Considering all arguments they will pay. They can't make isolated. They are 300k weak, cmon. This is just posturing for a better deal nothing more.
Well pretending that they don't pay what is the future for them...? The country/government simply won't be able to borrow or they will be able to borrow at very high "junk" rates. Their currency will more likely than not be worthless. Which raises an interesting question... If you were an exporter would you want to accept their currency as payment? More importantly how would people be able to get their hands on "hard currencies"? This scenario is typical of "failed economies" in "Third World" countries. Granted, Iceland isn't the Thirld World but something similar will probably happen if they can't get access to credit. As for lenders doing business with Iceland based on "assets" what are the guarantees on those "assets"? What if you try to "collect" those assets and they refuse to deliver? Again, we run into the same problems. Iceland has a lack of credibility...
of course u would accept their currency since it is not a blocked currency. it trades. if u don't want to hold it u will sell it into the market. if u don't want their currency u could also insist on payment in some other currency.
Yes the Romans went into Scotland and could have easily razed the entire territory into the ground if they had wished to do so. The Romans got soft at the end. Hadrians wall was built because he found there was nothing in Scotland he needed and wanted to keep the scots/picts out of Romes territories.
http://www.nytimes.com/2010/03/03/business/global/03pound.html?ref=business&pagewanted=print the shoe is about to fall the foot of the UK sooner than later.
iceland shrugs off the uk and netherlands "Voters in tiny Iceland defied their parliament and international pressure, resoundingly rejecting a $5.3 billion plan to repay Britain and the Netherlands for debts spawned by the collapse of an Icelandic bank." http://www.forbes.com/feeds/ap/2010...is_7413405.html
Yes, very well said... but i would add just a wee bit of a minor change to make it even betta... "Risk should not be <b>Illegally</b> taken out of financial transactions <b>by</b> government fiat. now its perfect...