An American Cyprus?

Cyprus is Europe’s original failure. It was the first part of modern Europe to be invaded and colonized by Muslims, while its native Christian population was ethnically cleansed. Cyprus is to Islam what Czechoslovakia was to Nazism; the canary in the coal mine warning of worse things to come.

Now Cyprus has wound up in the middle of the European Union’s meltdown as everyone scrambles to salvage what they can from an unsustainable system at the expense of everyone else. We are seeing the beginnings of bailout cannibalism as the Eurocrats manipulate entire nations into fighting each other. The real purpose of the deposit grab was to wreck Cyprus’s banking sector and continue the centralization of international finance.

The Cypriot government tried to salvage its banking sector by passing on the pain to ordinary depositors in one of those brutally unfair decisions that technocrats like so long as they have the early warning to opt out of them. While the banks were closed to ordinary people, there’s little doubt that plenty of insiders took the time to get their money out.

In Cyprus, the Russian elite looking for a safe place to put its money when the people turn on them intersected with a Eurocratic elite trying to eliminate safe harbors and cheap places to do business. And they all bumped into British senior citizens looking for a cheap place to retire and angry leftists with no serious economic plan, but a determination to overthrow the government.

Cyprus is the place we go to learn that everything is tangled up with everything else and that the only things left are blame to be passed around and money to be stolen.

Everyone is deep in debt and no one is going to pay up. And why should they? Southern Europe may have dug itself into a hole, but the Eurocrats ordering them to dig out were the ones who provided the shovel because it seemed like a good idea at the time. Debt was a profitable and useful political tool. It still is.

American Federalism was built on the Federal assumption of state debts. Obama’s two-term reign was built on massive bailouts used to consolidate power while reassuring the banks that they would be taken care of. The National Debt is headed into 17 trillion dollar territory because that too is a useful political tool. Driving the debt to the point where it can never be repaid is meant to transform the entire way we do business and spend money. And it’s working.

Cyprus was a dirty little demonstration that you can kill two birds with one stone by giving a desperate government two impossible choices. And despite all the reassurances, there is no real reason to believe that it will stay in Cyprus. If anything the last few days have demonstrated how effective that particular tactic is. And once the money has fled Cyprus, the demonstration will be considered a success.

The problem with Europe, as with the United States, is that you can only assume so much debt and failure. German bankers may profit from pressing Cyprus depositors, but the German people are still in hock for far more than they should be. Similarly New York bankers and California Green tech entrepreneurs may be making money from the last four years, but their actual cities and states are deep in debt and floundering.

The European Union’s interlinkage makes as little sense as tethering some of the most productive states in the United States to the least productive states. The sort of thing that outrages Europeans has long been taken for granted by Americans.

The two-term kleptocracy now in office was elected on an explicit pledge of wealth redistribution, but the process of moving money from healthy communities to unhealthy communities, from bad cities to good cities and from bad states to good states, has been underway for a while.

Detroit, a city where hardly anyone bothers paying property taxes, has finally gotten an emergency financial manager, but there’s no real reason to believe that the people sticking it out in Motor City who don’t pay their bills, but do collect government cash, are going to change.

Someone else is going to have to bail them out because Detroit is too big to fail, even though it has already failed, because the United States is too big to fail, and the United States is too big to fail for the same reason that the EU and the new Chinese capitalism are all too big to fail. Everyone is invested in everyone else and no one can afford for anyone to fail; unless it’s small outposts like Cyprus that can be safely looted by the big boys.

But the real question is how long it will stay that way. For now everyone subscribes to the myth that a recovery is here and that all the really big investments that depend on working countries are safe.

China pretends that America isn’t being run by lefty professors-for-life with worse math skills than manatees and America pretends that China’s economy isn’t one giant Potemkin village maintained with currency manipulation and slave labor. Everyone pretends that everyone wants to be in the EU, despite a pesky refusal to hold actual referendums on the topic (and ignoring those that have been held) and also pretending not to notice all the money in the EU budget that can’t be accounted for.

All this is Cyprus and Greece, but on a much bigger scale.

Whether or not other governments and their banking systems begin looting consumers as crudely as the Cyprus scheme attempted to do; loot them they shall. And they will hit the middle class, because that is, as a famous bank robber once said, where the money is.

The left likes to pretend that removing the middle class will make room for some clean regime of the oppressed. What it will actually do is remove the citizenry with enough power and wealth to keep government in check and replace it with beggars and rebels who depend on government subsidies while hating the government. If you want to see what an extended bout of that looks like, you can travel to the Middle East. These days you can try Europe as well.

