The elephant in the kitchen at the Camp David G8 summit, was the fact that the British Empire's entire trans- Atlantic financial system is in meltdown, with runs on banks already underway in a number of nations, accompanied by shrill calls for "unimaginably large" hyper-inflationary bailouts issuing from the mouths of London's freaked out policy-makers and financial elite.
One such banker quoted by the May 19 London Economist put it this way: "The typical thing with a bank run is it trickles and then it floods. The real concern is that you could have the dam breaking, first in Greece, but then elsewhere." The article mentions the reports of withdrawals late last week from UK Santander Bank, in that context.
The problem with Spain's banks is particularly urgent, the Economist notes in a second article, and they have to be "recapitalized" immediately: "One way might be to directly inject equity into the banking system using European bailout funds. Another would be to set in place some sort of European-wide deposit guarantee scheme or fund. Whatever is done, it should be done quickly," it urges.
With this elephant tromping around in the kitchen, the G8 leaders barely managed to cobble together a final communiqué which is a bunch of self-contradictory gobbledygook with something for everyone in it ("we are for both growth and austerity"), while signifying absolutely nothing.
The London Guardian comes closest to confessing the truth, when it reports: "Barack Obama and David Cameron have clashed with the German chancellor Angela Merkel at the G8 summit in Camp David, demanding she set out a clear path for Europe to emerge from its current crisis. The German leader resisted pressure for fresh measures that would include looser monetary policy for the ECB, enabling quantitative easing similar to that deployed by the Federal Reserve and the Bank of England."