Europe's Response To Geithner's Advice: "I'd Like To Hear How The United States Will Reduce Its Deficits ... And Its Debts"

Tyler Durden's picture

Two years after being laughed out by a bunch of Chinese students, Tim Geithner realized that his hypocrisy may pass muster in the Beltway, but the crowd is tougher across the Atlantic. As Reuters reports, the much anticipated meeting between Geithner and the euro FinMins in Wroclaw, Poland, lasted all of thirty minutes and if nothing else managed to unite the Europeans... in their ridicule and derision of the man that has become a global muppet caricature. The litany of quotes needs no explanation: "I found it peculiar that even though the Americans have significantly worse fundamental data than the euro zone that they tell us what we should do and when we make a suggestion ... that they say no straight away," Maria Fekter, [Austria's Finance Minister] told reporters afterwards, recalling a difference of opinion between Geithner and German Finance Minister Wolfgang Schaeuble on how to reinvigorate the euro zone and tax financial deals." And the kicker came from Belgian Finance Minister Didier Reynders, who responded 'tartly' that "We can always discuss with our American colleagues. I'd like to hear how the United States will reduce its deficits ... and its debts." Alas, as Tim has found the hard way, being one of the biggest offendors when it comes to collapsed economies does take away from his credibility. So if we may suggest, Timmy should i) focus on fixing the US economy, and since he has repeatedly failed at that ii) to immediately resign.

From Reuters:

Geithner's decision to travel to the small city of Wroclaw to discuss the sovereign debt problems of Greece, Ireland, Italy and the wider euro zone was the clearest indication yet of the severity of the near two-year-old crisis, which now threatens the global economy not just the single currency bloc.


Officials said Geithner was coming to propose how the region might try leveraging its emergency bailout fund -- the 440 billion euro European Financial Stability Facility -- to better tackle the crisis, much as the United States used leverage to handle the fallout from the subprime collapse.


But however good Geithner's intentions, the indications were that the meeting did not go as smoothly as he might have hoped.


Held in a concert hall, the gathering lasted for about 30 minutes. The euro zone ministers arrived together by bus. Geithner was sped to the doors in a private car.


Jean-Claude Juncker, the chairman of the Eurogroup, was even more to the point.


"I don't think it would be wise for me to report from an informal meeting that we have with the treasury secretary. We are not discussing the expansion or increase of the EFSF with a non-member of the euro area," he said.

And the very lonely thoughts of our very own SecTreason:

"One of the starkest ways to emphasize the importance of Europe getting on top of this is that you don't want the future of Europe to rest in the hands of those who provide financing to the IMF," he said.


"There is no reason for Europe to be in that position and it would be very damaging to the credibility of the endeavour here in Europe," he said, before departing to warm applause.


"Of course your financial challenges in Europe are within your capacity to manage financially, you just have to choose to do it," Geithner told the audience, sitting cross-legged and slightly slouched in his chair.

Does that mean that Timmy to the G never chose to do manage our own challenges before? If so, can he at least manage to sign the dotted line on his resignation letter.

The bottom line:

For many in the meeting, Austria's Fekter most particularly, his message fell flat.


"I had expected that when he tells us how he sees the world that he would listen to what we have to say," she said.

Well, so much for the US telling Europe what to do...

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spiral_eyes's picture

Europe can boo all they want. Benny and Timmy will still bail them out.

This bullshit bailout-crisis-bailout can't go on for ever.

Debt jubilee, bitchez. 

DoChenRollingBearing's picture

That word Jubilee again...  It looks like there is a real chance of BIG defaults, how ever you want to dress that word up.  Defaults...

Cash (FRNs at home in the safe or under the mattress) and gold will protect you from a "Jubilee"...

Jubilee...  Wheeeee!

Zedge Hero's picture

Who should be Bailed out in what order?




Either way the game is over, wait wait , Lets let all the Central banks give out all the fucking loans you can imagine to any bank for anything.  There is a Jubilee - it's just amongst the United Banking Cartel. The unlimted ATM $$$

1.2 trillion more in bailouts

theXman's picture

Geesner is the most ridiculed Treasury Secretary in the history of this country. Why has he quit already? That fact the BO hired him and then extended his stay is evidence enough that BO is clueless in economic matters. Unfortunately, he will be reelected in 2012.

John Bigboote's picture

The people who are speaking publically about the audacity of Timmay are the ones that aren't full aware of the trillions of secret money that has been given to every slutty whore central bank througout the world by the fed/treasury. If you knew what Timmay knew it would be completely logical to display what seems to be unbelievable hypocrisy but is completely logical when understanding the real story. Criminals, and they make it obvious.

