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Greece Falls Into 'Death Spiral': Rising Debt, No Growth
cnbc ^
| Monday, 3 Oct 2011
| None
Posted on 10/03/2011 7:05:53 PM PDT by MontaniSemperLiberi
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Greece's debt could not have gotten so high except that they don't print their own money. They could raise interest rates and find additional euro's all across Europe. If that wasn't enough, their creditors would give them a bit more.
Even with that opportunity the game is up. Their debt increases all on it's own. It's gone exponential.
To: MontaniSemperLiberi
2
posted on
10/03/2011 7:07:33 PM PDT
by
ClearCase_guy
(The USSR spent itself into bankruptcy and collapsed -- and aren't we on the same path now?)
To: MontaniSemperLiberi
over 40% work for the government.
3
posted on
10/03/2011 7:08:21 PM PDT
by
ken21
(ruling class dem + rino progressives -- destroying america for 150 years.)
To: MontaniSemperLiberi
All the Asian Markets are down again tonight.
Look out..
4
posted on
10/03/2011 7:09:54 PM PDT
by
mylife
(The Roar Of The Masses Could Be Farts)
To: MontaniSemperLiberi
This just in, socialism doesn’t work.
5
posted on
10/03/2011 7:10:17 PM PDT
by
Patrick1
("The problem with Internet quotations is that many are not genuine." - Abraham Lincoln)
To: MontaniSemperLiberi
A nation of addicts is about to run out of crack cocaine.
6
posted on
10/03/2011 7:10:32 PM PDT
by
lurk
To: ken21
50 million Americans are retired on Social Security and don’t work for the government.
To: MontaniSemperLiberi
Drowning in red ink, [INSERT NATION HERE] has nowhere to turn to revive the economic growth that might put its debt on a sustainable trajectory, reassure angry foreign creditors and offer hope to its recession-weary citizens. "Death spiral." Now there's an interesting term. Sort of what one might expect to happen to a culture of death.
8
posted on
10/03/2011 7:16:07 PM PDT
by
the invisib1e hand
(...then they came for the guitars, and we kicked their sorry faggot asses into the dust)
To: MontaniSemperLiberi
Greece Debt spending is 10% of GDP, the real economic standard is down 12.3%, meaning Greece is yet another country in a prolonged economic depression. That level of deficit spending is never sustainable, and the problems are incredible - you might get away with it for a single year, but you then add to the core government commitments of spending - covering that deficit spending plus the interest on that debt. Two years, and you’re cutting out social programs just to service the debt. Four years, and you’re drowning in debt.
The choice is difficult, but real - If Greece tomorrow tore up all the debt, they’d still be in heaps of economic trouble, as they’re adding to their deficit in huge numbers each and every day. All that would happen with debt forgiveness is the need for it to be repeated over and over again.
9
posted on
10/03/2011 7:17:02 PM PDT
by
kingu
(Everything starts with slashing the size and scope of the federal government.)
To: the invisib1e hand
![](http://www.oocities.org/eastlakeskate/death-spiral-475.jpg)
That would be Greece on the Left.
10
posted on
10/03/2011 7:18:36 PM PDT
by
ClearCase_guy
(The USSR spent itself into bankruptcy and collapsed -- and aren't we on the same path now?)
To: MontaniSemperLiberi
If we don’t clean house (White and otherwise) we will be here very very soon.
We ran out of fun money a long time ago. Will we learn this lesson? Sad to think that this is people’s lives going down the toilet.
11
posted on
10/03/2011 7:19:56 PM PDT
by
King_Corey
(www.kingcorey.com -- Twitter @KingCorey_Com)
To: MontaniSemperLiberi
I remember discussing this with a friend a couple years ago saying Greece would fall into a death spiral (we can call it "Charybdis" to sound more classical) and that we'd follow. The problem is that people will not acknowledge the depth of the problem and will support no serious action to fix the debt. Eventually the economy tanks (I mean really tanks!), and the dying economy makes the problem worse. When Greece falls and then other European countries fall, it'll push us over the brink and we'll tear down Asia.
On the bright side, once we hit bottom, there is no where to go but up. Until then, work on your foraging, gardening, and home defense skills.
To: MontaniSemperLiberi
13
posted on
10/03/2011 7:22:50 PM PDT
by
ken21
(ruling class dem + rino progressives -- destroying america for 150 years.)
To: MontaniSemperLiberi
I hear they haven’t fired a single government employee.... when do they try “austerity”??
14
posted on
10/03/2011 7:25:05 PM PDT
by
GeronL
(The Right to Life came before the Right to Happiness)
To: kingu
If Greece tomorrow tore up all the debt, theyd still be in heaps of economic trouble, as theyre adding to their deficit in huge numbers each and every day. All that would happen with debt forgiveness is the need for it to be repeated over and over again. Precisely. I have been trying to explain that to some people. It is mathematically impossible to bail out Greece as long as spending exceeds real and potential revenue. And it is a guarantee that isn't going to change.
15
posted on
10/03/2011 7:26:20 PM PDT
by
ChildOfThe60s
( If you can remember the 60s....you weren't really there)
To: MontaniSemperLiberi
Coming to America soon. We are on the edge. When do we step off, next stimulus package?
16
posted on
10/03/2011 7:27:07 PM PDT
by
RetiredArmy
(EVERY knee shall bow and EVERY mouth shall say: Jesus Christ IS LORD!!!!)
To: ClearCase_guy
17
posted on
10/03/2011 7:28:13 PM PDT
by
ctdonath2
($1 meals: http://abuckaplate.blogspot.com/)
To: ElectronVolt
Try this on ‘em:
Total US+European debt is $23,000 per person. Each individual did not agree to the debt, and gets nothing for it...but your name is on the bill, due process is over, and the repo man is coming. What to do? Ink or lead?
18
posted on
10/03/2011 7:31:52 PM PDT
by
ctdonath2
($1 meals: http://abuckaplate.blogspot.com/)
To: MontaniSemperLiberi
I think the IMF and ECB now only have once choice: write off around 40-50% of the Greek sovereign debt and immediately start a four to six month process to get Greece out of the Eurozone, including time to have Greece go back on the drachma as their own currency. That country was already in poor financial shape to start with before entering the Eurozone, and getting out will allow the ECB and IMF to concentrate on saving Spain and Italy, two countries that under the right reform can produce their way out of their debt problems.
19
posted on
10/03/2011 7:34:16 PM PDT
by
RayChuang88
(FairTax: America's economic cure)
To: ClearCase_guy
And Germany on the right.
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