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Old 01-22-2009, 07:37 PM   #1
NorthernSanctuary
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Default Iceland government on verge of collapse

Iceland's government is on the point of collapse as angry protesters stake out the parliament in Reykjavik. Hint of things to come for other countries?
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http://www.guardian.co.uk/commentisf...lobalrecession

The heat is on

Iceland's government is on the point of collapse as angry protesters stake out the parliament in Reykjavik

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Eirikur Bergmann guardian.co.uk, Wednesday 21 January 2009 18.34 GMT Article history
Protesters gather in Reykjavik as members of parliament gathered for their first session of the new year. Photograph: Halldor Kolbeins/AFP

While Barack Obama was being sworn in to office on Capitol Hill yesterday, the people of Iceland were starting the first revolution in the history of the republic. The word "revolution" might sound a bit of an overstatement, but given the calm temperament that usually prevails in Icelandic politics, the unfolding events represent, at the very least, a revolution in political activism.

Four months after the collapse of Iceland's entire financial system, no one has accepted any responsibility. Our currency has lost more than half its value, rampant inflation has already eaten up most people's savings, property values have dropped by more than a third and unemployment is reaching levels never seen before in the life of our young republic. The fault is clearly shared between the business elite and the government, which failed to regulate the newly privatised financial sector, allowing a few incompetent and egotistical business tycoons to gamble with the nation's fortune. And yet neither the government nor the bankers who, by the way, seem to have disappeared into the cold thin air see anything wrong with their own behaviour.

The governor of the central bank blames the risk-seeking bankers, the bankers blame the government and the prime minister attributes the whole crisis to the international credit crunch. This lack of any sense of responsibility has angered the Icelandic public to the extent that they have turned to the streets in greater numbers than ever before.

It started in October with peaceful demonstrations. Then the frustration grew, first with the lack of any sense of responsibility, then with the lack of any effective action to ease the economic pain most people feel and finally with the sense that all the political elite were incompetent.

Initially the government tried to dismiss the protesters as frustrated wannabe politicians and disillusioned youngsters who did not understand the complexity of the situation. But when our grandmothers put down their knitting gear, strapped their boots on and took to the streets shouting for new elections we all saw that the disgust was almost universal.

Yesterday parliament resumed for the first time after Christmas. Without much organisation or central planning the public surrounded the parliament building and put forward a clear demand for early election. Ignoring them, the ministers and parliamentarians tried to sit out the protest, hiding inside the old building in downtown Reykjavik. This time it didn't work. The protests grew and ordinary people kept warm by burning torches in front of the building. They were going nowhere. Well into this dark night in Iceland's history, parliament remained under siege, and the vigil resumed this morning.

It is the first time in Icelandic history that a young anarchist can well expect to meet his grandmother in the crowd demonstrating against the government and drumming with her kitchen knife on pots and pans. The government is surely hanging by a thin thread and might fall at any moment.

The Icelandic public fear that their country has virtually been stolen by the globetrotting business elite that spent more time rubbing shoulders with international high society than giving back to the society that enabled them to enjoy this privileged lifestyle. Now ordinary Icelanders are determined to take their country back.
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Old 01-22-2009, 07:43 PM   #2
NorthernSanctuary
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Default Re: Iceland government on verge of collapse

In the meantime in the US:

TN Senator Calls On President, Congress To Tell Americans: Our Banking System Is Insolvent
Increase Decrease

January 22, 2009 (LPAC)--Sen. Bob Corker (R-TN), rose to speak on the floor of the Senate this afternoon during Hillary Clinton's confirmation hearings, but on the subject discussed in the morning on the stimulus package. His message was simple: Our banking system is insolvent, and until that is dealt with, no amount of money we put into the system will work. While Corker is a staunch "fiscal conservative" ideologically opposed in general to government action, today he argued the following, as monitored on C-SPAN television: We are putting capital into insolvent banks, he said. They are hoarding the TARP money, because they know their losses coming up are much larger than what they have. They are calling in letters of credit, because they need the money.

We are running out of powder to solve problems. Trillions of dollars of capital will be lost in the credit markets; a zombie banking system is being created.

