I think the biology lessons can help change the way we describe our economic problems Nom. I doubt sensible people would allow economics if they knew what it was. / Archytas....
Did I sound a bit "short" above?... sorry if I did.....I like to think I admit my ignorance readily enough, and am open to the cure.... please tell me how biology lessons can help "us" describe our economic problems, further.... if you are inclined to tutor a sometimes "lazy" student (true enough I assure ya)..... I have to admit, though.... that the standard "psychological" or "sociological" theories usually make me rebellious... you know my own background.....literature and history, philosophy and rhetorical logic and such.....especially nominalism.... I like to"prefer" the ability of individual choice and liberty of free will in most or all things... etc. I remember some of the "older" psychological theories of human motivation and development..... http://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needs I think this system above pretty much encapsulates (or generates) most of the notions..... The later.... attachment theory...seems adapted toward early development http://en.wikipedia.org/wiki/Attachment_theory I suppose are more up to date and accepted... but I was more familiar with the "freudian" (?) oral versus anal classifications.... (Always got a chuckle out of that, myself)..... Anyway... my same criticism applies.....to much "regimentation" in the theoretical "categories".... not enough leeway for human inttellect and free will in development... Dare I say it? (HAR, of course I dare).....It always seemed to me that the "scientific" sociologists and psychologists were more interested or adept at potty training puppies than they were at rearing human beings... On Tuesday, March 26, 2013 11:18:57 AM UTC-4, nominal9 wrote: > > Bail-Ins instead of Bail-Outs....there you go.... > > somebody's finally thinking.... contrary logic.... > > HAR HAR HAR HAR. > > I like it.... > > the U.S. should go back and "bail in" the Wall Street banks and trading > firms..... > > > http://www.reuters.com/article/2013/03/26/eurozone-banks-bailouts-idUSL5N0CI1U320130326 > > Cyprus rescue marks "game-changer" for Europe's banks > > - > - inShare > - Share this > - > - Email > - Print > > Related News > > - Global shares, euro checked by Cyprus bailout > nerves<http://www.reuters.com/article/2013/03/26/us-markets-global-idUSBRE88901C20130326> > 9:17am EDT > - WRAPUP 10-Cyprus leader hails bailout, but banks stay > closed<http://www.reuters.com/article/2013/03/25/eurozone-cyprus-idUSL5N0CH01B20130325> > Mon, Mar 25 2013 > - Shares, euro retreat as Cyprus deal stirs > unease<http://www.reuters.com/article/2013/03/25/us-markets-global-idUSBRE88901C20130325> > Mon, Mar 25 2013 > - Analysis: Cyprus rescue raises new questions about euro's long-term > > survival<http://www.reuters.com/article/2013/03/25/us-eurozone-cyprus-contagion-idUSBRE92O0J420130325> > Mon, Mar 25 2013 > - Cyprus and EU agree draft proposal to rescue > banks<http://www.reuters.com/article/2013/03/24/us-cyprus-parliament-idUSBRE92G03I20130324> > Sun, Mar 24 2013 > > Analysis & Opinion > > - One-off or > precedent?<http://blogs.reuters.com/macroscope/2013/03/26/one-off-or-precedent/> > > - The Dijsselbloem > Principle<http://blogs.reuters.com/felix-salmon/2013/03/25/the-dijsselbloem-principle/> > > > Related Topics > > - Investing and Taxes Simplified > »<http://www.reuters.com/subjects/investing-simplified> > - Financials » <http://www.reuters.com/sectors/financials> > > By Steve Slater > > LONDON, March 26 | Tue Mar 26, 2013 10:13am EDT > > (Reuters) - If the bailout of Cyprus is a template for European rescue > deals it marks a "game-changer" for banks that could raise funding costs, > see deposits shift more quickly and delay the prospect of higher > dividends<http://www.reuters.com/finance/markets/dividends?lc=int_mb_1001> > . > > Europe signalled this week that large depositors would shoulder part of > the cost of future bank bailouts after savings over 100,000 euros were > targeted in the Cyprus rescue package. That sent bank share prices falling > and pushed up the cost of insuring bank debt against default. > > > "Bail-in is thus replacing bail-out. As a consequence, the cost of bank > funding will increase, bank deposits will become less sticky, and banks > must hold more equity capital to reassure their creditors," said Nick > Anderson, analyst at Berenberg. > > "The elephant in the room has been spotted at last." > > Jeroen Dijsselbloem, head of the Eurogroup of euro > zone<http://www.reuters.com/subjects/euro-zone?lc=int_mb_1001> > finance <http://www.reuters.com/finance> ministers, said on Monday that > in future, the currency bloc should first ask banks to recapitalise > themselves, then look to shareholders and bondholders and then "if > necessary" to uninsured deposit holders. > > "Now that the crisis is fading out, I think we need to dare a little more > in dealing with this," he said. > > In addition to big depositors, senior bondholders in Cyprus's > second-largest bank, Laiki, will be wiped out and holders of senior paper > in the largest