This page has been archived and commenting is disabled.

After Eurovision Comes The Euroscramble: Europe's Latest "Silver Bullet", "Secret" Bail Out Plan

Tyler Durden's picture


Mere hours after the annual European Eurovision song contest ended at a cost to the host country in the hundreds of millions, money which should have been spent productively elsewhere but wasn't while providing utterly unnecessary distraction to hundreds of millions from what is truly important, we get another stark reminder that the continent is not only broke, but that it no longer even pretends to have credible ideas about how to go about fixing itself. The latest speculation: "Secret plans are being drawn up in Brussels for a European rescue fund that could seize control of struggling banks across the Continent. The scheme, which would be funded by a levy on banks, will be presented by supporters as a "silver bullet" that could halt the steady escalation of the eurozone debt crisis. It is being worked on in tandem with a proposal from Mario Monti, the Italian prime minister, for a Europe-wide guarantee on bank deposits. The proposal would throw the financial muscle of Europe's stronger nations, and healthy financial institutions, behind weaker countries and lenders. Proponents, including top advisers to the European Commission, say the removal of the threat of bank collapses would restore market confidence in Italy and Spain." In other words, last week's rumor that was supposed to be presented at the latest flop of a FinMin summit is once again being reincarnated as apparently nothing else in the European arsenal has any remaining credibility - and as a reminder, none other than unelected Monti's one-time employer Goldman Sachs said a eurowide deposit guarantee would not work.

The kicker:

"The bank scheme would see all eurozone lenders forced to pay an annual levy to a deposit guarantee scheme set up as a separate company. The company would be back-stopped with cash from the European Union, the European Central Bank or the new European Stability Mechanism."

Bottom line: the "silver bullet" plan is "secret? because it is a total farce, and nobody could possibly present it with a straight face for one simple reason - there is no source of money. No hold on, there is - Germany. And as Merkel made it very clear, Germany will not fund it. Why? Because once it starts, it won't end.

Why won't it end?

Instead of regurgitating what we have already explained countless times, here is a CTRL-C, CTRL-V of our article from a month ago, which explains that since the total undercapitalization of European banks is as much as €2.9 trillion, there is not one entity that can possibly backstop the entire towering edifice, which is the only possible thing that could restore confidence in Europe's financial system. Simply said: banks can not raise levies to prop up their peers, as they have to raise capital to support themselves! And anyone suggesting otherwise, is merely pandering for populist brownie points, and hoping their electorate is dumb enough to fail even elementary math. Our only question is how long will Merkel tolerate Monti's increasinly louder demands that Germany bail out Europe's insolvent states, such as Italy... and just how truly deep is the Italian "hole"?

From Zero Hedge, April 29, “A Trillion Here, A Trillion There...” – Why 90% Of The European Bank Sector’s Market Cap Is Vaporware*

Two weeks ago the BIS released the Basel Quantitative Impact Survey, "Results of the Basel, III monitoring exercise as of June 2011" which contained several very scary numbers that were noted in Zero Hedge yet which barely received any mention in the broader press. Because the numbers were all very, very large (think eyes glazing over 11-12 digits large), and because their existence meant that the long-term, chronic pain for Europe, which is and has been one of public (and selected private) sector deleveraging (which oddly enough is called “austerity” by everyone to no doubt habituate people to associate debt reduction with pain - where is "mean-reversionism" when you need it?), they, and the BIS report, were promptly buried under the dense foliage of the signal-to-noise forest. Yet it is numbers such as these, that provide us with the best possible glance at the entire forest, no matter how much the various global financial authorities enjoy inundating the hapless speculator crowd with endless irrelevant “trees” on a daily basis.

The numbers referred to are the BIS-suggested bank solvency deficiency to reach a viable capital level (not liquidity) explained as follows by UBS:

The QIS states that the June 2011 shortfall of common equity to a 7% common equity tier 1 ratio for major banks globally was €486 billion. We can estimate from this that the shortfall to a 10% common equity tier 1 is €1.02 trillion. Some years hence and before the mitigation that banks will undertake aggressively, but nevertheless, a trillion is a striking number.

UBS is perfectly happy to "go there":

A trillion here, a trillion there...


The QIS then goes on. The shortfall to the Liquidity Coverage Ratio is €1.8 trillion and 40% of banks have a LCR below 75%. And the shortfall to the Net Stable Funding Ratio is €2.9 trillion. A third of large banks would not meet the 3% tier one leverage ratio. These are gigantic figures relative to the size of the real economy.


Total bank debt issuance globally in the last 12 months was €1.1 trillion. That is, the shortfall in the Net Stable Funding Ratio is almost three year’s worth of issuance capacity.

In other words we not only finally have a problem quantified in terms of scale, but the scale happens to be very, very big:

These figures compare with global GDP of US$59 trillion (€45 trillion). In other words, the NSFR shortfall is equivalent to over 6% of global GDP. We would not regard this as insignificant.

One can just feel the smirk on the author's face as they added that last bit...

But forget global GDP - a number goosed by debt creation itself, and thus one which benefits from leverage, the very process the BIS is warning against.  Far more disturbing is this number when juxtaposed in the context of the European financial segment, also the inspiration for our title:

For Europe specifically, a related EBA publication15 implies a €511 billion equity shortfall to a 10% common equity tier 1 ratio. This is 90% of the €565 billion in free float market capitalisation of the European bank sector. The Basel III leverage ratio of large banks as of June 2011 would have been a measly 2.7%; the LCR just 71%, representing a shortfall of €1.2 trillion; the NSFR shortfall is €1.9 trillion. Total European bank debt issuance over the last 12 months has been less than €600 billion.

In simple terms, virtually the entire equity buffer of the European financial system, or 90% to be exact, would be wiped out if instead of focusing on maxing out risk returns by unsustainable leverage, Europe’s banks were to actually seek to transform into viable, stable entities, in the process marking their massively mismarked asset base to market. Something tells us that the equity tranche in Europe, and elsewhere, would be rather averse this dramatic writedown in valuation merely for the sake of avoiding future taxpayer bailouts. After all that’s what naïve, stupid, $0.99 cent iApp-fascinated taxpayers are there for: to be abused.

In other words, thanks BIS but your math is not welcome here. The can will promptly be kicked down the road or else.

Yet what is most troubling is that there appear to be no way out for European banks, in other words not even the status quo’s favorite pastime – can kicking – is very sustainable at this point:

Returns on banking are now quite inadequate to attract significant fresh equity into the sector. The regulatory agenda means that there is likely to be little confidence in this changing over the next several years. Banks must therefore turn to the state for their incremental capital or seek to shrink their profile into the amount of stable funding and equity they presently have. Deleveraging is alive and well and living in the euro area.

And just a tangent, the BIS data and analysis was of June 30. That's before all the fun in Europe really started.

Needless to say, raising $2+ trillion in new capital over the next 5 years will be next to impossible as European banks are hardly what one would call profitable (implying retained earnings as a source of capital is nothing but a cruel joke; now as for retained losses...), and as we saw when UniCredit tried to raise some equity in the open market only to see its stock get annihilated in January, pitching capital raises through equity issuance to Euro fins is the surest way for any investment banker to get sacked.

