In fact I don't know much about what is going on in Norway, Sweden or Finland, but could it be that those countries feel that they could soon have problems too?
It appears to me that Sweden, Finland and Norway are managing this pretty well (just recension and lay-offs, not massive implosion of the banking sector), while Denmark is having plenty of troubles on their own.
Sweden, Finalnd and Norway each had a banking crises some 20 years ago, which might have created structures to prevent this round of casino games to go to far here. Or maybe it is still waiting to implode.
Se also, Trond Oves LQD: Banking crisis showdown: Norway versus Sweden (and the Finns)
The differences in approaches between the handling in Norway and Sweden wasn't as big as I thought however. Norway was the "pioneer", and was much more agressive than Sweden and Finland in nationalising failing banks, but they all more or less followed the same pattern.
And Jake S Danish news roundup
So what's been going on in the Danish financial sector recently? Well, I've been alluding to a variety of bail-outs, bank failures and general unrest, so I figured I'd bring together what I consider the most important highlights in one place.
I am btw not surprised that the Scandinavian countries are not riding to the rescue, economic crises management has (afaik) never been part of the Scandinavian cooperation. A vote for PES is a vote for EPP! A vote for EPP is a vote for PES! Support the coalition, vote EPP-PES in 2009!
Denmark's got trouble on the money markets. But so far it's just funny-money going away. It hasn't hit the real economy yet.
For all the doom and gloom (I plead guilty) we still have a "boom contraction" in the sense that we are still at full employment or the next best thing (compare: "growth recession" for when GDP is growing but employment is not). How long that will last is very much an open question, but the panic is limited to the punditry and the people who cut them their paycheques.
When unemployment starts going up or Danske Bank, Arbejdernes Landsbank, Nykredit or someone else on that scale gets into hot water, you may colour me scared. Until then... easy come, easy go.
- Jake If you only spend 20 minutes of the rest of your life on economics, go spend them here.
I.o.w., some of the Danish banks have been conned by pyramid scammers (including, I would claim, Mr. Fogh), but so far it does not appear that they have been actively pyramid-scamming themselves.
