Europe, Selling out the Future to fight Russia

Jan 03, 2023

Yesterday, the UK announced that they will top off what citizens have to pay and instead will have the government pay for it and then have the government pay the producers. This seems like a bad idea because it will add debt to their country which they know their current major demographic will not be able to pay and who the next major demographic will be straddled with.

The end result being no one in their right mind would purchase or loan any amount of money to europe because the ability for europe to repay by taking on a debt on their economy is a bad deal.

The Europeans are moving the money they borrow to the same pool of money they will use to pay pensions. This means that one their own current generation pays the price by socializing the price of energy across everyone and second the next generation loses too because they will be on the hook for paying this down.

The end result of this is that there is no way to trust the European countries and the measures they will take to sell themselves to go against Russia. In a measure it is a lose, lose situation anyways.

For a US investor this just means one thing. The Europeans are borrowing money to fight Russia that they have no intention of repaying.

Because of this the only thing to do is to pull out completely from the Europe. No one can do this completely as every company has exposure shut any company that has major exposure in Europe will be paying a price with a weaker long term currencies.