Which means one thing: as markets get progressively smarter (yes, it will take a while) that there is a difference between capital and liquidity, and demand it from banks that otherwise risk a Lehman-like fate, the asset dispositions, i.e., sales of the blue-light special variety, are about to kick into high gear. Here, while for every buyer there may be a seller, when faced with a known onslaught of about $2.9 trillion in asset sales over a period of time, one thing is certain: it will be a mecca of a buyer’s market as liquidations become wholesale and prices across most asset classes tumble as a result.

And as noted in the post just prior, courtesy of Europe’s Dead Bank Walking list, the market will know just where to go first (and second, and third, etc) for the biggest liquidation deals once the “For Sale” signs are posted.


* Vaporware in a Jon Corzine sense, circa November-December 2011; not in the context of Duke Nukem


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Sun, 05/27/2012 - 11:54 | 2467138 Fips_OnTheSpot
Fips_OnTheSpot's picture

The endgame starts by collecting the assets/collateral.


I guess some banks with very ancient root are delighted.

Sun, 05/27/2012 - 12:08 | 2467161 Eireann go Brach
Eireann go Brach's picture

Obama will fund it! He has the unlimited black Amex card!

Sun, 05/27/2012 - 12:16 | 2467186 Colombian Gringo
Colombian Gringo's picture

Nothing will ultimately work. Europe will fall apart from too much debt.

Sun, 05/27/2012 - 12:51 | 2467255 The trend is yo...
The trend is your friend's picture

Borrowing more money to pay down old debt, depositor guarnatees by banks who have to pay into the scheme, LTRO1, LTRO2, ESM, EFSF etc etc all require money that just isn't their.  I can explain this to my 8 year old and he gets it.  the Math just doesn't work.  Why do these idiots think they are smarter then the laws of hysics and want to defy gravity.

Sun, 05/27/2012 - 13:02 | 2467276 Precious
Precious's picture

Right now they are busy, like Jerry Brown, on the great liberal paradox: How to divvy up everything nobody has anymore.

Sun, 05/27/2012 - 13:14 | 2467295 francis_sawyer
francis_sawyer's picture

Well when that one fails, I'd suggest that they reveal the 'double secret' bail out plan... Furthermore, I'd suggest they put Neidermeyer on it... He's a sneakly little shit...

Sun, 05/27/2012 - 13:36 | 2467323 Oh regional Indian
Oh regional Indian's picture

There is only one way the banking system will die: 


Get most of your money out, keep enough for them to not be able to charge you and low enough so it is a cost to them.

Bleed them dry. I'm doing it. I have a minimum balance in one account. Just in case. 

They hate it. Don't close any accounts. Just keep minimum balances. 10 bucks here, 30 bucks there. 

Occupy your Bank in a FlashMob. Just hang out by  the hundreds in a line to with-draw 40 dollars from the teller. Take Coffee and chocolates for the tellers, but crowd the bank.

DON"T USE A CC, except if you are using it to rip the bank off by doing the zero% offer rotation game.

If you know how to game the bank itself, with it's own rule-shit, do it.

Else, Credit Union or physical which you have no qualms in converting, on the day of need, for cash money.

Bleed them dry.

If a billion people start doing it tomorrow, it'll hit them really, really, really hard.

A billion pin-pricks of accupuncture therapy for the global banking system.

I'd call that righteous anarchic action. Kinetic too.

BTBD (Bleed The Banks Dry)



Sun, 05/27/2012 - 13:52 | 2467344 valley chick
valley chick's picture

exactly what is planned for Tuesday morning before the "market" opens....I no longer even have an ounce of faith in the credit union. 

Sun, 05/27/2012 - 14:01 | 2467357 macholatte
macholatte's picture

Yes. Very good advice.... do not "close" your accounts.

Also, may I suggest one more little tid bit.... expand your own personal credit system. Apply for every credit card and credit line you can possibly find. Increase your limits for the credit cards & credit lines you already have. Borrow a small amount from one (say $250) and kite the payments (pay one using the credit from another) in your own personal daisy chain. Pay the fees and interest and make them happy and you get a better credit rating & higher limit and nothing is ever really going to come out of your pocket. Do this for a few months or a year or two or however long you can. You could work a system like this into several hundred thousand dollars of credit, maybe a million or more. Then on "bug-out day" you max out all your cards and lines, buy physical, pay the additional fees for credit card transactions, take delivery, fly to Vegas or Atlantic City, get a room and lose it all in a delusional fit of irresponsibility and temporary insanity and don't look back. Your own personal BK won't be so bad and you'll be just one of many, many victims of the financial system.

Sun, 05/27/2012 - 14:50 | 2467418 Oh regional Indian
Oh regional Indian's picture

Hah! I like it. Beer and Floating in Las Vegas.


Sun, 05/27/2012 - 16:23 | 2467576 roadhazard
roadhazard's picture

I'm pretty sure excessive activity on your cards would get an eyeball the first day.

Sun, 05/27/2012 - 17:13 | 2467646 valley chick
valley chick's picture

just enough to keep it open is the intent.  :)  As I do not understand all that is posted, I read and reread articles to try to understand while others are flipping burgers for the holiday weekend.  Thanks for all the help for it is greatly appreciated!

Sun, 05/27/2012 - 20:42 | 2468130 Ahmeexnal
Ahmeexnal's picture

The revolution can't be that far off if valley chicks are on ZH and aware of the fraudulent ponzi global scheme.

Sun, 05/27/2012 - 21:33 | 2468235 valley chick
valley chick's picture

actually valley chicks is for my chickENS... :) 

Sun, 05/27/2012 - 14:43 | 2467407 THX 1178
THX 1178's picture

BTFD-- Bleed The Financiers Dry

Sun, 05/27/2012 - 16:40 | 2467599 blunderdog
blunderdog's picture

Just don't carry your cash in Tennessee.

Sun, 05/27/2012 - 19:23 | 2467944 Dave Thomas
Dave Thomas's picture

Yes, it's called Civil Forfeiture, and it's all the rage with Law Enforcement. All that undocumented cash might be drug, or worse, TERRIRIST MONEYS!

Sun, 05/27/2012 - 19:03 | 2467896 Darth..Putter
Darth..Putter's picture

When a withdrawl of the money that I have "loaned" to the bank is viewed as a margin call, then they'll be getting a hint.

Sun, 05/27/2012 - 17:45 | 2467710 Cadavre
Cadavre's picture

"Secret plans are being drawn up in Brussels for a European rescue fund that could seize control of struggling banks across the Continent. The scheme, which would be funded by a levy on banks, will be presented by supporters as a "silver bullet" that could halt the steady escalation of the eurozone debt crisis.

Sounds a lot like the slash and burn the money centers ran on the small banks in the US. WaMu branches were bought off for 150K each. The money centers got the deposits, the custommers, and the brach plant assets (the building) at one tenth (or more) than cost to build them.

Little banks can't afford levies - so along come Daddy Warbucks, Blankenfien the Hudd, who, after running down the little banks, that didn't enjoy access to the a repo window and a book full fraudulent non-performing MBS CMO and CDO's (assuming small banks didn't get into equities or swaps like the big boys, and invested in bonds that Greenburg of AIG described "no market value" as "unable to determine a market value" and then, when asked what caused the collapse, Greenberg concluded, "it was a tsunami".

The small banks will be toast - and it appears that was the game plan all along - smother the "saplings" and have the commons buy them for Street's White Shoe Boyz, at pennies on the dollar.

