who is attacking italy's bonds? , page-23

there are two ckoices, default or monetisation/printing

default is not an option, they cant even let Greeece default without causing financial chaos. So monetisation it is.

Italy is the big winner with monetisation. I like the Italians, my first big motorbike was a Ducati 900 Desmo SS and I have been a fan of them ever since I first heard the roar from the Conti mufflers. Funny thing is I grew up surrounded by Italian migrants from Calabria.,I thought all Italians were like them screaming " I kill you you bastard" in the middle of the night

later I discovered they are not Italians, a friend from Milan pointed out to me they are in fact Africans

anyway the sheer beauty of well orchestrated monetisation is it results in currency debasement and inflation. Inflation is the perfect way to get rid of a nasty debt. Thats what the Yanks are trying to do. At 4% pa after ten years compounding you have knocked 50% off the real value of your debt, and if you get your budget balanced during that time and your notional GDP is rising you are home and hosed

The Germans are the problem here not the Italians. They have to get over their uberfear of hyperinflation and start printing.

I spent a bit of time studying hyperinflation, I am not convinced you can have a hyperinflationary event in currencies such as the Euro or $US, so as far as I am concerned the sonner they start monetising this mess the better. If this crisis gets worse the Germans are to blame