Eurocrats fancied that the Arab Spring meant that the Muslim world was finally catching up to Europe. It’s the other way around. These days Europe is catching up to the Arab Spring and not just because of the wave of Muslim colonists spreading across its shores. European countries are losing the vestiges of democracy and bouncing between unelected technocrats and elected extremists.

The Brotherhood phenomenon is not foreign to Europe. Not when Athens is tilting to the Golden Dawn and Italy’s new power broker is a leftist comedian whose sole virtue is that he hates it all. Eventually the far right or the far left will get its ducks in a row and make a serious play for power and the Eurocrats will either be caught flatfooted or will be forced to invalidate elections.

That is one more reason why American liberals should not be too proud of the Obama machine. What looks shiny and clever in 2013 may take on a whole different appearance as the malaise drags on and an angry jobless generation looks to get its payback and paychecks by voting for anyone who screams the loudest.

Beating Mitt Romney was no great achievement. Neither was beating McCain. But at some point the government-media complex of social welfare and crony capitalism will go up against an angry populist with an agenda and an organized movement, from the right or the left, and then things will get properly ugly.

The establishment has no plan except to continue doing its thing while pretending that nothing is wrong. It can’t fill the hole in the boat so it bails in more water from the ocean and calls it investment. It’s a madness that will begin nearing its end once people are standing outside banks demanding their money back.

And that is as true for the United States as it is for Europe.

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  • Nesime

    Daniel Greenfield seems more like a clueless Islamaphobe to me. Firstly, he should understand Cyprus's history and who was really ethnically cleansed (this being the Turkish Cypriots, which lead to the Turkish army intervening into the movement made by the Cyrpiot Greeks labelled 'Enosis'). Secondly, Turkish Cypriots as well as mainland Turkey are not extreme Muslims, hence I do not understand why he would even concentrate on this matter for his field of study. People such as Daniel Greenfield do not understand Islam, nor do they try to- as the word Islamaphobia suggests, they fear it. People tend to fear things they do not understand. It may be an idea for Mr Greenfield to educate himself on the religion of Islam, as an intelligent scholar would before writing articles that are not factual, are racist and as well as bias.

    • Paul Weston

      Nesime, Daniel Greenfield has a very good understanding of Islam, as evidenced by his well researched articles on the subject. Are you seriously suggesting though, that the more we know about Islam, the LESS we would fear it? Surely you have this completely upside down? Those who really know about Islam fear it greatly, whilst those who know little are naively fearless. I think you might be a bit of a twit.

      • Rostislav

        As I see, this fashionable "islamophobe" brand is rapidly becoming the second-loved (after "racist") label among the left – it's hard to understand just how could we survive until now without so priceless brands as "Naziphobe", "gulagophobe" or, say, "mafiaphobe"? Shame on our lack of progressive inventiveness! Rostislav, Saint-Petersburg, Russia

        • Alvaro

          Correct. It puzzles me, however, that the left who has always been against religion, (opium for the people, anyone) mocked, ridiculed and despised Christianity now all of a sudden has the deepest respect for Islam, the Taliban, the Muslim Brotherhood and just about any thugs hating the West.

      • ywh

        Paul Weston the twit: You should not try to understand anything you may seriously hurt yourself. EDL?

        • Drakken

          If you side with the muzzys, your the enemy period.

        • Paul Weston

          ywh, thanks for your thoughtful, well researched and erudite response. You do the entire left/liberal goup a tremendous service by engaging with educated adults on this site thereby revealing your deeply intellectual political discourse. Please keep commenting, the subject matter is depressing but your input at least enables us to quietly chuckle. Keep em coming ywh!

          • Mary Sue

            says the guy that has only done the wrong kind of research at all, obviously.

          • Mary Sue

            oops was replying to ywh, clicked wrong tab. sleepy.

    • Edward Cline

      Nesime: Cyprus was invaded by Arabs (Muslims) in the 7th century. Until then, from the 5th century, it was under the aegis of the Eastern Roman Empire. Byzantium signed a treaty with the Arabs to co-govern the island, an arrangement that lasted about 300 years. In the 10th century, after some misadventures with usurpers and Richard the Lionhearted and the Crusaders. It eventually became a British Crown colony. In 1960, the minority of Turkish Muslims on Cyprus obtained a political advantage through a rather foolishly contrived constitution. Turkey invaded and occupied the northern part of Cyprus in 1974. This has been the root of conflict between the Greeks and Muslims ever since, exacerbated by UN and EU interference (seeking another "one state" of the island). The island remains partitioned between Turkish Muslims and Greeks. Attempts to unify Cyprus with Greece have failed and were scuttled by the Turks. As for Daniel's "Islamophobia," I think he has plentifully documented the reasons why he and anyone else should fear Islam.