Large banks, banks which we all respect, are insolvent, and need to be seized. Write-downs must be done. The longer we wait, the further we will be from dealing with the root issue.

That root issue is that much of our banking system is insolvent. Assets must be written down to their real value. We do that with derivatives. We need to do that with mortgages. Mr. President, you did not create this problem. But we must tell our people that their banking system is insolvent, he said.

He noted his agreement with Sen. John Kerry's statements in the morning Finance Committee hearings: Talk to bankers on Wall Street. They know they are insolvent. We have to face it like adults. Face up to the insolvency. Face up to these major losses. We have to do something about that first, before doing things that might be helpful after we do this.

http://www.larouchepac.com/news/2009...our-banki.html
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Old 01-22-2009, 10:55 PM   #3
Steve_A
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Default Re: Iceland government on verge of collapse

Hi NorthernSantuary,

I think the Icelandic problem will be interesting to see where it heads to. I'm not too sure of the benefits of a popular uprising as that would not solve the deep problem. It would just change the players and could even make it worse!

I see other countries with a similar profile to Iceland, like Ireland for example, which came to become the most flourishing country in Europe, until a few months ago. The banking system has almost but gone, as the Irish government bought up bad debt from English banks if the account holders swapped their accounts over to an Irish bank. Big mistake.

Spain seems to be starting to go down the pan also, with its' bonds being treated as junk.

Let's look and learn.

I'm a long way off, knowing that eventually the problem will spread to here - bank shares are falling - as the banks over here like Unibanco charge a lot for their services and interest rates for loans are the most expensive in the world. If there are fewer loans that would cut a humongous chunk out of their profits and they will have to do two things:

Increase banking charges and reduce costs. They have already reduced costs by merging with Ita and made a species of automatic unpersonal banking (looks a little like a social security office!) so they will be hard pushed to reduce even further costs. If they increase banking charges too much, people would stop banking with them.

They will have to take it on the chin and try to weather the storm.

Although the problem isn't as bad as it is in the US or Iceland, for sure the problem will make a serious dent in the local economy.

Best regards,

Steve


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Originally Posted by NorthernSantuary View Post
Iceland's government is on the point of collapse as angry protesters stake out the parliament in Reykjavik. Hint of things to come for other countries?
Quote


http://www.guardian.co.uk/commentisf...lobalrecession

The heat is on

Iceland's government is on the point of collapse as angry protesters stake out the parliament in Reykjavik
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Old 01-23-2009, 12:53 AM   #4
no caste
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I heard a radio call in show (Cross Country Checkup, CBC, about 2 weeks ago). One caller of Icelandic background said that the UK government was pointing finders at Icelanders, i.e. a "terrorist" accusation. She was in disbelief by the absurdity. I followed it up, but don't know much about international banking/ finance to get the full scope.

**************************

Icelandic anger at UK terror move
Page last updated at 11:54 GMT, Friday, 24 October 2008 12:54 UK
http://news.bbc.co.uk/1/hi/uk_politics/7688560.stm

Thousands of Icelanders are sending a message to Gordon Brown that they are not terrorists after the UK used terror laws to freeze their assets. An online petition was launched this week following the UK government's attempt to protect British savings in Iceland's failed Landsbanki. The petition has been signed by about 40,000 people and shows Icelanders with signs saying they are not terrorists.

The Treasury said Iceland was in no way considered to be a terrorist regime.

Implied slur

Signatories to the petition have uploaded wry photographs of themselves in an attempt to show the absurdity of categorising an Icelandic bank as a terrorist organisation.

The photographs show ordinary Icelanders - including a fisherman, a baby and a man in a Father Christmas costume - holding up hand-written signs stating: "Mr, Brown, we are not terrorists."

But despite the light-hearted tone of their protest, Icelanders are furious by what they see as the high-handed actions of the UK government, its implied slur on their national character and the dire consequences for the Icelandic economy.

One of the founders of the site is Magnus Arni Skulason, an economist from Reykjavik.

He told BBC news: "Our message to the British government is that we think they unjustifiably used the anti-terrorist legislation against Iceland.

