How the IMF Can Save the Global Economy, For The Good of The World

This might be a bit simplistic, as I'm certainly no economist, but I see a simple solution as to how the IMF can solve a large part of the global debt crisis, quickly, and painlessly, without having massive tax increases on the poor and middle classes in order for national governments to pay off this debt.

Given the huge amounts of debt that most national governments have now run up, with a large part of this debt being owed to other national governments who are also in debt, why not simply do the following.

Call a large meeting of all the creditors and borrowers. It's already pretty clearly known who owes what to whom, and it's a convulted twisting and turning route.

Have a multinational agreement signed that simply forgives all debt notes held by international governments. Debt created by nationals by borrowing internally (such as USA plundering Social Security) or that they owe to private or corporate bond holders would still be valid, but any international debt would be wiped out, immediately, with zero consequence. Do this for all nations, at the same time.

This would have the immediate effect that any deficits of those nations being used to pay down debt would be immediately freed up, clearing the way for spending in other areas. Rich countries (like China and Saudi Arabia) that hold most of the debt can certainly afford to take the hit, and countries heavily in debt would see an immediate benefit.

Third World nations that are massively in debt to first world nations would immediately be freed from their burdens, as most of their debt is international debt owed to other Governments and the IMF, not due to private bond holders.

Come on IMF, time to step up to the plate and solve this crisis once and for all.

Lolol
If they did try this, it would be the only good thing they have even ever tried,
And judging by their track record, helping people is not even on their mind.

Its not going to happen, The National banks will not forgive countrys of there debt. Its the National banks objective to inslave nations to debt. until countrys wake up to the fact, and they wont because they are puppets to the the National banks, nothing can be done. It has to start with you and me.

This is all going to turn into a opportunity for the National banks to declare a one world currency so they can close their grip on the world even harder, those who control the money control the country/world

National banks, NWO, there all the same thing.

Originally posted by camaro68ss
Its not going to happen, The National banks will not forgive countrys of there debt. Its the National banks objective to inslave nations to debt. until countrys wake up to the fact, and they wont because they are puppets to the the National banks, nothing can be done. It has to start with you and me.

Of course it starts with you and me. This is me putting my idea forth. Doubtful the banks will listen either, but it will put the grassroots of the idea out there.

Hmmmm...

or it could start a world war..
Say if china gets a might bit upset at losing trillions to the u.s. with the signature of a bloated diplomat.

We may necessarily see it though; when the global economic machinery eventually grinds to its final petrified state...

Thats if they can get a Bailout for themselves first

IMF_BAILOUT??

reply to post by babybunnies


What they need is a international Year of Jubilee. Forgive all debts. Stop using all debt based inflationary/usury monetary systems. Return to sound monetary principles. Stop taxing/stealing the fruit of ones labor.

never going to happen, at least not from the bankers end

THEY are the boot on mankind's neck
they will never show their true colors, they don't have to they have their boot on your neck
they care not for people or borders, just power and money, what are borders other then a way to divide
THEY could solve the world's man made problems over night and probably some that are not


what really needs to be said is why 99% of the population lets 1% of the population dictate how their quality of life should be

I know when I was born I didn't sign a contract that I would agree to be second rate to people that believe everything is theirs

other then their ancestors taking advantage of people hundreds of years ago to create the empires they have today what/who gives them the right to control us all? ....we do we let them

Originally posted by all answers exist
never going to happen, at least not from the bankers end

THEY are the boot on mankind's neck
they will never show their true colors, they don't have to they have their boot on your neck
they care not for people or borders, just power and money, what are borders other then a way to divide
THEY could solve the world's man made problems over night and probably some that are not


what really needs to be said is why 99% of the population lets 1% of the population dictate how their quality of life should be

I know when I was born I didn't sign a contract that I would agree to be second rate to people that believe everything is theirs

other then their ancestors taking advantage of people hundreds of years ago to create the empires they have today what/who gives them the right to control us all? ....we do we let them

By being born you agreed to the terms of service of life. No need to sign a contract. Simply by using the product "life" you've agreed to terms of service.

The IMF lays to waste every country it touches. They would never do
anything that would actually help humanity. That is not their purpose.

