Follow the Money: Behind Europe’s Debt Crisis Lurks Another Giant Bailout of Wall Street

[abelenkpe]

Follow the Money: Behind Europe’s Debt Crisis Lurks Another Giant Bailout of Wall Street

http://robertreich.org/post/11033625495

Today Ben Bernanke added his voice to those who are worried about Europe’s debt crisis.

But why exactly should America be so concerned? Yes, we export to Europe – but those exports aren’t going to dry up. And in any event, they’re tiny compared to the size of the U.S. economy.

If you want the real reason, follow the money. A Greek (or Irish or Spanish or Italian or Portugese) default would have roughly the same effect on our financial system as the implosion of Lehman Brothers in 2008.

Financial chaos.

(snip)

In other words, Greece isn’t the real problem. Nor is Ireland, Italy, Portugal, or Spain. The real problem is the financial system — centered on Wall Street. And we still haven’t solved it.


(more at link)

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[CJCRANE]

1. This reminds me of some DUers' predictions a few years ago.

They said there was still a huge amount of debt out there in the global financial system (even after all the bailouts).

IMO it's time to push the reset button to zero out all the funny money.

[abelenkpe]

3. totally agree

Think debt jubilee is preferable to letting the needy go without, forcing senoirs to work until death, dismantling our entire society to enrich a tiny few who are already wealthy and have sacrificed nothing.

[Aerows]

2. If Wall Street tries to get another bailout

You can absolutely guarantee that the Occupy movement will explode, and there will be all sorts of strange bedfellows banding together.

I keep thinking to myself "surely they can't be dumb enough to try for another bailout after the last one", but then I realize that it isn't stupidity. They are just so high on their own greed and the fact that there were no prosecutions for the last disaster, that they are convinced that any sob story combined with threats to the economy will do the trick.