"I was quite shocked when I saw it in the Financial Times that anti-terror laws were being used against Iceland, because we are the only EU nation in that group. We are in good company - with Al Qaeda."

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Old 01-23-2009, 01:49 AM   #5
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Default Re: Iceland government on verge of collapse

NorthernSanctuary - This may also be of interest to you. I'm bearing in mind Steve_A's comment. I, too, have no liking for dogs, batons, EM crowd dispersal 'guns' that make people puke/shut up/walk away, arrests, civil instability and other bad results for angry folks.

It's an Alberta Fascinating Factoid. I live not far from the homestead of Iceland's most revered poets. Perhaps it can speak to the mind of peace, in some way. I've meant to, but haven't yet, read the books (though I've been to the homestead & enjoyed fresh-baked cookies!). Myself, I have always found it a miracle that such an esteemed soul/poet/pioneer was here. Maybe answers to difficult social questions are in his work.

Stephansson, Stephan Gumunsson

(stfn gthmnths-sn stfns-sn) (KEY) , 1853–1927, Icelandic novelist and poet. In 1873, Stephansson emigrated to the United States, then Canada, where he farmed for a living and wrote prolifically. His collected poems were published in five volumes, including Kolbeinslag [lay of Kolbein] (1914) and Vgsli [on the warpath] (1920). The novel series Brf og ritgerir (4 vol., 1938–48) reflects his concern for injustice and his liberal political philosophy. Stephansson is noted for his superb use of the Icelandic language.



More info: http://culture.alberta.ca/museums/hi...e/default.aspx
PS This Alberta government website is incorrect; the homestead is not in the 'Rocky Mountains.' It's near Markerville, between Calgary and Edmonton, in farm country, though the Rockies are within view on clear days (100+ miles away).

Last edited by no caste; 01-23-2009 at 02:04 AM.
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Old 01-23-2009, 02:41 AM   #6
NorthernSanctuary
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Default Re: Iceland government on verge of collapse

Hi Steve, no caste,

Thanks for your comments. Iceland was a relatively advanced country to fall apart economically. I can see Ireland fitting that model; they only recently became quite affluent before the crash. For sure it's hard to see how it will affect other countries. I believe Brazil, other SA countries have been trying to be more independent of outside influence, so not sure how it will be impacted. Same for Canada, the feeling here is that we will fair better than most. Iceland looks like the leading edge of this collapse, so as you say, the rest can learn from the experience.

/Wayne
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Old 01-23-2009, 03:28 AM   #7
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Default Re: Iceland government on verge of collapse

I hope the world is learning a lesson regarding the consequences of irresponsibility and high levels of debt. If our world could just stay out of debt and war...and make RESPONSIBILITY it's modus operandi...we would be so close to achieving the saving of planet earth. The City of London might have a problem with this paradigm. Look...I'm not against rich and powerful people...just irresponsible people...regardless of whether they are rich or poor. Good-luck Iceland! The banksters and the grays are the terrorists.

Last edited by orthodoxymoron; 01-23-2009 at 03:32 AM.
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Old 01-23-2009, 04:09 AM   #8
IndigoChild1986
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Exclamation Re: Iceland government on verge of collapse

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Originally Posted by orthodoxymoron View Post
I hope the world is learning a lesson regarding the consequences of irresponsibility and high levels of debt. If our world could just stay out of debt and war...and make RESPONSIBILITY it's modus operandi...we would be so close to achieving the saving of planet earth. The City of London might have a problem with this paradigm. Look...I'm not against rich and powerful people...just irresponsible people...regardless of whether they are rich or poor. Good-luck Iceland! The banksters and the grays are the terrorists.
I agree with this, but what about AMERO? its being produced in large numbers right now, I feel that is very soon we going to see AMERO officially introduced maybe even by end of summer this year
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Old 01-23-2009, 04:10 AM   #9
giovonni
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Default Re: Iceland government on verge of collapse

As> Iceland goes> so goes the world??

