Did Y’all Know Dat 7/3/2019
What = Gender Mr Europe bring Forth?
Wake Up or Miss what y’all Offspring are being exposed to without your full knowledge or consent!
Did Y’all See Dat?
Man and his wrongdoings
All Debts Are Pre-Paid – But Y’all Don’t Know Dat, So Continue to be Slaves Of a Fraudulently Operated System to Pay Mortgages/Loans/Taxes/Fines/Fees/Fiat Currency’s Blindly, Making the Central Banking Cartels incredibly Wealthy, as they use this trick called ‘MONEY’ to steal the very wealth right from under y’all noses, because your too preoccupied with the institutional ideology set upon y’all from before you were even born.
So of you believing in education and Schooling as a means to get ahead in the working world 🌍 and use the remainder of y’all time indulging in the Mass Media Propaganda and complete distraction of your time, whilst the ‘Elitist’ continues to bombard y’all with alternatives like the classic divide and conquer.
While everyone is fighting and criticising each other over trivial things, some very clever individuals are raking in your hard earned ‘Real Estates’ and consuming all your energies.
Did Y’all realise that all wars in the last 200 years was funded on purpose by that same elite groups of individuals. They have rationalised that, if your uncooperative nations of indigenous peoples are given passive but purposeful Media lies and propaganda, along with guns and false ideas to promote, that they can actually get y’all to gather up the most physically strong and courageous fighting forces (mainly all your children) to start wars with each other and wipe themselves out , but not completely, as some are needed to continue the work load for the elites, and allow the elites to take up governance over your nations of relatively weak and war torn, and battered people, drained after such actions, and rule over y’all?
See the Rothschilds Work – And Hand Of Destruction to each and every nation since they deceived us all centuries ago Below!
How risky is sovereign debt?
One memorable answer, “Countries don’t go bankrupt,” is attributed to Walter Wriston, the most prominent banker of his day and the Chairman of Citibank from 1967 to 1984. That is right in a narrow legal sense, since a sovereign government cannot be put into bankruptcy. But in the general sense, everybody knows it is disastrously wrong: governments can and do go broke and not pay on their debt.
The 1980s dramatically falsified the Wriston answer. A large number of governments with heavy borrowings from U.S. banks were broke and defaulting. This led to highly-placed fears that the entire American banking system might be insolvent. So Paul Volcker, then Chairman of the Federal Reserve, papered over the crisis by ordering that the banks’ books be cooked and losses postponed. When the crisis broke in 1982, Volcker is reported to have said one Friday evening, “The American banking system might not last until Monday”!
More recently, we have had the European sovereign debt crisis of 2009-2012, which threatened the entire European banking system, imposed huge losses on lenders to the government of Greece-they got 25 cents on the dollar in the 2012 debt restructuring–and raised the possibility of more big losses on the debts of Italy, Spain and Portugal. Of course, the insolvency of the Greek government is still playing out. Demonstrating a typical lack of imagination, European officials had claimed that sovereign defaults in Europe were unthinkable.
How often do governments go broke and default on their debts? Quite often, it turns out. In the last 100 years, from 1915 to 2015, there were 189 cases of sovereign defaults and restructurings. This involved 80 countries-many were multiple defaulters. In the last 50 years, from 1965 to now, there have been 123 defaults involving 68 countries. In this period, many new sovereign nations had been created, so it gave the possibility, or rather near certainty, or more sovereign defaults.
The following chart displays the 100-year pattern of sovereign defaults by decade. Note the peaks in the 1930s and 1980s, fifty years apart. The 1990s are in third place for this dubious prize, followed by the decade 2000-2010.
Sources: Reinhart, Carmen M., and Kenneth S. Rogoff. 2008. “The Forgotten History of Domestic Debt.” NBER
The defaults on this graph include many Latin American, African and Asian countries, but Europe and North America are also well represented.
The United States government appears three times: when it defaulted on its gold bonds in 1933; when it rejected its obligation to redeem silver certificates for silver in 1968; and when it reneged on its Bretton Woods commitment to redeem dollars for gold in 1971. With this last default, it launched the world into an unprecedented experiment in pure fiat currencies with floating exchange rates-an experiment whose implications we are still discovering. Note that each of the U.S. government’s defaults involved refusing to honor its promise to pay in precious metals. Now its debt is payable only in a paper currency which its central bank earnestly promises to depreciate every year in perpetuity.
To give a flavor of the variety of countries in the sovereign default club, here are the lists for the worst three decades of the last century:
1930s: Austria, Bolivia, Brazil, Bulgaria, Canada (Alberta), Chile, China, Columbia, Costa Rica, Dominican Republic, El Salvador, Germany, Greece, Guatemala, Hungary, Nicaragua, Panama, Paraguay, Peru, Poland, Romania, Spain, Turkey, United Kingdom, United States, Uruguay, Yugoslavia.
1980s: Angola, Argentina, Bolivia, Brazil, Central African Republic, Chile, Costa Rica, Ecuador, Egypt, El Salvador, Ghana, Guatemala, Guyana, Honduras, Ivory Coast, Jordan, Liberia, Mexico, Morocco, Mozambique, Myanmar, Nigeria, Panama, Paraguay, Peru, Philippines, Poland, South Africa, Sri Lanka, Trinidad and Tobago, Tunisia, Turkey, Uruguay, Venezuela, Yugoslavia, Zambia.
1990s: Algeria, Angola, Antigua and Barbuda, Brazil, Bulgaria, Croatia, Ecuador, Gabon, Iran, Iraq, Kenya, Kuwait, Mongolia, Morocco, Nigeria, Russia, Rwanda, Sierra Leone, Solomon Islands, South Africa, Sri Lanka, Sudan, Thailand, Ukraine, Uruguay, Venezuela.
“The history of government loans is really a history of government defaults,” wrote Max Winkler, in his instructive and cynical book, Foreign Bonds: An Autopsy. History “is replete with instances of governmental defaults,” Winkler observed. “When payment is resumed, the past is easily forgotten and a new borrowing orgy ensues.” That was written in 1933, but is fully up to date.
In all cases, of course, it is a government which is in debt and defaulting, not the country itself. One source of sovereign default is when governments are overthrown and the new regime repudiates the debt of the old one. Notable cases are Russia in 1917 and China in 1949. Another source of default is losing a big war and disappearing as a government, as with Germany, Japan and the Confederate States of America.
But far more common is years of excessive borrowing, whether optimistic or opportunistic, followed by simply being broke and inviting the creditors to join in the losses.
How risky is sovereign debt? Far riskier than good times complacently assume.
As many emerging market countries struggle financially and economically today, are we approaching a new round of sovereign defaults and restructurings? There is certainly no reason to believe that government defaults are out of style. They will occur as long as governments love to spend and love to borrow to keep spending, and as long as lenders have short memories-that is, forever.
Alex J. Pollock is a distinguished senior fellow at the R Street Institute in Washington, D.C. He was President and CEO of the Federal Home Loan Bank of Chicago from 1991-2004