Iceland, how are they doing.

celticcrash · 23-11-2014 3:37pm #1

Has anyone been to Iceland lately. How are they getting on since the economic collapse. Its hard to find out on the web as I am getting all kinds of things from good to very bad.

corner of hells · 23-11-2014 3:39pm

There frozen pizza is quite nice and they got some nice ice creams , not sure about there opening hours though.

Kevin McCloud · 23-11-2014 3:40pm

There a great bunch of lads.

Peregrine · 23-11-2014 3:41pm

corner of hells wrote: »

There frozen pizza is quite nice and they got some nice ice creams , not sure about there opening hours though.

Opening hours are okay but they have very few stores in Ireland.

Nate--IRL-- · 23-11-2014 3:43pm

Hahah! you guys are talking bout the SHOP! He doesn't mean the shop, he means the country. OMG this is hilarious.

Nate

Sir Osis of Liver. · 23-11-2014 3:43pm

That Peter Andre is an oul bollix.

washman3 · 23-11-2014 3:44pm

Their former prime minister is on trial for economic treason. Our former PM is advising other nations on how to manage their economies.

You just couldn't make it up.!!

Talib Fiasco · 23-11-2014 3:45pm

Nate--IRL-- wrote: »

Hahah! you guys are talking bout the SHOP! He doesn't mean the shop, he means the country. OMG this is hilarious.

Nate

Lol Nate you are so smart Nate omg like lol.

I lol'd.

Sclosages · 23-11-2014 3:49pm

They compete with Aldi and Lidl who have lower prices for better produce. Their only market is people who refuse to shop in Aldi or Lidl. Lol. Ridiculously overpriced over-processed tripe. Over my dead body would I eat anything from it.

heldel00 · 23-11-2014 3:55pm

Lost in translation or what?!! This is hilarious

Duff · 23-11-2014 3:59pm

I get jokes.

celticcrash · 23-11-2014 4:22pm

That went well:rolleyes:

Fighting Irish · 23-11-2014 4:27pm

heldel00 wrote: »

Lost in translation or what?!! This is hilarious

Easily amused?

BlatentCheek · 23-11-2014 4:32pm

They have 4% unemployment and want to lower that to 2%. Economic growth for 2014 was expected to be 2.7% in January. Social spending was largely protected from cuts (although most of the pro-austerity right-wingers on here would probably consider that a bad thing).
On the flip side they experienced much higher inflation than us since 2008, although they are bringing it under control.

While comparisons with our situation may be overstated I think the evidence is unequivocal that they made the right choices since 2008.

Sclosages · 23-11-2014 4:33pm

Oh you mean the COUNTRY?

Ronan · 23-11-2014 4:34pm

corner of hells wrote: »

There frozen pizza is quite nice and they got some nice ice creams , not sure about there opening hours though.

Kevin McCloud wrote: »

There a great bunch of lads.

This bugs me more than it should!

Captain Chaos · 23-11-2014 4:36pm

Ronan wrote: »

This bugs me more than it should!

That's the type of sh1t that's beat into you when you are 5. No excuses.:mad:

smcgiff · 23-11-2014 4:38pm

Ronan wrote: »

This bugs me more than it should!

Their they're now.

corner of hells · 23-11-2014 5:48pm

Ronan wrote: »

This bugs me more than it should!

Captain Chaos wrote: »

That's the type of sh1t that's beat into you when you are 5. No excuses.:mad:

corner of hells wrote: »

There frozen pizza is quite nice and they got some nice ice creams , not sure about there opening hours though.

Poor observation bugs me too , if you read my post correctly you would see I spelt their wrong twice , not once . Xxxxxx

braddun · 23-11-2014 5:58pm

Faced with the possibility of financial failure, Iceland had to think on its feet. Instead of bailing out banks USA-style, the country forgave mortgage debt for the population – and completely started over from square one.

A country with a small population of roughly 320,000 citizens, Iceland‘s entire banking structure “systemically failed” in the early days of the 2008 recession. Despite the fact that Iceland is still on the road to recovery, the country ranks high as a politically and economically stable nation. Their success over the last few years has been largely under-reported, and the story behind it is quite fascinating.
Instead of allowing the criminals responsible for bank fraud to run free as the years passed by, Iceland thought it might be wise to actually indict bankers who committed serious financial crimes that contributed to the collapse. By paying off loans for consumers, forgiving homeowner debt (up to 110% of the property value), and throwing the offenders in prison, Iceland was able to bounce back. Now, its economy is “recovered” and is growing faster than both the US and European economies.When Iceland’s President Olafur Ragnar Grimmson was asked whether or not other countries – Europe in particular – would succeed with Iceland’s “let the banks fail” policy, he stated the following:

“
“Why are the banks considered to be the holy churches of the modern economy? Why are private banks not like airlines and telecommunication companies and allowed to go bankrupt if they have been run in an irresponsible way? The theory that you have to bail out banks is a theory that you allow bankers enjoy for their own profit, their success, and then let ordinary people bear their failure through taxes and austerity.  People in enlightened democracies are not going to accept that in the long run.”

