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drbubb

Did Iceland really forgive "all the mortgage debt" ?

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+ He recognised that money provides a measure of property values, but that property also provides a measure of what money is worth. So what he did was go back to a point in time when Property and Debt were in reasonable balance, and fix the repayment at that relationship. This meant that where a borrower had a loan outstanding which was 90% of the property's value at that time, the lender woiuld get 90% of the value at the later time, not 100% or 110% of the property's value. He was decreeing the writedown of SOME percentage of the debts, but not all the debts. Likewise. if a borrower had a loan which was 50% of the property's value, he would retain a 50% equity stake in the property.

 

In the UK property values mean that money (and labour) is worth practically nothing. What good is messing about with 100% or 110% of a property value when they have trebled in price?

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In the UK property values mean that money (and labour) is worth practically nothing. What good is messing about with 100% or 110% of a property value when they have trebled in price?

The lower rates have certainly helped values to rise.

 

People have reacted to a "false signal" thanks to Gordon Brown, and Mervyn King's decisions

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More Icelandic bankers arrested

 

Iceland’s special prosecutor into the banking crisis has confirmed that raids have taken place today and that arrests have been made. The Central Bank of Iceland is among the institutions under investigation.

 

Special Prosecutor, Olafur Thor Hauksson told Visir.is that house searches are taking place in at least three places today as part of investigations into the central bank, MP Bank and Straumur Bank.

 

Stefan Johann Stefansson at the central bank confirmed that agents were in the building conducting searches; and it has also been confirmed that searches are underway at MP Bank and ALMC (formerly Straumur).

 

Read more: http://www.icenews.is/index.php/2011/01/20/more-icelandic-bankers-arrested/#ixzz1yhGBcEVS

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The situation has improved in Iceland.

 

But it is nowhere as "rosy" as some have said.

 

birgitta_jonsdottir_mix.jpg

Birgitta Jonsdottir - Financial & Political Update from Iceland

PODCAST: http://rediceradio.net/radio/2012/RIR-120722-bjonsdottir-low.mp3

 

+ Youth unemployment remains near record levels - as jobs are scarce.

+ Many Icelanders still owe too much money.

+ Restrictions on bank withdrawals abd travel, preserve precious foreign exchange.

But we may just be seeing a "calm before the storm"

=== ===

 

Birgitta Jonsdottir is a member of the Althing, the Icelandic parliament. Her district is the Reykjavík South Constituency. She was elected to the Icelandic parliament in April 2009 on behalf of a movement aiming for democratic reform beyond party politics of left and right, called "The Movement." Birgitta is a poet and has been an activist and a spokesperson for various groups, such as Wikileaks and Saving Iceland

 

/link: http://www.redicecreations.com/radio/2012/07/RIR-120722.php

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Iceland gets tough (on foreign creditors of its banks):

 

 

"Greece unfortunately is locked into the Euro."

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