Thursday, October 03, 2013
Threat? No.
Typical quotes from news articles considering the effects of a default:
It's unfathomable... it would send shock waves through the financial community ... A default could create a chaotic situation on the international market for debt .... Investors would not want to accept bonds that were no longer paying interest. ... But the market is not set up to deal with rejected bonds, so there could be a period of confusion for traders.
Unfathomable! Clang, clang, clang, clang....
Polistra's Law of the Unthinkable: Any time the elites call X unthinkable, you can be 100% sure that X is the best of all possible actions.
Polistra has repeatedly examined this point. Might be unfathomable, but it would be GOOD and NECESSARY.
Is default a threat to the economy? NO. It is a beautiful chance to FIX the economy, a chance for REBIRTH of an actual economy.
Default is a threat to the BANCONOMY, the parasites who have total control in Western countries. The BANCONOMY is the EXACT OPPOSITE of the ECONOMY, and has nearly killed the ECONOMY wherever it has taken control.
Interest rates SHOULD go up drastically. Borrowing SHOULD become nearly impossible, and saving SHOULD become attractive. THIS IS THE ENTIRE FUCKING PURPOSE OF INTEREST RATES.
The nations that depend totally on the BANCONOMY, namely US and UK, will go through a period of trouble, but other sane countries will take over and may be able to reconstruct the ECONOMY in these two countries on sane foundations. Like receivership after bankruptcy. UK could become a protectorate under India, US a protectorate under China.
Not pleasant to be sure, but the only pleasant solution is 100 megatons on NY, 100 megatons on DC, 100 megatons on London. With the receivership route, China and India would try to salvage real production if possible. They've already demonstrated this process in Africa.
Labels: the broken circle
¶ 3:27 AM
