The European Union pledged on Monday to protect people's savings and maintain financial stability while Washington urged a more coordinated approach to the worst banking crisis in nearly 80 years.
Amid criticism of a fragmented EU response, French President Nicolas Sarkozy issued a statement from the 27 member states saying individual countries would do all they could to safeguard the financial system.
"Each one of us will take all the necessary measures to ensure the stability of the financial system," Sarkozy said.
Emphasis added by me.
This is what desperation looks like in action:
Sweden became the latest European Union country to act, with the government saying it would expand bank deposit guarantees and the central bank raising the amount of loans offered to banks.
It followed Germany's pledge on Sunday to guarantee private deposit accounts, a move which spurred similar action by Austria and Denmark. Ireland issued the first such guarantee last week.
Emphasis added by me.
That's to prevent capital flight.
First Ireland, then Germany, then Sweden, now Austria and Denmark too. Oh yeah, throw Greece into that pot too.
You can go call up a map of Europe and see who's left. Before the end of this week, I think every EU member state will have the same guarantees in place.
It won't help.
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