![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Monday, June 11, 2012 12:42:46 PM
I suspect Americans will walk in the same footsteps as Europeans, and possibly sooner than anyone imagines. That's the nature of financial crises: they tend to sneak up on you when you least expect. Unfortunately, how we handle our own version of this sovereign debt crisis will probably look a lot like how Europe is handling their crisis now.
And over the weekend, as you may know, the Euro zone finance team of wizards agreed to lend heavily indebted Spaniards up to 100 billion euros (around 125 billion dollars).
Just take a minute and think about that... in order to solve Spain's debt problems... Spain borrowed even MORE money.
On the face of it, purely by knowing what we all know about debt and how to get out of debt it's clear that 100 billion euros will not be enough. We also know that you can't borrow your way out of debt. I'm not being glib here - it's no secret that debt is a lousy cure for an already insurmountable debt. We also know that all this will really do is prolong the situation --- in the hope that somehow everything will work out okay.
Perhaps even more shocking... Spain is STILL RUNNING DEFICITS, even while we speak.
This year, even with huge amounts of "austerity," Spain's leaders expect to add 6% of GDP to their deficit, and are now willing to borrow even more money to keep this pace up.
Faced with the choice between true austerity and more debt - Spain chose more debt. I expect that American leadership will have to make similar choices as well. And I firmly believe American leaders will make the same choices as Spain's leaders.
Of course, since no one actually has any money to lend any more, I suspect (I am even willing to bet) that these so called leaders will print paper money backed by only the word of the government.
Kgem
Recent GMGI News
- Golden Matrix Group Introduces Version 2.0 of Its AI-Powered Casino Game Recommender • GlobeNewswire Inc. • 09/04/2024 12:00:00 PM
- Form DEFR14A - Revised definitive proxy soliciting materials • Edgar (US Regulatory) • 08/30/2024 08:15:28 PM
- Form S-3 - Registration statement under Securities Act of 1933 • Edgar (US Regulatory) • 08/29/2024 08:15:47 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/29/2024 12:39:59 AM
- Golden Matrix Group Provides Update on Entering U.S. Market and Expansion Into Additional European Markets • GlobeNewswire Inc. • 08/28/2024 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/27/2024 12:00:13 PM
- Form ARS - Annual Report to Security Holders • Edgar (US Regulatory) • 08/26/2024 09:09:17 PM
- Golden Matrix Group Subsidiary Meridianbet Shortlisted for Exclusive Sports Betting and iGaming License in Brazil • GlobeNewswire Inc. • 08/26/2024 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/20/2024 01:00:39 PM
- Golden Matrix Announces Participation in Benzinga All-Access Interview • GlobeNewswire Inc. • 08/20/2024 01:00:00 PM
- Golden Matrix Enters Into Definitive Agreement to Acquire a Controlling Interest in Australian-Based Classics for a Cause • GlobeNewswire Inc. • 08/20/2024 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/13/2024 12:30:31 PM
- Golden Matrix Group Announces Strong Second Quarter Financial Results • GlobeNewswire Inc. • 08/13/2024 12:00:00 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/13/2024 11:00:53 AM
- Golden Matrix Group to Announce Second Quarter Financial Results on August 13th • GlobeNewswire Inc. • 08/08/2024 12:00:00 PM
- Meridianbet (GMGI) Goes for Gold With Over 1 Million Betting Options for 2024 Paris Olympics • GlobeNewswire Inc. • 07/26/2024 12:00:00 PM
- Golden Matrix Group Launches AI-Powered Online Casino Game Recommender To Enhance User Gaming Experience • GlobeNewswire Inc. • 07/19/2024 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 07/17/2024 01:25:28 PM
- Golden Matrix Group, Inc. Announces Authorization of Stock Repurchase Program • GlobeNewswire Inc. • 07/17/2024 01:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 07/09/2024 01:30:23 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 06/20/2024 01:25:25 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 06/18/2024 01:30:42 PM
FEATURED Element79 Gold Corp. Announces Sale of 100% Interest in Elder Creek, North Mill Creek, and Elephant Projects to 1472886 B.C. Ltd. • Sep 9, 2024 9:34 AM
North Bay Resources Commences Gold Shipments, Fran Gold Project, British Columbia; Enters Taber Gold Mine JV, Sierra County, California • NBRI • Sep 9, 2024 9:15 AM
Simple Stock Loans Announces Unique Solutions For Investors Looking for Alternative Liquidity Amidst Recent Small Cap Rally Sep 6, 2024 9:30 AM
Reliant Coffee Debuts at #271 on the Inc. 5000 List of Fastest Growing Companies - Coffee Service Industry Disruptor Brews Up Exponential Growth Sep 5, 2024 11:51 AM
VAYK Confirms Receiving Revenue from First Airbnb Property with 1.4 Million Annual Revenue Goal • VAYK • Sep 4, 2024 9:34 AM
Mawson Finland Limited Expands Known Mineralized Zones at Rajapalot: New Lens Intercepts 21.75 m at 5.25 g/t Gold & 515 ppm Cobalt • MFL • Sep 4, 2024 9:02 AM