Step 1. Ireland guarantees all deposits in major banks.
Step 2. Nervous money flows into Irish banks courtesy of the internet. Grand.
Step 3. Other countries have to do the same or risk a drain on deposits when the banks need them most.
Step 4. Countries now in full competition for nervous money.
And so it begins.
At the conference, Ireland argues that its' need is the greater, being in a deeper property recession than most. Spain supports it.
Germany argues that Ireland should have thought of that before getting involved. It wasn't as if they hadn't been warned etc etc.
Result, lengthy impotent bickering in the style of the League of Nations instead of the decisive co-operation which is needed.
Meanwhile, the class war continues in America. Wall Street is now paying a nice visit to America saying
'This is a nice society you have here. It would cause us much distress to learn that it had been destroyed by an economic depression or whatnot. And when you consider that for a reasonable trillion dollars to our welfare fund, you will have complete peace and mind for yourself and your family. We are sure you will make the responsible decision.It's the American way.
We will be back on friday for our donation. We are not used to disappointment.'