Skip to comments.What really caused the eurozone crisis? (diagrammed)
Posted on 12/22/2011 7:17:42 AM PST by decimon
World leaders probably spent more time worrying about the eurozone crisis than anything else in 2011.
And that was in the year that featured the Arab Spring, the Japanese tsunami and the death of Osama Bin Laden. What's more, 2012 looks set to be not much different. But as eurozone governments hammer out new rules to limit their borrowing, are they missing the point of the crisis?
(Excerpt) Read more at bbc.co.uk ...
The same things that caused it here.. and for the same reasons.. extending the welfare state and buying votes. The potential difference in how we respond vs Europe will come from the fact we have a Constitution that compels us in the right direction. They do not have any such limitations on government so any solutions they pursue will invariably be Fascistic and isolationist. It there’s a bright side to a ten year perspective on Europe, it could be the end of tolerating mooslime immigration.
SOCIALISM --------------->UNSUSTAINABLE DEBT
Uhh...Trick question, right?
Lessee...rampant socialism, political "correctness", draconian rules, fiat money, unstainable borrowing, fraud, abuse, and a willingness to blame "somebody else".
What these people need to do is impose more rules.
let me get this right, the cost of sovereign debt in spain has spiked because of private sector debt??? Reallly??
Wonderland (and the US, ftm, just not quite yet) is in its current situation because it has morphed over time into a drunkard who has spent the rent on his favourite booze, in this case the cradle-to-grave welfare state, and is now reduced to begging passers-by for the amount of his next monthly cheques.
The cut spending/don't cut spending dichotomy presented in this silly article is woefully misrepresented. The assorted nations in Wonderland will simply have to reduce spending or they will collapse into themselves. The only variable here is the time frame for collapse.
The article is useful for one thing, though: it demonstrates that promises -- any promises -- from any goobermint about responsibility in spending are utterly void on their respective faces. 3% deficit-to-GDP cap? What cap is that? We know we promised, but circumstances have changed, so we will just ignore our promise.
It's difficult to say who is more complicit in this fiasco, the assorted incompetent, feather-pated politicos or the (evidently) incompetent bankers and central bankers who presumably should have known better and pulled in their horns years ago. This isn't nuclear physics after all; one cannot spend more than one earns, world without end -- sooner or later (usually sooner), the bill comes due.
Happy social unrest, Wonderlanders.
We’re at least starting to see some lip service on your point about immigration. Unfortunately, it seems to be just that. How many no go zones does a country need before lip service turns into something concrete?
Yeah, but what about EUROPE?! :-)
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