The Cyprus Bailout is the result of years and years of escalating attacks against taxpayers all across the world. This bailout is in reality a grand theft. The European Union is offering the island nation a supposed 13 billion euro bailout that will come at the cost of having bank accounts taxed 9.9%. Small accounts will be taxed 6.7%, while people with larger savings will lose at least 9.9% of your money. This is never happened before. And you can beg your bank account that it will happen again. I think this is a test run for something bigger.
This is why bailouts don’t work.
1. Bailouts are essentially legalized theft. A transfer of wealth from one group (usually taxpayers) to a privilege group (usually bankers).
2. Bailouts prevent failed leaders and ideas from failing. This encourages the group to continue the behavior that led to failure in the first place.
3. Bailouts punish the successful companies and groups by stealing from them and destroying true competition.
So for all of you Americans who shrug your shoulders at this disaster, don’t forget that TARP didn’t solve any of your problems. it only made things worse.
Don’t think it can’t happen here.
Trader Jim Sinclair told King World News that the Cyprus disaster is much worse than what the media is presenting.
“If people believe that $13 billion is the total of this bailout, they are out of their minds. $130 billion is not the true total of even the Russian deposits in Cyprus banks. One important Russian businessman, in his various business enterprises, would have $100 billion on deposit himself. 10% of all deposits in Cypress could be $500 billion or more because Cyprus is the banking entity for Russia, not Switzerland or Grand Cayman.
If this is true, how in the hell can the Russians let the EU steal their money? This is going to get ugly.