Daily Archive: 11/30/2011

Nov 30 2011

98%

Rebellion must have an unassailable base, something guarded not merely from attack, but from the fear of it: such a base as the Arab revolt had in the Red Sea ports, the desert, or in the minds of men converted to its creed.

It must have a sophisticated alien enemy, in the form of a disciplined army of occupation too small to fulfill the doctrine of acreage: too few to adjust number to space, in order to dominate the whole area effectively from fortified posts.

It must have a friendly population, not actively friendly, but sympathetic to the point of not betraying rebel movements to the enemy. Rebellions can be made by 2% active in a striking force, and 98% passively sympathetic.

The few active rebels must have the qualities of speed and endurance, ubiquity and independence of arteries of supply. They must have the technical equipment to destroy or paralyze the enemy’s organized communications, for irregular war is fairly Willisen’s definition of strategy, “the study of communication,” in its extreme degree, of attack where the enemy is not.

In 50 words: Granted mobility, security (in the form of denying targets to the enemy), time, and doctrine (the idea to convert every subject to friendliness), victory will rest with the insurgents, for the algebraical factors are in the end decisive, and against them perfections of means and spirit struggle quite in vain.

T.E. Lawrence, Encyclopedia Brittanica, Fourteenth Edition, 1929

(h/t SouthernDragon)

Nov 30 2011

Punting the Pundits

“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Wednesday is Ladies’ Day.

Amy Goodman: Cry, the Beloved Climate

The United Nations’ annual climate summit descended on Durban, South Africa, this week, but not in time to prevent the tragic death of Qodeni Ximba. The 17-year-old was one of 10 people killed in Durban on Sunday, the night before the U.N. conference opened. Torrential rains pummeled the seaside city of 3.5 million. Seven hundred homes were destroyed by the floods.

Ximba was sleeping when the concrete wall next to her collapsed. One woman tried to save a flailing 1-year-old baby whose parents had been crushed by their home. She failed, and the baby died along with both parents. All this, as more than 20,000 politicians, bureaucrats, journalists, scientists and activists made their way to what may be the last chance for the Kyoto Protocol.

Katrina vanden Heuvel: Progressives don’t hate ourselves

Writing in New York magazine, Jonathan Chait joins the chorus of Obama advocates decrying “self-loathing liberals” who criticize the president. Chait writes better than most, but he hews to the common theme that criticism of Obama isn’t justified by reality but instead reflects either political naivete or psychological imbalance. The argument gets it wrong, distorting the politics of the left and the realities of the country. [..]

Arguments like Chait’s are written as if it were 1992 and liberals were disappointed with a New Democratic president about to reap the benefits of the dot-com bubble. This is a very different time. Inequality has reached Gilded Age extremes. The middle class is sinking, and poverty is spreading. Catastrophic climate change is a clear and present danger. President Obama was right.

We need a transformational presidency, able to smash the failed, entrenched and corrupt politics of the center. That standard isn’t some perfectionism perennially demanded by disappointed liberals. It is required by the times. And what this nation desperately needs isn’t partisan unity, but a fierce and growing movement that will challenge not just the wing nuts of the right, but an establishment in both parties that has failed the country.

Obama may have been right but his isn’t the “transformational presidency” that was touted by the Democratic Party.

Jennifer Robinson: ‘Bugsplat’: The Ugly US Drone War in Pakistan

It’s time for the US to re-examine the consequences of its dehumanizing, deadly attacks in Pakistan.

This weekend, Pakistan ordered the closure of the US drone base after a US attack killed 26 Pakistani soldiers near the Afghan border. This news will be welcomed by the people of Waziristan, where communities have borne the brunt of the “collateral damage” of the US covert drone war. But for many, this decision comes too little too late. For too long, authorities ignored the deaths of innocent civilians being “bugsplat” by drones. After a recent trip to Pakistan to investigate the human consequences of the US drone attacks, I had no idea how close I was to come to understanding the horror of it.

In Islamabad I took part in a jirga – the traditional Pashtun forum for public discussion and dispute settlement – where tribal elders and villagers from the Pakistan tribal areas (FATA) came to meet with us to explain their personal experiences of US drone attacks. Sitting just two rows behind me was a 16-year-old boy named Tariq Aziz. Listening to story upon story of the extrajudicial murder of innocent civilians and children, the heartache for loved ones lost and the constant terror instilled by the now familiar roar of drones overhead, I could not have imagined that Tariq and his family would soon suffer the same fate.

