When countries and societies get into deep trouble for one reason or another, hope is not always lost. Things can be done to reverse the situation. Take Iceland for an example...

Do you recall reading any news from Iceland?… why? How come we hear everything that happens in Egypt and get hourly reports on the political conflagration in Washington, but no news about what’s happening in Iceland?

In Iceland, the people have forced their government resign, the countries largest banks have been nationalized, it was decided to default on the debt that irresponsible bankers created with Great Britain and Holland as the result of their greed, and a public assembly has been created to rewrite Iceland's constitution.

And all of this in a peaceful way. A whole revolution against the powers that created the financial global crisis in Iceland. The steady but forceful way that the Icelanders got together to confront their problems and those that caused them, all in a peaceful way, doesn't appear to have been too newsworthy. What would happen if the rest of the EU citizens took this as an example? What would happen if the U.S. citizens took this as an example.

Here's a summary of Iceland's recent history...

First quarter of 2008. The same set of circumstances that caused the financial crisis in the U.S. had an even worse effect in Iceland. The country was bankrupt. Their banks had essentially shut down. Their economy ground to an almost standstill. The principal banks of the country had to be shut down or nationalized. Inflation was so high that Iceland had to formally devalue it's currency, and trading on the Icelandic stock market came to a complete halt.

Fourth quarter of 2008. The citizens protest in front of parliament, forcing the resignation of the prime minister and his whole government and forcing new elections to replace them.

The country remains in bad economic situation.

The old parliament had enacted laws requiring paying back the debt to Great Britain and Holland through the payment of 3,500 million euros, which was to have been paid by the people of Iceland monthly during the next 15 years, with a 5.5% interest. The total to be repaid amounted to over 10,000 Euros per person in Iceland, about $15,000 per person at the time. That would have amounted to almost half a year's pay for the average Icelander, almost $100 per month per person (U.S. equivalent), in addition to the normal taxes they are required to pay.

2010. The people demand a referendum on whether or not Iceland should default on it's debts. In March a national referendum is held and the denial of payment is voted in by 93%. Meanwhile the government has initiated an investigation to bring to justice those responsible for the crisis, and many high level executives and bankers are arrested. The Icelandic Interpol, under the authority of the newly-elected government, dictates an order that withdraws citizenship for the implicated politicians and bankers and forces their permanent deportation.

2011. A constitutional assembly is convened in February of 2011 to present the ‘carta magna’ from the recommendations given by the regional assemblies which had been formed throughout the country. A new Icelandic constitution is written, based heavily on that of Denmark. It will be ratified and adopted if approved by two consecutive governments.

So in summary, here were the high points of the short, effective and peaceful Icelandic revolution...

• The government was forced to resign and a new government formed.

• The banks and the financial system were nationalized.

• The people of Iceland voted on how the financial situation in their country should be resolved.

• The politicians and businessmen deemed responsible for the financial crisis have been either jailed or deported.

• A new Icelandic constitution has been written and is going thru the agreed upon process for it's ratification by the people.

All this has been accomplished in less than one Presidential term here in the U.S. It was done peacefully. And presumably, because of the almost complete absence of media coverage of the developments, the political commentators didn't think all this was too important.

Unless you were an Icelander, of course.

Hmmm, maybe there is a chance for democracy to work here.

One interesting observation to add.

In January of 2008, the exchange rate was just a hair over 60 Icelandic Krona to the US Dollar.

By January of 2009 it had spiked to 150 ISK to the dollar and was in the process of settling to a range of 110-130 where it still trades today.

2008

I would guess there is much, much more cohesion of Icelanders than here in the USA making what they did realistic to attempt and accomplish.

Here in the USA there are too many SPECIAL interests, lobbyists, minority groups including race that all have their own agenda. Much of it driven by what they receive from our currently broken system. Supported by incumbents who will in no way ever do ANYTHING to alienate their vote support.

I would definitely support such a revolutionary move, however, the chances for success are too close to zero. It would most likely involve true class as well as civil WARfare.

When one adds the entitlement folks to the lethargic, doesn't affect me do nothing Americans it makes the task eve more unlikely.

I hate to say it (again) but I will....today is the best we will ever have as a nation. The track record and trend points dismally to our future (what is left of it). Think what those who come after us will endure.

I am glad I came through life as a loyal, patriotic American when I did.

btk

You know bille you are right I'm kind of glad I'm on a short road. And anytime you mix so many different nationalities or groups of people this is the mess you end up with. Then again the size of this country doesn't help.

Originally Posted by DDoug

You know bille you are right I'm kind of glad I'm on a short road. And anytime you mix so many different nationalities or groups of people this is the mess you end up with. Then again the size of this country doesn't help.

I think both you and Billie hit the nail on the head...size, the difference etc, but I also am a bit taken back by VK reporting the investigation to bring to justice those responsible.

Can you imagine in this country if that were to happen ? Not only the firms but most of this administration has their roots on Wall St....THAT is one big difference.

i am not sure that defaulting on a national debt is very honorable...this leaves britain and holland holding the bag, doesn't it? i hope they will at least attempt to pay back principle....i would not like it if a friend did this to me.

It's kind of like any other bankruptcy when you think about it - someone is left with at least SOME worthless paper.

This video and others like it that I saw in 2009 are more telling of the societal changes and reactions that led to real change in Iceland.

Iceland's Economic Meltdown | Video - ABC News

....