Contributing Editors' Blog Entries

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In Bankia’s case all of this culminated in the bank receiving a €19 billion Euro bailout, the largest in Spain’s history. And for certain this amount of money will be increased dramatically: Bankia’s loan book is roughly €200 billion in size (1/5th the size of Spain’s GDP) and I can assure you a major chunk of this is total and complete garbage. That’s not the problem however. The REAL problem is that Spain itself is broke and doesn’t have the money to prop this bank up…