Maureen Dowd: My Man Newt

In many ways, Newt is the perfect man.

He knows how to buy good jewelry. He puts his wife ahead of his campaign. He’s so in touch with his feelings that he would rather close the entire federal government than keep his emotions bottled up. He’s confident enough to include a steamy sex scene in a novel. He understands that Paul Revere was warning about the British.

Mitt Romney is a phony with gobs of hair gel. Newt Gingrich is a phony with gobs of historical grandiosity.

The 68-year-old has compared himself to Charles de Gaulle. He has noted nonchalantly: “People like me are what stand between us and Auschwitz.” As speaker, he liked to tell reporters he was a World Historical Transformational Figure.

What does it say about the cuckoo G.O.P. primary that Gingrich is the hot new thing? Still, his moment is now. And therein lies the rub.

Jill Schneidermann: The Keystone XL Pipeline Project: Extremely Unskillful?

As thousands of people circled the White House to make known their objections to the multibillion dollar Keystone XL Project, I was again reminded of a comment by Jack Kornfield: “Ours is a society of denial that conditions us to protect ourselves from any direct difficulty and discomfort. We expend enormous energy denying our insecurity, fighting pain, death, and loss, and hiding from the basic truths of the natural world and of our own nature.”

The dedicated activists who gathered to communicate their views to the President and many others are trying to alert the world’s population to a critical basic truth about the Earth: fossil fuels are an exhaustible resource whose extraction is a perilous and foolhardy enterprise. What’s more, they are trying to wake us up to the fact that in our pursuit of energy sources, greed prevents us from acting skillfully.

Elizabeth A. Stanton: Spotlight Durban: Climate Change Gets Personal

It’s that time of year again.

This week marks the start of the 17th annual United Nations climate change conference, or Conference of Parties (COP). Held this year in Durban, South Africa, COP17 will bring together hundreds of official delegates along with thousands of demonstrators and other unofficial observers. It’s always possible that COP17 will reach an international agreement on a viable climate policy (17th time’s the charm!), but the complete lack of consensus seems likely to derail negotiations.

Climate change impacts each nation differently, and each nation would have very different costs from lowering emissions to safe levels. This diversity of impacts complicates climate policy negotiations and makes it very challenging for rich and poor nations to find common ground. But the broad range of climate impacts expected around the world has another critical effect on negotiations, one that receives very little media coverage or scholarly analysis: there is an enormous range of likely climate impacts not just between countries, but within them.

Leslie Savan: Morning Joe: Newt’s a Flip-Flopper of Romnetic Proportions

Newt Gingrich is riding high right now, surpassing Romney in most polls, and if Herman Cain drops out because allegations of a 13-year-long extramarital affair on top of a bunch of sexual harassment charges are just too much for any fledgling pseudo-candidate, what’s left of the Cain train will probably hitch onto Newt’s caboose. (TPM: “among Cain supporters, Newt Gingrich has clearly been favored over Romney as a second choice.”)

But to Joe Scarborough, who served loyally in then-Speaker Gingrich’s 1994 “Republican Revolution,” Newt is one of those joke candidates, like Cain, who “should not be running for president of the United States.”

The Morning Joe host said Tuesday that he just thinks Gingrich is a flip-flopper of Romnetic proportions. He could barely stop laughing at Newt’s claim in a radio interview that he’s “a lot more conservative than Mitt Romney.”

Nov 30 2011

Less than it seems.

No doubt by now you’ve seen the markets soaring on the basis of the announcements that the Bank of Canada, the Bank of England, the Bank of Japan, the European Central Bank, the Swiss National Bank, and the Federal Reserve are co-ordinating a big liquidity operation.

It’s been hard to sort out reputable (as in not constantly wrong) economic thought on this development, for the most part commentators are shills who’s job is to tease out more ‘sucker’ money for the Ponzi scheme and it’s important to remember that Mr. Market is an ignorant gambler who bets on momentum changes and thinks that because the flip came up heads this time it will always do the same and merely guarantees losses by hedging that bet by putting the same amount on tails.

Felix Salmon has an instructive analysis I’ll attempt to summarize.

