Saturday, 5 November 2011

The necessity of bailouts

From a recent BBC News article:

Germany's banks have a heavy exposure to debt from Greece, Europe's biggest headache.

This means in the event of a Greek default, Germany would probably have to bail out its own banks.

It would seem that as far as the BBC is concerned, there's nothing more natural than taxpayers being forced to pay for the bad decisions of bankers. If the banks want a bailout, they'll get one.

It's a warped view, especially considering how much time they spend banker bashing.

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