cancel
Showing results for 
Search instead for 
Did you mean: 

Biggest Ponzi scheme in history

Midnight_Caller
Rising Star
Posts: 4,143
Thanks: 7
Fixes: 1
Registered: 15-04-2007

Biggest Ponzi scheme in history

Hi All
Just seen this:
[quote="Daily Mail"]
Why the euro bailout is the biggest Ponzi scheme in history
The recent decision by the Bank of England to pump another £75billion into the economy shows that Britain, far from recovering, remains on the edge of another dip.
But what happens to the British and world economy is, to a large extent, out of our hands. The greatest threat to our economic future is what is happening in the eurozone.
The scale of the euro crisis has made one thing abundantly plain: Europe, Britain and the rest of the world would be better off if the euro had never happened. It would be preferable if it were now dismantled in an orderly manner.
Yet leaders of eurozone countries appear determined to keep the show on the road, however much voters and their parliaments object to the project.  At the end of last month, Germany’s Chancellor Angela Merkel had to see off a rebellion from German MPs to win a vital vote in the German parliament to support the expanded €440 billion European bailout fund.
Last night, the parliament of Slovakia, one of the poorest of the eurozone countries, cast still more doubt on the bailout project by voting against paying its share of the rescue fund.
Read More Here
14 REPLIES
thejudge
Grafter
Posts: 571
Thanks: 1
Registered: 01-08-2007

Re: Biggest Ponzi scheme in history

1) This is from the Daily Wail
2) It's (ghost-)written by Norman Lamont (Mr Black Wednesday, Monsieur Je Ne Regrette Rien, and a disaster as Chancellor)
3) He doesn't know what a Ponzi scheme actually is - but it's a phrase usually thrown around by American far-righters to describe welfare and public health provision there, and is used in a similar way by their allies here to describe any public expenditure they don't approve of.
In short: nothing to see here.
Community Veteran
Posts: 18,551
Thanks: 194
Registered: 12-08-2007

Re: Biggest Ponzi scheme in history

Maybe this will help Wink
Ponzi Scheme
Community Veteran
Posts: 13,929
Thanks: 515
Fixes: 8
Registered: 01-08-2007

Re: Biggest Ponzi scheme in history

People keep banging on about it being down to the Euro and the Euro being bad etc.
Can anyone tell me why? - As far as I can see its one currency thats valid across Europe. How would France, Germany, Spain etc reverting back to their own currencies make any difference apart from to the banks who make money converting it? - The same banks who have already been reported as causing half this mess.
So.. what am I missing here? - Whats really going on with the Euro?
I need a new signature... i'm bored of the old one!
Community Veteran
Posts: 18,551
Thanks: 194
Registered: 12-08-2007

Re: Biggest Ponzi scheme in history

The problem stems from the very beginning.  Some of the countries entering the Euro, France and Germany, had strong economies.  Others, Greece, Portugal, Spain, had weaker economies. There was no way a common monetary policy would work for them all.  Countries have different inflation rates and need to be able to act to adjust their inflation.  This they can't do independently in the Euro. Interest rates also have to be common across the zone which again will not work for all countries.
Community Veteran
Posts: 2,286
Thanks: 219
Fixes: 1
Registered: 04-08-2009

Re: Biggest Ponzi scheme in history

........  and that also explains why Germany and France, the two strongest players in the game, are at loggerheads over what best to do to fix it. Merkel has her own country to protect and Sarkozy his, and neither is going to let go of their principles. The EU was dreampt up in the first place for two reasons, to act as an opposing economic force to Russia, and also to try to glue the many european countries together somehow, especially after the 1939-45 war. If the Euro now fails this will open all sorts of doors for a revertion to conflict, especially as the world is running short of resources in the face of an ever rampant global population.
Sermon over!  Cheesy
Community Veteran
Posts: 18,551
Thanks: 194
Registered: 12-08-2007

Re: Biggest Ponzi scheme in history

There were also people in Europe who thought that if they had one currency they could stand up to the almighty dollar.  What a mistake Huh
Community Veteran
Posts: 5,471
Thanks: 288
Fixes: 4
Registered: 11-08-2007

