Kicking The Can, Postponing The Reckoning

The various schemes for the European Financial Stability Facility are little more than a shell game to kick the debt can further down the road. How will shuffling the bad debt of broke countries from broke banks into a leveraged “special purpose vehicle” ultimately backed by the taxpayers of broke and nearly broke countries solve anything in the longer term?

All it may do is postpone the reckoning and insure an even bigger bust later.

Charles Biderman