This is what happens when a country's National Debt becomes larger than it's Gross Domestic Product. And, as a Quid Pro Quo to obtain financing from central bankers to forestall wholesale economic collapse, that country's government has to agree to reduce its public spending.
One aspect of that reduction appears when government-owned buildings, infrastructure and service organizations (i.e., things once owned by "The People") are sold to corporations or groups of "wealthy investors". Generally, these people are foreigners -- though not always (Look at Russia). This is "Privatization".
Buildings which were once government offices, or of historical interest, now become resorts -- which ordinary citizens can't afford. Also, those same ordinary citizens may have to pay for the services they once had for free, or pay more for them. Where once you had water at a nominal rate, now you pay more -- and the quality of that water may go down. The same with Electricity, Sewage, Garbage Collection...
It's like a fun game of Monopoly. All you have to do to play is be fantastically rich.
At the same time, large property sales will take place as the wealthy in the affected country try to find ways to liquidate their interests, and move their money elsewhere.
London's Financial Times website ft Alphaville, had an observation shared by a reader of something I expect will become, sadly, all too common...
Island Of Skorpios, Aegean Sea: 100 Million Euros ($126M US)
glentzakis | June 2 1:55pm | Permalink
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further on island sales, Joseph.
[[ Breathtaking Skorpios island, located in the Ionian Sea, has been put on the market by Athina Onassis, granddaughter of shipping magnate Aristotle Onassis.
It seems the Mediterranean paradise has lost its sentimental value for the 24-year-old heiress, who is no longer willing to pay the annual upkeep of 1.5 million euros.
The main contender to buy the island – which reportedly has a 100 million euro price tag - is Microsoft founder Bill Gates. Madonna and billionaire Roman Abramovich are also said to have shown an interest.
Athina's grandfather married John F Kennedy's widow Jackie Onassis on Skorpios in 1968. The island is virtually empty of inhabitants and visitors are forbidden, with guards watching its shores to prevent trespassers. ]]
Or visit: http://www.private...ine.com/greece.htm
Private islands, with guards (armed, presumably) to prevent trespassing. Roman Abramovich. Bill Gates. Madonna. Onassis' 24-year-old-heiress.
These are the kinds of people who matter. Wonder whether the United States will have to go this route? Perhaps some of our Hedge Fund Master Of The Universe Will buy Yosemite as their private vacation paradise -- you know, for backpacking trips with their kids.
Not your kids. Not our kids. Theirs.
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