ToryTalkII, Ware returns to cyberspace

A Centre right view on UK politics and the wider world from an British subject by birth and English citizen by Postcode in London, with links to my old uni town whose been abroad both near (Wales / Cymru) and far (Levant, Polska and Malta)

Name:
Location: Cowley, London, Middlesex, United Kingdom

Friday, August 05, 2011

Sweden atom experiment not terroist

Sweden atom experiment not terrorist
A Swede has conducted a home made radiological experiment, it has not been reported as a terrorist incident. In the UK this is done in labs and is regulated.

Thursday, August 04, 2011

IMF

In the case of the IMF they have an inquiry process as to company directorships so whoevers doing the Soros, shut up and stop it.

Why speculating against the Euro is dangerous

Today European Finance ministers met and the ECB has been stabilising countries where interest rates are higher by buying their governments bonds. These countries within the Euro zone have had higher unemployment and (in the case of Greece and parts of Spain and Portugal) more seasonal economies.
As such there is the option of further economic integration and debt stabilisation within the Eurozone but that would create a two tier Europe as the European Commission and Parliament could get democratic control of the Euro which would undermine the idea of european nation states sharing sovereignty and leave states without the Euro with less control over the European Union.
That is why the UK always seeks to meet its international obligations at the IMF and world bank and through that is stabilising the European and International economic system.

Yet the ECB can't buy back the bonds of governments within the Euro indefinitely

The counter argument to managed longer repayment of sovereign debt by those countries that can such as the uSA, China, India and Russia is that for those countries that arecurrently well off and thus counterbalance the economic situation (Russia and China) could be economically drained instead of investing in economic activity such as Gas, and electric power based on their technological expertise.
It could introduce too mamny variables enabling a futures trader to do a oros and risk the economic stability on the stock exchange unless its set out by global rules and procedures and agreements.

Hence global belt tightening by a cessation of all nuclear weapon programmes is a good idea while any such agreements or ammendments are needed. And if I can give a UK example a review of where troops are recruited from and deployed for the TA in case dissident Republicans start to propagandise that its a return to the B specials and G men in Ulster which it isn't after the Patten reforms and apology for Bloody Sunday.

That would set international precedents that could help Russia achieve democratic change and a reduction in hostilities by peace process in its Southern Republics (as its a federal state).

Additionally in India where some of its states have had flooding there is still a need for international aid and although its almost a superpower....the poverty of its rural areas means it needs aid and like the USA after the dust bowl over growing and subsequent crop failures of the 1920s and 30s means there is a need for potential debt write off.As such if INdia needs it then frankly from a capitalist perspective perhaps the whole world and not just the G20 aiding the poorest states should have a global debt write off.

Wednesday, August 03, 2011

Northern rock results today

Northern Rocks losses are a byproduct of tHe North East of England beign dependant on Japanese firms since teh 1980s. Given recent events in Japan the reduction in teh supply of parts for their factories here and resultant job losses on top of reductions in the economy is to be expected. Previous reports on Northern Rock showed that it had since state ownership stopped its 125% mortgages and resinitiated responsible lending based on the review of financial services and teh reform of the tripartite system.

Tuesday, August 02, 2011

Syria

The Syrian government has started to use tanks against its population in the city of Hama. This has been condemned by the UK government. There is a mediated peace process through teh medditteranean Union and teh Arab League and as such the violence should cease. Turkey has provided peaceful mediation in the past as Israel and SYria are in a cold peace and after Lebanon and Gaza withdrawals, a solely Israeli intervention could jeopardise its peace agreements with other states and jeopardise a peace accord with Palestine as it seeks statehood at the UN in September.However any UN led military intervention has to be done after a UN resolution and Chapeter 7 resolution.

How to ensure that there are no panic situations with investment banks and multinational ones like HSBC

HSBC is a multinational bank with a registered HQ in one country but divisions based in other countries and legal jurisdictrions and tax locations like many others. Since the G20 banks such as these are required to hold more cash reserves and investments and lend slightly less and not mortgages at above a certain amount of a persons income.

An example of a bank which didn't do that is Northern Rock wihich didn't do that with 125% mortgages and paid the consequences needing state bailout debt restructuring and loss adjustment (allowing its customers to default with debt advice and support) so that now its shares can be sold off again on the UK states stock exchange should the government be so minded.

However Northern Rock was a mainly one jurisdiction bank and not a multinational one like JP Morgan, Barclays or HSBC. What happens now for banks such as these affected by the East Africa droughts or Australasian Earthquakes, how does the international community ensure that aid and reconstruction continues and is stabilised.

While The previous UK governments tripartite regulation system failed to prevent the last recession it did mitifgate it unlike previous ones where credit spivs and doorsteo lenders exacerbated the microeconomic pain within a jurisdiction. that is because the FSa amalgamated self created and self regulated bodies which were accountable to parliament and the treasury but could not be coordinated under the economic regulations of the day. The FSA is funded by a percentage of share dividends and profits from all those who it regulates so if the World Bank could have a similar body within and offerring full disclosure to it of the danger zones without delay as occurred in the UK prior to Northern Rocks collapse (which created ongoing lending and the long boom 1992-2007). Then it could liase with the UN and teh G20 to produce combined sovereign debt restructuring, longer repayment periods for those that can (such as Sundays compromise for the USA and states of similar economic size such as Russia, India and China) and write off for those that can't (such as agreed at Gleneagles by the G8 in 2005 and followed through with with the G20 in London prior to the last general election) and find ways of reducing teh risks to the investment banks and those who are really 'casinos' to quote the Business secretary Vince Cable by restructuring repayments in a similar way that the futures market did after the Oil leak in the Gulf of Mexico. This is especially important if there are more earthquakes or reductions in states GDPs owing to unpredictable transport delays between states (such as Volcanic ash clouds and aviation) as

If that is done then corporations who have the investments of places such as Middle America and Metroland and Germany would be as protected as hard working families who have invested in them are being done now with the speration of retail and investment banking that is already underway. Then the Euro could be sustained with perhaps a period with Greece having its own currency if needed which in turn could allow the pound sterling to survive and sustain the economy peacefully. This is important so that the UK constitution is reformed such as the election of second chamber, codification of the constitution and the resolution of the West Lothian question with an English Parliament and regional cttes based on regional stv voting system for England within the Second Chamber. Within that context there is also the resolution of the status of Scotland following the democratic mandate the secessionist SNP achieved.

They could then in turn aid regional economic recovery in Northern England, Scotland and South Wales with better Transport links sustainably funded through Investment banks investing in Government bonds for projects such as rail both conventional and highspeed. The UK has several projects such as these in the development pool and one of these is Croxley Rail Link where the devolved transport authority for the neighbouring region and county has with it and district / borough / unitary council support and engineering advice by the Federal Rail agency (Network Rail) delivered a submission and public consultation. This one could be a case study for bond issues as the WEstminster MP for Watford has advocated the retention of the land that was to be sold off to fund it for overnight train storage (also post recession its land value may have gone down).

In short as the FTSE opens today there is no need to panic.

Monday, August 01, 2011

HSBC job cuts

HSBC has announced that it is cutting 25,000 jobs. This bank is one of those that has the greatest number of countries in which it operates and has so far avoided teh need for UK government tax payer support. As such it is not a panic situation yet for the global economy especially as the US government has brokered a deal for rasing its debt celiling on condition that that amount is paid back over ten years.