Posts Tagged Bankrupt

Who Else is Broke?

rico_3396602bWe heard that Greece is broke. No one wants to utter this taboo word. Greece’s ex-Finance Minsiter Yanis Varoufakis was brave enough to shout to the world that Greece is bankrupt. Brave men never last long in their jobs. Yanis resigned soon after. We also hear Japan, EU (minus Germany), USA and many other first world countries are also broke. They survived for now simply because they just print money that they don’t have. Of course there are better words to use in place of “bankrupt”. QE and Abenomics sound much more sophisticated and professional. Still, a spade is a spade. Read the rest of this entry »

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If a Sovereign Nation goes Bankrupt

imagesWikipedia – Since a sovereign government, by definition, controls its own affairs, it cannot be obliged to pay back its debt. Nonetheless, governments may face severe pressure from lending countries. In a few extreme cases, a major creditor nation, before the establishment of the UN Charter Article 2 (4) prohibiting use of force by states made threats of war or waged war against a debtor nation for failing to pay back debt to seize assets to enforce its creditor’s rights. Read the rest of this entry »

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Greece Becomes Cheece

indexWhen a person gets cornered, what will he do? Anything. There’s nothing more to lose. Greece is in one such situation. Whether the Greeks vote ναί (YES)  or όχι (NO) to the troika’s terms, it makes no difference.  You can call a bankrupt πτώχευση (in Greek), en faillite (French), 破产者 (Chinese) or whatever, he is still a bankrupt. A bankrupt is a bankrupt, period. You can kick the can down the road or bury your head in the sand, a bankrupt is still a bankrupt. Unless of course….. he defaults. All debts suddenly vanish.  Read the rest of this entry »

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China-USA: Modus Vivendi

indexFor many years, USA had been acting like the world’s de facto protector and governor. It uses a two-pronged military cum financial hegemony to hold the world hostage. During the days of Gorbachev in th 1980s, perestroika (Russian: перестро́йка; IPA: [pʲɪrʲɪˈstrojkə] brought Russia out of the Cold War and into “acceptance” by the western world. Until then, Russia was the military counter-balance against US’s “military interests”. After perestroika, USA gained greater military omniscience with the melting of the Cold War. Read the rest of this entry »

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