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May 10, 2010
I am not
ashamed to confess that I am ignorant of what I do not know.
Marcus
Tullius Cicero
The first shock and awe
failed miserably, victory was initially declared in Iraq,
but a few weeks and months later, it looked more like
defeat. Ironically the same term has been used to describe
the new Euro rescue package. This parcel will only delay the
inevitable, short term relief for even greater longer term
pain.
This package does not
address the main problem that many nations that are reeling
from this economic slowdown are taking on debt as a means of
generating new revenue. Now the leaders at the Euro zone
have joined the party, taken on even more debt to address
the short term debt issues, with no plans in place to deal
with long term problems.
The next step would be for
these idiots to follow the US and start monetizing their own
debt; a silent but nefarious stepping stone to bankruptcy.
This is one of the main reasons why Zimbabwe collapsed. No
one would buy their paper, so they printed more to buy the
crap they had printed before and with each run of the press
the value of their currency dropped an ever increasing pace;
now the Zimbabwe dollar is dead, millions are in the dog
house and the unemployment rate is close to 80%.
The only way to fix this
problem is to deal with the problem. It will be painful,
maybe some nations will have to be thrown and drastic cuts
will have to be implemented. Whenever you delay the
inevitable the end result is always 10 times more painful.
The Euro is projecting a
drop to the 115 ranges, so traders look to take advantage of
a weak euro can, purchase shares in EUO.
It is
against stupidity in every shape and form that we have to
wage our eternal battle. But how can we wonder at the want
of sense on the part of those who have had no advantages,
when we see such plentiful absence of that commodity on the
part of those who have had all the advantages?
William Booth,1829-1912, British Religious Leader, Salvation
Army Founder
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