"History is a wonderful thing, if only it was true"

Friday, May 07, 2010

Cows come home to Roost

Time to pay the piper, or what's German for Toast ... and not

(answer : Toast)

The Mother of All Bubbles: Huge National Debts Could Push Euro Zone into Bankruptcy - SPIEGEL ONLINE - News - International:

"All of the major industrialized countries have lived beyond their means for decades. Even in good times, government budget deficits continued to expand. The United States, in particular, paid for its prosperity on credit. The poor example set by the state was contagious -- US citizens began buying cars and houses they couldn't really afford, and banks speculated with borrowed money.

Things couldn't possibly go well forever and, indeed, the financial crisis put an end to the days of unfettered spending. To avert a collapse, governments came to the rescue with vast sums of money, guaranteed their citizens' savings and jump-started the economy with massive stimulus programs -- all with borrowed money, of course."

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