Could Germany Tip The First Domino?

germany-greece-domino-effect

‘The Telegraph’ is reporting an astounding statement from the chief of HSBC Bank, “We are heading towards fiscal union or break-up”. They go on to say that Europe’s leaders have finally run out of time. If they fail to agree on some form of debt pooling and shared fiscal destiny at Thursday’s emergency summit, they risk a full-fledged run on South Europe’s bond markets and a disorderly collapse of monetary union.

A statement from the central bank of Germany says it all, “nothing would destroy the incentives for a solid budget policy more quickly and more permanently than joint liability for national debts. European and especially German taxpayers would have to answer for the entire state debt of Greece. That would be a step toward a transfer union.”

Who could blame them? Why should they have to pay for the apparent irresponsible spending of another country, or countries, and assist in their bailout? What happened to sovereignty and sovereign responsibility of one’s own nation?

There is only so much support that a rational person or entity can provide for some other who has continued on their own irresponsible course of action. At some point you just have to say, no more.

The powers-that-be will continue to do whatever it takes to keep the EU stitched together, but it appears that the wheels may be about to come off the bus… so to speak.

There is a disastrous domino effect waiting in the wings, which could bring it all down over there. The thing is, it wouldn’t stop there. Imagine the losses of all banks and funds that are invested in various bonds that would be hard hit. This is not just a European problem, it is a world problem that could chain react badly.

The very fact that this is all integrated is the very reason that all the stops will be pulled to prevent a first domino from toppling over. However, the powers-that-be, may not be all powerful.

We are in precarious times for sure.



If you enjoyed this, or topics of survival preparedness or current events risk awareness,
check out our current homepage articles…

2 Comments


Click here to vote for MSB -Top Prepper Website

  1. Beano July 20, 2011
  2. Travis July 22, 2011
Click here to vote for MSB -Top Prepper Website

Visit our TERMS OF USE & Comment Policy

For off-topic discussion, visit the latest:
'Weekly Preparedness' post

For the most recent comments from all articles:
'Recent Comments' page

Leave a Reply

Email optional - will not be published
Do NOT follow this link or you will be banned from the site!