Greek Prime Minister Tsipras Screws The Pooch

Townhall.com, Reuters PHOTO ^ | June 28, 2015 | Mark Nuckols

[Vaduz]

Socialism once again leaves it’s mark.

[OttawaFreeper]

The Soviet Union and East Bloc died...thump...the Soviet Union and East Bloc died...thump...the Soviet Union and East Bloc died...thump...the Soviet Union and East Bloc died..

[Jack Hydrazine]

Related:

ECB Freezes Greek ELA, Varoufakis Tells BBC “Looking At Imposing Capital Controls, Closing Banks”
http://www.zerohedge.com/news/2015-06-28/varoufakis-tells-bbc-looking-imposing-capital-controls-closing-banks-ecb-freezes-gre

The Greek Butterfly Effect
http://www.zerohedge.com/news/2015-06-27/greek-butterfly-effect

Eurozone Rejects Greek Bailout Extension: All Bailout Programs Expire On June 30, Referendum Moot
http://www.zerohedge.com/news/2015-06-27/eurozone-rejects-greek-bailout-extension

[PAR35]

Grexit would actually benefit Greece in the long run. With return to the Drachma, Greece would boom as a low cost tourist destination. Ordinarily, fuel purchases would be the major issue, but Vlad will probably be willing to subsidize that in exchange for a friend in Europe.

Germany will be hurt by the Exit, as the Euro will increase in value without the drag of Greece. That will cut into German exports. That’s why Merkel has been fighting for a deal, and why the Greeks figured they had her in their pocket. It’s LaGarde that’s been holding the line with the Greeks, for reasons that aren’t entirely clear - perhaps just the old French - German rivalry.

[AnAmericanAbroad]

A good analysis, I’d say. If Tsipras is counting on all manner of chaos and panic in the EU, he’s badly mistaken.

Quite a few of my English-language students work in the international finance sector, and the general consensus is that Greece has been effectively contained; the fallout from a Greek default would be limited.

One of them, an accountant, she ran the numbers and noted that a Greek default would cost Germany $1 billion per year for the next 40 years.....and while that sounds like a lot, she reminded that German GDP is about $4 trillion per year.

One billion? Like she said, “The German government spends that much on toilet paper every year. They won’t miss it.”

[moovova]

"...Greece will hold a national referendum on June 5 to approve or not the relief package Europe is offering."

They'd better hurry...

[Nextrush]

I look at the Greek situation this way.

Greece has a lot of debt because of its socialist system and the corporate elites, banking elites, political elites of the EU want to take over and control Greece so the debt owed to them can be managed.

THE KIND OF CORPORATE ELITES, BANKING ELITES AND POLITICAL ELITES THAT ARE SHOVING AMNESTY, OBAMACARE, TRADE DEALS, COMMON CORE AND GAY MARRIAGE DOWN AMERICA’S THROAT ARE TRYING TO HOLD GREECE BY ITS THROAT.

WHOSE SIDE SHOULD I BE ON?????????

I’ve had it with the corporatists and maybe the only way to stop is for the Left and Right to join in a national unity government.

RINO Pro-Corporate Elite media stress the Leftist leadership in Greece but don’t tell you that the Greek government includes the “Independent Greeks” who are conservative and anti-EU. The Greek Defense Minister is a conservative member of the “Independent Greeks” party.

The Leftist Prime Minister and Rightist Defense Minister are supporting the fight against the EU.

In this country we will end up like Greece some day with those crony capitalist elites demanding we pay up.

What will we say then?

I SEE THE CORPORATE ELITES, BANKING ELITES AND POLITICAL ELITES OF THE UNIPARTY AS THE ULTIMATE ENEMIES OF ALL HUMANITY RIGHT NOW AND IF GREECE CHOOSES TO FIGHT THEM, WHY SHOULD I GIVE A .......

[KarlInOhio]

I think that it is inevitable that Greece will default and leave the euro. Even if this deal is made then things will crash the next time or the following time. If your gangrene isn't healing then it is better to have the amputation today rather than wait for the loss of more tissue.

I've read that Greece's original application for joining the euro was a complete fraud and they were in no way close to meeting the fiscal requirements to join. That should serve as a warning for any who want to form a North American monetary union. Both the United States and Canada could be harmed by fiscally irresponsible neighbors to the south.

[gingerbread]

It doesn’t matter whether these LIBERALS, SOCIALISTS and COMMUNISTS are Greeks, Europeans, Americans or any other country, the fact that their way of governing will never work has never entered their minds. All of them believe that if they just just “TWEEK” it here and “TWEEK” it there, it has to work. Their biggest come on, is they will “GIVE” the people all the money they need to live, as long as the people keep electing them. The only ones to blame are these very stupid people that voted them in.

[Flick Lives]

Screwing the pooch? Isn’t that up next on the SCOTUS docket?

[bert]

good job

[aMorePerfectUnion]

pejorative and biased article.

Greece will leave. It will be traumatic. They will begin to recover, putting the lie of Brussels out for all to see. Others will follow.

[gaijin]

Putin might soon lose a Navy base in Syria so maybe his friendliness to Greece has the goal of establishing a substitute Navy base there..?

[bert]

no, there are not corporate elites, there are corporations

corporations are the economy. corporations provide everything especially income

the enemy is liberalism and liberals. if the liberals are gone, there can be good life

[Kozak]

Not so fast....

"And 2% of GDP is a substantial sum. If we scale that up to the US economy that’s around $340 billion. We’re not talking about chopped liver here. Imagine President Obama going on TV and announcing that the US is going to give $340 billion to some foreign country (this is substantially more than all US aid to all countries in any one year). Or, more pertinently, imagine a politician who doesn’t like Obama going on TV and announcing that Obama has just given $340 billion to some foreign country." Then add in that a number of those countries are currently poorer than Greece. Slovenia, Slovakia, Estonia for example. Now try to measure the political lifespans of people who say, right, we’re going to give $340 billion to people richer than we are."

[InvisibleChurch]

Tourism is 17% of their economy. Basing your economy on what guys did 5,000 years ago is no sane model.

[VanShuyten]

The reason to doubt this analysis is found here:

“... toss out Tsipras and Syriza, pick up the pieces and begin the hard work of transforming Greece into an honestly run, economically stable, fiscally sound country. I believe they will, and when they do, and elect a responsible government....”

That’s nearly the definition of magical thinking.

[Steely Tom]

Very funny. From one of the comments deep inside the Zero Hedge article:

Clarke and Dawe - European Debt Crisis.

[AnAmericanAbroad]

Fair enough.

Looking at the chart, I didn’t realize that Slovakia has so much exposure - more than Germany in percentage to GDP terms.

No wonder the Slovaks are steamed about this!