The DoJ didn't even open a criminal file on those fucks. When Lehman filed bankruptcy - that was that - using dunce logic to imply the lack of a DoJ filing is easy: nothing to investigate because Lehman was belly up.

What kind of logic is that? The only investigation the DoJ did that was remotely close to the counting room fraud going on at the money centers, was to snag Spitzer's cross state line pantie sniff purchase, WHILE HE WAS BUILDING A CASE AGAINST AIG!

Then the distractive "who did it" rhetoric was shifted to the rating agencies. And for a while it was the Evil Rating Agencies failure to vet the underlying loans (you'd think the loan officers would be doing that, right?). And the fingers pointed (with extreme prejudice) especially hard when the USD was down graded.

The bribees, flush from a good pore sucking at one of the many K-Street Kiddie Brothels hooted and hollered and CSPAN blasted - but did ask as single question about a single the agencies signed off on. They didn't even look at the prospectus for the fraud bonds.

Lehman was the intended sacrificial lamb. They bunted the ball to first base, and the money centers advanced to third. They were intended to fail. Chanos shorts on Lehman were scripted in the game plan too.


One would have thought the CSPAN Kiddie Brothel Patrons Acting Troupe would've pounced - but they were caught between a bribe and pictures of them playing find the quarter with little Teddy.

THE PROSPECTUSES FOR THE BONDS WERE A F*CKING LIE: THE PROSPECTUSES WERE FRAUDULENTLY TAILORED TO MAKE JUNK LOOK LIKE TRIPLE AAA PAPER. THE BOND PACKERS ISSUERS F*CKING LIED ON THE PROSPECTUS TO GET THE JUNK FEDERALLY INSURED. Had anybody, other than an amateur trader, who was an MD that didn't enjoy "doctoring", this would not have happened. Had the DoJ been investigating AIG like Spitzer, instead spending OUR resources to nail the Spitz for a 1500$ blowjob (is that what the DoJ/ FBI do these days - run down interstate credit card blowjob purchases, on a guy investigating an 800K$ donor (AIG) to the Obromey campaign?).

Maybe we should replace DoJ and SEC white collar posses with amateur traders that actually look at the loans underlying a bond and the attached prospectus. GS (and others) who were servicing for amateur trader MD who provided White Shoe Fraudsters with the specifications for a couple of "pay as you go" CDS on a couple of bonds jumped in later. Only problem was: their CDS offers were bets against bonds they had packaged and sold to investors - oh yeah - and sharted a big dump of bs bonds at FNMA (the commons) - the f*cks got back par on the principal after they had already banked the fees and fat "factor=1" coupon receipts. WHere was JoJ, looking for false flag patsies for the next, and very needed distractions so  CNN'S /FOX'S  RSS feeds wouldn't blast the word "fraud".

The doctors story is here:

“On May 19, 2005, Mike Burry completed his first subprime mortgage deals, buying $60M in credit default swaps from Deutsche Bank – $10M each on six different bonds. By the end of July (2005), he owned credit default swaps on $750M in subprime mortgage bonds.”

Goldman convinces AIG to provide this same corporate credit insurance to the subprime mortgage market. Goldman created a security called the synthetic mortgage bond-backed CDO (Collateralized Debt Obligation).

This bill repealed part of the Glass–Steagall Act of 1933, and relaxed the rules separating commercial banking from investment banking. But more importantly, it blocked the regulation of derivatives, disposing of any collateral requirements so the likes of AIG and Bear Stearns could sell CDS’s unabated.

.. again ,,,

...disposing of any collateral requirements so the likes of AIG and Bear Stearns could sell CDS’s unabated.

Tsunami my ass

Sun, 05/27/2012 - 21:20 | 2468212 mvsjcl
mvsjcl's picture

Awesome post. Thanks.

Sun, 05/27/2012 - 13:26 | 2467312 LetThemEatRand
LetThemEatRand's picture

"the great liberal paradox:  How to divvy up everything nobody has anymore."

Funny, because the facts suggest that much of the public debt they are trying to hide through increasingly insane schemes exists in the first place because the wealth of the West has been handed to a few thousand individuals at the top and the population has been handed a bill for what is popularly known as "public debt."  In America, 400 individuals now control more wealth than literally one half of the entire population.  The money did not disappear and it was no divied up by "liberals."  It was taken by oligarchs.  The right/left game that you seem to enjoy is there to confuse and distract.  Worked quite well on you.

Sun, 05/27/2012 - 13:36 | 2467317 Precious
Precious's picture

Like all confiscatory socialists, you are a covetous idiot.

Sun, 05/27/2012 - 13:38 | 2467326 LetThemEatRand
LetThemEatRand's picture

And I suppose you are one of the 400?  I doubt it.  More likely just a wanna be who drinks the kool-aid.  

Sun, 05/27/2012 - 13:41 | 2467328 Precious
Precious's picture

... in addition to your martyr complex.

Sun, 05/27/2012 - 13:41 | 2467335 LetThemEatRand
LetThemEatRand's picture

Is that what they say about people who point out facts instead of repeating blind ideology?  

Sun, 05/27/2012 - 14:00 | 2467355 Precious
Precious's picture

Concentration of power in the hands of a few is not what the Eurocrats are concerned about.  It is their mantra.

Sun, 05/27/2012 - 14:07 | 2467365 macholatte
macholatte's picture

The right/left game that you seem to enjoy is there to confuse and distract.


Bingo!  Two dimensional thinking is all the sheeple can handle. It's a sporting event.

Sun, 05/27/2012 - 14:29 | 2467386 Precious
Precious's picture

I guess it beats "Victimology 101".

Sun, 05/27/2012 - 15:20 | 2467465 LetThemEatRand
LetThemEatRand's picture

You were the one bitchin' about liberals taking your wealth.  I guess that means you took advanced courses in victimology with a concentration in hypocrisy.  

Sun, 05/27/2012 - 13:42 | 2467337 THX 1178
THX 1178's picture

Damn those derivatives-flogging socialist pigs with their credit-default-swaps and their mortgage-backed-securities. Damn them to hell for transferring all of Wall Street's wealth to Main Street.

Sun, 05/27/2012 - 13:49 | 2467340 Precious
Precious's picture

Don't look now, but those politicians and financeers go in the same revolving door each day to hold conferences on how to separate you muppets from your trinkets.

Sun, 05/27/2012 - 14:02 | 2467358 THX 1178
THX 1178's picture

yepperino... Blame on both sides... not just one. But this is not "the socialists" fault alone. Free markets generate corporations and corporations don't like competition-- monopolies and cartels... Monsanto and the Fed. Governments are corrupt to no end and the politicos who WANT to affect change are powerless to do so-- our governing system is long obsolete. Ron Paul for example. Looks like we're totally fucked.

Sun, 05/27/2012 - 14:06 | 2467363 Precious
Precious's picture

Blaming corporations for social inequity is like blaming water for getting you wet.

Sun, 05/27/2012 - 14:40 | 2467400 THX 1178
THX 1178's picture

Less than 100% of corporations have a negative affect on humanity, but more than 0% of corporations have a negative affect on the humanity. I don't hate all corporations-- I drive a Ford, I own a computer and all of its components, I use soap and toothpaste and all the rest of that stuff... but it seems that there is a small-but-significant subset of "the private sector" that is particularly destructive and harmful to humanity and our freedom: Finance Capital. Not all members of this subset are bad, but the ones that are have really fucked us over-- like tremendously fucked us over. The Federal Reserve is also a banking cartel according to The Creature from Jekyll Island; whether or not you believe that book is up to you, but the men who wrote the federal reserve act were businessmen-- tycoons--moguls! They were not bearded Marxist radicals or pamphleteering strongman-upstarts or intellectual so-and-sos. The oil cartel is no different. Also... I never said anything about social inequality, so... whatever.