Well, it is small enough> to serve as a test tube for the NWO,

as to> what to expect, and how maybe to proceed?
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Old 01-23-2009, 10:57 PM   #10
NorthernSanctuary
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Default Re: Iceland government on verge of collapse

While the British government attempts 2nd bank bailout:

"Privately, something close to desperation is starting to develop inside government. After watching the slide in bank shares on Friday, one cabinet minister did not altogether joke when he said: "The banks are ****ed, we're ****ed, the country's ****ed."




http://www.guardian.co.uk/politics/2...conomy-banking
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Old 01-23-2009, 11:28 PM   #11
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Default Icelandic government becomes first to be brought down by the credit crunch

Icelandic government becomes first to be brought down by the credit crunch

By Graham Smith
Last updated at 3:10 PM on 23rd January 2009



Quit: Iceland's Prime Minister Geir Haarde called a general election for May. He also revealed he has cancer and will not be standing for re-election
The government of Iceland today became the first to be effectively brought down by the credit crunch.

After several nights of rioting over the financial crisis, Prime Minister Geir Haarde, surrendered to increasing pressure and called a general election for May.

A poll would not normally be held until 2011.

Haarde also revealed that he had been diagnosed with a malignant tumour of the oesophagus and would not seek re-election.

'I have decided not to seek re-election as leader of the Independence Party at its upcoming national congress,' he told a news conference.

The global financial crisis hit Iceland, which has a population 320,000, in October, triggering a collapse in its currency and financial system under the weight of billions of dollars of foreign debts incurred by its banks

The economy is set to shrink 10 percent this year and unemployment is surging.

Critics wanted Haarde, the central bank governor and other senior officials to resign.


Some senior figures in his party have also said they favour an early election, but Haarde had up to now vowed to defy plunging popularity and stay on.


Protests had been held weekly since the crisis broke last year, but since Tuesday have been held every night.


On Thursday, police used teargas on demonstrators for the first time since protests against the North Atlantic island's entry into the NATO alliance in 1949.

Special forces had to rescue Haarde from his car after he was surrounded by an furious mob hurling eggs and cans outside the government offices, in Reykjavik.

Enlarge

Protesters clash with police in Reykjavik during a demonstration against the Icelandic government's handling of the country's financial crisis


Riot police huddle together as projectiles are thrown at the Parliament building behind them in downtown Reykjavik


The seething crowd spattered the building with paint and yoghurt, yelling and banging pans, hurling fireworks and flares at the windows and even lighting a fire in front of the main doors.



'There were a couple of hundred (protesters) when they had to use the gas,' police spokesman Gunnar Sigurdsson said. 'It went on for two hours or so. There were no arrests. Some injuries, but not serious.'

Latvia, Bulgaria and other European countries hit hard by the global economic meltdown have also seen unrest.
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Old 01-23-2009, 11:46 PM   #12
orthodoxymoron
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Default Re: Iceland government on verge of collapse

If the Amero was issued by a non-private central bank...and based upon something more valuable than thin air...with 0% interest...it might be a great idea! I like the idea of a united North America based upon the U.S. Constitution...with the various regions of Mexico and Canada being added as additional states. This would need to include a Declaration of Independence from the City States and the Alien Nation. I would love to see a truly free North America. No reptillian, gray, demonic, foreign, secret, or elite control. This would not be American rule. The people would rule themselves with Constitutional Responsible Freedom. Power to All the People. Wouldn't this just kick the NWO where it counts? Who knows? It might be contagious...

Last edited by orthodoxymoron; 01-24-2009 at 01:16 AM.
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Old 01-24-2009, 12:59 AM   #13
Jonathon
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Default Re: Iceland government on verge of collapse

Quote:
Originally Posted by giovonni View Post
As> Iceland goes> so goes the world??

Well, it is small enough> to serve as a test tube for the NWO,

as to> what to expect, and how maybe to proceed?
I tend to agree. The Iceland situation has a very "controlled experiment" feel. It's isolated and, I would guess, has a fairly predictable populace. Following that logic, the next collapse will be a slightly more volatile (less isolated and less predictable) but equally controlled and monitored experiment. Practice makes perfect after all.
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