Economy Archives January 2013
Who has to pay the bankers in Iceland’s banking crash? Not the Icelanders. Different from countries such as Spain and Ireland, Iceland decided that taxpayers should not pay for the excesses of an industry that had grown disproportionately, but most importantly, that had ramped up the country’s debt to a point where upwards of 90 % of the debt written under the country’s name was actually bank debt.
Proposal does not require a balanced budget or the reduction in government spending.
It seems that sustainability is a concept that is not applicable to money and debt. As the World Economic Forum begins in Davos, Switzerland, the first round of speeches has been focused on demanding that the world finances a global ‘greening’ policy which could cost as much as $ 14 trillion. Government and corporate leaders are at it again, scare mongering about global warming — no matter NASA’s own data shows little or no warming for the past 20 years.
Annual income of richest 100 people is enough to end global poverty four times over, says report.
Some 2,500 million people or 28% of the total population of the Earth, live on the margins of financial products and services. This group covers three quarters of the world’s poor and a large group of individuals living in rural areas. These people, despite their good or bad economic situation, are what many call ‘financially independent’ because they are free from the chains of the global banking system.
Portuguese Prime Minister Pedro Passos Coelho warned a month ago: The Portuguese, that bears a progressive and growing cut in services for the last year and a half, intends to save another 4,000 million euros a year starting now. For ideas on where to do it, the Portuguese Executive requested a report to the International Monetary Fund (IMF). The report was released on Thursday and immediately sparked controversy (and fear) in the Portuguese population, as cuts and adjustments will be constant and repetitive in the months to come.
Middle-class workers will take a bigger hit to their income proportionately than those earning between $200,000 and $500,000 under the new fiscal cliff deal, according to the nonpartisan Tax Policy Center.