Iceland: protests on the streets

[PeterCH]

Forerunner for things to come in the rest of Europe?

Icelanders protest over financial crisis
November 16, 2008 - 5:44AM

Around 6,000 Icelanders protested over the financial crisis by throwing eggs, tomatoes and toilet paper during a demonstration at the country's parliament, police reported.

The number of people to show up for one protest was unusual for Iceland, which has a total population of 320,000.

Speakers at the demonstration on Saturday called for the resignation of Prime Minister Geir Haarde and for early elections.

Iceland stands at the brink of bankruptcy after the country's three largest banks collapsed in the fallout from the world financial crisis.

The country's citizens now have to deal with an inflation rate of 15 per cent, a prime interest rate of 18 per cent and drastically increased unemployment.

The trigger for the crisis was years of aggressive international expansion by domestic banks using risky credit.

State finances have only been guaranteed through aid from abroad, including assistance from the International Monetary Fund.

http://news.smh.com.au/world/icelanders-protest-over-financial-crisis-20081116-67so.html

 

[aadil-old]

poor guys

 

[Phenom]

how bad is it really?

our inflation here is around 18% right now

 

[scatlett]

our inflation rate is around 13%.

 

[gboy]

We actually have no Idea, how bad it is. Company in the US are lying off hundreds of workers, Speaking to family over there, people are relay badly off.

 

[Phenom]

our inflation rate is around 13%.

Yes, true, but that's only one measure.16% PPI (May eventually pressure CPI up aswell) Was 19.1 reading in August
http://www.mg.co.za/article/2008-09-25-august-ppi-figure-lower-than-expected

 

[scatlett]

sure, but with the petrol price easing (and a projected decrease of R1.30 next month) we should have an easing of CPI. No-one has a crystal ball though...

 

[boramk]

All estimated inflation is always x2.

Si if one says 13% we can safely assume its hovering at 26%

 

[boramk]

how bad is it really?

Iceland's debt is x3 their entire GDP.

 

[Phenom]

*gulp*

WTF they do?

their income is higher than their expenditure, how did it come to that total?

 

[koffiejunkie]

our inflation rate is around 13%.

Lies, damn lies and statistics I was away for about 10 months, during which the prices of everything I spent money on during my visit (food, transport, day-to-day stuff) rose around 30%

BTW, I wonder if, given their financial turmoil, Iceland is good to visit right now?

 

[boramk]

*gulp*

WTF they do?

their income is higher than their expenditure, how did it come to that total?

They borrowed heavily, one of the banks they might have borrowed from was Lehman's.

 

[PeterCH]

They borrowed heavily, one of the banks they might have borrowed from was Lehman's.

Their chief economy was fishing. Yet, they borrowed heavily to drive their consumer spending. There was also a lot of currency carry trade going on, with interest rates in Iceland being over 10% (ie very high). Most of the money was from European banks incl UK not Lehman. Iceland is a pure European problem, like the banking crisis all over Europe and the housing bubble which has burst in places like Spain and UK.

 

[JimM]

.....financial crisis by throwing eggs, tomatoes and toilet paper during a demonstration....

Wot? No fish? Couldn't have been that upset then!

 

[Tassidar]

.....financial crisis by throwing eggs, tomatoes and toilet paper during a demonstration....

Wot? No fish? Couldn't have been that upset then!

Or chairs. They could take lessons from the ANC.

 

[Alan]

.....financial crisis by throwing eggs, tomatoes and toilet paper during a demonstration....

Wot? No fish? Couldn't have been that upset then!

Well said

 

[Deenem]

All estimated inflation is always x2.

Si if one says 13% we can safely assume its hovering at 26%

Word of advice:

When you pull things out of your ass and present them as 'facts', people are usually quite quick to notice how much they stink.

 

[boramk]

Word of advice:

When you pull things out of your ass and present them as 'facts', people are usually quite quick to notice how much they stink.

Cause your the world's greatest economist?
Inflation is ALWAYS usually double what the government says, and if you really think our inflation is only 13%, open your ****ing eyes, or does your mummy do the grocery shopping for you?