Icelanders feel chill of banking meltdown

http://edition.cnn.com/2008/WORLD/europe/10/13/iceland.meltdown.ap/index.html


My Reactions:
It really shocked me when I knew the news of Iceland’s financial trouble. Iceland used to be the fourth place of high national income in the world and got the poll of “the most comfortable living area” last year. However, it has become one of the victims of the national financial meltdown because about 70% of its works are about banking. That’s the reason why the financial meltdown which was caused by America subprime mortgage crisis would have such severe impact.

It is a serious problem that what will we do if we encounter the problem? I think it’s not a good solution to borrow money from other countries. The foreign loans will become another big problem even if the country has passed the crisis temporarily. However, Iceland government borrowed about NT 176 billion dollars to overcome the difficulties. The other important strategy which the government should do immediately is to redeem people’s confidence to the administrations and themselves.

Unfortunately, it will be a hard time for Iceland residents. Now they are going to pay their debts of cars, departments, and so on, by the Icelandic currency which plummets. Some people describe the current situation almost like 911 again. It indicates that people extremely worried and anxious about their further life. In my opinion, the financial meltdown will keep causing other problems to different countries and Iceland just emerges first. It will definitely make another panics in the whole world.(240 words)