As Argentina continues its battle with the ‘vulture funds’ preying on its economy, Dr Daniel Ozarow outlines how a ‘Plan B’ for Europe could protect the continent from illegitimate debt.
Each of recent history’s episodes of debt crisis have on the one hand raised popular consciousness about the unsustainability of national and household debt, while on the other exposed the internal contradictions of global financial capitalism such that they often also provide opportunities for multilateral actors to consider and even propagate greater regulation of the debt system. When national debts have become dangerously unsustainable, this has included cancellation in order for the system to save itself. For instance the Multilateral Debt Relief Initiative of 2005 provided for 100 per cent relief for the Heavily-Indebted Poor Countries by the IMF, World Bank and the African Development Fund and, recognising that Greece’s debt had become unsustainable, the IMF and Eurozone leaders agreed to debt restructuring in 2012.
‘Grotesque logic’
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Utopia, you are standing in it! 
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