This is a liquidity fix, not an insolvency fix.  The problem it’s intended to address is that banks will no longer lend to other banks because they suspect (and rightly so) that the other banks’ assets are pieces of crap.

It does nothing at all to address the fact that those assets are pieces of crap.

It’s also not as co-ordinated as it first appears.  Canada, Japan, and the Fed make no current commitments, they simply agree in principle that something should be done sometime, eventually.

So Mr. Market is desperate for anything that seems like good news and like all the other “solutions” this will provide a momentary selling opportunity.

Nov 30 2011

The Obama Primary Challenge That Is

Salon.com’s news editor, Steve Kornacki, lamented yesterday that “Obama won’t face a credible primary challenge”, going on about how the closest thing to a liberal challenge he has comes from Republican candidate Buddy Roemer.  While it is true that many liberals aren’t seeing any “viable” candidates materialize on the left, Kornacki isn’t telling us why that is: the failure of supposedly liberal pundits to report on candidates who are actually running.

And therein lies the catch-22 bloggers like Kornacki can’t seem to escape from.  They complain about Obama, but they refuse to use the public voice they’ve been given to alter the political landscape.  Pundits influence public opinion simply by reporting on someone or something.  And they pass up opportunity after opportunity to do so when they fail to do their journalistic duty.

Because there is a Democrat trying to get himself on the ballot to challenge Obama from the left in next year’s primaries: Aldous Tyler is seeking the nomination to run for president as a liberal Democrat.  His platform hits all the right notes, including opposition to war, taxation of the wealthy, a sustainable energy policy, cleaning up the environment, and restoring and protecting the safety net, among other positions.  Tyler also favors heavily regulating Wall Street and corporations.

So why aren’t supposedly liberal bloggers and pundits giving Aldous Tyler any coverage?  Kornacki writes that “[t]he depths of liberal despair over his presidency are often overstated“, meaning that bitch as they might about Obama, far too many who claim to be liberal aren’t dissatisfied with his policies enough to want to be rid of him – and having so thoroughly bought into the Big Lie that Republicans are just so much worse than any Democrat no matter what the evidence disproving that notion, they fear that any challenge might weaken Obama to the point that the GOP nominee might manage to cheat his way to victory next year.

But it’s Obama’s fault that he is even in such a precarious political position in the first place.  Having made big promises only to cold-bloodedly refuse to even try to deliver on so much as one of them, and after literally adding insult to injury by dissing his party’s official base, it’s no wonder that his campaign is looking a lot more like Al Gore’s and John Kerry’s lackluster, doomed efforts than, say, Bill Clinton’s 1996 re-election drive.  So coming out of a primary challenged beaten up and vulnerable isn’t exactly a legitimate excuse not to cover challengers, especially ones from the left of the political divide.

Isn’t it time to break the self-imposed media blackout on left-wing challenges to Obama?  If Democrats are truly fed up with him, and are seeking alternatives, it only makes sense for those blessed with public voices, such as Steve Kornacki, Keith Olbermann, Rachel Maddow, or Ed Schultz to use their gifts to report on people like Aldous Tyler.  The media might lament the lack of candidates, but that doesn’t mean they don’t exist.  They only need to be reported on objectively, so voters can render their own decisions.

Nov 30 2011

On this Day In History November 30

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future

Find the past “On This Day in History” here.

November 30 is the 334th day of the year (335th in leap years) in the Gregorian calendar. There are 31 days remaining until the end of the year.

On this day in 1886, the Folies Bergère in Paris introduces an elaborate revue featuring women in sensational costumes. The highly popular “Place aux Jeunes” established the Folies as the premier nightspot in Paris. In the 1890s, the Folies followed the Parisian taste for striptease and quickly gained a reputation for its spectacular nude shows. The theater spared no expense, staging revues that featured as many as 40 sets, 1,000 costumes, and an off-stage crew of some 200 people.

In 1886, the Folies Bergère went under new management, which, on November 30, staged the first revue-style music hall show. The “Place aux Jeunes,” featuring scantily clad chorus girls, was a tremendous success. The Folies women gradually wore less and less as the 20th century approached, and the show’s costumes and sets became more and more outrageous. Among the performers who got their start at the Folies Bergère were Yvette Guilbert, Maurice Chevalier, and Mistinguett. The African American dancer and singer Joséphine Baker made her Folies debut in 1926, lowered from the ceiling in a flower-covered sphere that opened onstage to reveal her wearing a G-string ornamented with bananas.