Sun, 05/27/2012 - 13:49 | 2467339 Pure Evil
Pure Evil's picture

Then why is Jerry Brown trying to plug a 16 billion deficit shortfall with tax raises?

Sun, 05/27/2012 - 13:52 | 2467341 Precious
Precious's picture

Because like most confiscatory socialists, the brat never learned to live within his means.

Sun, 05/27/2012 - 13:53 | 2467346 Pure Evil
Pure Evil's picture

Well, if I were Rand, I'd say the oligarchs were using poor ole Jerry to collect their tribute.

Sun, 05/27/2012 - 13:57 | 2467352 Precious
Precious's picture

Problems with Oligarchs is the furthest thing from the Eurocrats' minds.  They are having lunch together as we speak.

Sun, 05/27/2012 - 13:59 | 2467354 LetThemEatRand
LetThemEatRand's picture

Tighten your belt.... Jamie lost another $5b.

Sun, 05/27/2012 - 14:05 | 2467362 Precious
Precious's picture

I am the invisible man.  What they affect has nothing to do with the direction or outcome of my life.

Sun, 05/27/2012 - 14:15 | 2467374 LetThemEatRand
LetThemEatRand's picture

It affects you if you pay taxes, have cash savings or bonds, own stocks, believe in any form of individual liberty, etc.

Sun, 05/27/2012 - 14:28 | 2467382 Precious
Precious's picture

... (muffled snicker) ...


oh... I just live by the river and eat locusts.

Mon, 05/28/2012 - 17:05 | 2470123 WillyGroper
WillyGroper's picture

Link plz.

Sun, 05/27/2012 - 14:26 | 2467385 Overfed
Overfed's picture

That .00001% control so much wealth because the other 99.9999% give it to them freely out of their own stupidity. Every time you use a Visa card, credit or debit, you are making them richer. Any time you buy anything on credit, you are making them richer. Every time you shop at a big box chain retailer instead of a locally owned or even regional chain, you are making them richer. And so on and so forth.

The very rich are going to keep getting richer until everybody else finally pull their heads out, which probably isn't ever going to happen.

Sun, 05/27/2012 - 14:56 | 2467419 Precious
Precious's picture

Right.  And the muppets in the retail investor market have agreed to play using Bernanke's loaded dice, just like the dummies who fly Air-TSA agree to let someone stick a probe up their ass.  Isn't their consent to such abuse patently obvious?

Sun, 05/27/2012 - 15:54 | 2467476 LetThemEatRand
LetThemEatRand's picture

I fly frequently for business, but I do not have the means to own my own plane or otherwise use non-public airports.  If I go to the airport and I don't consent to the probe, I am arrested and probed further and/or placed on the no fly list.  If I don't fly, my business suffers. In light of the your-non muppet status, care to enlighten me on a solution?  I voted for Ron Paul in the Florida primary and that hasn't helped so far.  

Sun, 05/27/2012 - 20:31 | 2468107 Ahmeexnal
Ahmeexnal's picture

You fly frequently for business?

You have publicly stated you are a florist.  Do you have to get on a plane to deliver floral arrangements to your customers in person?

Sorry pal, but the ZH bullshit detector has just gone off the charts (like the Fukushima rad detectors on reactor 2).

Your bend over attitude might suit you well, but I've got bad news for you and your statist buddies.

The time to refresh  the Tree of Liberty has come.

Mon, 05/28/2012 - 17:14 | 2470132 WillyGroper
WillyGroper's picture

And why couldn't he choose from which international market to buy from?–-flower-markets-of-the-world

Maybe bullshit, maybe not. Perhaps your meter needs re-calibrating. 

Sun, 05/27/2012 - 17:09 | 2467640 Libertarian777
Libertarian777's picture

much like a central planner likes to lump everyone into an 'average', you cannot just look at the top 400 richest americans and say it shouldn't be that way.

Bill Gates, Steve Jobs, Sergey Brin, Elon Musk, Mark Zuckerberg, Larry Ellison, these people are entrepreneurs, they worked hard on an idea, got good people behind them and went to produce things people want (tangible or not). I don't beget them being wealthy.

On the other hand, the Larry Summers, Dick Fulds, Angelo Mozillo's, Corzine's of the world got their wealth through their connections in government, through fraud or through our currency debasement. Those people did not earn their wealth by contributing, but instead by extracting from the population.

So I don't agree with 'taxing the rich more'... those entrepreneurs who made their money should get to keep it not have it taken by the government, who would give it to the extractors (economic rent seekers) of the world. We should however prevent future extraction by not allowing implicit government guarantees for any company, especially the banks. Forget re-implementing glass-steagall, lets remove FDIC insurance for any bank that is leveraged. Let banks who take deposits earn their money the traditional way, with loan vs deposit spreads, not levered up derivative positions using depositor funds as collateral/capital.

Sun, 05/27/2012 - 17:59 | 2467746 nmewn
nmewn's picture

Stellar comment.

I believe this is the distinction that goes unremarked on...

"Bill Gates, Steve Jobs, Sergey Brin, Elon Musk, Mark Zuckerberg, Larry Ellison, these people are entrepreneurs, they worked hard on an idea, got good people behind them and went to produce things people want (tangible or not). I don't beget them being wealthy.

On the other hand, the Larry Summers, Dick Fulds, Angelo Mozillo's, Corzine's of the world got their wealth through their connections in government, through fraud or through our currency debasement. Those people did not earn their wealth by contributing, but instead by extracting from the population."

I don't hate the rich for being rich but I do hate >>>some<<< of the rich for how they became rich. I also hate the little ass maggots that dangle off their posterior who enable them under the guise of being enlightened, kind and generous with others earnings.

Why is it necessary to have debt in the trillions created pursuing unworkable government business models when the end result is already known?

Furthermore, why hasn't Corzine been indicted?'s rhetorical, we all know why...cronies are never brought before the justice created by their accomplices.

Sun, 05/27/2012 - 18:37 | 2467844 LetThemEatRand
LetThemEatRand's picture

The second richest woman in the United States is a Walton.  By marriage.   She married one of Sam's son's.   She wasn't even born into it.  But she's one of the 400.  

Sun, 05/27/2012 - 20:23 | 2468094 nmewn
nmewn's picture

So what?

Sam Walton (or her or his son) didn't force banks to loan money to people who couldn't pay it back and allow swaps on it.

That was government "public policy".

Sam Walton (and his heirs) are not Jim Johnson or Bob Rubin or Jon Corzine or Solyndra or LightSquared or Fisker...very different things LTER.

Sun, 05/27/2012 - 21:02 | 2468176 Matt
Matt's picture

So do you begrudge her the wealth or not? She didn't earn it, but she didn't gain it through manipulating the system and taking from other people, either.

Sun, 05/27/2012 - 21:43 | 2468248 Precious
Precious's picture

WTF is Walton to you, you covetous little, illiterate wretch?  You share with him 99% of the common human DNA?  What else. Any other reason for you to give a shit about Walton?  Let me guess.  Your real name is Chuck Schumer.  Get the fuck out of here, dipshit.

