If the IMF does find the money to loan to Italy, it will have to find money for Spain, and for Ireland, and for the Belgians (who just had their credit downgraded again over the weekend). Unless the Italian “solution” brought down government bond yields generally, the basic problem in Europe is still the same: the governments need to borrow more money than anyone actually has.
November 28th, 2011 | Dan Denning | 1 comment | ContinuedAll Posts Tagged With: "International Monetary Fund"
The Deeper the Greek are in Debt
“Hooray” for democracy.
From out of the blue, Greek president George Papandreou has called a referendum on the Greek debt situation and whether Greece should accept the terms of the financial and political surrender imposed on it by the “Troika” of interventionists from the International Monetary Fund (IMF), the European Union (EU), and the European Central Bank (ECB).
November 2nd, 2011 | Dan Denning | 3 comments | Continued
Gold in the Next Stage of a Bull Market
Gold is on track for its best monthly performance in a decade. The money metal reached $1,180 earlier this week, another all-time high.
November 30th, 2009 | Addison Wiggin | 1 comment | Continued
Gold: The Ultimate Unlevered Hard Asset
In fact, something important is happening in the gold markets right now. All through the 1990s to the present day, the world’s central banks were net sellers of gold.
November 13th, 2009 | Chris Mayer | 12 comments | Continued
What’s Wrong With the Stimulus Packages
The Australian Senate has been running an inquiry into the stimulus package for which I provided a written submission and afterwards spoke to the Senate Economic References Committee which has been conducting this inquiry.
October 20th, 2009 | Dr. Steven Kates | 11 comments | Continued
Government Stimulus Programs Make Life Harder For Banks
Just to recap, government borrowing draws away capital from businesses that might use it to invest in productive projects that generate a real return. What you get in return is higher debt, probably higher interest rates, and people who’ve never really had to earn a paycheck or meet a payroll deciding how to allocate capital. And you still think it’s a good idea?
October 1st, 2009 | Dan Denning | 6 comments | Continued
US Dollar Declining as China’s Currency Rises
“We may now be entering the Asian century, dominated by a rising China and its currency. This decline of the dollar might take more than a decade, but it could happen even sooner…
September 23rd, 2009 | Bill Bonner | 5 comments | Continued
US Dollar As Reserve Currency Not Working Very Well
Their report makes some of the right noises, “The dollar-based reserve system is increasingly challenged.” Hmm, a slight understatement there. If “increasingly challenged” is a euphemism for “dead” then we’d agree.
But we don’t think that’s what they mean.
September 10th, 2009 | Kris Sayce | 38 comments | Continued
Americans Have No Money to Spend Because They Already Spent It!
From Florida, comes news of the first drop in population in 60 years. “Unemployment is soaring,” reports USA Today. “Florida is second to California on foreclosures.”
Yes, dear reader, there is trouble in the sand states…
September 3rd, 2009 | Bill Bonner | 1 comment | Continued
Austerity is Missing from the Financial Bailout Debate
Within the billions of sentences about the financial bailout there is one word notably absent, austerity. All talk is of payments, supports, subsidies, incurring more debt, stimulus packages.
July 3rd, 2009 | Juan Enriquez | 1 comment | Continued
Special Drawing Rights Used as the World’s Reserve Currency?
As usual, I get no feedback from the Chinese, perhaps thanking me for saving their economic butts by pointing out where they have been so stupid as regards this “gold money” thing by, you know, sending me a couple of tons of it, or even a fruit basket would be nice, ya know?
April 7th, 2009 | Mogambo Guru | 3 comments | Continued
The Law of Supply and Demand is Not Dependant Upon Congress
For us, it applies heavily to the advances of government into the field of business. It only makes sense: the occupants of the White House and the Capitol have done such a good job with their budgets over the years, they just want to help everyone else (over the cliff, that is).
April 2nd, 2009 | The Daily Reckoning | 1 comment | Continued
David Ricardo’s Economic Theory is Sound Doctrine
Gordon Brown has no intention of embarking on a new war, though he has defence commitments in Afghanistan, but he has failed to foresee that a large deficit makes it more difficult to support future deficits.
April 2nd, 2009 | William Rees-Mogg | 3 comments | Continued
Australian Resource Shares, What’s Next?
IMF director Dominique Strauss-Kahn tried to kick-start stalled G7 negotiations in Washington this weekend by reminding everyone what was at stake. “Intensifying solvency concerns about a number of the largest U.S.-based and European financial institutions have pushed the global financial system to the brink of systemic meltdown,” he said. It doesn’t get much more direct than that. The truth is, governments are trying to do the impossible. They are trying to make bad loans turn good.
October 12th, 2008 | Dan Denning | 1 comment | Continued
