Bailout Roulette - by Stephen Lendman
Global economies are cratering.
Daily the charade continues as world economies crater. Longtime financial analyst and Progressive Radio News Hour regular Bob Chapman says systematic global risk "lurks around every corner."
The European Systemic Risk Board (ESRB) wants governments to increase bailing out banks close to failure. Taxpayers become lenders of last resort.
When they're their contribution falls short, the IMF becomes the loan shark of last resort. These tactics are Ponzi scheme shenanigans, throwing good money at bad to create more of it.
Europe is weaker "and in more serious trouble than the UK and US." Their problems "have now spread contagiously into Asia, its financial system, and into their economies as exports fall. Europe is one step away from losing control."
It's not a matter of if, but when and how bad. According to Chapman, "Europe is facing another liquidity crisis worse than" Lehman Bros. in 2008. It's fueled by manipulative market machinations, similar to what topped Lehman and Bear Stearns.
In America, a score or more too-big-to-fail banks are troubled. Some are being sued for fraud. Even German banks carry heavy toxic asset burdens. As a result, Europe's crisis is escalating and spreading globally.
Making a bad situation worse, Germany's parliament overwhelmingly approved increasing the European Financial Stability Facility (EFSF) from 400 billion euros to 780 billion, pledging to contribute 253 billion euros.