lender, Bank of Cyprus, will also be hit. > > In previous packages for Greece <http://www.reuters.com/places/greece>, > Ireland <http://www.reuters.com/places/ireland?lc=int_mb_1001>, > Portugal<http://www.reuters.com/places/portugal?lc=int_mb_1001>and Spain, > leaders were unwilling to force losses on either senior > bondholders or savers for fear of prompting flight from banks across the > region. > > Under new EU regulations, senior bondholders would bear part of the cost > of future bank bailouts but that provision is not due to be enforced before > 2015. Non-eurozone member Denmark is the only EU state to impose losses on > senior bondholders in recent years, but after its banks were shut out of > debt markets <http://www.reuters.com/finance/markets?lc=int_mb_1001> in > 2011 it has moved to limit the likelihood of such losses. > > Europe's banking index was down nearly 0.6 percent by 1310 GMT, adding to > a 1.9 percent fall on Monday and putting it on course for a fourth > successive daily fall. > > Banks in Italy <http://www.reuters.com/places/italy> and Spain, two > countries at the heart of the euro > zone<http://www.reuters.com/subjects/euro-zone?lc=int_mb_1001>crisis, were > among the biggest fallers with UniCredit and Spain's BBVA down > over two percent. Italian regional lender Banca Carige had slid over three > percent. > > The cost of insuring European banks' senior bonds against default rose, > with the Markit iTraxx senior financials index widening 14 basis points to > 181. The index for subordinated bonds - riskier as they rank behind senior > debt if a bank is wound up - widened 20 basis points to 302 basis points. > > Critics of the action on Cyprus said it had re-established the link > between weak banks and weak sovereigns and could scare depositors, but > others said it was long overdue. > > "Finally the EU is doing the right thing. If you take risk, if you're an > equity holder, a bondholder, or an uninsured depositor, you should be at > risk," said Simon Maughan, analyst at Olivetree Securities. "It is the > bailing out of the bondholders that has been the biggest problem throughout > these bailouts." > > Maughan said there were still risks in Spain, > Italy<http://www.reuters.com/places/italy?lc=int_mb_1001>and possibly > France <http://www.reuters.com/places/france>. "The only way to deal with > them would be to make the investors that put money in in the first place to > front up," he said. > > "WAKE-UP CALL" > > Deposits above 100,000 euros have been at risk since the level of > guarantee was raised and reinforced during the 2008/09 financial crisis. > Cyprus is a reminder that above that level depositors are effectively > unsecured creditors. > > Savers are more likely than ever to spread their cash around, analysts > said. > > "It's a wake-up call... and deposits are likely to be more fluid if you > see a risk emerging," Maughan said. > > "It is now rational for ... depositors to move their money to stronger > non-Eurozone banking jurisdictions such as the UK or Switzerland," said > Andrew Lim, analyst at Espirito Santo. > > Mike Harrison, analyst at Barclays, said the Cyprus events could also > speed up plans for countries to establish pre-funded schemes for deposit > insurance. > > "This could be a catalyst to more harmonisation of the pre-funding of the > scheme," he said. > > Bondholders are likely to be more alert to risks too. > > "The concept of bail-in appears to be happening quicker than perhaps > people had anticipated. It feels that with Cyprus it is potentially now > grinding closer in theory and in practice," Harrison said. > > That is likely to increase volatility, especially for banks seen as more > at risk, and result in greater differentiation in borrowing costs for > strong names like HSBC versus more risky banks such as Italy's Monte Dei > Paschi, which has received a 4 billion euro Italian state bailout. > > The yield on Monte dei Paschi's senior debt rose 41 basis points to 5.16 > percent early last week after an initial plan to tax Cyprus bank deposits > was announced. It has since bounced around from 4.80 percent on Monday to 5 > percent on Tuesday. In contrast, senior debt for HSBC remained steady at > around 1.5 percent. > > Banks may have to hold back on lifting dividends if investors demand they > hold another buffer on top of minimum capital requirements, analysts said. > That could dent hopes of a possible rise in payouts this year. > > But most banks are already under pressure to hold back on payouts until > they have a comfortable capital cushion, and rules continue to differ > across countries. > Norway<http://www.reuters.com/places/norway?lc=int_mb_1001>, > for example, took action last week to raise its already high capital > requirements and implement them before most other European countries. > > -- You received this message because you are subscribed to the Google Groups "Epistemology" group. To unsubscribe from this group and stop receiving emails from it, send an email to epistemology+unsubscr...@googlegroups.com. To post to this group, send email to epistemology@googlegroups.com. 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