We ask. They give. We pay.

News. March 1 (Bloomberg) -- While the eyes of the world focus on Greece’s debt crisis, investors in Edinburgh are busy preparing for the U.K. to be next.

Sterling slid to a nine-month nadir against the dollar last week, trading at $1.52. Zurich-based UBS, the world’s second- biggest currency trader, predicted it could fall “quickly back” to $1.05 or below.

My Point. Slowly and steadily we are all paying for the excesses created in the past 50 years. It is not their fault. It is not the politicians who created this global multi-dimensional mess. It is not special interests. It is all of us. We want. We want more. Because it is our right.

Or so we think. Meanwhile, large corporations (GM, Chrysler,major financial institutions) collapse. It is the workers' right. We do not seem to know when to stop.

Then, the system cannot deliver, cannot meet all our demands. We look back, we see what we did wrong. The same people in charge struggle to find new solutions that will not work. Why? Because only the markets can clear the excesses.

The USSR, Greece, the UK, Spain, and Italy promised and gave. Centralized power controls the money. They control the purse. The little people will pay. Not those in power.

The markets eventually win. People will suffer and will continue to think it is them not all of us who created our current predicament. They will protest in the streets. They will break windows and fight the police. But they do not realize this is the time to pay the piper. Make no mistake about it. It is not if. It is when.

George Dagnino, PhD
Editor, The Peter Dag Portfolio. Since 1977
Ranked Top Market Timer in 2009 and 2010 by Timer Digest

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