How Quickly It Falls Apart
Iceland, not a nation known for political instability, may be in serious trouble:
Considering the devastating effects they experienced, the people of Iceland reacted to the economic crisis with relative calm in the weeks following the collapse of the krona and the failure of the country’s three major banks. Yes, there were rushes on grocery stores, and a black market for foreign currency sprang up through classified ads. Some even participated in protests on weekends. Still, there were no reports of unrestrained chaos.
Now, over three months after the banking failure, Iceland’s government has collapsed in reaction to mounting dissent. Geir Haarde, the Prime Minister, stepped down today after his party failed to meet the demands of the Social Democratic Alliance, its coalition partner.
Mr Haarde’s resignation comes amidst significant turbulence. Last week, Iceland experienced its first violent rally in decades, with police using tear gas for the first time since 1949.
There is a pretty major difference between America and Iceland…
…our problems are far larger than theirs.