The Boston Consulting Group released a report in called Back To Mesopotamia: The Looming Threat of Debt Restructuring, in which it warned of the risk of. Rhodes, D. and Stelter, D. () Back to Mesopotamia? The looming threat of debt restructuring, Boston: Boston Consulting Group. Sahlins, M. () Waiting. Rhodes David/Stelter Daniel (): Collateral Damage: Back to Mesopotamia? The Looming Threat of Debt Restructuring, BCG publications. Russel, Bertrand.

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Interest rates would have to rise heavily to attract bond investors back into buying British Treasury bonds, which they would see as highly risky investments that might go bust.

During the Eurozone crises interest rates have shot a lot higher than that as fearful investors shunned the bonds of Greece, Spain, Portugal and Ireland. In Mosaic Law the Biblical law given to Moses and set out in the first five books restrkcturing the Old Testamenta Jubilee was tjreat be held every 50th year.

In his recent book Debt: What does he say now? Governments have the power to write thrfat debt as has happened throughout history. Debt cancellation must be part of a restructuring the financial system.

During the Jubilee, each household should recover its absent members; foreclosed land be returned to its former owners; indentured slaves be set free, and debts written off.

Graeber is a staunch supporter of the Occupy Wall Street movement.

How did it work in practice? The First 5, Years, David Graeber restructring, an anthropologist who writes entertainingly of debt ceilings, subprime mortgages and credit default swaps as if they were the exotic practices of a decadent tribe on the edge of self-destruction, notes how the first act of many successful rebellions was to scrap debts and start again from zero.

Writing off debts encourages future recklessness. It posits that attempts to reduce the value of the debt by inducing inflation through Quantitative Easing etc have failed. Published Articles Share this: And to heavily borrowed businesses, investment banks and hedge funds?



If Britain goes bust the world goes bust. Interest earned from debt creation has been very profitable for the centres of wealth — bondholders and bankers. Second is the moral hazard argument.

Leave a Reply Cancel reply Enter your comment here Email required Address never made public. The key to averting a second Great Depression now is to slash private debt through a unilateral write-off of irresponsible loans made by banks.

The protest calls go global. MoneyWeek Magazine, January 6th The British Government claims that, to maintain the loming of Treasury bond investors, they need to apply austerity measures to reduce the costs of the public sector and the amount of loans bonds — and interest costs — required to finance it because of shortfalls in tax receipts.

You are commenting using your Twitter account. Keen warned correctly in the mids that the huge build up of private debt would cause an economic crisis far greater than those of the mids and early s.

The current Bank Of England interest rate loomkng now at its lowest ever at 0. All attempts to eliminate the debt have failed. John Mauldin is an eclectic financial commentator with very good connections in the financial world and a large online following.

Funny thing is – this is likely just a test run. BCG wrote the scenario up back | Hacker News

And threatened to cause an implosion in the global banking system. Notify me of new posts via email. A revelatory read from loominy belly of the beast. He articulates the two contradictory forces battling in the debt black hole we face: What is its purpose? Sorry, your blog cannot share posts by email.

Post was not sent – check your email addresses! In the Jewish and Christian traditions, thee Jubilee is a special year marked by a forgiveness of sins, remission of debts and a universal pardon.


MoneyWeek Magazine, January 6 th Is the debt crisis going to become the battleground for another form of class war between debtors and creditors, between those suffering from the servitude of debt and those who profit from it? Chief among them is the Australian economist Steve Keen.

Leviticus 25 contains most of the instructions on property rights and debt, as given by God. Otherwise ,ooming servitude will come to a violent denouement. European sovereign debt — everybody owes everybody, so what might happen if everybody agrees to write-off what they owe each other?

A debt Jubilee is in this sense a recognition that economic life must be socially rooted if it is to be sustainable: If the bond market perceived that the US was clearly committed to a balanced budget, rates would loominh low, the dollar would be stronger, and we thgeat steam away from the debt black hole. The Depression wiped out not just wealth but also debt. You are commenting using your Facebook account. The UK would be left with by far the largest debt.


How do you reconcile the competing forces of insufficient growth and too much debt? So why not now? Fill in your details below or click an icon to log in: To maintain social order and political stability — and, ultimately, protect the long-term sustainability of economic life and commerce — by preventing credit systems from degenerating into the enslavement of debtors by their creditors.

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