On the 17th October 2010 I wrote the following
‘the Crisis is legally impervious to any standard solution to the problems it has created…
The intractable nature of the crisis is forcing nation states in particular USA, to devise new legal solutions to the problem.
These legal solutions are of a scale and complexity comparable to the privatisations of the Soviet economy after the overthrow of Soviet Russia. ‘
It is finally becoming apparent even to corporate commentators that a fundamental change is taking place in the relationship between financial institutions and the governmental structure. Through wilful obtuseness or sheer stupidity these dummies will continue the farcical process of trying to give a meaning to these developments through the existing framework of law. But gradually it will become undeniable that something fundamental has changed. Then a couple of years will be spent arguing over what the nature of that change is. And then finally, when there is no other viable option left the commentariat will be forced to agree with the position I laid out from the beginning. The only logical way to understand the new legal relationship between finance and government is to characterise the financial sector as sovereign money makers. But of course, by then it will be a done deal.