08 Jan, 2015 by Dave Hodges
In life, how many times have we seen that two similar men face a set of similar circumstances only to witness two entirely different outcomes? One man meets the challenges, grows stronger and more successful as a result. The other man ignores the crisis at first, hoping that it will go away. When the denials breakdown, the second man feels overwhelmed and succumbs to the problem and his life is subsequently ripped apart.
Nations are like people, they have a character, a personality and a persona. They either have resilience and can bounce back from adversity, or they do not. They either have courage or they cower in the corner because they are weak and timid in the face of danger. And like with the two men, when countries face the same challenges, one country may thrive and the other country takes a dive.
When we look at how two countries, Iceland and the United States, responded to economic Armageddon in 2008, one country was head and shoulders above the other in terms of displaying a spirit of resilience.
The 2008 World’s Economic Meltdown Began In Iceland
America is once again ready to enter into the economic disaster zone in a much more significant manner than we did in 2008. Iceland has already been there and their journey was inspired and controlled by Goldman Sachs and fellow Wall Street banksters. Iceland’s journey down the path to economic Armageddon actually began in the late 1990s and early 2000’s, when Iceland’s Prime Minister David Oddsson, began to do the bidding of Wall Street bankers and instituted a set of Reagan-style policies and privatization. According to author, Roger Boyes, as he documented the world’s descent into economic tyranny in his former best-selling book, Meltdown Iceland, Boyes stated that “the fix was in”and Wall Street began to financially obliterate Iceland after plundering its hard assets.
Under the globalists from Wall Street, the Iceland’s banking sector grew rapidly, propelled by borrowed money. Icelanders could access credit easily in just the same manner as pre-2008 crash America. Iceland had its own devastating housing bubble as housing prices escalated exponentially and consumption skyrocketed. In order to attract international currency investments, Iceland raised its interest rates to 15% and the same devastating consequences which befell America was visited upon Iceland. In 2003-2004, prices on the Iceland stock market increased 900% before crashing.America, are you nervous yet?
Iceland’s bubble was no different than any other economic bubble. By 2006, what I call the heroin effect kicked in and the average Icelander was 300% wealthier than in 2003, but hopelessly in debt. Iceland was experiencing a 1929 pre-crash America as well as the symptoms of our impending crash in 2013. The citizens were seduced by easy money and acted as if they were addicted heroin. Meanwhile, the government, banking and corporate debt grew out of control until the time to pay up finally arrived.
By 2008 Iceland’s banks collapsed, it was time for Icelanders to pay for their extravagant ways and 50,000 of its people’s savings were wiped out (that represents one in three adults in Iceland lost their bank accounts). Keep in mind that Iceland only has a population of 300,000. If those same numbers were to be visited upon America, we would be looking 50 million Americans having their savings wiped out. Let me ask the same question that I always ask at this point. Do you now understand why DHS has purchased 2.2 billion rounds of ammunition to go with 2700 armored personnel carriers?
The problem for Icelanders became far worse as by 2009, 25% of homeowners went into mortgage default. Please allow me to ask another rhetorical question, do you now see why the Federal Reserve spent two years buying $40 billion dollars in mortgage backed securities each and every month beginning in September of 2012?
People of America, can you spell f-e-u-d-a-l-i-s-m?
Peter is a Real Estate Broker at Professional Brokers Group (License No. 023000), covering the greater Short Sale area of Colorado.
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Peter Janisch specializes in short sales in Short Sale Realtor. I am your Short Sale Realtor Short Sale Specialist Realtor and Short Sale Realtor loan modification and distressed property expert. This article and content is for general informational purposes and may not be accurate. This should not be taken as legal advice, technical or tax advice under any circumstance. Seek legal advise and representation in all legal matters.