Posted on 08/08/2013 11:44:56 AM PDT by ScaniaBoy
This from the ECB's monthly bulletin today:
The youth jobless rate in Greece has just reached 64.9pc.
Little to add. This is pure policy error. Europe has needlessly pushed the whole EMU bloc into a deep double-dip recession, and the longest unbroken contraction since World War Two.
(Excerpt) Read more at blogs.telegraph.co.uk ...
AEP is corrrect when he likens the EU policymakers to the generals at Verdun, Somme, Passchendaele. sending their youth straight into the barbed wire. Then, 100 years ago, it had a terrible continuation 30 years later. What will this gruesome policy give birth to this time?
But of course the European leaders blame..........the US! "You can only laugh or cry" as AEP exclaims.
If the Greeks were only brave enough to adopt real socialism, instead of the watered down version they have now, they would have real prosperity.
My personal theory is that the normal recession/high interest rates to normal/moderate to low interest rates cycle has been interrupted by the Fed putting borrowing rates near zero. People are not saving money because saving pays nothing and without savings to pump money in the bond market, the Fed is just digitally printing money and “buying” T-bonds.
At least as prosperous as Cuba or the average Iron Curtain country.
Conditions are marvelous in Cuba. Everyone drives American collector cars. All of their health care is free, when it’s available, and they don’t have all of the unnecessary modern frills like MRI’s or non-invasive procedures.
“...they don’t have all of the unnecessary modern frills like MRIs...”
That’s only because of the Yanqui Imperialist trade embargo on the People’s Island Paradise.
Otherwise, they’d have all that hi-tech s**t...
The Man is grinding them down!
IMHO, the Euro deserves most of the blame, in this instance.
Before the Euro, the Drachma would have risen or fallen, against other currencies, based on its relative performance. With the Euro, one of the main instruments of monetary-policy has been taken away from Greece, and other member nations. Britain kept the Pound, and their central bank. The British economy is thus able to find its own level, relative to the Eurozone. Greece does not have its own central bank, nor its own currency; therefore it can’t make those adjustments.
Yep....everything you said. When they took all that bailout from the Germans, I am sure the string that was attached was that they don’t drop the Euro. Had they done that and went back to the drachma they would be in way better shape by now IMO>
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