Grimmson’s “famous” reply to the controversial question, “What is the reason for Iceland’s recovery?” is most remarkable.

“
“We were wise enough not to follow the traditional prevailing orthodoxies of the Western financial world in the last 30 years. We introduced currency controls, we let the banks fail, we provided support for the poor, and we didn’t introduce austerity measures like you’re seeing in Europe.”

mad muffin · 23-11-2014 6:03pm

smcgiff wrote: »

Their they're now.

Where?

biko · 23-11-2014 6:08pm

Iceland rocks

BBJBIG · 23-11-2014 6:56pm

washman3 wrote: »

Their former prime minister is on trial for economic treason. Our former PM is advising other nations on how to manage their economies.
You just couldn't make it up.!!

On at least 150,000 Shamrocks a Year ... FFS :mad:

Nib · 23-11-2014 6:59pm

mad muffin wrote: »

Where?

Kilthere.

Anita Blow · 23-11-2014 7:04pm

There was actually a great thread by Icelandic citizens on Reddit explaining what's really happening there, which is in stark contrast to the post-recession utopia many Irish posters here like to pain it as. Here's the main post-

Past Weeks in Iceland
Government bailed out selective % of private mortgages, splitting the country almost in half between supporters of the action and opponents. Numbers seem to indicate a mass transferal of money from the less affluent to the more affluent. This controvertial action has also spiked arguments between renters (who got nothing) and the government. Many have come forth and said they applied for the bailout but intend to use the money for something like charity because the payout was a zero sum game and if they don't apply then others simply get more of money they consider ill gotten.

Ongoing doctors strike, week three. Only emergency services are operational. Both the government and doctors association refuse to budge.

Mold, ants, mice and moss have started infecting Reykjavíks main Hospital due to lack of maintenance funds.

After almost 10 months of investigation, the personal attaché of our minister of the interior admits to the allegations previously mentioned. He is sentenced to 8 months of probation within 24 hours (and justice here is criminally slow in all other cases) and is expected to receive a cushy embassy position sooner than not.

Another attaché of the Minister of the Interior is seeking 1 year non-probational jailtime for two journalists that alleged, for thirty minutes, that she was indeed "person B" in the court case mentioned above. Statement was retracted, an apology issued and the international journalist association has raised alarm over the proceedings.

University Professors have announced an upcoming strike to hit at the same time as winter exams start. This will prevent people from finishing the required amount of credits to get student loans paid out.

Second week of ongoing "Monday protests", next one scheduled for next Monday.

Minister of Finance and the head of the Independence Party says he trusts his party sister, the Minister of the Interior, fully and asserts that not resigning is the best way to shoulder the responsibility to serve, that was placed on her by the electorate.

There is so much shady about this whole Minister of Interior deal, like she obviously tried to influence the police investigation to look away from her attaché. The sitting police chief actually quit and was replaced by a woman hand picked by the MoI.

Police accidentally released a report on the 2008 "Pot and Pan Revolution" which included a lot of obious digging into the private life of chosen individuals who were considered anti-authority. The report includes lists of mental problems, alleged and actual, their familiar situation, any personal problems and just goes into gruesome details about the private life of citizens. The police FAILED to redact named and social security numbers before sending the report to the media and private individuals who had requested it.

During AirWaves an artist put up a show piece criticizing the Progressive Party, the second of the two parties in the ruling coalition. He received threats from a member of the party that walked past it in the tone of "I hope things go well for you and there are no consequences for you mocking me", this was caught on camera but her party members fully support her statements and refuse to acknowledge any inappropriateness (?).

The government is updating its official cars into luxury jeeps at the same time they are slashing health and education due to lack of funds.

Currency Controls still in effect after six years.

Some posters may want to take off the rose-tinted glasses when blindly accepting the narrative thrown out here on boards

The One Who Knocks · 23-11-2014 7:07pm

Nate--IRL-- wrote: »

Hahah! you guys are talking bout the SHOP! He doesn't mean the shop, he means the country. OMG this is hilarious.