      • ywh

        Edward Cline you are not only an ignorant, you are a liar too. Almost everything you said about cyprus is false. First, there is no Cypriot people but "Greeks and Turks." So called greeks are mostly hellenized arab christians from levant. Most of the turks are also arabs and anatolian turks. Ottoman turks leased the island to the british for their alliance against russia after the crimean war between Ottomans and russia. Turkey invaded the island after a coup by the fascist greek eoka partizans whom are your kind. Now, you go around lying on things about Turks. Obviously you have an issue with them. That makes you a racist ignorant troll.

        • Drakken

          You muzzys sure love to throw out the race card, you turks continue to devolve by going back to islam, ole Attaturk is rollingin his grave.

    • rbla

      There has been no greater force for ethnic cleansing in history than Islam. From Morocco to Pakistan Muslim conquerors have destroyed and buried every pre-Islamic civilization. Your country Turkey is a prime example. Turks may have a hard time acknowledging this but many of their own ancestors were Greek and Armenian speaking Christians. Through mass enslavement including the harem system and concubinage and to escape the effects of the oppressive jizya and other disabilities imposed on them by Sharia these people “Turkified” and converted to Islam and totally forgot about their ancient cultural traditions. Until they acknowledge their own history the Turks will never become a modern democratic people. Ataturk’s attempt to modernize Turkey by concocting a mythological “Sun” people history has failed and now islam is back.

    • Mohammed Abdel


      Who is clueless? Tell you what. Go to Southern Sudan, a place where they are not white, not right & not Anglo Saxon.

      Stand in the town square of the capital city & go thru your spiel.

      You leftist and/or Islamofascist lies will be repaid in full.

    • Drakken

      A muslim telling us infidels that we don't understand islam and all it's bloody history, I would laugh if it wasn't so deadly serious.We infidels are on to you savages and everytime you use the words racist,bigot, islamophobic, you make us infidels despise you even more, so keep up the good work muzzy, for you are going to feel our collective wrath sooner rather than later and nobody is going to care how peaceful you say you are, for us infidels are simply not going to care.

      • Crystal Ball

        Nagasaki…..Hiroshima ……..Mecca

    • ywh

      Nesime do not visit this site lest you loose respect for jewish people. People here are the worst of its kind: jewish and christian supremacist bigots.

      • Drakken

        You muzzys deserve every bit of our absolute disgust, there wll be more coming soon enough.

      • Rostislav

        Whoever we may be, your advice for Nesim is 100% right – and, by the way, for yourself too.

      • Mary Sue

        as opposed to bigots like you who hate Jews?

    • jmz

      Nesime- islam is the religon of cowards, rapists and general filth of the world. its clear that a simple mind like your canot grasp this. and are probably nothing more than a filthy child raping islamist as well. please take your spineless prohet mohammed (piss be upon him) and go away. islam will burn. and i cant wait to light the match ! DEATH TO ISLAM!

  • AdinaK

    Oh yeah, America is indeed next, and this is no small matter. As an American-Israeli my fortunes are tied into the viability of the dollar, as well as the stock market and all its volatility. So, yes, there is a personal dog in this arena.
    That being said, although it will first appear differently, its essence will be the same. Therein, the following is also more then "food for thought" –

    Doing all I can to protect my assets, others should do the same. But the basic chaos will affect most, regardless how hard they try. However, the leaders and their surrogates, have insulated their fortunes. Rest assured.And the Radical-in-Chief's "private army", via "mama Janet's" shopping sprees, is not for nothing –

    Adina Kutnicki, Israel

    • Elishawah

      Dear Adina,do you really want to "yeda" whats fixing to happen…. I am

  • Adam

    By the time the government is taking money out of US banks, the money will be worthless. At that point it will be better to have stockpiled food, water and guns instead of cash. The doomsday preppers do not seem so crazy anymore.

  • Virginia

    Nesime clearly has no idea what Islam means, or is a troll. I live in Euproe and am well aware of the reverse colonization — the islamic "Hidshra" (emigration as a form of "soft" Jihad) that is going on here. Erdogan said himself "there is only one Islam", "I am the Imam (islamic political and religious leader of the Turkish state) of Istanbul", and "I am the servant of Sharia". Turkey is only one player in the game, but its intentions are far from what our pipie-dream version of Islam would lead us to expect. I recommend doing some reserach. Read the Koran in the a translation from the original Arabic; read the Cairo Declaration of Human Rights, which is in effect law of the land in Irak, for example, which claims to have a Western constitution; listen to refugees who are women or religious minorities, and listen to apostate Muslims who daily fear for their lives.

