“The Disease Is Incurable”! An Insurmountable Debt Mountain!

• The Illuminist banksters and their politician puppets are not solving the problem. Their true intention is to make things worse. Their plan call for a catastrophic collapse leading to their One World Currency and Global Supra-National Central Bank. Emphasis mine:
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  “The Disease Is Incurable”! 
  by Tyler Durden, www.zerohedge.com
  From Mark Grant, author of Out of the Box
  …. We have left the “can kicking” stage in Europe. It is now behind us and we have entered a whole new paradigm while no one was looking or paying attention. In fact I believe we have entered the final stage of this multi-act play where Europe is running out of money!
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  One of the reasons that Europe is so difficult to assess is the tremendous amount of jargon and hype that comes pouring out from all across the Continent. … So to make sense of it all you have to stop, come to a full halt and give due consideration to the totality of what is happening in Europe.
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  There are several legitimate ways to add up the numbers but basically Europe is in a recession and the combined economies are shrinking so that growth is not a methodology for success. At the same time the ECB has loosened and then loosened again and again the collateral requirements so that it must be said that the ECB, in its own admission, is becoming a riskier proposition. We are given very little data but I think it is safe to assume that the ECB now holds a very large amount of questionable if not worthless securitizations including all kinds of loans and mortgage obligations that are no longer paying that have been placed with them by the Spanish, Portuguese, Greek and Italian banks. They are also holding sovereign debt in large amounts of all of the troubled nations in Europe and just the default of Greece alone will wipe out all of their equity capital so I believe it is quite rational to state that the ECB is in trouble.
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  Next let us consider what has happened during the last two years. Every place you look Europe has tried to solve their problems by adding more and more debt. This is true in the bank sector and it is true in the sovereign sector and the debts are piling up faster than Europe can pay for them which is not just a matter of the return that must be paid to finance them but the aggregate amount of new debt that has been added. Leaving aside contingent liabilities totally and just including Target2 funding, the Stabilization Funds’ loans and the debt at the ECB Greece has $461 billion of obligations that cannot be met. By the end of this year Italy will have added an additional $141 billion worth of new debt which is about 7.05% of their GDP. Spain is about to take on $125 billion in new loans which is approximately 9.3% of their GDP and Europe is verging, in my opinion, on an inability to pay their obligations. One country after another in Europe is rolling over and Germany, France, the Netherlands and a few other smaller nations only have so much capital to go around. I assert, in fact, that Germany given its sovereign debt, its funding of Target2, which continues to expand, and its obligations to the EU, the ECB and the Stabilization Funds is already in an over extended position that is careening out of control for this $3.5 trillion dollar economy. If Germany is the safest of what is available in Europe then not only is there not a clean shirt in the house but there is not one that is not ripped and torn.
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