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Update: Germany leads EU, saying no to $500bn Sarkozy EU bank bailout
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by SOLARLIFE | October 5, 2008 at 01:53 am
282 views | 24 Recommendations | 11 comments
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Merkel Germany leads EU, saying no to $500bn Sarkozy EU bank bailout
uploaded by SOLARLIFE
Update: Oct-5 PARIS 17:00 uk-time
comment: This afternoon unusual air traffic, helicopter shuttle flights to monaco non-stop
German Chancellor Angela Merkel said that Europe's biggest economy would "not allow the distress of one financial institution to distress the entire system. "The country's finance minister later said it would guarantee all private savings accounts The ECB left its rate unchanged at 4.25 percent on Thursday
France: Yes, Germany No
Chancellor Merkel said 'irresponsible' bank managers should be held accountable and brought to justice. Merkel had warned one year ago to regulate hedge funds.
France had suggested a multibillion-dollar EU-wide government bailout plan, but backed off after Germany said banks must find their own way out.
Gordon Brown Government reshuffle
After EU No to bailout; same day, Gordon Brown has completed his Government reshuffle. Phil Woolas is to join Peter Mandelson in Gordon Brown's reshuffled cabinet. There is no job for leading left-winger Jon Cruddas.
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No to $500bn Europe bail out plan
Sarkozy France teamed up with Brown UK for a potential attack on the ECB european central bank for a 300bn Euro bail out. Brown topping with $30 bn from the european investment bank for SME, small enterprises. The french BNP bank was ready to buy into bankrupt Fortis (Franco-Belge) on potential EU bailout.
The Rothschild and other cheating bank stories
Sarkozy acting on Rothschild group insider links, later denied his "attack on european currency" to save France socialist government owned industry. German chancellor Merkel and Italian premier Berlusconi defended the stability of the Euro currency, each country must act individually.
Gordon Brown, britsh pound can pay the debts?
Amazing approach of intrigous Gordon Brown to use Sarkozy to "rob" the ECB (Eurobank), refusing to be member of the Euro zone, but soon knocking on the doors of Europe, when the pound is to small to survive attacks. Brown was keen enough to ask for $30bn from the European investment bank to credit SME's, small companies. Why is he not going to ask the money from the offshore hedge funds hiding Cayman islands, canal islands. Enough is enough.
Economy for me and you ?
No sign of financing an innovative middle class economy, just fixing private insider interests. Politicians under lobby pressure, not acting for citizens interest, the new dogma.
Germany, no welfare for the rich
Merkel said she did not want German taxpayers contributing to a common fund
Europe's four biggest economies have agreed to work together to address the current global financial turmoil but say they will not form a joint bailout fund. The leaders of Germany, Britain, Italy and France, which currently holds the EU's rotating presidency, made the announcement at the end of an emergency mini-summit in Paris on Saturday. France had floated the idea of a 300-billion-euro European fund to rescue troubled banks but German Chancellor Angela Merkel said EU states must take responsibility at a national level for the banking crisis. Merkel said she did not want German taxpayers contributing to a common fund. The summit came ahead of a meeting of the Group of Eight finance ministers in Washington next week.
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SOLARLIFE
FRENCH RIVIERA MONACO LONDON, France
Most RecentMost Recommended Comments (11)
at 05:34 on October 5th, 2008
SOLARLIFE, I like this story. It's good stuff.
at 06:41 on October 5th, 2008
SOLARLIFE, I like this story. It's good stuff.
No sign of financing an innovative middle class economy, just fixing private insider interests. Politicians under lobby pressure, not acting for citizens interest, the new dogma.
More of the same.
I'm glad the EU rejected the bailout.
at 08:06 on October 5th, 2008
SOLARLIFE, I like this story. It's good stuff.
at 08:15 on October 5th, 2008
Jordan thanks for Flag: "update; germany no to bailout, banks must find their own way, ECB rate stays 4.25 for the Euro, £ british pound under pressure now. Non stop helicopter flights to Monaco this afternoon, unusual for a sunday afternoon.
at 08:56 on October 5th, 2008
Barry thanks for Flag "No $500bn bailout in Europe, Germany says no"
at 09:08 on October 5th, 2008
Heritage..I'm glad the EU rejected the bailout. Yes it is the right decission. Constructive destruction of the dinosaurs, we need a citizen middle class economy to establish, thanks for Flag
at 09:17 on October 5th, 2008
SOLARLIFE, I like this story. It's good stuff. It's really interesting to watch how each state deals with this crisis. What's the significance of flights to Monaco? Is it to bury money in secret bank accounts?
at 09:25 on October 5th, 2008
Constructive destruction...
Absolutely!
at 09:47 on October 5th, 2008
Barbara...why flights to Monaco ? , you ask me a delecate question. Money in or out ? No bailout means cash money is rare. Let me say you want 2 million Euro from your account a british bank at mc (Barkl....), the headquarter of the british bank is still in London. So the money has to come in this case from London. Do they have it still? I know at the moment only Ireland and today germany are giving a guarantee on accounts. Monaco banks are wealth management banks, no commercial banks. A bank has typical only 3 to 10% of your money at the bank, the rest is going around to make money. Here may come the problem in crisis times, people prefer grandma's sofa to hide the money at home. Was true for a long time in Brazil too.
at 16:54 on October 5th, 2008
SOLARLIFE, I like this story. It's good stuff. Busy heliport, huh! Probably, just Sarkozy and friends trying to get a bet down on the hard eight at Monte Carlo to cover their shorts before marlets open Monday!
According to Adam Smith in his book "An Inquiry Into the Nature and Causes of the Wealth of Nations," and the notion of an “invisible hand” or, financial selfishness (aka, greed) is a positive force in a free economy. (That conjures up images of Michael Douglas in his protrayal of Gordon Gecko, in the movie Wall Street.) In one of the most celebrated passages in Smith’s book, he states the businessman intends only for his own gain. He is in it, as in many other cases, led by an "invisible hand" to promote an end which was no part of his intention. Nor is it always the worse for the society that played no part of it. By pursuing his own interest he frequently promotes that of the society more effectually than when he really intends to promote it. I have never known much good done by those who affected to trade for the public good.” Smith further explains that politicians cannot promote a country’s welfare as we might imagine. Attempts to intervene in the market are hazardous at best. “The statesman,” wrote Smith, “who should attempt to direct private people in what manner they ought to employ their capital, would not only load himself with a most unnecessary attention, but assume an authority which could safely be trusted, not only to no single person, but to no council or senate whatever, and which would nowhere be so dangerous as in the hands of a man who had folly and presumption enough to fancy himself fit to exercise it.” -END-.
at 23:38 on October 5th, 2008
BallyZACA, good old stuff Adam Smith, I met Prof Edmund S. Phelbs, nobel prize Economics 2006, at Monaco Finance goes green talks. His past oriented ideas (1930)where based on: Is the future predictable, can banks model their business model due to economists and naturally the Uncertainty risk of profits, human fulfillment (greed), exactly this way the bankers killed us. All in 2007, not one word of the coming bank crash,Well it ended with Rumsfeld's term: "the unknown unknowns". Well in the agressive discussion following, I pointed out to turn to fields of investment like Google renewable energy solar. Phelbs backfired me, that I am obviously a green economist, I took it I live it. The real uptodate man is from Harvard , Schumpeter's constructive destruction of dinosaurs to make ways for new players, most read by young university students.