Iceland Votes No on Repayment Plan as Standard of Living Continues to Drop

Reykjavík, Iceland

Iceland’s election yesterday made the news:

Iceland Rejects Icesave Depositors Bill in Referendum (Update2)

March 07, 2010, 5:29 AM EST

By Omar R. Valdimarsson

March 7 (Bloomberg) — Icelanders rejected by a massive majority a bill that would saddle each citizen with $16,400 of debt in protest at U.K. and Dutch demands that they cover losses triggered by the failure of a private bank….

The island’s economy… contracted 6.5 percent in 2009 as a whole.

Household debt with major credit institutions has doubled in the past five years and reached about 1.8 trillion kronur ($14 billion) in 2009..

Icelanders, the world’s fifth-richest per capita as recently as 2007, ended 2009 18 percent poorer… http://www.businessweek.com/news/2010-03-07/iceland-rejects-icesave-depositors-bill-in-referendum-update1-.html

However, despite the vote, Iceland is stuck. Iceland does not have the ability to directly pay the debt in the short-term, but not paying it back is hurting the nation now, and will have negative affects in the future.

Americans would do well to notice that those in Iceland HAD the fifth highest standard of living in 2007 and that the standard of living there is still dropping. And while Iceland is small enough that some European nation/large company could probably pay off the debt if Iceland sold much of its resources, etc., that type of arrangement will not happen with the USA and its massive debt.

Icelanders are likely to ultimately turn to the EU–and if so, they will surrender their sovereignty–which they will do if the situation there gets bad enough. For the USA and its indebted friends like the UK, that will not even be an option.

Some articles of possibly related interest may include:

Europa, the Beast, and Revelation Where did Europe get its name? What might Europe have to do with the Book of Revelation? What about “the Beast”? Is an emerging European power “the daughter of Babylon”? What is ahead for Europe?
Islands and Bible Prophecy What’s ahead for islands? What does the Bible prophesy about them?
Anglo – America in Prophecy & the Lost Tribes of Israel Are the Americans, Canadians, British, Scottish, Welsh, Australians, Anglo-Southern Africans, and New Zealanders descendants of Joseph? Where are the lost ten-tribes of Israel? Who are the lost tribes of Israel? Will God punish the U.S.A., Canada, United Kingdom, and other Anglo nations? Why might God allow them to be punished first? What will happen to the nation of Israel?