Mariposa de Oro's picture

Do you really believe that BO doesn't know what's going here?  Has it occured to you that this economic collapse has been planned and executed for a reason?  BO is alledged to be the smartest human on the planet, and yet he doesn't know that the economy is collapsing?  ***blink***

karzai_luver's picture

You are as clueless as THE ONE it appears.


THE ONLY PEOPLE WHO annoited him the ONE are the flaks and cocksuckers that surround any common criminal and their MSM "embeds".


ANYONE that ever believed that an empty suit such as this clown/imbecile had a clue should just blow their alleged brain out NOW!

I know the avg sheep has an IQ of around 10 but my goodness even this dope is too much.


Mariposa de Oro's picture

You are as clueless as THE ONE it appears.

The only thing I'm clueless about here is what the Hell you're talking about.  I NEVER supported BO. 

Savyindallas's picture

I think mariposa is right. BO is smart, he's just completely ignorant on the nuances of economics. Like Clinton and Bush before him, he was too lazy during his time in public office to learn anything of any substance. He's a politician - they are all complete idiots because they care not about the serious issues of governance  - they only care about politics, a game in which they excel -mainly because they know whose ass to kiss. That's why the special interests get them elected. Hoever, even a complete idiot can recognize we are in what will soon be an economic collapse, so she is probably right about BO recognizing this.

Minimum Clearance's picture

So if we may suggest, Timmy should i) focus on fixing the US economy, and since he has repeatedly failed at that ii) to immediately resign. 

Focus on the US -- what a concept!  Our single biggest problem is our set of leaders, who are busily 'fixing' the world while their own society rots.  They don't even see the problems here, let alone try to solve them.  

karzai_luver's picture

Our single biggest problem is that the sheep gaze out from the pen and expect someone to save them.




Enforce the fukin LAWS don't bother expecting a savior to ride in on the clouds.


Savyindallas's picture

the biggest problem is the sheep can't even recognize the wolves roaming amongst the flock

Finnoz's picture

My bullish view for the next few years:

Structured PIIGS defaults one by one.

Structured French and German banking crises with nationalisation and recapitalisation of banks

Structured European and US banking crises with nationalisation and recapitalisation of banks

Repeat around the globe and include the under estimated regional and private debt problems of each country into the equation.

Tough times with civil unrest and protectionism eroding global trades, but a gradual rise in innovation and manufacturing eventually leading to a recovery.


My Bearish view

A forced fiscal union with or without eurobonds.

An apparent recovery but underlying debt problems unresolved and voters across the region seriously unimpressed by the fiscal union.

A rise in nationalism, leading to civil unrest, revolutions and chaotic disintegration of the European Union while the US is stagnating under lack of UNITED leadership and their mounting, unresolved debt, and Asia too slow to empower their middle classes (choked by inflation) to carry the load.

The European leaders are not stupid. The whole implementation of the European union and Euro was based on ensuring the nations taking part that they remain sovereign nations. There are no Euro zone states despite some analysts using that term. There are Euro zone countries.

They couldn't have created a fiscal union at the most bullish of times, how could they possibly force it through now? Look at Europe. Can anyone seriously see a UNITED States of Europe in the horizon???



SheepDog-One's picture

Exactly, it cant go on forever and was never designed to go on forever, just long enough to get everyone in the stew pot. We're easily there now, really no point in bankrupting everyone further so any day now the rug can be pulled out.

Popo's picture

Debt jubliee?  Fuck you.   

How about letting the market do it's thing:  Default.   Deflate.   Correct.

equity_momo's picture

Damn fucking straight. But don't worry , a "jubilee" will have the same effect as a default. Those who have lived beyond their means shall take it up the ass just as wall street shall. Karma is a bitch.

I fully expect to get some flesh wounds when this unravels but I've prepared as much I can and have zero debt. Every other fucker in my neighbourhood is still driving around in a car that costs half their household income with a mortgage that's 5 times their salary that never seems to get repaid. If they get bailed out along with every other stupid fu&8! Govn there is only one thing that can happen : I will need more digits on my casio to type in the price of gold. If they don't , then I can at last afford a house free and clear after 15 years of saving.

Suck it up debt junkies.

centerline's picture

Everywhere you turn, there is impossible math or a moral hazard of mammoth proportions, or a roadblock of some sort. It is for this reason that I really think the S will HTF. Younger folks are not going to be slammed to concrete with no jobs and useless degrees and a mountain of debt. Older folks are not going to go quietly into that cat-food, no electricity night. Gen X is about fed the fuck up with getting robbed blind and the social mess that has resulted. Etc. and etc. We are no doubt at a point of extremes... energy, population, resources, economically, socially, and so forth. The perfect storm.

Idiot Savant's picture

We are no doubt at a point of extremes... energy, population, resources, economically, socially, and so forth. The perfect storm.

