The Pressure is On
Sometimes I ask myself why I chose to do this. I'm sitting here thinking about all the things I have to do and if I start writing, will I actually write anything that's going to make an inkling of difference? Let the politicians, Central Bank Governors and rating agencies fall on their own swords. The world will sort itself out without any feeble attempt you come up with under the circumstances to change it, undertheradar. You're getting yourself worked up for nothing, and that's going to cost you mistakes in the rest of your messed up life.
But of course, this is one of the wagers I've placed and I can't really leave the table at this stage. Until I'm soundly cleaned out emotionally. But I studied economics and I'm not going to go back and figure out how to learn a real profession. There's some emotional necessity to use the useful insights I tried very hard to learn.
Enough preamble for today. I know most of you can read fast so you haven't wasted more than a few seconds of your time on the first bit.
The pressure is on in the Netherlands. We've been getting reprimands from Fitch and Klaas Knot, our newish DNB dude. Once again it's the same old refrain, reduce your bloody debt or you will pay the consequences. Easy for them to say in their positions. More fucking moralising about debt. I've been hearing the same story for 30 years. Oh yes, they were there too when the trusting souls loaded up on that debt and did nothing to introduce regulations to stop it.
Take our Central Bank Governor Knot. He was personal assistent to Wim Duisenberg back in his top years. So he has a personal attachment in keeping the euro alive. He's saying: you have to do something about that debt, folks. Household debt has run up to 249 percent of GDP. We have to act on the mortgage interest rebate. But the devil is always in the details, and he's not offering any. I have some ideas on how that might be done but I will leave them for the comments if anyone is interested.
And then, Fitch has issued some kind of ratings watch on the Netherlands. What's the affect of that potential downgrade going to be? Apparently they can say with some accuracy it will likely lead to a one percent rise in borrowing rates for our government. Do you see the pressure? How the hell do they know that? Can they see into the future any better from their paid-for perches? Let the storm come and blow the tweeters off as quickly as possible please.
And did the Lombard Street study on leaving the euro wake anyone up? Well, the analysis was entirely flawed. The conclusions could never have been derived from the pieces of the analysis carried out says the CPB. Bunch of fucking wankers. They don't have the resources to carry out a thorough investigation of the matter and it wasn't asked of them. A few banks tried doing a similar study but they seemed to conclude it was all too complicated to figure out anyways. But of course the media has jumped on the study and used it primarily to disparage the poor piece of propaganda.
As usual, you're going to have to work for any more information from this point by posting questions, or observations, which I will address if I have time or motivation. Sorry for the attitude problem.