The Wheels Continue To Fall Off Of Global Finance - Greek Austerity Drives Massive Protests
One has to remember that Greece is a tiny nation to appreciate the scale of these protests. They are enormous. It would be comparable to millions of people protesting in Washington.
It’s just hilarious to see the bureaucrats in the many European statist organizations continually giving commentary about what will or will not be tolerated in Greece. None of them have any legal rights over the sovereignty of the Greek people. It’s all noise of self-interested bureaucrats. The people of Greece will decide their own future whether that is visible today or not.
It’s important to consider a distinct possibility of how this all will eventually play out. As globalization implodes, we could see the system of global finance collapse like dominos. One malicious external debt default could lead to another and another as countries around the world default on their foreign debts. If you are going to default on debts owed to me, then why should I be obliged to pay my debts owed to someone else? Essentially, we already see this in many countries where it is happening on a smaller scale. Individual bankruptcies in the U.S., people walking away from their homes and businesses, etc. Why is it really any different on a global scale between countries? By the way, there is precedence for this so it’s surely not far fetched.
These dynamics would see a return to where, for many years, we have said economics is returning. That is, globalization will be replaced by localization. That means global finance will be replaced by local finance investing in local economies. Remember, we have remarked since well before the 2008 collapse that this dynamic of unwinding is coming not only to banks but to corporations, countries and individuals. And for all of those clowns who said we live in a new global economy and we aren’t going back to local politics or local economics, well, watch and learn. Too big to fail is not just a Wall Street phenomenon. Remember, we have said this cycle is the end of big.
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