Sun, 05/27/2012 - 15:10 | 2467457 nodhannum
nodhannum's picture

"Why do these idiots think they are smarter then the laws of physics and want to defy gravity"?  

They don't think that they are smarter...they just want to kick the can down the road and collect their goodies before it blows up...on someone elses watch.

Sun, 05/27/2012 - 15:57 | 2467545 ElvisDog
ElvisDog's picture

Borrowing more money to pay down old debt

Yeah, that's what I thought I read too. So, the bailout plan for the failing banks will be paid for .... wait for it ... by assessing a levy on the failing banks? I know I've written this before but as disappointing as Obama is, compared to the fuck-heads that are in charge of Europe right now Obama is Themistocles.

Sun, 05/27/2012 - 13:08 | 2467287 RiverRoad
RiverRoad's picture

And the autopsy report will show that the Euro was actually talked to death.

Sun, 05/27/2012 - 12:47 | 2467248 Papasmurf
Papasmurf's picture

this AMEX card ends 1/20/2013.

Sun, 05/27/2012 - 15:11 | 2467459 stocktivity
stocktivity's picture

They're going to jack the markets up Monday on more hopium. Our markets in the US will rally Tuesday as the sheepie follow the hopium. It's all Bullshit!

Sun, 05/27/2012 - 12:49 | 2467251 vast-dom
vast-dom's picture

*Vapor Nations

*Vapor Currencies

*Vapor Planet

Sun, 05/27/2012 - 12:50 | 2467253 disabledvet
disabledvet's picture

If by that you mean "the gold" I agree with you. How did the ditty go? "London Bridge is...

Sun, 05/27/2012 - 13:05 | 2467284 RiverRoad
RiverRoad's picture

Good.  Let 'em squeeze blood out of those turnips for a change.  BTW it's called "consolidation" folks...and it's about time.

Sun, 05/27/2012 - 11:55 | 2467143 Squishi
Squishi's picture

secrets are best kept in churches. 

Sun, 05/27/2012 - 12:06 | 2467158 Ahmeexnal
Ahmeexnal's picture

Unless the buttler likes to spill the beans.

Sun, 05/27/2012 - 12:10 | 2467169 bank guy in Brussels
bank guy in Brussels's picture

Church secrets - You mean like with the Vatican bank?

The Vatican church bank ... Just a few scandals ... arrests ... missing or lost or stolen funds ... people found dead.

Tho I suppose that doesn't make them much different from many other major banks around the world.

It's interesting historically that three things all took place around the same time, just after the year 1000 -

- Vatican splits away from Eastern Orthodox Christianity

- Rise of banking in Italy to handle Vatican church monies (bank from 'banca' bench used to count church money)

- Start of international wars, 'crusades' against the Middle East, propaganda about the Muslim 'threat' ... Western banks help finance 'Crusader Kingdom' in Palestine to harass Muslims ... around where Israel is now ... creating 200 years of Middle East wars and problems

That was 900 years ago ... same playbook today.

Sun, 05/27/2012 - 12:24 | 2467207 frenchie
frenchie's picture


Church started to become a non church even earlier as jews stepped in to destroy it from inside...

Same jews who run the world nowdays, stating they do God's work... but as a jews place themselves next or even above God (read Talmud), it isn't very surprising...

Sun, 05/27/2012 - 12:41 | 2467237 SMG
SMG's picture

It's the Luciferian Illuminati, not jews.

Sun, 05/27/2012 - 13:00 | 2467275 CrazyCooter
CrazyCooter's picture

Look guys, the Earth just wants plastic and will do what ever it takes to get it, including war and banking proxies via humans. Unfortunately for the humans, the strategic plastic reserve in the Pacific ocean is almost sufficient ...



Sun, 05/27/2012 - 13:56 | 2467350 Pure Evil
Pure Evil's picture

Hell, if we're really gonna head out on the limb, let's just blame the Grey's and the Reptillians.

Sun, 05/27/2012 - 14:55 | 2467429 CPL
CPL's picture

While there are angels in heaven, there are also Hero's in hell.


For rest of us in Limbo, grab a chair, these fools are about to burn down both of their own established positions as demagogues usually do.  Drinks are in the fridge and grab a chair.  The mocking will commence on Monday

Sun, 05/27/2012 - 12:54 | 2467261 disabledvet
disabledvet's picture

"and two entire Continents were discovered with nary a soul on them." is all we have ever done in our lives pre-ordained or is the very concept of will itself an illusion? We still haven't even begun to "think this thing through" here yet. Off to a good start tho. Socrates dead tho he is would be proud...

Sun, 05/27/2012 - 23:16 | 2468386 CrazyCooter
CrazyCooter's picture

Excellent comment, DV.



Sun, 05/27/2012 - 13:00 | 2467278 resurger
resurger's picture

Church confessional box > CIA+Mossad+MI6+MI5+SVR+etc

Sun, 05/27/2012 - 18:06 | 2467763 CPL
CPL's picture

Yup.  It's amazing how fast first hand knowledge can travel without the septic government channels.

Sun, 05/27/2012 - 11:59 | 2467148 Calmyourself
Calmyourself's picture

Not a fan of Britains nanny Government but I would love to have a handful of your journalists some of them tell the truth.  So refreshing and rare the simple presentation of truth, I miss it in our public discourse.  I realize why it is so dangerous especially in America but I  yearn for simple unvarnished apolitical truth.

Sun, 05/27/2012 - 12:12 | 2467174 Confused
Confused's picture

I wonder how many people deny "climate change" (or whatever fucking retarded term you want to use), simply don't believe because they feel some power elites are trying to profit from it, or are they really in disbelief?


Because people don't seem to have a problem with the idea of an invisible shield (Ozone) around our planet that protects us from the suns rays disappearing due to human activity. But this "global" warming thing really gets peoples blood going. Strange.

Sun, 05/27/2012 - 12:23 | 2467204 Calmyourself
Calmyourself's picture

It is very simple to measure the effect different levels of ozone have on blocking radiative energies.  No feedback mechanisms necessary, simple action.  Most folks also know the ozone hole in the Antarctic went away.  To complete your point the ozone depletion scenario was not seized in a political attempt to strengthen leftist/ communist control over resources and energy usage, they were not quite far enough along in their thinking.  Give people credit they can feel a power grab in their bones most do not know how to defeat it but they know it exists, the big lie that is..

Sun, 05/27/2012 - 12:24 | 2467209 Manthong
Manthong's picture

Well, that’s a hoot..

Next thing you know folks will be thinking gold is money, Hayek was right and Keynes was a socialist bigot.

Sun, 05/27/2012 - 14:58 | 2467439 CPL
CPL's picture

And now that is out there, it's time to establish real capitalism versus the commie lottery shit show we've become accustomed to.

Sun, 05/27/2012 - 12:32 | 2467223 Confused
Confused's picture

Give people credit they can feel a power grab in their bones


Obviously sir, I agree with this. Which is why I read this site. But, as I said, I wonder if people shun the idea of "global warming" because of this feeling. OR, do they really not believe our actions affect the planet. I'm not sold either way. At least not 100%. But it would appear to me that our actions have effects the planet.

