So what do you propose? We sit back and do nothing?

srid68 · on March 17, 2013

They could have made the bank bond holders (rich foreign banks) take losses without affecting the normal depositors.

How can you think getting a bigger loan to pay current loan is a good strategy. It will work only if the economy improves. If the economy tanks, it is not going to work. It is only going to increase the losses for the lenders ultimately.

seanmcdirmid · on March 17, 2013

There were no foreign rich bond holders to punish. Cyprus took more money in then it could possibly ever use (as haven like Iceland), and then bought Greek bonds with it. The only creditors here are depositors. So...

wintersFright · on March 17, 2013

the lenders are - ultimately - the depositors.

omgyeah · on March 17, 2013

I don't think that an actual once-and-for-all solution does exist.

People much greater than my humble me couldn't provide a non-temporary solution.

And I must admit that I don't carry the most temperate mind around.

At theoretical level, the only solution that is intriguing me for many years now is a society's hard reset via global bank run.

Rebuild everything from the ashes and maybe learn from the past mistakes this time.

Replace money with something else. Maybe something of non-long-term-accumulative nature.

But also, on the same time, find a fair way to compensate for the fruits of one's excessive labor.

Not the smoothest thing to do.

The inconvenience of millions will be the salvation of billions. Fair or not?

The real problem is that human's greed-driven ingenuity will abuse, overcome and nullify every kind of systemic fairness.

We live in an infinite loop of imbalance.

Unless the next asteroid is big enough and hits the target before we set our GPS navigators to the deep space :)