Lets hope the group that allegedly took out the 2 underground bunkers the other day have the same thought and decide to propose a way forward to the IMF

reply to post by babybunnies


I must have missed that one in the handbook while I was reading as a fetus

just like I missed the multiple choice question about which race I wanted to be, maybe that why racism exists some of us must has picked the wrong one, but that a whole other topic altogether

sarcasm off/

reply to post by babybunnies


sadly the IMF doesnt want to save the Global Economy its not part of there agenda.

In order to SOLVE the problem, you must first know WHERE the $$$ comes from.

For IMF, it came from a combination of SAVINGS from 17 nations. These are not money 'out of the blue skies'. They were the savings from the soveriegn people of those 17 nations - tax revenues, social security, etc, excesses from their annual social expenditure meant for their own soveriegn people.

They are willing only to LOAN those money, so that it may earn or accrue some interest dividends, with more to spend for their sovereign people espacially on rainy days should it come one day, as it will naturally in the course of civilisation.

It is not for the govs of that day to spend as they wish, more so to waste it on 'bailouts' of the irresponsible - banks!

Banks, despite its atrocious behaviour in the past of foreclosing properties on debts in the past, are nothing to compared to banks of today with their VILE behaviour. In the past, loans were carefully made to ensure there are returns.

But TODAY, banks practically force anyone to take debts regardless if they are capable of paying or not, in the hope of forcing them into perpetual debt bondage, such as happening in Greece today.

In the past, 3% annual interest for depositors were good enough and accepted by mankind. But today, banks got more ambitious, some even offering 20%, but with small print that it depended on its performance and every cent could be wipe out. Most folks, espacially the old were not aware of such clauses, and lost almost their lives in 2008 CDO derivative markets CREATED by banks.

Some banks went even worse. The masses trusted them to look after their monies, supposedly knew what they are doing to deposits, afterall, solid as rock was a term coined for banks and bankers. But unfortunately, bankers used deposits frivolously to give HIGHER YIELDS on deposits - 10%/20% and subsequently made losses for such interests are unstainable in a capitalist market and a fuzzy logic mankind where the only constant in life is change, and not the crystal ball gazing data of statisticians or economists as the crisis of 2008 had proven.

The banks are now in trouble again, short of liquidity. They had not learnt from the 1st bailout. They hoarded up monies, played the stock market, forced NATIONS to borrow loans even knowing full well that they could not afford to pay back, thinking that as nations, they would not be allowed to go bankrupt. They thought wrong. The Greeks is telling them now, and are ready with pitchforks if any creditor comes into the country to place collar shackles around their throats.

Banks are only CAPITALIST enterprises. They are not gov institutions, or elected to become bankers by soveriegn people. Profits belong to them. BUT HELL IF DEBTS ARE TO BE SOCIALISED!!!

IMF must ensure its funds are guaranteed to give returns, or if given for charitable causes - it must meet with the approval of its owners. IMF thus have no reason to help irresponsible bankers anymore, if the IMF leaders have any conscience left. OR, the soveriegn people from the 17 nations will want their heads on a pike.

Let the bankers now face the wrath of depositors for their unconscionable acts when they cannot pay back guaranteed deposits. They are responsible for their mistakes. No point bailing them out anymore, or worse will only come with a totally debt bonded mankind under the thumb of bank/corporations.

reply to post by babybunnies


Because Derivative markets would collapse? For every Dollar/Euro loaned out, there are ten or twenty more through various investment vehicles and insurance on those.

Next the biggest issue would be that who ever loans money usually lets money as well, these investment swaps actually create the appreance of "profits" which can be used by the Government to alter their spending to income. So they loan out a billion dollars and it generates a million in revenue, the next year if they have to increase spending by 2 million, 1 million is covered .. compounding this the relationship to countries who partake in it, simply ending the programs would cause budget havoc.

The United States for instance uses interest earned on Tbills (from the Fed) to regulate inflation .. if all was forgiven the inflation levels in America would spike dramatically.

So .. no .. not so simple. They are planning on forgiving 50% of Greek debt, and the CDS calls on the forgiven debt are going to murder the institutions that issue them.

This little note is flying around certain circles at the moment...

I can't find anything concrete to back it up. This story stays on the outskirts but it sounds like a valid strategy to pay the debt off. The Big Debt that is...

I can't find any conversation about this particular solution because nobody seems to know.

Is there a reason this is bunk yet? Or should we buy some IQD too?