Iceland's government collapses

This is a very bad sign.. And I am afraid it's the start of worse to come. No matter how much Obama borrows from the world bank to bail out America.

Everyone has to pay up sometime. China, UK, everyone is borrowing from the world bank, just where does it get all the money? I don't know the answers, but it does make sense that we cannot spend money that we don't have, and the "plan" that he house just passed sounded like mostly crap. And we won't see anything from it for like 2 years. At least. Terrible.

All right everyone needs to relax. Stuff like this happens all the time. It happened in Canada in 2006, and in Belgium, Austria and Italy in 2008. Collpsing governments just mean that new elections are needed. It happens when the minority group of a parliamentary government withdraws support for the majority group. The prime minister can't get enough votes to get anything done, so he steps down. With Iceland's economy in its state, who can blame them?

Honestly, people need to study politics more.

I wonder if this will make tourism more affordable there, thus helping their economy?

You can thank W & his cronies in part. The evidence mounts for their trial while we're left with the tribulations.

bad thing global warming is not speeding up their country cause they could have many industries *cough oil* if it thawed out quicker lol

Iceland is not to blame. It is happening all over. The more peripheral the country (read POOR) the more they are affected by the worldwide collapse of credit (read MORTGAGE DEBT). All reserves have been depleted, and we have the Bush govt to thank for deregulating the financial market and the investment banks that resulted in the market crash. We now have so many defaults on single family homes in the US alone, they cannot keep up with the stats. Vacant Single family homes are 18% of total homes. Worse than the great depression.

I really feel for the Icelandic families who are now riddled with troubles. They've joined the list of "Things the International community needs to help."
Can't say their a high priority, though.

Bjiork will be the new Queen.

"It emerged that the country's banks, which had amassed debt during years of rapid expansion, owed about six times the country's economic output."

Well now, that's never a good situation.

It's atrocious what's happening to Iceland and fuck Gordon Brown for hanging them out to dry and condemning them rather than helping them out.

I wonder if anyone would have even cared about what is going on in Iceland were it not for the fact that Sigur Ros comes from there.

I guess we have mostly Sigur Ros to thank for our Iceland-conciousness...

Oh man! Iceland was like my favorite Scandinavian country. their environmental policies worked like a charm. Obviously not their economic policies.

More like SCANDAL-Navian!

The world bank and fiat money are the root cause. Then the US market packaged up their worthless mortgage/debt securities and sold them to the suckers all over the world. Not the US government (which failed miserably at oversight) but unregulated finance markets (worldwide) that created the domino effect

"It emerged that the country's banks, which had amassed debt during years of rapid expansion, owed about six times the country's economic output."

Uhh... how much debt is our bank and country in? I lost count after 9 trillion.

One word- Fuck

Iceland is green and Greenland is icy. Therefore i should be the president of Iceland.

Was it the American government that caused the global domino effect?

Oh God, not Iceland!!!

does that mean that Iceland is under total anarchy right now?

It won't happen that way in the USA. Parliamentary governments sorta work this way, forming a government happens all the time after ministers are elected, its not like a revolution per se.

It'll be interesting (albeit rather depressing) to see what happens to Iceland over the next few years.

I doubt that this will happen in America. The government has its place more firmly here than in Iceland, where social and ecological interests are greater than the business and government interest.

Oh my.

Americans should pay particular attention to this as we may be next.

What would a Viking riot look like?? Breakout the axes and broad swords and take back your country Icelanders!

Political leaders have to be accountable for the issues that occur during their leadership.

Resignation was the only option, but does this leave Iceland as a rudderless ship?