The Folies Bergère remained a success throughout the 20th century and still can be seen in Paris today, although the theater now features many mainstream concerts and performances. Among other traditions that date back more than a century, the show’s title always contains 13 letters and includes the word “Folie.”

Located at 32 rue Richer in the 9th Arrondissement, it was built as an opera house by the architect Plumeret. It was patterned after the Alhambra music hall in London. The closest métro stations are Cadet and Grands Boulevards.

It opened on 2 May 1869 as the Folies Trévise, with fare including operettas, comic opera, popular songs, and gymnastics. It became the Folies Bergère on 13 September 1872, named after a nearby street, the rue Bergère (the feminine form of “shepherd”).

Édouard Manet‘s 1882 well-known painting A Bar at the Folies-Bergère depicts a bar-girl, one of the demimondaines, standing before a mirror.

The painting is filled with contemporaneous details specific to the Folies-Bergère. The distant pair of green feet in the upper left-hand corner belong to a trapeze artist, who is performing above the restaurant’s patrons.

The beer which is depicted, Bass Pale Ale (noted by the red triangle on the label), would have catered not to the tastes of Parisians, but to those of English tourists, suggesting a British clientèle. Manet has signed his name on the label of the bottle at the bottom left, combining the centuries-old practice of self-promotion in art with something more modern, bordering on the product placement concept of the late twentieth century. One interpretation of the painting has been that far from only being a seller of the wares shown on the counter, the woman is herself one of the wares for sale; conveying undertones of prostitution. The man in the background may be a potential client.

But for all its specificity to time and place, it is worth noting that, should the background of this painting indeed be a reflection in a mirror on the wall behind the bar as suggested by some critics, the woman in the reflection would appear directly behind the image of the woman facing forward. Neither are the bottles reflected accurately or in like quantity for it to be a reflection. These details were criticized in the French press when the painting was shown. The assumption is faulty when one considers that the postures of the two women, however, are quite different and the presence of the man to whom the second woman speaks marks the depth of the subject area. Indeed many critics view the faults in the reflection to be fundamental to the painting as they show a double reality and meaning to the work. One interpretation is that the reflection is an interaction earlier in time that results in the subject’s expression in the painting’s present.

Nov 30 2011

Protect Internet & SOPA Will Break the Internet

What you need to know about the dangers of passing these bills and how it will destroy the Internet.

The video above discusses the Senate version of the PROTECT IP Act, but the House bill that was introduced TODAY is much much worse.

It’ll give the government new powers to block Americans’ access websites that corporations don’t like. The bill would criminalize posting all sorts of standard web content — music playing in the background of videos, footage of people dancing, kids playing video games, and posting video of people playing cover songs.

This legislation will stifle free speech and innovation, and even threaten popular web services like Twitter, YouTube, and Facebook.

America Censorship has a great infographic on how SOPA will block you from the Internet.

Sen. Ron Wyden (D-OR), who is leading the charge to stop the passage of these bills appeared on Countdown with Keith Olbermann to explain how catastrophic to Internet and your rights that these bill are.

Along with Sen. Wyden, Sen. Maria Cantwell (D-WA), Sen. Rand Paul (R-KY) (go figure) and Rep. Nancy Pelosi strongly oppose passage. Sen. Wyden has started a petition and will read the names on the Senate floor should these bills come to the floor for a vote (I have signed). We at The Stars Hollow Gazette and Docudharma urged you to sign Sen. Wyden’s petition (sign petition) and contact your Senators and House Representative telling them to vote against these bill. You can do that here

Congress needs to hear from you, or this bill passes

Nov 30 2011

5,000 Illegal Foreclosures On Military Families: Up Dated

US lenders review military foreclosures

By Shahien Nasiripour in New York

Ten leading US lenders may have unlawfully foreclosed on the mortgages of nearly 5,000 active-duty members of the US military in recent years, according to data released by a federal regulator.

JPMorgan Chase and Bank of America this year reached legal settlements in which they agreed to pay damages to nearly 200 service members who claimed that their homes had been improperly seized.