Nate

Not as hilarious as someone signing off on an anonymous internet forum.

:rolleyes:

Now before you quote me, yes I got the sarcasm.

Sclosages · 23-11-2014 7:09pm

Is it bad that when your country's name is mentioned people think of a grotty cheap frozen meal outlet.......

Ireland Frozen Inc.

Nah - proud to say that we shall never be mistaken for a food outlet.

ytpe2r5bxkn0c1 · 23-11-2014 7:27pm

Nate--IRL-- wrote: »

Hahah! you guys are talking bout the SHOP! He doesn't mean the shop, he means the country. OMG this is hilarious.

Nate

I think they knew that!

ytpe2r5bxkn0c1 · 23-11-2014 7:30pm

corner of hells wrote: »

Poor observation bugs me too , if you read my post correctly you would see I spelt their wrong twice , not once . Xxxxxx

And you left out a "have" between "they" and "got".

BlatentCheek · 23-11-2014 8:41pm

Anita Blow wrote: »

There was actually a great thread by Icelandic citizens on Reddit explaining what's really happening there, which is in stark contrast to the post-recession utopia many Irish posters here like to pain it as. Here's the main post-

Some posters may want to take off the rose-tinted glasses when blindly accepting the narrative thrown out here on boards

I mainly based my narrative on an article on Iceland's economic outlook for 2014 I read on Bloomberg, hardly a bastion of left-wing propaganda.

That was an interesting piece you posted but many of the problems it mentions are echoed, or exceeded, here in Ireland. You may recall that our own Minister for Justice resigned earlier in the year amidst a myriad of scandals.

We still have double digit unemployment, ongoing cuts, a largely unreformed state and no accountability for what happened. Now a housing crisis has been added to the mix along with an attempt to privatise major public assets such as our water system. I'd imagine that most people in this country would rather have Iceland's problems than Ireland's.

heldel00 · 23-11-2014 8:51pm

Fighting Irish wrote: »

Easily amused?

What can I say? Shlow day in the shticks!

G2fitz87 · 23-11-2014 9:03pm

Incest is still through the roof over there apart from that there grand

Drakares · 23-11-2014 9:07pm

BlatentCheek wrote: »

They have 4% unemployment and want to lower that to 2%

That is good going of them!

Dr. Zaius Dr. Zaius! · 24-11-2014 12:43am

Nib wrote: »

Kilthere.

Heh heh brilliant!

fleet_admiral · 24-11-2014 12:49am

Sir Osis of Liver. wrote: »

That Peter Andre is an oul bollix.

Full of himself too, the twat

cooperguy · 24-11-2014 1:24am

BlatentCheek wrote: »

They have 4% unemployment and want to lower that to 2%. Economic growth for 2014 was expected to be 2.7% in January. Social spending was largely protected from cuts (although most of the pro-austerity right-wingers on here would probably consider that a bad thing).
On the flip side they experienced much higher inflation than us since 2008, although they are bringing it under control.

While comparisons with our situation may be overstated I think the evidence is unequivocal that they made the right choices since 2008.

Your forgetting at least one important thing. For Iceland to borrow money they have to pay an unsustainable 7% on their debt, we only have to pay just over 1%

We currently borrow billions every year to keep our services, social welfare etc. going. If we had a bond rate the same as Iceland's much higher cuts would be needed as we couldnt borrow at that level. You definitely cant claim that they made all the right choices and we made the wrong ones

Cookie_Monster · 24-11-2014 2:17am

cooperguy wrote: »

Your forgetting at least one important thing. For Iceland to borrow money they have to pay an unsustainable 7% on their debt, we only have to pay just over 1%

We currently borrow billions every year to keep our services, social welfare etc. going. If we had a bond rate the same as Iceland's much higher cuts would be needed as we couldnt borrow at that level. You definitely cant claim that they made all the right choices and we made the wrong ones

you're say that like borrowing unsustainable amounts is a good thing. Why should Iceland care if they have to pay 7% if they're trying to cut costs and not borrow anyway.

Lapin · 24-11-2014 2:36am

celticcrash wrote: »

Has anyone been to Iceland lately.

About two years ago. A bit on the boring side but different. The Friday night 'Runtur' reminded me of home. Bloody expensive though.

Wouldn't be in any rush back.

smcgiff · 24-11-2014 11:47am

Drakares wrote: »

That is good going of them!

