21st Century Warfare
Over on David Malone’s Debt Generation blog, there is another guest post of mine, based on a blog here from a few weeks back:
The blog highlights how it takes two to tango in the lending / borrowing relationship. But if the borrowing was excessive, why should only the borrower take the responsibility?
Unlike corporate and personal bankruptcy (where the lending party gets partially burned for its failure of diligence), austerity & inflation merely ensure the protection of debt contracts by any means necessary. Not only that, but innocent bystanders are taking the hit, not the guilty.
Even Mervyn King agrees with me on this:
It is 21st Century asymmetric warfare. Otherwise known as: Crime and Collective Punishment.