Iceland teeters on the brink of bankruptcy

This is one hell of a finacial situation world wide. < :-)

Great, now we're going to have endless posts from people condemning the Europeans for their shaky economic model built on greed and screwing the poor.

I was tempted by the savings rates on offer from those Icelandic banks, more than 7% p.a. on sterling deposits in some cases. I'm lucky that in my case nagging doubts about Icelandic banks outweighed greed, and I invested elsewhere.

Maybe China can still afford to buy it.

The country’s top four banks now hold foreign liabilities in excess of $100 billion, debts that dwarf Iceland’s gross domestic product of $14 billion.

That doesn't sound good. I don't even think Bjork can get them out of this.

Its America's fault. Their greed caused the problem. Now so many people are suffering. No onder the wrold hates them.

Helter: "I don't even think Bjork can get them out of this."

Good one! haha. Maybe if she rejoined with what's-his-name and started up a Sugar Cubes tour (was that their name?).

neverknow:

" Its America's fault. Their greed caused the problem. Now so many people are suffering. No onder the wrold hates them. "

LOL! Yes, that is the typical leftist reaction to anything. The Icelandic banking bubble pops, and somehow GWB must be to blame.

WilliB: "LOL! Yes, that is the typical leftist reaction to anything. The Icelandic banking bubble pops, and somehow GWB must be to blame."

Funny, I haven't seen a person on here blaming the US for this, except sarcastic remarks from some very defensive posters. Subconscious guilt, perhaps?

They should start selling pieces of Bobby Fischer, like people did the saints of old. That should replenish the coffers! --Cirroc

What did people really expect:

Back home, the average family’s wealth soared 45% in half a decade and gross domestic product rose at around 5% a year.

But the whole system was built on a shaky foundation of foreign debt.

The country’s top four banks now hold foreign liabilities in excess of $100 billion, debts that dwarf Iceland’s gross domestic product of $14 billion.

smithinjapan,

neverknow2 said "Its America's fault" at 10:08.

At any rate this really is scary news.

“canary in the coal mine” of the global credit squeeze.

Eek!

smithinjapan:

" Funny, I haven't seen a person on here blaming the US for this, "

If you had bothered to look one single line above, you would have seen the quote. Sheesh.

Its America's fault. Their greed caused the problem. Now so many people are suffering. No onder the wrold hates them.

I just love it when someone claims that one side of a business transaction, freely entered into, is "greedy". Don't both borrowers and lenders hope to gain something through their transaction? Aren't both equally greedy?