Re: Biggest Ponzi scheme in history

I find that Max Keiser, who presents a program on "Russia Today", is very good at explaining a lot of these complex financial terms and the effect they have.
His opinions are very aligned with the current "Occupy" demonstrations,  and in Greece is the only independent viewpoint on television for financial opinions that the general public get to see - as state television only presents the Greek government policies.
You can watch his programs on line at - http://rt.com/programs/keiser-report/
Ellis
Grafter
Posts: 213
Registered: 04-02-2011

Re: Biggest Ponzi scheme in history

Quote from: nozzer
The EU was dreampt up in the first place for two reasons, to act as an opposing economic force to Russia, and also to try to glue the many european countries together somehow, especially after the 1939-45 war. If the Euro now fails this will open all sorts of doors for a revertion to conflict, especially as the world is running short of resources in the face of an ever rampant global population.
Sermon over!   Cheesy

I agree, we have had relative peace for 60 years. The end of the EU could well involve us in another European if not World war. Our government would then suddenly find vast amounts of money for re-armament. In the 1930's we had a similar situation, then in 1936 we suddenly found money for re-armament and it got us out of the recession. Do we have to have another war to get us out of this one.
Community Veteran
Posts: 2,286
Thanks: 219
Fixes: 1
Registered: 04-08-2009

Re: Biggest Ponzi scheme in history

A big problem with some countries (Greece, Italy?) is that a LOT of people don't pay the taxes they are supposed to, hence the Governments are strapped for cash to do much to prop the Banks up, hence the riots in certain cities because people will be worse off by a big margin. Italy is a very much "cash-orientated" economy, as they say!
Greece recently introduced a property tax which most people couldn't wriggle out of, but it has left many now worse off because they are starting to pay their way. Problem with all this is that when civil unrest and disobedience takes over the flood gates are opening to worse things. Viz Europe pre-1939.
Community Veteran
Posts: 5,471
Thanks: 288
Fixes: 4
Registered: 11-08-2007

Re: Biggest Ponzi scheme in history

[quote=Ellis]Do we have to have another war to get us out of this one.
This comes up as a topic in Max Keiser's current program - http://rt.com/programs/keiser-report/episode-199-max-keiser/
Community Veteran
Posts: 18,551
Thanks: 194
Registered: 12-08-2007

Re: Biggest Ponzi scheme in history

He certainly has some weird views Undecided  Reading between the lines it's all down to the bankers Wink
Community Veteran
Posts: 7,928
Thanks: 603
Fixes: 8
Registered: 02-08-2007

Re: Biggest Ponzi scheme in history

Something has got to give at some stage.
If the cost of most thing continues to rise at the present rate but wage levels and interest on savings remain virtually frozen we must reach a tipping point where some people despite doing everything they reasonably can find it impossible to carry on and may find themselves drawn to the more extreme  groups of protestors who criticize everything but have no real answer for anything.
Community Veteran
Posts: 18,551
Thanks: 194
Registered: 12-08-2007

Re: Biggest Ponzi scheme in history

There was an interesting Panorama programme this week looking at illegal fuel.  I didn't realise there were so many places where it can be bought for as little as 90p a litre.  Many companies use illegal red diesel to save costs.  One haulier said he had to liquidate his business because the cost of fuel made it impossible. it even showed a process to remove the red dye from the red diesel!
Interest rates presents a big issue.  A businessman or someone buying a house want interest rates to remain low.  Those living on savings want the rates high.  What's the solution?  Certainly not protesting around St. Paul's Cathedral.
Community Veteran
Posts: 13,929
Thanks: 515
Fixes: 8
Registered: 01-08-2007

Re: Biggest Ponzi scheme in history

Quote from: artmo
The problem stems from the very beginning.  Some of the countries entering the Euro, France and Germany, had strong economies.  Others, Greece, Portugal, Spain, had weaker economies. There was no way a common monetary policy would work for them all.  Countries have different inflation rates and need to be able to act to adjust their inflation.  This they can't do independently in the Euro. Interest rates also have to be common across the zone which again will not work for all countries.

Ah! Now it makes more sense! Quite logical really when you put it like that. Thanks artmo Wink
I need a new signature... i'm bored of the old one!