Sun, 05/27/2012 - 12:55 | 2467263 LowProfile
LowProfile's picture

Stop posting inane bullshit about AGW until you've read through at least six months of posts here:

AGW is a Power Elite control meme.

Sun, 05/27/2012 - 13:29 | 2467315 Confused
Confused's picture

What exactly was inane about what i posted? I never said it wasn't a power elite control. I asked if peoples beliefs are based SOLEY on the fact that someone is looking to profit from it. 


And thanks for the link. I will read up. But seriously, next time try being a little less self righteous. 

Sun, 05/27/2012 - 13:24 | 2467309 ThirdWorldDude
ThirdWorldDude's picture

Internet gives people the possibility to learn new things, now more than ever. If you have a critical mind, you would surely want to research an idea, such as the-man-induced-global-warming-now-renamed-into-climate-change, that is made public in this age of deception, especially if it includes such ramifications as carbon tax and "the green belts" embedded into Agenda 21. 

It is true that our actions affect the planet, but only on a minor scale. It has been proven that CO2 produced by human activities is only 3-5% of the natural CO2 emissions (think volcanoes) and the same goes for methane (a riddle that has recently baffled scientists is why is all that methane being released from beneath the Arctic permafrost at an astonishing rate). Personally, I have been following Piers Corbijn for a while and his research suggests that this is a natural process and that the Earth is soon about to experience a new ice-age.

Have also in mind that the whole Solar system is currently experiencing rapid changes, such as: the Sun is about to become quadrupolar (last time that happened, some 300 years ago, the Earth went through a mini ice-age), Mars' ice-caps are melting, Venus got a giant black spot, Jupiter first lost, then regained it's dark vortex-spot, Pluto and Neptune are getting unexplainably warmer and brighter etc. 

Sun, 05/27/2012 - 13:34 | 2467320 Confused
Confused's picture

Thanks for the well thought out response. As I said, I am not sold one way or the other, but admittedly I am no scientist.  I do not disagree with the fact that this is also being abused by the power elite. But really. What isn't? 

Sun, 05/27/2012 - 17:15 | 2467647 delacroix
delacroix's picture

underground coal seam fires, have been burning for decades. auto emissions, are a small fragment of the problem, which is not global warming, but pollution.

Sun, 05/27/2012 - 14:03 | 2467360 knukles
knukles's picture

"Internet gives people the possibility to learn new things, now more than ever."

As folk orientate to Facebook, porn, games, inane e-mails, YouTube or shopping, I dare say the diversions have left humanity far dimmer than either the promise of the past.

That why it's called sociopath media

Sun, 05/27/2012 - 14:35 | 2467394 ThirdWorldDude
ThirdWorldDude's picture

Absolutely, but that's where the critical mind comes into play! The reality is that mediocracy/idiocracy will always be the prevalent option (which on the second thought is good - imagine if ZH had as many users as FacePlant! Me thinks the Gubbermint would've pulled the broadband plug at once...)

It used to be bread and circuses, now it's evolved to foodstamps & iCrap. 

This excerpt from "Waking Life" sums it up pretty nice

Sun, 05/27/2012 - 12:39 | 2467234 blunderdog
blunderdog's picture

It does seem a bit funny, then, that it's so impossibly difficult to figure what would happen with CO2 levels in the atmosphere when you destroy vast amounts of plant life and burn everything you can find to power your civilization.

That science.  It's whatever you want it to be.

Sun, 05/27/2012 - 13:01 | 2467279 blunderdog
blunderdog's picture

Why are you guys trying to make this discussion about climate change? 

Really.  I'd like to know.  How does refocusing from Europlanning banking bullshit benefit from this completely unrelated discussion?

Sun, 05/27/2012 - 13:15 | 2467297 Calmyourself
Calmyourself's picture

The topic started with my post regarding unvarnished truth, like the truth that most deep sediment coring shows increased co2 is a lagging indicator to planet warming, beyond your intellect perhaps..  Truth while painful serves too few masters to be the dominant theme in this world. What would happen to your worldview if perhaps the GW was a scam, I have thought through what would happen to mine if the opposite were true.

Sun, 05/27/2012 - 13:35 | 2467321 blunderdog
blunderdog's picture

My "worldview" isn't impacted at all by the existence or non-existence of man's impact on global warming, but for sure your effort to sidetrack a completely unrelated discussion thread suggests you're a useful idiot for someone else's agenda.

Why don't we discuss rule of law and states' rights in conservative judicial decisions instead?

Here's a nifty tabloid story that should make you proud of...I dunno, something.

Sun, 05/27/2012 - 12:34 | 2467226 Apply Force
Apply Force's picture

Clouds correlate best to climate change... sun and space weather as players:



Sun, 05/27/2012 - 12:52 | 2467256 Papasmurf
Papasmurf's picture

If "climate change" was real, the solution would not include financial rewards to Wall Street.  The association to Wall Street and trading of non-productive chits of paper shows it's another fraud scheme.

Sun, 05/27/2012 - 13:17 | 2467300 Calmyourself
Calmyourself's picture

Chicago carbon exchange trading, another scam to financialize the climate to the enrichment of our superiors..

Mon, 05/28/2012 - 17:33 | 2470163 WillyGroper
WillyGroper's picture

ur not too close to ur food source are u? When ur zone planting season has changed from 6-8 wks earlier in 3 decades, what more do you need? Pretty soon 2 cole crops & 1 warm will change to 2 warm & 1 ever brief cole if any at all. Then there's the issue of water. 

Sun, 05/27/2012 - 13:06 | 2467285 WAMO556
WAMO556's picture

I junked ya, for being retarded. Do you know what "OZONE" is? It is fucking OXYGEN. So when are we running out of O1, O2 and O3??? Can you say? Yes the the climate changes, about 4 times a year. Is it getting: HOTTER or COLDER? Which one. Oh yeah, we have to look at pictures of melting ice to see that the climate has changed? For real?!

This climate change Bullshit is about mind control - The disheartening part is some Americans will be foolish enough to actually believe it.

Sun, 05/27/2012 - 13:40 | 2467327 narnia
narnia's picture

It's mostly about a non-representative tax regime to back up a currency, which won't work. It's not a mystery why the World Bank & IMF are the biggest shovelers of this crap.

Sun, 05/27/2012 - 15:08 | 2467449 Precious
Precious's picture

People fucking worrying about global warming when for decades they've been eating FDA approved pink slime.

The sun fucking changes the surface temperature of the planet by 40 degrees every day. Global warmers, go fuck yourselves.  You're just an excuse to justify bureaucratic tyranny.  The earth will be fine for millions more years after your sorry asses are gone.

Sun, 05/27/2012 - 15:53 | 2467533 JoBob
JoBob's picture

WAM0556:   Do you know what "OZONE" is? It is fucking OXYGEN.


Pay attention to the words: OXYGEN is oxygen. OZONE is ozone. Two different words for two different atomic structures. 

"retarded" should be used more carefully.

Sun, 05/27/2012 - 12:00 | 2467149 djsmps
djsmps's picture

I love plans that use the word "scheme." Maybe caper is a better word.

Sun, 05/27/2012 - 12:04 | 2467154 Dick Darlington
Dick Darlington's picture

Judging by the desperation, the "Italian hole" is HUGE. Judging by the desperation the "French hole" is HUGE. And the "spanish hole"... uhh, the rotten smell of insolvency is so strong i have to take a break and go have a smoke on the terrace.

