Banking Debt: $120billion
Banking debt/person: ~$400,000
Outcome: Iceland either lets the banks fail, or it takes on a massive national debt and promptly defaults, or its trading partners are going to have to allow it to deflate its debt (of course I'm sure that the Netherlands, Germany, UK and USA have lots of spare cash)
not a great set of options...
the question is: can other countries remain solvent? and how long before the IMF has to start propping up countries? of course since they sold most the gold they will have to use.... (wait for it) US government and corporate bonds. Truth is stranger than fiction.