Quote:
Originally Posted by Flagg
I don't know, I've got mixed thoughts on the problem.
The EU, particularly Germany, extending so much additional debt to a country woefully unable to repay it certainly bears SOME responsibility doesn't it?
A bit like a bank loaning $1 million unsecured to a crackhead, and holding the crackhead's kids responsible. That's not responsible lending.
No one seems to talk about how much German pension fund money was/is stuck in Greece before the GFC chasing higher returns(which did not justify the higher risk).
I'm not trying to obviate the need for Greeks and their government to conduct massive reforms as it's pretty clear you can't live a lifestyle like the rich and famous and pretend to be in the wealthy western club...........growing olives and taking in some tourist money.
But lenders have moral/ethical/legal responsibilities as well.
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I'm not convinced Greece will exit the Euro.....as I think it would destroy Greece's ability to import investment capital it so desperately needs.
China doesn't invest in Greece for olive oil and holidays. China invests in Greece as a gateway into the EU to dump it's products throughout the EU
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I remember the days of Greenspan......and all the spook hero worship.....I wonder if he'll develop the reputation of a "financial Kissinger" some day?
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This isn't one crack head, it's an entire government, voted in by it's people, ergo most of that country is to blame. If the lenders lose their money so be it, its a simple lesson.
Just wait until America goes bankrupt because of liberal spending..... the entire world will suffer for that.