Succinctly stated; might want to include weather, too.

trav7777's picture

this kinda seems to put the kibosh on reparations for black people and the entire race pimping industry of handouts and free cheese?

Bringin It's picture

... and the entire race pimping industry of handouts and free cheese?

No trav.  Not at all.  The Tribesmen still get billions.  What were they just guarenteed? $3B-$4B per year into 2018.  Google it.

heyligen's picture

They have to, Greece may be the first domino, Benny and Timmy know that the US are in death row. Execution by a triggering dwarfy Greece would be the joke of the century.

Al Gorerhythm's picture

Debt jubilee. Isn't that just another bailout?

prains's picture



Have Fiat will Travel

monopoly's picture

What a pathetic excuse for a human being he is. And he is still not in jail.

DoChenRollingBearing's picture

Green.  Why indeed is he not in jail, with all the other usual suspects?

jekyll island's picture

Yeah, well, my printer is bigger than yours Eurotrash!  

King_of_simpletons's picture

Do as we tell, not as we do.

Jonas Parker's picture

Poor Timmy, "he just don't get no respect!"

Osmium's picture

What's the old saying:  "Respect is Earned, not given".  Timmah will never earn respect by bailing out everyone at taxpayers expense.

espirit's picture

Hope that Timmah gets mad and won't allow BennieBux to be printed this time around.

We can dream, can't we?

NotApplicable's picture

He likely doesn't give two shits whether or not he is respected by us nobodies. He's Kissinger's boy, so he gets all the respect he desires, off camera.

disabledvet's picture

Exactly. The fact that TG is there should tell Europe to STFU. This is a dicey situation and telling a guy who is financing 100 billion tranches in a week when Europe can't even do 5 is all the rest of the world need to knows. What was reported today is that it's Brazil, India and China that are teaming up to solve Greece--ideally WITHOUT Europe. Telling Mr Bond to take a hike is the wrong answer.

heyligen's picture

Okay, okay, we will send our Herman Van Rompay to tell Obama what to do.

Mariposa de Oro's picture

He will be telling BO what do just as soon as the One World Governemnt gets put in place...

heyligen's picture

If the Chinese agree with what he says...

EscapeKey's picture

While he's there, he can also educate European leaders how to fill out their income tax statements.


Nascent_Variable's picture

I just hope that when history looks back at this troubled time, future generations don't forget to laugh heartily at TurboTax for his mind-blowing incompetence.

FunkyMonkeyBoy's picture

If you've got a bad desease, you don't use cancer as the cure. And the USA is the biggest cancer the world has ever seen.

SheepDog-One's picture

Timmah blustering over in Europe about how to fix (cover up and pretend) their debt, when the US debt black hole of $1.5 quadrillion makes Europe look like nothing by comparison. Raging heroin addict drug abuse counselor, yea whatever Timmah!

Conrad Murray's picture

Why is TIMMAY! the Tax Cheat still holding that position anyhow? CONfidence "optics" from the O'dumbo Administration? It's TITS or GTFO time for the US Economy, and that little elf bitch doesn't have the goods.


Random Thought: A paparazzi for all the retired repositioned oligarchs. It would be nice to be able to get the latest gossip regarding where they eat, what sort of houses they live in, who they meet with...

DoChenRollingBearing's picture

Whooooaaaaaa re your random thought.  Green!

gmrpeabody's picture

Make it a sort of tabloid...

I'd pay for that.

Good call, Conrad.

11b40's picture

Funny, but I was thinking this morning about how neat it would be to have a deck of cards with the pictures and bios of the top 52 scoundrels that brought this financial calamity upon us.  Like the deck we had made for the most wanted of the Iraqi regieme after it fell.

Are you listening, WB7?

jmcadg's picture

Us Foreign Policy - Working well as usual.

X.inf.capt's picture

talk about the pot calling.......

fyrebird's picture

European civilization is about 2000 years older than anything comparable in North America (notice I did not say "American civilization" because there isn't any such thing.)

They aren't going to take much crap from someone like Timmy G. The US experiment in North America could evaporate within the year, Manhattan could revert to the Natives and all that, meanwhile over in Euroland they'll still be quibbling about the rights of the French nobility 500 years from now.

Perspective. Get some.

Rodent Freikorps's picture

Strangely, it is those most in love with the Old World that are the very ones tanking America.

Y'all are just pissed the US made you stop killing each other for a few decades.

fyrebird's picture

I'm an American. America was an experiment, and it's about to end. No idea what comes after.

The rest of the world does not now and will not ever give a shit either way. We'll be like the ancient Egyptians; lost beneath the moving sands of forgetfulness with just our colossal art projects left behind, and nobody will remember what the hell we were about.