If Greece Fails

[erudne]

Puerto Rico to miss debt payment, signalling default - CNBC




...the commonwealth lurches towards what could be one of the largest U.S. municipal debt restructurings in history. http://www.cnbc.com/2015/07/31/reute...g-default.html

 

[Just Jim]

And so it begins here....

 

[erudne]

The IMF is indicating that it will not take part in the new Greek debt deal. As a result, the whole thing may completely fall apart…
Leaked minutes of the fund's latest board meeting, which took place on Wednesday, showed staff "cannot reach agreement at this stage" on whether to take part in the new €86bn (£60bn) bailout for Greece. The document said there were doubts over the capacity of the Athens Government to implement economic reforms, as well as the over the sustainability of the country's sovereign debt pile, which is now projected to hit 200 percent of GDP.
The German Chancellor, Angela Merkel, only sanctioned a new Greek deal earlier this month on the condition that the IMF takes part.

The Canadian economy has officially entered a new recession. This is something that was not supposed to happen


And in this list I didn't even mention the economic chaos that is happening down in South America. For full coverage of that, please see my previous article entitled "The South American Financial Crisis Of 2015".

Thanks to Barack Obama, the U.S. coal industry is imploding, and some of the largest coal producers in the entire country have just announced that they are declaring bankruptcy…
On Thursday, Bloomberg reported that the biggest American producer of coking coal, Alpha Natural Resources, could file for bankruptcy as soon as Monday.
Competitor Walter Energy filed for bankruptcy earlier this month, and several others have done the same this year.

CNN: Puerto Rico just defaulted for the first time

The latest government trust fund to go bankrupt; see also Long-Term Fix of Federal Highway Trust Fund Needed

ZH: "…as of Friday's close, there was a whopping 123.8 ounces in potential paper claims to every ounces of physical gold…"

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^!!!!!!!

 

[erudne]

Saudi Arabia may go broke before the US oil industry buckles
It is too late for OPEC to stop the shale revolution. The cartel faces the prospect of surging US output whenever oil prices rise
http://www.telegraph.co.uk/finance/...broke-before-the-US-oil-industry-buckles.html

 

[erudne]

Greece Coast Guard rescued another 1400 "refugees" in the last 3 days

 

[slimmer13]

^^^trying to get out or in?

 

[erudne]

A Reddit user uploaded a picture on Monday of a man using a 2 bolivar note to hold an empanada.
According to Venezuela's official bolivar-dollar exchange rate, the man using his money as a napkin is wasting about $0.31 (£0.20).
But on the black market, the reality is completely different. You can get 676.88 bolivars to the dollar, according to dolartoday.com. That means holding food with a 2 bolivar note costs the holder less than a third of one US cent.
Dolartoday.com's chart shows just how the value of the bolivar has plunged, with more and more units of the Venezuelan currency required to get hold of a single dollar:

 

[Oathkeeper1775]

 

[Certaindeaf]

Didn't Greece already fail a couple thousand years ago? I forget

 

[Oathkeeper1775]

Didn't Greece already fail a couple thousand years ago? I forget

Yip, see The Oracle at Delphi...today's inebriateing PC coolaid pouring-out

 

[Certaindeaf]

Yip, see The Oracle at Delphi...today's inebriateing PC coolaid pouring-out

Lol. it's the same thing

 

[Oathkeeper1775]

TE="Certaindeaf, post: 1311114, member: 27048"]Lol. it's the same thing[/QUOTE]

Look how many people followed Bhaghwan Shree Rajneesh; some people are gullible.....

"One who deceives will always find those who allow themselves to be deceived". Niccolo Machiavelli.

 

[erudne]

Didn't Greece already fail a couple thousand years ago? I forget

short term memory loss? I have that too

 

[erudne]

Greece's Experiment With Socialism Comes To End As PM Says He'll Resign
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Wish our socialist experiment would end soon.

Via USA Today:

Greek Prime Minister Alexis Tsipras, faced with a revolt in his party over his acceptance of unpopular bailout measures, said Thursday he will resign and call early elections in September.

Tsipras said on national television that his ruling mandate has "exhausted its limit and now people must decide anew."

Although he defended his negotiations with other eurozone countries as securing the 86 billion euros ($96 billion) in rescue funds, Tsipras said he felt a "deep moral" obligation to lay his actions before the judgment of the Greek people.

Keep readin

 

[erudne]

... to the point where neither the country's hyperinflation, nor the total collapse of its currency...