Data released last week by the Treasury’s Office of the Comptroller of the Currency, which regulates national banks, shows that 10 lenders – including BofA, but not JPMorgan, which was not part of the study – are reviewing nearly 5,000 foreclosures of homes belonging to service members and their families to see if they complied with the law.

Dishonorably Discharged, with Pat Garofalo

Pat Garofalo reported this at Think Progress:

Back in April, JPMorgan Chase, which was not one of the 10 banks that the OCC examined, agreed to a $56 million settlement over allegations that it had overcharged members of the military on their mortgages. Chase Bank has even auctioned off the home of a military member the very day that he returned from Iraq. Two other mortgage servicers agreed in May to settle charges of improperly foreclosing on servicemembers.

Even without the banks illegally foreclosing, military members have been hard hit by the foreclosure crisis. Last year alone, 20,000 members of the military faced foreclosure, a 32 percent increase over 2008. The newly created Consumer Financial Protection Bureau is tasked with ensuring that military members are treated fairly by financial services companies – a job that is obviously necessary – but Republicans in Congress have, so far, refused to confirm a director for the agency, leaving it unable to fulfill all of its responsibilities.

Up Date: New York State Attorney General Eric Schneiderman has launched an investigation into military foreclosures under a NY State consumer protection law, the Martin Act, that gives him broad powers to investigate fraud.

Also, Congress is getting on the bandwagon, Sen. Jack Reed (D-RI), a member of the Senate Banking Committee, will be requesting hearings. From David Dayen at FDL:

It looks like even Congress is getting involved, or at least a few of them, because systematic illegal foreclosures on everyday people can be ignored, but systematic foreclosures on members of the military cannot. Jack Reed, a member of the Senate Banking Committee, will request a hearing on the matter. Brad Miller, who has actually been great on this issue and who sees it as a lever to open up a host of inquiries on foreclosure fraud, had a great statement yesterday:

   It is hard to see this as anything except a flagrant disregard for a law that has been on the books continuously since the First World War. The Servicemembers Civil Relief Act is very clear: if you’re in harm’s way in our nation’s military, you can devote your whole energy to our nation’s service without worrying what’s happening in a courthouse back home. And if you have a claim against someone in our military, you can wait until they get home and can defend themselves.

   The SCRA is not some obscure legal technicality that might just have escaped the attention of mortgage servicers. Those servicers are all affiliates of the biggest banks, but they’re huge and specialized. Servicing mortgages is all they do, and they really don’t have that many laws to keep up with. They have got to have known what the law required, and consciously decided that they could just ignore it, the same way they apparently decided it was okay to file false affidavits in legal proceedings.

   The continued failure to pursue criminal charges in the face of flagrant violations of the criminal law is destroying Americans’ faith in their government and democracy. In a democracy, no one is too big to prosecute.

Schneiderman is doing the job that we would expect Eric Holder to be doing. Just where is Mr. Holder? We know where the president is, campaigning.

Nov 30 2011

The Courts Are Doing The SEC’s Job

Matt Taibbi: Rakoff decision to reject the Citigroup settlement

Keith and “Countdown” contributor Matt Taibbi of Rolling Stone discuss the remarkable decision by U.S. District Judge Jed Rakoff to reject a $285 million settlement between Citigroup and the Securities and Exchange Commission for misleading investors. Taibbi points out that banks take punitive settlements in stride, saying, “They recognize that every now and then they’re going to get dragged into court, they’re going to have to give a little bit of money to somebody, and then they get to walk away and keep doing it.”

Federal Judge Pimp-Slaps the SEC Over Citigroup Settlement

Rakoff’s 15-page final ruling read like a political document, serving not just as a rejection of this one deal but as a broad and unequivocal indictment of the regulatory system as a whole. He particularly targeted the SEC’s longstanding practice of greenlighting relatively minor fines and financial settlements alongside de facto waivers of civil liability for the guilty – banks commit fraud and pay small fines, but in the end the SEC allows them to walk away without admitting to criminal wrongdoing.

This practice is a legal absurdity for several reasons. By accepting hundred-million-dollar fines without a full public venting of the facts, the SEC is leveling seemingly significant punishments without telling the public what the defendant is being punished for. This has essentially created a parallel or secret criminal justice system, in which both crime and punishment are adjudicated behind closed doors. [..]

