FUBAR?
Time for a good bank, setting one up just requires a licence. Last I looked, when IB was thinking of prosecuting a bank for accomplice to evasion, it cost a million. Punts.
Banks do not do well in Kondratieff winters.
Nearly all the world’s banks depend upon their country of registration for solvency and liquidity. That is why fiat currencies are devaluing. That is why inflation will be picking up for food etc.
Welcome to the new world order. Deflation of big ticket items, lack of capital and rising prices. Economies that without the FIRE section, will be 1980 in size. 1980. If we are lucky. It can get worse than that. But I do not wish to depress you. Make lifestyle plans according to what you really think will be happeneing over the next twenty to thirty years. Japan is still deflating, twenty years on. Critics may say Japan is different. But they are wrong. They were merely the first casualty of the banking weapon. Most of the biggest companies in the world used to be banks. Imagine a world where there is no lending at all. No new credit. All existing credit is “renewed” because otherwise, capital is impaired. Existing companies have to compete with start ups, funded by profits, while the existing companies have to pay interest. At normal interest rates, which are twice the current level. This is our world, once the Basle accords apply with more conservative reserve requirements. Decades of that.
Lifestyle choices?
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Thanks for the comments, Pat. Too many to go in to here. Hope the weather is Oz is treating you well. As regards McWilliams, his thing on leaving the Euro is scary. We can look back and say it was a mistake -- as I did to people, but I was living in the U.S. at the time so my opinion did not count (sound familiar?)
You are right, though. Ireland is in a unique predicament of its own making, the second in 30 years. We are great people individually, but collectively we have got to be pretty low on the totem pole.
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