Posted on 03/20/2013 2:06:21 AM PDT by therightliveswithus
Yesterday afternoon the Cypriot Parliament rejected the European Union proposal to tax all bank deposits within the one-million strong island nation between six and nine percent, depending on income, in order to secure a much needed $13 billion bailout for the near bankrupt government. The vote was unanimous, and the citizenry cheered loudly with its approval.
Europe is now pissed because Cyprus will go bankrupt, and they will weaken Europe's economic house, and they will likely need another, far bigger bailout in the future if they do not approve this one, and they are now both sitting, or more accurately drowning, ducks in financially unstable waters.
Which is the reason why Europe wanted to include this tax on deposits in the first place, because the few nations that actually followed the rules (okay, the one nation - Germany) are sick and tired of paying up a couple billion here, a few more there to cover for their loose spending EU compatriots, and want them to start putting some of their own skin in the game now.
(Excerpt) Read more at punditpress.com ...
If they had voted for the tax...most of the residents of the island (all one million) would have been hostile for decades to come. Plus the Russians would have probably aimed their mafia guys at the politicians and bankers involved in the mess.
So the end result will be this arrival on Wed of the finance minister...freshly back from Moscow with the “deal”. Basically, some cash package...going into the billions...will be offered on the table for all the oil and natural gas rights. Cyprus gets this money free of any issues....but will never make a penny off the natural gas under the island or off-the-coast.
How the EU allows them to stay is now more of an issue than ever. Plus you have to consider this....whatever issues got them into this episode....likely still remain and will be part of a bigger failure in five years.
New Zealand is rumored planning to copy Cyprus levy. I think it is more important for Cyprus to make no precedent at all.
As for a gas deal, there is a Cyprus-Russian-Israely plan to extract it. Their main idea is to keep Turkey away.
Maybe Cyprus needs to examine itself and find out why it’s going bankrupt and cut the fat out of it’s budget like any good custodian would do. Politicians that think it’s a good idea to steal hard earned money from hard working folks using deception need to be ousted, shot, hung, run over, etc... and have THEIR bank accounts siphoned. After all I’ve NEVER seen a poor politician in DC. In fact I used to wonder how they got so rich until I started investigating them and found out that most, if not all, are just whores for sale to the highest bidder and that they pocketed huge sums just for political favor making deals in secret behind closed doors...
Cyprus, a former British Colony still has a garrison of Brits on the island. Maybe the Brits and Russians will reenact Dunkirk.
There might be a Sov, er, Russian naval base in the deal, too.
Many are saying that this will never happen here, but Obama through the Fed and big banks have already stolen millions of dollars from senior citizens who have Certificate of Deposit (CD)savings accounts which have received no interest due to the policies of Obama and the Democrats.
These millions of seniors were expecting to live off of the savings rate interest in retirement, but now they are draining away all of their hard earned savings just to live day to day.
Letter: Zero-interest policy by Federal Reserve is war on America’s seniors
Don_W-_Edwards
Friday, March 15, 2013
Don W. Edwards, Hobe Sound
Letter: Zero-interest policy by Fed is war on America’s seniors
The fiscal crisis (the bursting of the housing bubble) has allowed the Federal Reserve to begin its epic cutting of the interest rates from 5.7 percent in 2007, effectively to zero in 2008, and has remained there ever since — and as a result, there has been a catastrophic shortfall of retirement savings in America ever since.
There may be many other causes, but mainly it is a liberal political policy that is very hostile to investment. This zero-interest policy engineered by Fed Chairman Ben Bernanke and his majesty, our president, offers retirees and near-retirees no interest on savings held in their bank accounts, Treasury bills, or money market funds — thus pulling money out of the pockets of millions or senior retirees.
The rationale for this anti-senior policy was a political policy spurred by Barack Obama to get re-elected, to keep unemployment low and to spur our economy.
By many measures these liberal policies have failed to achieve its goals, and our U.S. economy is worse off when compared to any normal interest rate environment.
So, the victims of these failed policies are retirees, who are penalized for doing everything right. They worked and saved their money, stayed out of debt and now are punished by these politically inspired zero interest rates.
America is ready and willing to provide its savings to fuel investment and growth — all they ask is for a stable currency, positive returns and a friendlier investment climate by this administration.
These failed policies of money printing and zero returns are anathema to investment and growth.
Until this war on savers by Obama is ended, income security for retirees will be an illusion.
http://www.tcpalm.com/news/2013/mar/15/letter-zero-interest-policy-by-federal-reserve/?print=1
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