The Old Country

As dysfunctional as the United States political system appears, we've got nothing on the dysfunction of Europe.

The financial meltdown of 2008 was, arguably, largely a function of the greed and incompetence of America's high-roller financiers.  And while there is scant evidence to suggest that America's bankers are any less greedy, stupid, or incompetent than they were at the onset of the crisis, there is nonetheless some evidence that American banks have returned to something approaching rude health.  Thanks, of course, to huge dollops of federal aid and interest rates so low that savers such as myself wonder why we don't just stuff the greenbacks under the mattress.

And way too few American financiers are in prison.  But I digress...

Still, the U. S. of A. - the fiscal cliff notwithstanding -  appears to be the picture of political and financial sanity relative to the European Union.

For years after the creation of the euro, the financial markets determined that there was little difference in terms of risk between the sovereign debt of Germany and other euro members.

Then the markets suddenly determined there was a lot of difference.

So much for the rational market.

Financial bubbles or fiscal profligacy in Ireland, Portugal, Greece and subsequently in Italy and Spain has led to a profound crisis that threatens not only the euro but the existence of the European Union itself.  And the response by Europe's political class has been abysmal.

There are no statesman in Europe today.  Merkel, Hollande, and Cameron are hacks.  Notwithstanding the relatively robust health of the German state - German banks are weak and stewed to the gills with bad debt.  France is a wreck - their inflexible job market condemns the young to part-time jobs or no jobs at all.  The Tories in the UK flirt with leaving the European Union altogether.  A sorry state of affairs...

In the meantime, German (and other European creditors) demand ever more austerity from Greece and other Mediterranean types who the northerners now regard as miscreants.  The common people of the debtor nations suffer while their elites dodge taxes. There is rioting in the streets and more to come...

To add insult to injury the EU is now at loggerheads over their next seven year budget.  The French defend farm subsidies.  The English demand continuation of their budget rebates.  The debtor country governments are generally pissed-off over what they regard as broken promises.

A meltdown will be a serious problem for the world economy.

Lovely.

On a more positive note, a picture from my own personal aviation collection.

 A modified Lockheed Ventura 

I took this pic at the Juneau airport circa 1968.  The Ventura was used in WWII as a medium bomber (not very successfully) and found its niche as a maritime patrol and anti-submarine aircraft.  This plane was refurbished as an executive aircraft for parties unknown...