Spain Downgraded to One Level Above Junk by S&P on Risks

[sailingaway]

http://www.bloomberg.com/news/2012-1...-on-risks.html

on the other hand, Iceland had a happy outcome...

[DamianTV]

Iceland partially held the Banksters responsible for their crash responsible for their actions, and forgave some of the debt created by those Banksters. That in and of itself should set an example for what the rest of the world needs to do.

One big problem with money. Less money exists than debt does. And those that hold the debt will want to collect on it. If all the money on the planet (fiat, gold backed, you name it, ALL the money) was used to pay off as much of the debt as possible, all the money would be gone, but a huge level of debt would still remain.

Well this ought to be fun to listen to remarks about that last statement...

[DeMintConservative]

Iceland is a tiny little country. It'd be hard to replicate their example. There are important scalability issues. If the Spanish government simply lets the banks go over and tells depositors and creditors to suck up, the consequences would reverberate all over the world.

[paulbot24]

Iceland is a tiny little country. It'd be hard to replicate their example. There are important scalability issues. If the Spanish government simply lets the banks go over and tells depositors and creditors to suck up, the consequences would reverberate all over the world.

True, but it would be fun to watch.

[Pauls' Revere]

http://finance.yahoo.com/news/p-cuts...002023548.html

And a 25% unemployment rate! whoa...

[Pauls' Revere]

Ranked 12th in the world and 4th in the Eu zone.

http://en.wikipedia.org/wiki/Economy_of_Spain

compared with Greece: 32nd in the world and 15th in the EU zone.

http://en.wikipedia.org/wiki/Economy_of_Greece

[puppetmaster]

Let the reverberations begin

[Jumbo Shrimp]

This is crazy, it's not like they're heavily indebted and in a recession!!!

Don't expect them to care tomorrow, it's a public holiday.

[Pauls' Revere]

and this in Britain!

http://news.yahoo.com/british-pm-tel...-business.html

The International Monetary Fund slashed its growth forecasts for Britain on Monday, casting a shadow over the Conservatives' annual conference where Cameron hoped to rally his party and convince voters his economic plans were the only way forward.

"Here's the truth," Cameron told an overflowing hall of Conservatives in the English city of Birmingham. "The damage was worse than we thought, and it's taking longer than we hoped."

"The world economy, especially in the euro zone, has been much weaker than expected in the past two years. When some of our big trading partners like Ireland, Spain and Italy are suffering, they buy less from us. That hurts our growth and makes it harder to pay off our debts."