then again these banks owe more money than the government can cover.
Cyprus is a small country, something like a half million. When I was
in Nicosia it felt more like a small town than a nation's capital.
(actually given the hostility between the Greeks and Turks in places
Nicosia felt like a war zone). Since reunification the nation's
economy really exploded with foreign investment. Then the local banks
decided to be a tax haven and invested heavily in Greek bonds etc.

Real dumb. I hope they're able to resolve this. Its too darned nice of
a country - it should end up being a tourist magnet given the beaches
and history. The bars and restaurants are pretty good. I just did a
google map of Nicosia and the taverna I used to hang out in is still
there.

larry

On Fri, Mar 22, 2013 at 11:14 AM, Cameron Childress <[email protected]> wrote:
>
> On Thu, Mar 21, 2013 at 10:00 PM, Jerry Barnes <[email protected]> wrote:
>
>> Cyprus is embarking on emergency efforts to restructure its second largest
>> bank and considering new rules to stop money flooding out of the country's
>> banks when they reopen next week after being shut for ten days.
>
>
> There is really very little they can do at this point to change this in the
> short term. People are going to take their money out of the Cyprus banks at
> the first opportunity. Eventually that will reverse, but they just made
> their situation a whole lot worse by simply entertaining the idea of
> seizing savings accounts.
>
> I am baffled at what other possible outcome they thought this action would
> have? I haven't been following the situation super closely, but I really
> can't see how that conversation could have gone with any sane people in the
> room. Even a "robber barron banker" wouldn't shoot themselves in the foot
> by making such an obvious and overt play for money.
>
> Perhaps this is a case of creating intentional backlash against Ridiculous
> Choice A, so that when Ridiculous Choice B is announced, it's more
> acceptable. Prepping the masses for a false choice?
>
> -Cameron
>
> ...
>
>
> 

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