Venezuela has already entered the 'total catastrophe' stage for its currency, but Japan will follow along, as will everyone eventually who lives in a country that finds itself unable to voluntarily abandon the sweet relief of booms enabled by credit creation.

http://www.peakprosperity.com/blog/9...-market-plunge

 

[Oathkeeper1775]

View attachment 253274
... to the point where neither the country's hyperinflation, nor the total collapse of its currency...
View attachment 253275


Venezuela has already entered the 'total catastrophe' stage for its currency, but Japan will follow along, as will everyone eventually who lives in a country that finds itself unable to voluntarily abandon the sweet relief of booms enabled by credit creation.

http://www.peakprosperity.com/blog/9...-market-plunge

All part of the plan; there will be a global "dollar" very soon.

 

[erudne]

From 4 days ago:

 

[erudne]

Desperate Chinese investors rocked by market collapse take matters into their own hands and KIDNAP an exchange boss to get their money back

• Vigilantes seized metals exchange founder Shan Jiuliang at Shanghai hotel
• Jiuliang was bundled into a car and dumped at a police station
• Chinese economic turbulence has caused shock waves worldwide
• Stocks down today over fears Chinese rate cuts will fail to stabilise falls
• Read more: http://www.dailymail.co.uk/news/arti...#ixzz3jxTZnM3j
  Follow us: @MailOnline on Twitter | DailyMail on Facebook

 

[mkwerx]

The thing that is most troublesome to me is that if chinas economy collapses it will destabilize their country which could lead to ab even more militant group to seize power. Or worse they go ussr and it becomes every man for themself and weapons and equipment start getting sold off to anyone with a suitcase full of cash. China or some general might just sell Iran some cheap nuke warheads to give their nuke program a jumpstart. Or worse someone might sell Isis a glow bug - if they haven't got their hands on one already.

China could get set back decades by this - and unless a major democratic or republican revolt happens (for those from Oregon public schools i mean government types not political parties) - i see the military seizing more control or some slick talking chinese Obama clone promising their people the world and gaining power. I could give a crap about our imports from China - it could mean we either import more from vietnam or thailand or bring mfg jobs back to the usa. I am more concerned with a coup leading to a china even less friendly to the US.

 

[erudne]

Low Oil Prices Killing Another Leftarded OPEC Nation!!!! Ecuador!
Posted on August 27, 2015 by suyts


Ecuador's president says country now producing oil at a loss
QUITO, Ecuador (AP) — Ecuadoreans are already contending with a rumbling, ash-spewing volcano and rising living costs because they use the appreciating U.S. dollar as their currency.

Now they've been told that Ecuador's oil — its principal export and a vital source of government funding — costs more to produce than it earns.

President Rafael Correa explained on Tuesday, during a visit to areas threatened by the Cotopaxi volcano, that it costs the OPEC nation $39 to produce a barrel of oil for which it only receives $30.

If crude prices remain below $40 that could mean more budget cuts or higher taxes.

Ecuador produces 538,000 barrels a day and under current circumstances stands to lose up to $3 million a day on them, though the state-owned Petroecuador oil company says it was profitable for the first half of 2015 because oil averaged $47 a barrel.

The country also has fixed-price contracts — the most significant with Petrochina from 2009 and Thailand this year that represent about $7 billion in sales.

Oil sales contribute 13 percent to the national budget, or about $3.1 billion.

Tumbling oil prices this year have already prompted Correa to cut spending by $2.2 billion, Finance Minister Fausto Herrera said last week.

The government hasn't yet specified what programs will be cut. However, Correa did say that "for example some of the substantial improvements in education would be delayed."

Correa has come under criticism for not squirreling away any cash for emergencies but instead spending it on public works and other programs that have helped make the leftist economist popular.

The economic crunch and Correa's response have helped his opponents, who have been organizing street protests against him since June that have in recent weeks flared into violence.

Well, the rising dollar comment is stupidity. If you have a dollar, and the dollar rises in value, then, you've gained, not lost, value. I don't know why that's hard to understand. It's when you hold other currencies which depreciate in value vs the dollar which gets you hurt. As stated, Ecuador trades in the US dollar. If their cost of living is increasing, it isn't because their dollars are now worth more. ……. Sometimes, I think the economic AP writers just throw idiotic stupidity in just to aggravate me. Yeh, this is me, in the US with my dollar ….. "oh, I'm so hurt my dollar is increasing in value, please someone make it stop!!!!! Please let is be as worthless as Mexican Peso!!!!!"

But, this post isn't about the US dollar valuation.

The interesting part is the oil sales contributing to 13% of the national budget. It's state owned and was 40% of all of their exports in 2014.

$39/barrel is a huge cost considering the oil they're pumping isn't shale or hard oil. But, then, that's leftards for you.

Did you know Ecuador has a "Transparency and social control branch" of government? Heh!


But, friends, this is what leftism brings you. In times of plenty, such as times when the price of oil is high for oil exporting nations, people tend to live for today without thought or concern for tomorrow. It seems to be human nature. But, the human experience tells us that times are not always good and bountiful. This is why continuous and increasing deficit spending is foll