Posted on 05/05/2010 6:58:09 AM PDT by Motherhood IS a career
The EU is stupid for agreeing to this bailout. It will simply encourage other PIGS to not clean up their own mess.
And THIS is the exact direction “O” and Co. would like to take America.
H E L L O ????????
They don't care. Economic turmoil and collapse are just a price to pay to achieve power. This is a power grab, not a financial complaint. As you've indicated, it's the communists and the labor unions that are rioting, and now murdering people. Gee...that's the primary groups behind the organization of the left in the US too.
Absolutely. It bails out bond holders stupid enough to lend money to a nation with bad fiscal habits. And, it siphons off capital that could otherwise be put to good use creating jobs. The problem is not Greece as you point out. The problem is the politicians trying to solve every one of the Earth's problems.
What’s so stupid about lending money to Greece?
Greek government bonds are yielding around 17%, which is a very good rate.
And you know that these bonds are back by the full faith and credit of the GERMAN government.
Seems like a win/win to me.
The market is telling you that there is a 1 in 6 chance of default. But don't let that stop you from buying.
And are we (and Canada) not paying part of the Greek bailout too? I believe so.
I think you failed to read or understand the second part of the response.
These bonds are backed by the “Full Faith and Credit of the GERMAN government.”
In the words of our beloved leader, Greece is “Too Big To Fail”. If the deluded dream of the Euro is to survive, Greece will have to be bailed out. And the only one that can pay the bill is GERMANY.
So it actually not a bad play. Get the high interest rate and in a default, the Germans will pay the note off.
What’s stupid about that?
DEAR morons, lets not be rude now. heh.
yes, via the IMF...
Not just Canada, but also the United States and most importantly Germany.
By week’s end, you’ll be seeing all the central banks kicking in to try to prop up Greece, so that the Euro can be salvaged.
But waiting in the wings, is Spain and Great Britain.
Buckle up kiddies, it going to be a bumpy ride.
Toss the greek turds out of the eurozone. Dismantle the IMF. Flush twice just to be sure.
“The EU is stupid for agreeing to this bailout. It will simply encourage other PIGS to not clean up their own mess.”
The IMF is in on this bail out too. So these are YOUR tax dollars at work.
If only that were the case.
But yeah, here’s a warm happy thought.
Pretty soon, the only viable solvent currency left will be the Chinese Yuan.
If the risk/return ratio meets your criteria, then go ahead and invest. I sold my national debt securities in 2008 and 2009 and have avoided significant losses. The economic theory in play is that when governments think they can get a bail out, then they are less willing to face up to fiscal reality. The choices they make with other people's money is different than the choices they will make with their own money. Nations such as Greece that think they can be bailed out will not make the internal changes necessary to put their economy back on track.
I am not arguing from a conservative ideology point of view. I am arguing from an economic standpoint.
Free cheese comes from God! Obama’s stash must be distributed fairly. If a tooth falls out and you put it under your pillow and the tooth fairy does not put a quarter under your pillow - throw yourself on the floor, kick your feet and hold your breath until you turn blue. Perhaps the tooth fairy will return. I do not think so. Greece is our future. There is not an industrialized nation that is not living beyond its means.
Back in the Good Old Days, northern Europe worked hard after WW2 and had money. Its population came up with the brilliant idea of going south every summer to Greece, Italy, Portugal and Spain (and France if you really had to). The reasoning was that these countries were poor, and consequently very cheap - and they had very good summer weather. Voila! -the perfect summer holiday (vacation for the Yanks).
Seeing all the wealth, those southern countries naturally said "I want some of that wealth." They raised their prices - a lot - and become Welfare States with very high standards of living. They did little else. Untenable position! It is now coming home to roost.
Greece is now messing up what little economic prospects it has in terms of tourism.
That said, this once again proves that not only is Socialism stupid, unworkable and immoral, it is actually dangerous. Because once the money runs out -- and the money always runs out -- either the welfarists riot as is happening in Greece and the government puts them down brutally, thus furthering the country along toward tyranny or the government preemptively starts killing millions to (1) preclude civil unrest and (2) reduce the number of mouths to feed.
What is the outcome here on the ground? Will this unrest "need" to be put down? If so, which government will do the dirty work?
Once again Socialist Utopia devolves into the worst kind of brutality. Not only do people lose their wealth in Socialism, the dynamics invariably lead to people losing their lives. I hope that is forestalled in Europe, but history has a way of repeating itself.
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