Judge Rakoff blew a big hole in that practice yesterday. His ruling says secret justice is not justice, and that the government cannot hand out punishments without telling the public what the punishments are for. He wrote:

  Finally, in any case like this that touches on the transparency of financial markets whose gyrations have so depressed our economy and debilitated our lives, there is an overriding public interest in knowing the truth. In much of the world, propaganda reigns, and truth is confined to secretive, fearful whispers. Even in our nation, apologists for suppressing or obscuring the truth may always be found. But the S.E.C., of all agencies, has a duty, inherent in its statutory mission, to see that the truth emerges; and if it fails to do so, this Court must not, in the name of deference or convenience, grant judicial enforcement to the agency’s contrivances.

Notice the reference to how things are “in much of the world,” a subtle hint that the idea behind this ruling is to prevent a slide into third-world-style justice. There are many such loaded passages in Rakoff’s ruling. Another one comes up around the issue of the “public interest.” [..]

On the other hand, both the SEC and Citigroup insist that this secretive payoff system is defensible and must continue. They clearly believe, sincerely, that none of this stuff is really the public’s business.

This is an extraordinarily condescending attitude and shows exactly how little they think of the public at large. One wonders if decisions like Rakoff’s will at least help to wake the government up.

Nov 30 2011

I Am Going to Propose Later This Morning

I am going to propose marriage to The Girl later this morning.

I have loved her with all of my heart for a very long time.

I am going to get her in person, and in private (the Daughter is welcome to be with us, but not any parents), and say words to this effect:

“I love you with all of my heart, and your daughter as well.  Just listen and think about what I am saying.  Sleep on it and respond tomorrow night, in person and in private.”

“I just love you.  I have loved you for a very long time.  I want for us to marry, and for me to adopt her as my own.  I will do anything to make you happy, even stopping smoking if you two will come and live with me as a happy couple.  That means that I will give up the tobacco, and the porn, and you have to give up all of the other boys who just want you for sex.

“I love you, and want to marry you, because you and she are dear to me.  I kneel down and take you hand, and hope that you tug back at it to say, “I love you, too, and will accept you as my husband for the rest of our lives.”

Please marry me, and live with me forever!  You know that I will take very good care of you and her.  I love both of you very much!

I love you!

Nov 30 2011

Dr. Doom:

Italy’s Debt Must Be Restructured

Author: Nouriel Roubini, EconoMonitor

November 29th, 2011

Even if austerity and reforms were eventually to restore debt sustainability, Italy and countries in a similar position would need a lender of last resort to support them and prevent sovereign spreads exploding while they regained market credibility. But Italy’s financing needs for the next twelve months alone are not confined to the €400bn of debt maturing. At this point most investors would dump their entire holdings of Italian debt to any sucker – the ECB, European Financial Stability Facility, IMF or whoever – willing to buy it at current yields. If a lender of last resort appears, Italy’s entire debt stock of €1,900bn will be soon supplied.

So using precious official resources to prevent the unavoidable would simply finance the exit of others. Moreover, there is no official money – some €2,000bn would be needed – to backstop Italy, and soon Spain and possibly Belgium, for the next three years.



If, as appears likely, Italy remains stuck in an uncompetitive recession and is unable to regain market access in the next twelve months, then even if such large official resources were mobilised, they would be wasted on financing investors’ exit and thus postponing an inevitable debt restructuring that would then be more disorderly.



Italy’s public debt needs to be reduced now to at worst 90 per cent of GDP from the current 120 per cent. This could be done by offering investors the choice to exchange their securities either for a par bond – with a longer maturity and a low enough coupon to reduce the net present value by 25 per cent – or for a discount bond that has a face value reduction of 25 per cent. The par bond would suit banks that hold bonds to maturity and don’t mark to market. There should be a credible commitment not to pay investors who hold out against participating in the offer – even if this triggers the payment of credit default swaps.

With appropriate regulatory forbearance, it would allow banks to pretend for a while that no losses had occurred and thus give them more time to raise fresh capital. Since about 40 per cent of Italy’s public debt is held by non-residents, a debt restructuring will also imply some burden sharing with foreign creditors.

The bottom line is that it will take at least $2.666 Trillion to bail out the Euro which considering we just spent $7.7 Trillion bailing out the Too Big To Fail banks doesn’t seem out of line as an estimate.

Also bondholders will have to take a 25% haircut.  Too bad, so sad.