Making money to burn in Ireland

by Odd Man Out
This from Naked Capitalism
explains that bondholders were happy to do business with the Irish banks — the banks guaranteed that bondholders would get back 100 percent of their money, with interest, even if the Irish banks collapsed. That’s a hell of a way to run a casino.

But it’s even worse than that:

One thought on “Making money to burn in Ireland

  1. It is even worse than that….in Greece. Had Greece defaulted last week the ‘private’ (bond)holders of Greek debt would have gotten zero (0) of the $160 billion dollars owed to them. Instead those crafty Germans worked a credit default swap with Greece loaning them $170 billion dollars of European taxpayers money. That deal gave the almost bankrupted ‘private’ bondholders of Greek debt 54% of what they were owed by Greece in brand new government owned and taxpayer guaranteed bonds. At a rather generous interest rate. Using the rule of 7, the original bondholders should be made whole within 6 years. So who got screwed in this deal? The Greek people who are now completely owned, like slaves, by their fellow Europeans. The official unemployment rate in Greece today is 24.7%. Meaning that 50% of the Greeks don’t have jobs. Revolution anyone?

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