Ritchie saves the day!

20) That will do for now – I have no doubt refinement will be needed over the next few days though.

Quite possibly.

I do agree with one point though:

5) Long term banking reform will be essential: never again must we let this scenario recur. The intent to do this must be announced and planning for it – much broader based planning than that done to date, must begin. The important thing about that is to make clear we’re not going to put Humpty Dumpty back on the wall again: this time all the King’s horses and all the king’s men are going to do something more constructive with their time and cash than restore something that’s broken to its perch.

Quite.

Now, given that the actual problem is that governments have borrowed excessively large amounts of money, those bonds are now falling in value making the banks (possibly) bust, entirely agreed that we need long term banking reform.

The two most obvious of which are to ban governments from borrowing so much money and the second, banning the banks owning any government debt.

Fiscal continence: since it\’s about the only thing we\’ve not tried so far might be worth a run, eh?

2 thoughts on “Ritchie saves the day!”

  1. Well, I tried a search on “fiscal continence” in Wikipedia. That did not work, but it offered “fecal conference” as my possible intended search. I was touched, as there are obviously quite a few of those, especially in political circles. However, when I took the option of searching for that, it denied me any satisfaction, just offering a further transfer to “fecal incontinence” (on which I am already sufficiently informed).

    Anyway, I’d like to offer a protection against fiscal incontinence, at least of the governmental sort: that government may borrow only from its electorate, each in their capacity of private citizen. That will sort them!

    Best regards

  2. As the Govt, already removes spare wealth from it’s electorate at an astonishing rate, such a reform would be unable to raise any serious amout – which may be the point ofnigel’s suggestion.

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