Tuesday, March 26, 2013

Will Cyprus Force you to Hide Your $ Under the Mattress? (VIDEO)

Max Fraad Wolff, New School University, joins Thom Hartmann. Cypriot officials finally agreed to new bailout terms with the EU and IMF this morning that staves off the island's exit from the Eurozone - for now.

The new plan provides the $10 billion in funds needed to prevent financial collapse but hits large depositors - those with more than 100,000 euros in their savings accounts - with as much as a 30% levy.

While the new bailout lacks the most controversial aspect of last week's plan - the tax on all accounts below 100,000 euros - it still maintains the principle of depositors paying for the banisters mistakes.

And even scarier - we still don't know whether or not the Cyprus fiasco was a test-run for the EU's new austerity strategy - or just a one-time mistake.

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