    I think Daniel Greenfield has otherwise given us a very astute summary of the global financial situation. And I'm looking forward to reading his new book!

    • guest

      I totally agree with you virginia.

    • Randy CA

      Don't call it reverse colonization — that assumes normal, unmodified colonization is something that only Europeans do to others.

  • pierce

    If Obama had his way he would be reaching out to every man, woman, and their children's bank accounts, and taking 10%, or maybe 20% to finance his destroying of the American economy, and the American way of life, just so he can give it back to the "never want to work Fluffs" and "ne'er do wells", and there are a ton of those kind of people hanging out on every street corner.
    Beware America, beware!!!!!!!!!!!!!!!!!!!!!!!!

  • Drakken

    You have forgot one rather important point in your article, the Russian factor, and by that I mean those Russians are not going to let the Cypriot pols or bankers take their cash, for if they do do, those very same pols and bankers and theirs families lives will be forfeit. The Russians play by a whole different set of rules and they don't play period. The Oligarchs and mafia if you cross them will go to the ends of the earth to find and deal with those who stole from them, for they neither forgive nor forget. So I will bet my next paycheck that those very same bankers and pols had a nice chat with guys who speak Russian were were told what would happen to them if they took their money.

  • BLJ

    I am still looking for one positive achievement that Islam has fostered. Been looking for years. Odds are I wil never find it.

    Conclusion: Islam is worthless.

    • RUI

      Done that way ahead of you. My conclusion is to spend your time better… sorting socks or something.

  • Crystal Ball

    Islam is worse than worthless: it is a negative drain. It is a minus.

    • ajw

      As are all religions: negative drains on the economic, intellectual and social lives of the majority of people, at the service of the of the economic élite (i.e. the stinking rich), who allow the priests some crumbs from their tables.

  • WatcherOntheWall

    "The establishment has no plan except to continue doing its thing while pretending that nothing is wrong. It can’t fill the hole in the boat so it bails in more water from the ocean and calls it investment. It’s a madness that will begin nearing its end once people are standing outside banks demanding their money back.

    And that is as true for the United States as it is for Europe."

    I have heard progressives state on cable news, " We are not out of money, we do not have a debt problem."
    I heard a conservative radio show that stated, "this will never happen in the U.S., as we are not in the E.U." The establishment fears a run on the banks, thereby invading/liquidizing their investments, so they 'pretend' all is well to the little people.
    The U.S. is not in the E.U., correct, but, we are a part of the NWO. Coming to a neighborhood near you!

  • hikerdude

    Nesime , buy a burka and move to Fallujah.

  • Enders Shadow

    Whilst much of the article is helpful, it's ignorance concerning the development of the Chinese economy makes it suspect. The reality there is that the Chinese are fast forwarding through the process of industrialisation that took the West most of two centuries, in the course of which its economy would have looked very similar to the Chinese at the present. Yes, there has been some currency manipulation, which has allowed the Chinese to raise millions out of grinding poverty more quickly than would otherwise have been the case. But the transition to a modern, prosperous society is one that we should be celebrating, not whinging about; it is the ideal which the American example has long pointed – why should we now object when others start to achieve it?

  • slider 96

    NO , "we're not next " Daniel . And for one very simple reason . We are not Cyprus . People around the world are still buying US Bonds , and if the idiots in Washington ON BOTH sides of the aisle don't manage to get our credit rating downgraded by their inability to reach any consensus , US Bonds are/and will be a safe place to park your money .That's the most glaringly obvious . We are not being bailed out by the E.U.or The World Monetary Fund .We WILL bail ourselves out and we as a Nation will all pay for it one way or another no matter the Conservative/Republican/Tea Party or Democratic whining . Oil around the Globe is STILL purchased with US Dollars , regardless of what the Saudis threaten . The US has at its disposal the means to dig ourselves out , more so than any other nation on Earth . Like it or not there WILL be a compromise on Revenue and Taxes . The Reality is , that no one will have it all their way .

  • john

    What ever god you trust in will fail – if not the one true God . Money , Politics , Power , Religion – so many false gods .

  • Kevin Stroup

    Really, so I cannot understand what islam is to the world judging it by its actions? I cannot judge islam by the ideology that it states within its text? You are the clueless idiot. I know a threat when I see one.

  • slider 96

    And you cannot write a coherent sentence . Money is the god of the Tea party ,although TPers would have you believe that they are the devout-est of christians ,as they pontificate to and judge everyone else aside from themselves .

  • Mickey mouse

    Slider, do you know just how dumb you are?