Sun, 05/27/2012 - 12:15 | 2467183 ISEEIT
ISEEIT's picture

Sort of a bad tuna mixed with wet grass kinda smell?

Yeah, I know that one.

Not good.

Sun, 05/27/2012 - 13:03 | 2467224 Normalcy Bias
Normalcy Bias's picture

Always keep a can of Sprunt nearby!

Sun, 05/27/2012 - 12:36 | 2467230 Manthong
Manthong's picture

Huh, whats’s that?

You guys say something about a cigarette after a meeting with Janet Napolitano, Christine LaGarde and Charro?

Sun, 05/27/2012 - 18:49 | 2467865 Normalcy Bias
Normalcy Bias's picture

That was George Carlin's idea for a feminine hygiene spray.

Sun, 05/27/2012 - 12:09 | 2467165 gwar5
gwar5's picture

Our Round-eye Madarins operating in a Forbidden Digital City, at it again. What could go wrong?


Sun, 05/27/2012 - 12:11 | 2467171 ISEEIT
ISEEIT's picture

Somebody better 'make' some more money right quick. Otherwise 'austerity' will become a fate rather than an option (today rather than tomorrow).

Kick the can!! Hurry our ideology is in danger!

If they find out we have no clothes...Well then we will be naked..Make more 'money' pronto!

God save the queen!

(and the president, and the prime minister, and the academia, and the 4th Reich (oops) estate, and all the captains of industry that have worked with us as partners to create this most wonderful Deus ex machina that we have so carefully constructed)

Let it f###ing burn.

Sun, 05/27/2012 - 12:13 | 2467172 no life
no life's picture

Europe should take a lesson from an old NYC hood... when there is nothing left you can do, no one left you can borrow from, you blow the place out... you light a match.

Sun, 05/27/2012 - 14:19 | 2467376 Pure Evil
Pure Evil's picture

Sounds like a scene right out of the movie Goodfellas.

Sun, 05/27/2012 - 12:15 | 2467177 Nothing To See Here
Nothing To See Here's picture

Once upon a time, a select group of power hungry, central planners Eurocrats had a pair of 8s in their pocket preflop with 5000 Euro chips in their central bank.

Filled with confidence and born with a natural tendency to intimidate, they elect to show that they have the high ground and they bet 500 chips preflop.

Spectators around the table, in awe and hoping for a share of the miracle jackpot since it is them who were asked to finance the central planners, all cheer the Eurocrats for their cunning strategy. But one strange player, Mr. Reality, alone in his corner and ignored by everyone involved, calls the Eurocrats and raises 500. The Eurocrats, not undermined, choose to call.

Ace, King and 10 on the flop. The Eurocrats figure they still have a pair of 8s and bet 1000. Mr. Reality, shocking everyone, calls.

Another 10 on the turn. The Eurocrats can't believe their luck, now they have 2 pairs, 8s and 10s. They bet 2000 but somehow hope that Mr. Reality will fold. To their sheer disbelief, Mr. Reality raises the stakes. After a series of consultations, the Eurocrats decide that they still have the upper hand and they follow through.

Dealer shows a 9 on the river. The Eurocrats are hesitant about what to do and mostly about what Mr Reality has in hand. After more committees, they finally set their course of action to all in...

Sun, 05/27/2012 - 12:38 | 2467232 resurger
resurger's picture

loved your analogy, +1soap

"Deleveraging is alive and well" BULLSHIT!

when you have someone who is ready to print money and bail you for your dicy behaviour, you can always bet "all in"

but from what i can see, Mr. Reality is TPTB with either a Jack and Queen or 2 Aces, they know their shit

The Eurocrats are just muppets.

just yesterday, spain injected 19bn digital EUR's


Sun, 05/27/2012 - 12:13 | 2467179 Hulk
Hulk's picture

There ain't enough popcorn on the planet for this show. It is amazing what a meth addict will do for just one more hit...

Sun, 05/27/2012 - 12:14 | 2467181 Ayn Rand
Ayn Rand's picture

Meanwhile Big Ben is keeping quiet.  

How much of the EU crap does the Fed own and when will the SHTF??

Sun, 05/27/2012 - 13:04 | 2467272 Precious
Precious's picture

BB is quiet only because the puppet masters and muppeteers are arguing amongst themselves at the moment.

As soon as they decide a course of action, let the manipulation begin ...

Sun, 05/27/2012 - 12:15 | 2467184 Kreditanstalt
Kreditanstalt's picture

The Gonnie Gonnie banks... :)

Sun, 05/27/2012 - 12:17 | 2467187 blunderdog
blunderdog's picture

So let's think about how this could work...they could total up all the banks' liabilities, then total up their assets, subtract the liabilities from the assets, and figure out how much of the remaining money would be required to save all the banks in trouble.

For example, if the liabilities totalled $5 trillion, and the assets totalled $1.2 trillion, that would mean you'd have negative $3.8 trillion to fix everything.

Brilliant.  Can't fail with a plan like that.

Sun, 05/27/2012 - 12:18 | 2467192 Uncle Remus
Uncle Remus's picture

I love the smell of glasnost in the morning. If you think is smells bad in the monrning, wait until it has been in the sun all day.

Sun, 05/27/2012 - 12:19 | 2467193 Dick Darlington
Dick Darlington's picture

Here's what Hollande's (and Monti's and Rajoy's and...) "growth" plans all look like.

The series is called "Quarterly debt of public authorities within the meaning of Maastricht - Overall". Remember, it's "within the meaning of Maastricht" so it deliberately misses a lot of debt items.

Sun, 05/27/2012 - 12:23 | 2467202 no life
no life's picture

Europe fucking sucks!

Sun, 05/27/2012 - 12:50 | 2467210 God Bless The V...
God Bless The Virtuous's picture

Man, this is about the most stupid thing so far from Obama's "Fabian Socialist Society" brethren!

Although I LOATH Sean Penn and his adult communist rants, there's a line from "Fast Times at Ridgemont High" that just popped in my mind and got a good laugh, hope you enjoy it also...


Spicolli to angry Black kid who is going to kill Spicolli for totaling his brothers car,



I can fix this,

My father has an awesome set of tools!"


As the car is smoking from the destruction that is clearly not fixable!

Or was it smokin; from what the two of them were "Smokin?"

Happy Memorial day and lets remember all those brave men and women who have given their all for this wonderful country!

THANK YOU and may the good lord keep you safe until you are returned to you family and a grateful country!


P.S. The European's have just about sealed the deal with this latest goof, they are not serious and the Euro is about to go swirling down the crapper with their "SOCIALIST" wet dream!

Good riddance!

Pay attention Barry

Sun, 05/27/2012 - 12:27 | 2467218 A Lunatic
A Lunatic's picture

Looks like there's plenty of peas to be eaten.........

Sun, 05/27/2012 - 12:30 | 2467220 Sandmann
Sandmann's picture

Great idea. Only People pay Taxes so levies would be shifted onto customers who would then remove their deposits.

The only way for this to work is for the EU to seize ALL Bank Deposits and Insurance Funds. It would work ONCE just as it did when Lenin seized banks in 1918 and when Hitler seized Jewish businesses and life insurance policies. They are totally discredited if they think they can create a Fake Insurance by Pooling RISK that is simply too big to pool because it has too high a Probability and too big a Liability.

