One more to start the morning...

Iceland going bankrupt?

I really enjoyed reading this article through the lens of basic economic theory. The thing that really stuck with me was dichotomy of reactions: some Icelanders (?) are rushing out and buying Rolexes, hoping to cash out their chips (read: watches) elsewhere; others have been gripped by an impressive calm of reason, as can be best epitomized by this quote from the now-bankrupt Elvis of Iceland: "'What is important at a time like this is not picking out whom to blame,' he said. 'We have a government that is trying to do their best, but we will have to see what they come up with. Maybe it is a new dawn for Iceland.'"

I fear that in the USA we have far more of the former category, with the anti-intellectualism trend winning out by a significant margin. That said, I don't think the USA has seen the worst of its bank-run potential on display yet; just wait for the government to take a controlling stake in many of the major banks. Seriously, we need to get on a discussion about the precedents being set right now, because they are a little scary.