Four British men, allegedly linked to al Qaeda, have admitted to planning an attack against the London Financial Center.
At the same time European politicians are mounting a concerted attack on the City of London, and the rest of Europes financial centers. And this assault is far more dangerous and more likely to succeed. The Bureaucrats of Brussels are putting together a new financial arrangement that is intended to save the economy of europe from collapse.
This entire crisis - that few fully understand and even fewer try to explain - is being used as a pretext for the apparatcthniks to grab more power for Government instead of solving the problem. The silver bullet of this plan, according to the social engineers of Brussels, is a Tobin tax on financial transactions. This tax is intended to limit "speculation" and will generate funds that the Government will use to create jobs. It really is the equivalent of the post-1929 crash protectionism that exacerbated the Great Depression! The financial markets will not stop - they will move their transactions to other markets and increase their bets to compensate for their losses.
But all this debate is smoke and mirrors. All the while politicians are repeating their mantra that it is the financial markets that created this crisis and that Government needs to seize control. Unless someone questions this paradigm the man on the street will believe it's all Wall Streets fault. The fact is everyone - consumers, banks, and especially Government - willingly participated in the the exuberant expansion that preceded the crash. It is Government that grew too large. It is Government that enabled the emergence of dubious financial instruments.
When will European politicians find solutions instead of new taxes? Maybe never...