DO any of these Goofballs know about Probability Distributions and how far Levies reduce the Odds of Failure ? How can you pool risk if you have imposed the levy on your Primary Risk Pool ?

Sun, 05/27/2012 - 13:10 | 2467289 disabledvet
disabledvet's picture

When I was Head of Assurance during the Reich years I tried to explain to The Furor "invading Russia is a risk you cannot afford Mein Insurance Kampf." unfortunately no one listened and I had to offload my entire portfolio to some guy in London. Then they came calling too but I'd stopped answering that "ringy thingy" long before then...

Sun, 05/27/2012 - 12:38 | 2467233 no life
no life's picture

SIV fund redux. 

Sun, 05/27/2012 - 12:45 | 2467244 resurger
resurger's picture

Suggest a name for the EURO Guarantee Company and tweet it to @federalreserve, @ECB, @BOE, @PBOC @BIS


Sun, 05/27/2012 - 12:46 | 2467246 The Swedish Chef
The Swedish Chef's picture

Yeah, yeah, yeah...whatever...WE WON!!! Whoho, enjoy the show and then go back to sleep or else, sef!

Sun, 05/27/2012 - 12:54 | 2467259 valley chick
valley chick's picture

And what is the shelf life for this secret rumor?  A day ? 

Sun, 05/27/2012 - 12:55 | 2467264 dougngen
dougngen's picture

So this Mario Monti guy is a real globalist! Trilateral Commission, Bildaberg Group, unelected dicator of Italy and Goldman Stooge.

Sounds like a great guy to extort money from German (and American no doubt) taxpayers.


Sun, 05/27/2012 - 15:01 | 2467267 Precious
Precious's picture

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 

These gross incompetents at the top of European governments are hard at work trying to prove their socialist agenda is still viable.  But like the fall of the Soviet Union and the collapse of Communism, Europe will demonstrate the collapse of Socialism.  The US is sailing right into the same EU socialist shit-storm.  The most conservative, competitive economies of the world are now in Asia. 

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Sun, 05/27/2012 - 12:58 | 2467273 RobotTrader
RobotTrader's picture

Doesnt matter if it works, all that matters is the willngness and hope that it may work

and it hinges on how many guys are short and pressing their bets.

Sun, 05/27/2012 - 16:12 | 2467565 Elwood P Suggins
Elwood P Suggins's picture

Why there's that catchy "hope" word again.  Heard that somewhere before....................

Sun, 05/27/2012 - 13:03 | 2467281 disabledvet
disabledvet's picture

This stuff is hard to understand sheeple. And I understand that! The fact is what is presented to us is NOT solutions but IN FACT stand up comedy! Once you realize "THE JOKE'S ON YOU" part THEN you'll be TRULY pissed off! "Just keep 'em laughing right up to the point where we..." as they say in the business. Now have I got a good one for all of you! "there was a country that didn't have their people pay taxes and we gave them...

Sun, 05/27/2012 - 13:07 | 2467286 valley chick
valley chick's picture past laughing and have been stuck in the mad phase for some time.  And how long does it take to get out of that stage of acceptance?

Sun, 05/27/2012 - 13:12 | 2467293 disabledvet
disabledvet's picture

The moment you and I get together for a beer...

Sun, 05/27/2012 - 13:40 | 2467332 valley chick
valley chick's picture

Thanks for the smile... ;-)  

Sun, 05/27/2012 - 13:14 | 2467292 ebworthen
ebworthen's picture

If central banks can print money from nothing (Ctrl-P) and Banks get "lent" money for nothing or bailed out by adding to national deficits - why do they need deposits?

If the very notion of money is fungible - printible or put into trillion dollar deficits that can never be paid - why maintain the notion of debt or a need for deposits?

Consider also mark-to-fantasy accounting  - and this notion of a need for "deposits" is rather strange.

Sun, 05/27/2012 - 14:03 | 2467359 mammoth mo
mammoth mo's picture

To create loans for the sheep.  Who will then be indebted to them for life.



Sun, 05/27/2012 - 13:29 | 2467316 carbonmutant
carbonmutant's picture

Well you could always turn the ECB into a bad bank...

Sun, 05/27/2012 - 13:37 | 2467325 Ayn Rand
Ayn Rand's picture

Remember, the outcome is unimportant to the elites.     The only thing that matters is the intent.  

They try so very hard to do "good".   Who cares if the outcome makes things worse.

Sun, 05/27/2012 - 13:41 | 2467331 AC_Doctor
AC_Doctor's picture

Who gives a shit about the rumours, the plug has been pulled on 1.2 quadrillion bathtub full of toxic derivitives that will wipe out the whole world's banking system with or without the help of the EU bozo show or our lowly O'bozo puppet.

Sun, 05/27/2012 - 17:45 | 2467705 delacroix
delacroix's picture

the rumors, make the short squeezes possible. maybe that juice, is the only real revenue stream, holding the circus together

Sun, 05/27/2012 - 13:54 | 2467348 Everyman
Everyman's picture

The "Secret Plan" ought to be good for another 150 on the Dow and 20 or so on the S&P.

They know "rumors work".  Kinda opposite of Gordon Gekko' "Greed Works".  It is now "rumors Work".

Sun, 05/27/2012 - 14:11 | 2467371 Let The Wurlitz...
Let The Wurlitzer Play's picture

I heard the Martians helped Europe develop the "secret plan"  I also heard it includes a "laser" which will  be used to blow up the excess debt.


Sun, 05/27/2012 - 14:57 | 2467436 blunderdog
blunderdog's picture

A laser of pure antimatter!  --RiffRaff

Sun, 05/27/2012 - 16:38 | 2467594 WmMcK
WmMcK's picture

Long Unobtainium.

Sun, 05/27/2012 - 14:17 | 2467375 thismonkeydoesn...
thismonkeydoesnotdance's picture

puppetry for muppets. yay.

Sun, 05/27/2012 - 14:21 | 2467379 lizzy36
lizzy36's picture

Another ridiclous plan that will goose what is left of the equity markets when announced.

Jesus...Bank Levy's that is funny. 

Spain doesn't actually have the CASH to inject into Bankia so they are going to inject PUBLIC DEBT....

The COMPANY would be backed by the ESM.....of which Italy is the 3rd largest contributor and Spain the 4th.

Seriously lets add another layer to the Ponzi, cause that is really going to work this time.

The longer the can is kicked the higher the cost when losses are finally crystallized. 

According to the DJ - BOE is going to host an informal meeting (private off the record) of CB`s this week to address the EZ crisis (hahaha). Apparently BOE, ECB and CHINA`s CB are invited. Oddly no mention of Bernanke. Wonder why China is getting invited......

Sun, 05/27/2012 - 14:38 | 2467397 css1971
css1971's picture

What I find amusing is all of these contortions are to save "the system" where it's quite clear that the system is the thing causing the problem in the first place.

They are not going to reform the system, too few people are making too much money from it.

The electorates are not going to allow "austerity"; deleveraging. As we're seeing, they'll replace politicians who even mention it. Eventually the "austere" leaders in Germany will get kicked out as recession bites.

That leaves only one solution to the mountain of debt. The traditional one. It's been going on for millenia... Literally so why on earth would it stop now.

Or am I missing something blindingly obvious?

Sun, 05/27/2012 - 15:39 | 2467501 katchum
katchum's picture

So much for that "secret" plan.

Do NOT follow this link or you will be banned from the site!