didn't understand a word of that

but it sounded pretty scary.

[lib2DaBone]

2. Basically, we need to outlaw Credit Defaule swaps....

..or the Wall Street Banksters and Hedge Fund Vampires will bankrupt the world.

(if we aren't there already)

[Statistical]

3. Debt is bankrupting the world.

Someone without debts will never go bankrupt.

Greece having a debt to GDP ratio of over 120% projected to go to 150% W/ AUSTERITY MEASURES (it will go to 280% without them) is bankrupting Greece.

CDS and other derivitives needs to be regulated and capital requirements imposed but to say derivatives is bankrupting Greece is silly.

Greece has spent way more than is sustainable and brought in less revenue than necessary. Like someone living an $80K lifestyle on a $50K income by using credit cards. It isn't sustainable.

We are on the same path as Greece. Deficit spending and debt does matter. It matters for a household balancing their budget and it matters for entire nations too.