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Title: 450-Year-Old Debt. Trillions Owed. Post by: elux on July 20, 2012, 10:48:33 AM The sleepy hamlet of Mittenwalde in eastern Germany could become one of the richest towns in the world if Berlin were to repay it an outstanding debt that dates back to 1562.
Quote A certificate of debt, found in a regional archive, attests that Mittenwalde lent Berlin 400 guilders on May 28 1562, to be repaid with six percent interest per year. According to Radio Berlin Brandenburg (RBB), the debt would amount to 11,200 guilders today, which is roughly equivalent to 112 million euros ($136.79 million). Adjusting for compound interest and inflation, the total debt now lies in the trillions, by RBB's estimates. Town historian Vera Schmidt found the centuries-old debt slip in the archive, where it had been filed in 1963. Though the seal is missing from the document, Schmidt told Reuters that she was certain the slip was still valid. ... http://www.cnbc.com/id/48236142 A different kind of debt crisis. :) Tangentially relevant: http://en.wikipedia.org/wiki/Benjamin_Franklin#Bequest Thoughts, discussion? Title: Re: Trillions Owed. But Will German Village Get Repaid? Post by: cbeast on July 20, 2012, 10:54:57 AM Perhaps they can rehypothecate that note and purchase the PIIG debt, thereby saving the Euro.
Title: Re: Trillions Owed. But Will German Village Get Repaid? Post by: repentance on July 20, 2012, 10:55:41 AM The sleepy hamlet of Mittenwalde in eastern Germany could become one of the richest towns in the world if Berlin were to repay it an outstanding debt that dates back to 1562. Quote A certificate of debt, found in a regional archive, attests that Mittenwalde lent Berlin 400 guilders on May 28 1562, to be repaid with six percent interest per year. According to Radio Berlin Brandenburg (RBB), the debt would amount to 11,200 guilders today, which is roughly equivalent to 112 million euros ($136.79 million). Adjusting for compound interest and inflation, the total debt now lies in the trillions, by RBB's estimates. Town historian Vera Schmidt found the centuries-old debt slip in the archive, where it had been filed in 1963. Though the seal is missing from the document, Schmidt told Reuters that she was certain the slip was still valid. ... http://www.cnbc.com/id/48236142 A different kind of debt crisis. :) Thoughts, discussion? How do they know the debt wasn't repaid? I doubt they have complete financial records for both the village and Berlin from 1562 onwards. I'm not sure why an historian would feel qualified to give an opinion on the validity of a debt. Title: Re: Trillions Owed. But Will German Village Get Repaid? Post by: BlackBison on July 20, 2012, 10:56:25 AM Perhaps they can rehypothecate that note and purchase the PIIG debt, thereby saving the Euro. lol. too funny ;D Title: Re: Trillions Owed. But Will German Village Get Repaid? Post by: Phinnaeus Gage on July 20, 2012, 04:15:06 PM The sleepy hamlet of Mittenwalde in eastern Germany could become one of the richest towns in the world if Berlin were to repay it an outstanding debt that dates back to 1562. Quote A certificate of debt, found in a regional archive, attests that Mittenwalde lent Berlin 400 guilders on May 28 1562, to be repaid with six percent interest per year. According to Radio Berlin Brandenburg (RBB), the debt would amount to 11,200 guilders today, which is roughly equivalent to 112 million euros ($136.79 million). Adjusting for compound interest and inflation, the total debt now lies in the trillions, by RBB's estimates. Town historian Vera Schmidt found the centuries-old debt slip in the archive, where it had been filed in 1963. Though the seal is missing from the document, Schmidt told Reuters that she was certain the slip was still valid. ... http://www.cnbc.com/id/48236142 A different kind of debt crisis. :) Thoughts, discussion? How do they know the debt wasn't repaid? I doubt they have complete financial records for both the village and Berlin from 1562 onwards. I'm not sure why an historian would feel qualified to give an opinion on the validity of a debt. It's a trick! If that debt were given considerable consideration, then afro-americans will start, once again, demanding that their debt be paid due to their grandparent's enslavement. If I recall my history correctly, they still want their 40 acres and a mule. Since the mule's is the white house, I wonder if they'll now settle for a hector of land, one bitcoin, and an alpaca. ~Cackling Bear~ |