Creators and casualties of complexity: why banks are eurozone’s fault line [BBC]


The familiar expression that springs to mind is “what goes around comes around” or, in Biblical terms, perhaps befitting the scale of the problem…

“as you sow so shall ye reap”

However, please note the deliberate use of the term “casualties” rather than victims. Because, the ability to socialise the losses renders citizens as the VICTIMS!

Here’s the lethal chain of causality: banks have found it harder to borrow because of their big loans to the likes of the Italian, Spanish and Portuguese governments, and because of fears these governments will struggle to repay their debts; but if one or more of the banks were nationalised, the perceived liabilities of these governments would increase; and that in turn would erode confidence in the ability of other banks to repay what they owe; and so on, till no institution in the eurozone is seen to be sound. Read more of this post

When Will the Euro Collapse? Around Q3 2013


This blog, from our Corporate website, reinforces what we are gradually accepting (I think!?) but puts a timeline on it. However, the most important aspect is the ability that Ontonix deliver, to measure complexity and robustness to such an extent. This is not some overpriced, part quantitative part qualitative, “opinion” but a 100%, objective, quantitative analysis of Publicly available macro-economic data. the full article is here.

Exactly one year ago we published a blog warning that the Structural Resilience of the EU economy had decreased from “Low” to “Very Low”, reaching dangerous levels, at which contagion becomes very likely. In that blog the situation was depicted as in the figure below: Read more of this post