The Euro is doomed! (Part 2)

This is the same OP who a few months ago was definite there would be no stock market crash, and went on for ages about why it wouldn't happen.

Seems to have got that one wrong, and the thread he put it in is strangely quiet - at least as far as his answers are concerned.

I'll take this with a rather large pinch of salt - if he wants to deflect away from his other threads by attacking the euro, it ain't gonna work.

I'm still waiting for even ONE of his predictions to pan out.

Euro is fine. Actually the drop in the EU/USD exchange was a smart move by the European Central bank , so that the EU products/services will be cheaper on the market.

The same people that own the Federal Reserve own the European Central bank IMO. So what's the difference? Money changing (making money out of thin air) was practiced at the Bank of England long before the first U.S. Central Bank existed. And has continued to this day. Don't think the problem only lies in the U.S. When hyperinflation comes (which is planned), there still is the chance that it will come in multiple currencies. Not just only the dollar.

What I find scary is that tons of Europeans do not believe that the fraudulent practices done in the U.S. economy are possible in Europe or that the possible dire situations can happen there. All focus is on the U.S. while in Europe the possibility remains for quietly done fraudulent practices.

P.S: Forgot to add that the euro is fiat money just like the dollar.

[edit on 23-10-2008 by TheBandit795]

@TheBandit

Most among us are not under the impression that the situation could possibly get as worse as in the US and that Euro is simple fiat money like the US Dollar.

I have studied this topic thoroughly and already warned people two years before in real life and on ATS that sh%t will hit the fan here sooner or later too.

In fact, Ive urged my family to start preparing for sit-X. Living in a country densely populated as it is, you better prepare. I've learned over the years it is better not to tell people in real life as most simply won't believe you anyway and don't take it serious. Better sound than sorry. Most of the sheeps will go down anyway with the masses - they have no clue about what is coming.

Many (Americans) have acted very cocky on ATS when I told them what was about to come. Instead of researching the topic themselves, they started name calling on me and blatantly claiming that their biggest, greatest and fattest economy could never collapse, whereas they constantly bashed the European Union (many American seem to have a problem with us apparently).

Most of these trolls have now gone silent now, yet some still feel it's necessary to bash Europe. That's ok with me, but at least provide proper argumentation and don't act ignorantly like ''the Euro is going down and the Dollar is best currency in the world'' while you have no single clue about the real situation. As I have explained, the downward pressure is not bad at all.

You should particularly be careful when in your own country employment is rising like crazy, many more major banks have collapsed, tent camps are starting to pop up, thousands of home owners are forced to leave their house, factories are closing their doors every day, and states are asking for emergency credits, while we, in the Netherlands for instance, still have the lowest unemployment rate of under 3 % and the situation is relatively normal compared to the situation on the other side of the ocean.

Originally posted by TheBandit795

What I find scary is that tons of Europeans do not believe that the fraudulent practices done in the U.S. economy are possible in Europe or that the possible dire situations can happen there. All focus is on the U.S. while in Europe the possibility remains for quietly done fraudulent practices.

I don't know about that,

For anyone who knows how the central banking system of money creation works, they definitely know that the EU central bank and member state central banks uses the same practices as the FED - the same families own massive shares in both - Rothchilds & Walburgs

The only difference between this situation and the one in the US is that certain member states use the gold standard to create their money through their State central bank while others use their central banks the same way as the FED except their money creation is regulated heavily by the EU central bank. I am not 100% certain on the in's and out's of it.

The EU central bank controls the inflation of the EURO and funding of EU institutions, infrastructures and buildings etc. It also lends money, to countries that use the Gold standard. The situation with the EU central bank is complicated because it deals with numerous separate but open economies BUT yes, it does print money out of thin air like the FED while it also regulates the printing of money in member states
The Way the EU central bank works is as ridiculous as the way the fed works imo

Now, even though the Euro is a relatively new currency, there is still as much 'Fake' money in the system (from before the changeover) as the US has BUT unlike the US, the EU is not hundreds of trillions in debt because there is a regulated cap on member state spending. State books must be balanced, if they are not balanced within three (?) years from the problem arising, they are fined by the EU.


Anyway, onto your point,

Anyone from either side of the atlantic who doesn't realize the fallibility of this system are just ignorant to the facts.
The larger private European banks and financial institutions could still be in some serious trouble because they also work on the anglo saxon economic model of 10% deposit guarantee & 90% pretend money, like the US banks.
EXCEPT that these banks, should they crash, are the problem of their member state to bail out NOT THE EU. Most member states have guaranteed these banks and the deposits therein which has part nationalized a number of banks but also gotten liquidity flowing again.
If these banks collapse and need to be bailed out (which i can still easily see happening, some are in stupid amounts of debt), they will become property of that member state in order to make back the bailout amount.

A MEMBER STATE BAILING OUT A BANK WILL ONLY HURT THAT STATES TAXPAYERS.. NOONE ELSES.

The main difference between the US and the EU is that the EU is still 28 separate economies.
14 members could be in recession while 14 could be booming. At the moment, the member states who are in trouble are ones who rely heavily on the financial services sector.

This is one of the main reasons why Europeans do not listen when Americans go on about the EURO or the EU economy - simply because they are basing their opinions on the way the US economy works when they are COMPLETELY DIFFERENT.
If some EU countries go bankrupt, yes some investor confidence will be lost in the Euro but the EU will remain intact and refinance that country to get it back in the game.

[edit to add]

As with my counterpart above, things are relatively the same here in Ireland. In a slight recession at the moment - after years of a double figure positive economic boom and massive growth - it had to come at some stage.

No tent cities! No riots! No wars! No martial law worries! No "terrorist" worries!
Our media says it as it is!
Slightly higher taxes!
Prices still the same!
Not many worrying about the banks because they are guaranteed!

Most EU countries are in the same boat.


[edit on 23/10/08 by Dermo]