Inside Job
1 - Summary - Inside Job - Introduction -
1)Inside Job opens with a case study of Iceland, a nation that was possessed by the cancer of free radical finance.
2)Iceland was stable – low crime, strong education, strong stability in social and financial systems.
3)Multinational corporations such as Alcoa were then allowed to come into Iceland and install their business thereby disrupting the integrity of the system.
4)Three of their largest banks were privatised and in only five years, they combined to borrow a sum equal more than 10 times Iceland’s total GDP. Reckless borrowing and lax lending became commonplace.
5)A businessman named Jon Asgeir Johannesson, former head of the major retail company Bagur, is noted for taking out a loan amounting to billions of dollars.
Jon used this money to purchase investments such as other top retail businesses and consumer goods such as a $40m yacht and a fashionably designed private jet.
6)Beginning with the introduction of Alcoa into Iceland, whose aluminum plants were colonizing some of the richest portions of Iceland’s greenery and continuing with various provisions of deregulation such as bank privatisation and lax requirements for bank loans – some of which were massive – the dominion of finance was interfacing Iceland.
Gylfi Zoega, Professor of Economics at the University of Iceland, comments on this financial possession by stating simply, “Finance took over, and uh, more or less wrecked the place.”
7)Credit rating agencies analyzed a vastly overleveraged and indebted Iceland and, reflecting a pattern throughout the global financial system, gave Iceland a satisfactory or spectacular rating.
Sigridur Benediktsdottir, member of the special investigative committee of the Icelandic Parliament says regarding the three Icelandic banks that combined to borrow over ten times Iceland’s entire GDP, “In February 2007, the rating agency decided to upgrade the banks to the highest possible rating – triple A.”
8)In a word, due
1)Inside Job opens with a case study of Iceland, a nation that was possessed by the cancer of free radical finance.
2)Iceland was stable – low crime, strong education, strong stability in social and financial systems.
3)Multinational corporations such as Alcoa were then allowed to come into Iceland and install their business thereby disrupting the integrity of the system.
4)Three of their largest banks were privatised and in only five years, they combined to borrow a sum equal more than 10 times Iceland’s total GDP. Reckless borrowing and lax lending became commonplace.
5)A businessman named Jon Asgeir Johannesson, former head of the major retail company Bagur, is noted for taking out a loan amounting to billions of dollars.
Jon used this money to purchase investments such as other top retail businesses and consumer goods such as a $40m yacht and a fashionably designed private jet.
6)Beginning with the introduction of Alcoa into Iceland, whose aluminum plants were colonizing some of the richest portions of Iceland’s greenery and continuing with various provisions of deregulation such as bank privatisation and lax requirements for bank loans – some of which were massive – the dominion of finance was interfacing Iceland.
Gylfi Zoega, Professor of Economics at the University of Iceland, comments on this financial possession by stating simply, “Finance took over, and uh, more or less wrecked the place.”
7)Credit rating agencies analyzed a vastly overleveraged and indebted Iceland and, reflecting a pattern throughout the global financial system, gave Iceland a satisfactory or spectacular rating.
Sigridur Benediktsdottir, member of the special investigative committee of the Icelandic Parliament says regarding the three Icelandic banks that combined to borrow over ten times Iceland’s entire GDP, “In February 2007, the rating agency decided to upgrade the banks to the highest possible rating – triple A.”
8)In a word, due