Eh, what's a Trillion?

Europe has thrown some bandaids on the problem by tossing up a giant financial bailout, a sweeping rescue package, emulating the US 2008 bail out. It was announced by Europe and eased the fears of an immediate market collapse. But will it work?

The big rally that started yesterday in NY has already fizzled out in Asia. Well, wasn't that fun?

Despite a nearly $1 trillion financial commitment for its ailing members over the weekend and paved the way for the European Central Bank to begin purchases of European debt on Monday.

Bank consolidation of power. And as details main component — a promise by the European Union’s member states to back 440 billion euros, or $560 billion, in new loans to bail out European economies — they're solving a debt crisis by taking on more debt. They're building more cards

“Lending more money to already overborrowed governments does not solve their problems,” Carl Weinberg, chief economist of High Frequency Economics in Valhalla, N.Y., said in a note. “Had we any Greek bonds in our portfolio, we would not feel rescued this morning.”

Such concerns may be part of the reason the euro fell back when American markets opened, after surging in Asian and European trading, to end the day at about $1.28.

It is clear that Europe’s fund will require the sustained support of the 27 nations that form the European Union — not to mention its richest member, Germany, which has until now deeply opposed a bailout.... and anyone else who spent like a redneck with a winning lottery ticket, but didn't get theirs.

The package is merely a commitment for the vehicle to borrow money if a large economy like Spain, which represents 12 percent of the output in the euro zone, asks for assistance.

The International Monetary Fund is pledging 250 billion euros to support the effort. Sixty billion euros under an existing lending program pushes the total to near $1 trillion.

The fund is therefore more a theoretical construct than the Troubled Asset Relief Program that was created in the United States, and that is where things get sticky.

If Spain came to a point where it could no longer finance itself, interest rates would be on the rise. The several hundred billion euros for the fund would not only come at a high cost, but would bring additional pain to already indebted countries like Portugal, France, Italy and the United Kingdom, which plunges them into further debt.

And, why would anyone tighten their belt now?

“It shows that Europe can come together,” said a banker with close ties to the fund who was not authorized to speak on the record. Though it takes the pressure off Spain, “it does not address structural pressure in Europe.”

In effect, Germany and other wealthier European countries are assuming responsibility for the creditworthiness (or worthlessness) of Greece, Portugal and the other debt delinquents.

How's that European Socialisim working out for you guys? Really, I'm not European, I don't plan on being European, so who gives a crap if they're Socialists? They could be Facist Energists for all I care, it still wouldn't change the fact that I don't own a car. Not that I condone fascism, or any ism for that matter. Isms in my opinion are not good. A person should not believe in an ism, he should believe in himself. I quote John Lennon, 'I don't believe in Beatles, I just believe in me.' Good point there. After all, he was the Walrus. I could be the Walrus- I'd still have to bum rides off people."