Even at the height of the boom, there was between 4 & 5 % unemployment in Ireland. And that is termed full employment.

To get it to 2% you'd have to go around with Bayonettes. First to get the unemployed to take on jobs, and secondly to ensure the employers took those people on.

24-11-2014 11:50am

There was a guy posting on reddit from iceland last week saying the place is in a mess =/

ArmaniJeanss · 24-11-2014 12:02pm

braddun wrote: »

Faced with the possibility of financial failure, Iceland had to think on its feet. Instead of bailing out banks USA-style, the country forgave mortgage debt for the population – and completely started over from square one.

Hmmmm, thought this couldn't be true but it appears it partially is, every mortgage got reduced by $24,000.

If those 'rent is dead money, get on the ladder' twats of 2005/6 got such a deal here, effectively paid for by those who'd continued to rent, then I think that would be enough to have me out marching.

RikkFlair · 24-11-2014 12:04pm

New direct flights to Reykjavik from Dublin with WowAir next June I think.

Might pop over and have a gander at the Ejakalksdjlsfkufllasldfjkjkjklkjkjuullllll volcano.

RobertKK · 24-11-2014 12:15pm

Most people work from 50 to 70 hours a week and have 2 to 3 jobs, according to an international newspaper I read last week.

BoJack Horseman · 24-11-2014 12:15pm

The cost of Iceland's mortgage debt relief would be equivalent to the Irish taxpayer trumping up €18,000,000,000 to hand over to mortgage holders.

It would be a massive burden for people to pay for a modest reduction in the national residential mortgage total.

I cant see it being worth it.

Extremely divisive if anything.

ancapailldorcha · 24-11-2014 12:29pm

I was there in October last year. There were riots not that long before my trip as a lot of people needed food banks. I've not idea what their economy would be based on outside fishing, possibly IT. The place has a tiny population (~320,000) with 2 thirds of that in Reykjavik. Stunning country with very friendly people. Well worth a visit.

KomradeBishop · 24-11-2014 12:53pm

BoJack Horseman wrote: »

The cost of Iceland's mortgage debt relief would be equivalent to the Irish taxpayer trumping up €18,000,000,000 to hand over to mortgage holders.

It would be a massive burden for people to pay for a modest reduction in the national residential mortgage total.

I cant see it being worth it.

Extremely divisive if anything.

Except Iceland have their own currency, so they can outright cancel the debt - with nobody paying for it. What they have done, is they have provided half of the debt relief by cancelling the debt completely (nobody pays), and the other half of the debt relief has come from a 'debt jubilee', partly funded by their government - that's my understanding of it, from a brief reading up.

The idea that when debt is cancelled, that "somebody has to pay for it", is a gigantic myth, caused by people looking at Ireland's finances at a local level only, instead of at a European level:
If debt is cancelled at a European level, it is wiped out completely and nobody pays; if it is only 'cancelled' at a local level in Ireland, it is not really a cancellation, just a transfer of debt (the bank is on the hook then instead - and if the bank is owned by the state, the state is on the hook).

The reason it is like this for us, is because of the Euro - to properly cancel debt in Europe (rather than just transfer it), the ECB has to be involved; so we can't do 'true' cancellation locally.

It is easily possible economically, for Europe to do this - and wiping away a significant portion of the burden of private debt, would be an enormous boost to aggregate demand (money previously going into debt repayments, would go to aggregate demand - now struggling families, would then have more dispensable income), which would boost economic recovery a lot.

It is politically not possible though, because of Germany and their virtual veto over potential EU economic recovery policies - the only other way we could do it, would be to exit the Euro.

BoJack Horseman · 24-11-2014 12:59pm

So, have your own currency -> Cancel all mortgage debt?

Someone should tell the UK.
They are in for abonanza!

KomradeBishop · 24-11-2014 1:16pm

BoJack Horseman wrote: »

So, have your own currency -> Cancel all mortgage debt?

Someone should tell the UK.
They are in for abonanza!

As the Bank of England says, banks create money when they make loans, and this makes up "97% of the amount [of money] currently in circulation".

So you can't just write off all debt - that is what is backs the money in the economy - this would cause the banking/financial system to collapse, as they would not be able to meet their capital/reserve requirements.

You can however, write off a significant portion of it, without collapsing the banking/financial system, and this would help stabilize the whole economy and bring it back to recovery, by allowing money to go from debt repayments back into aggregate demand, and by allowing banks to begin lending more money again (as the economy would no longer be overburdened by private debt).

Iceland, how are they doing.

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