Cyprus bailout 101

myp

Jan 2009

5,841

50

• Mar 18, 2013

• #1

Good FAQ about what is going on there.

Everything you need to know about the Cyprus bailout, in one FAQ

Thoughts?

 

T

tecoyah

Oct 2012

4,429

1,084

Louisville, Ky

• Mar 18, 2013

• #2

myp said:

Good FAQ about what is going on there.

Everything you need to know about the Cyprus bailout, in one FAQ

Thoughts?

Click to expand...

I only hope the plan works....though I do not see it functioning anywhere else in the troubled EU.

 

S

Stonewall

Dec 2012

554

34

United States

• Mar 21, 2013

• #3

What point shouldn't be missed is that Cyprus' solution was to nationalize the bank, it's now the government who cannot afford this bailout...and it highlights what can happen when a central government bank dictates policy.

 

myp

Jan 2009

5,841

50

• Mar 21, 2013

• #4

Stonewall said:

What point shouldn't be missed is that Cyprus' solution was to nationalize the bank, it's now the government who cannot afford this bailout...and it highlights what can happen when a central government bank dictates policy.

Click to expand...

Hardly the whole story...

 

R

reader

Jun 2012

134

0

Turkey

• Mar 23, 2013

• #5

Expropriation of bank's management is inevitable in these cases, when you consider it as one of the rings that runs economy. I guess the same 'solution' have employed in the US with some differencesin the near past.

 

Salty

Mar 2013

44

21

Arkansas

• Mar 24, 2013

• #6

myp said:

Good FAQ about what is going on there.

Everything you need to know about the Cyprus bailout, in one FAQ

Thoughts?

Click to expand...

I think these trade agreements are bad. NAFTA, EURO, seem to only benefit the big guys then the little guys have to bail em out when they make the wrong decisions.

 

myp

Jan 2009

5,841

50

• Mar 25, 2013

• #7

Salty said:

I think these trade agreements are bad. NAFTA, EURO, seem to only benefit the big guys then the little guys have to bail em out when they make the wrong decisions.

Click to expand...

Trade agreements which are real trade agreements are generally good things- free trade tends to work in favor of most people in both countries.

The Euro is not a trade agreement though. It is a monetary union- think of it like the United States having a Federal currency and the states all use the currency but also set their own fiscal policies- the states in the case of the Euro have more soverignty and fiscal power than the states in the US of course (which is part of why the monetary union doesn't work).