HomeLatest ThreadsGreatest ThreadsForums & GroupsMy SubscriptionsMy Posts
DU Home » Latest Threads » Forums & Groups » Topics » Economy & Education » Economy (Group) » STOCK MARKET WATCH -- Mon... » Reply #8

Response to Tansy_Gold (Original post)

Mon Aug 13, 2012, 05:53 AM

8. IMF Says Bailouts Iceland-Style Hold Lessons In Crisis Times

http://www.bloomberg.com/news/2012-08-13/imf-says-bailouts-iceland-style-hold-lessons-for-crisis-nations.html

celand holds some key lessons for nations trying to survive bailouts after the island’s approach to its rescue led to a “surprisingly” strong recovery, the International Monetary Fund’s mission chief to the country said.

Iceland’s commitment to its program, a decision to push losses on to bondholders instead of taxpayers and the safeguarding of a welfare system that shielded the unemployed from penury helped propel the nation from collapse toward recovery, according to the Washington-based fund.

“Iceland has made significant achievements since the crisis,” Daria V. Zakharova, IMF mission chief to the island, said in an interview. “We have a very positive outlook on growth, especially for this year and next year because it appears to us that the growth is broad based.”

Iceland refused to protect creditors in its banks, which failed in 2008 after their debts bloated to 10 times the size of the economy. The island’s subsequent decision to shield itself from a capital outflow by restricting currency movements allowed the government to ward off a speculative attack, cauterizing the economy’s hemorrhaging. That helped the authorities focus on supporting households and businesses.

Reply to this post

Back to OP Alert abuse Link to post in-thread

Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
Arrow 52 replies Author Time Post
Tansy_Gold Aug 2012 OP
Tansy_Gold Aug 2012 #1
Demeter Aug 2012 #3
tclambert Aug 2012 #14
Demeter Aug 2012 #2
xchrom Aug 2012 #4
xchrom Aug 2012 #5
Demeter Aug 2012 #15
xchrom Aug 2012 #6
just1voice Aug 2012 #52
xchrom Aug 2012 #7
LineReply IMF Says Bailouts Iceland-Style Hold Lessons In Crisis Times
xchrom Aug 2012 #8
Demeter Aug 2012 #16
xchrom Aug 2012 #9
xchrom Aug 2012 #10
Demeter Aug 2012 #17
xchrom Aug 2012 #18
xchrom Aug 2012 #11
xchrom Aug 2012 #12
xchrom Aug 2012 #13
xchrom Aug 2012 #19
Demeter Aug 2012 #20
Demeter Aug 2012 #21
Demeter Aug 2012 #22
DemReadingDU Aug 2012 #26
Demeter Aug 2012 #23
Demeter Aug 2012 #24
Demeter Aug 2012 #25
Demeter Aug 2012 #27
Tansy_Gold Aug 2012 #30
Demeter Aug 2012 #28
Roland99 Aug 2012 #29
Roland99 Aug 2012 #31
Fuddnik Aug 2012 #32
Demeter Aug 2012 #33
Tansy_Gold Aug 2012 #42
Demeter Aug 2012 #34
Demeter Aug 2012 #35
Demeter Aug 2012 #47
Demeter Aug 2012 #36
Demeter Aug 2012 #37
DemReadingDU Aug 2012 #49
kickysnana Aug 2012 #38
Demeter Aug 2012 #39
Demeter Aug 2012 #40
Demeter Aug 2012 #41
Demeter Aug 2012 #43
Demeter Aug 2012 #44
Demeter Aug 2012 #45
DemReadingDU Aug 2012 #50
Demeter Aug 2012 #51
Demeter Aug 2012 #46
Demeter Aug 2012 #48
Please login to view edit histories.