Ray of Light from Euro

[notting]

Saw some very encouraging ideas for the first time in years on Euro.
Basically all they have to do create a Euro Bond system that covers the whole thing.
That way it all evens out and it all works.
No massive risk for some whilst others cruise.
Problem is that they have to agree to do it.
The abyss that is the alternative should help that.
But it's a handle, up until now there has been nothing to save it.
Sadly it will take time.

 

[tech/a]

Saw some very encouraging ideas for the first time in years on Euro.
Basically all they have to do create a Euro Bond system that covers the whole thing.
That way it all evens out and it all works.
No massive risk for some whilst others cruise.
Problem is that they have to agree to do it.
The abyss that is the alternative should help that.
But it's a handle, up until now there has been nothing to save it.
Sadly it will take time.

Isn't it just the same as the US issuing Bonds against printed currency?
Basically an IOU
You have to pay back the IOU.

In this case the IMF.
If you cant pay it you default or take on more IOU's
Eventually you will get to the point where you cant service the IOU's and the US is pretty damned close to that now!

Band aids for a hemorrhage

 

[notting]

I thought they could just suck all the existing bonds for individual nations in the Euro into Euro bonds, somehow. Bit like a merger. No new notes needed for that?

 

[tech/a]

I thought they could just suck all the existing bonds for individual nations in the Euro into Euro bonds, somehow. Bit like a merger. No new notes needed for that?

Fine Issue a new named bond to cover old debt.
The rich countries buy the bonds and the poor countries sell the bonds until the rich countries wont buy the bonds as they cant even get their interest paid let alone the promisary note (The bond).Then the poor countries default and the rich countries lose their $$s.

And if is a EURO bond then hose countries who are forced to cover the bonds wont be happy with those ceating them!

Cant see a solution in BONDS of any sort.
All its doing is re distributing debt.

So the IMF eventually OWN Greece or CHINA takes Florida as payment for the US debt??

Gee I hope to see this in my life time. A complete collapse of the Monetary system.

 

[notting]

The bonds are already owned, they are just reconstructed into one eauro bond. The richer countries in the structure assist in managing the interest whilst austerity measures help reduce the stress on them over time. It's better scenario than constant bailouts.
If all the debt added up is way too big for the GDP of the entire eauro to manage over time then that's obviously a train wreck.
I don't know the figures but people who understand it more than me seemed to think it was manageable as a single entity of bonds covering the entire Euro conglomerate.

 

[tech/a]

The bonds are already owned, they are just reconstructed into one eauro bond. The richer countries in the structure assist in managing the interest whilst austerity measures help reduce the stress on them over time. It's better scenario than constant bailouts.
If all the debt added up is way too big for the GDP of the entire eauro to manage over time then that's obviously a train wreck.
I don't know the figures but people who understand it more than me seemed to think it was manageable as a single entity of bonds covering the entire Euro conglomerate.

Doesnt look too good!


Check out the US!!!


http://en.wikipedia.org/wiki/List_of_countries_by_future_gross_government_debt

 

[notting]

At least Japans alright :
Back to the fetal position.