Posted on 07/07/2015 2:44:01 AM PDT by RoosterRedux
There are no “good” options for now to end this Greek tragedy. It’s best for Greece to take the least bad option, which would be forced bankruptcy. Let Greece go bankrupt. And then let this once rich nation, hit the restart button to rebuild its economy.
What I’m suggesting for Greece is what we might call the Detroit option. Put Greece under receivership and let these new authorities figure out how to manage the debt and decide who will take a hair cut – pensioners, bond holders, welfare recipients, government workers, the IMF. It’s tough love, but it’s the only way out.
I can already hear the heart palpitations of the Wall Street investors. This option puts them in the fetal position wit the thumb in the mouth. They worry about the entire world economy collapsing as creditors flee the sovereign debt of one nation after another – Spain, Argentina, Venezuala, Puerto Rico, Portugal - with obese welfare states, leaky pension systems, and declining tax collections.
But every option is worse. For six years the brainiacs at the International Monetary Fund and the European Union have devised one bailout and debt restructuring scheme after another. None of them have worked. They have only saddled the Greek citizens with even more long term debt that can’t be paid back. Greece is now sitting on $350 billion of debt. Its unpayable and the international monetary experts are deluding themselves into believing that by some magic stroke, this nation of 11 million citizens will some time in the future come up with the funds to repay it.
(Excerpt) Read more at foxnews.com ...
He’s right. He’s not talking about the political side of this, but the financial one. His point is that eventually the whole thing will collapse, no matter how many people delude themselves into believing otherwise.
The one thing I am sure of is that the next step for Greece will not include more individual responsibility or more individual freedom. Whether they try to mirror Obama's particular brand of evil, follow Britain's Labour party and their left wing, or go back to an old failed pattern, they will never increase freedom or shrink government.
Absolutely correct.
[and many young people will never figure out that the money that supports socialism only comes from people who work.]
Actually we print 42% of it.
I think that waas how it worked in the past; now young people will embrace socialism because many realize they have no economic future. They look at what the McJobs today will provide (not much), and they want more; if you told them they were taking it from other peoples’ paychecks they wouldn’t bat an eye.
If only this were true. The global media is invested in the Socialist / Welfare State and will find a way to blame “austerity.”
Greece was never a rich nation. They just lived a rich life for awhile on borrowed money.
Moore is usually pretty smart. Apparently he took a stupid pill before he wrote this.
We’re headed in that direction and if it doesn’t happen in the next 18 months, well have good ole Bernie doing the same thing. I’ve been told Sweden and Norway are doing fine.
Actually we print 42% of it.
I should have been more precise and used the word "wealth" instead of money. While money can be printed (and the more of it is printed, the less valuable it is), wealth is only created through labor.
Greece is a sovereign nation. There is no way it can be forced into receivership administered by an outside authority.
The Greek riff raff voted 60% for ending the bondage of Europe. Being Greek trumps being European
If Greece finds a vendor for gasoline there is no real problem
“How exactly do you put a sovereign nation “under recievership”? Do you intend to invade and appoint new rulers?”
...and with what? The Polish Calvary is too busy holding their swords up to Moscow in a show of strength.
Nope, a lot loud words, but in the end, Europe buckles - there is NO WAY they will let Greece leave. If they have to bring over Euros in unmarked tanker trucks, they’ll do so, but they WILL NOT let Greece leave - they’ve worked their entire lives to unify Europe, they are not about to let some two-bit country in the south end it.
Wow Greece actually made Detroit look good in that article.
On all the liberal websites, they are blaming the bankers and the politicians who put greece into debt.
LOL
How DARE those politicians take the country into debt to continue to pay for the demands of the welfare leeches !
Actually, the big losers are the Greeks who voted socialist.
Socialism, as usual, will just put on a different dinner jacket and reappear somewhere else to be tried the “right way”.
I’m guessing here, but the idea that Moore is trying to put forward is that Greece would agree to some type of receivership as part of a plan to get any more loans. I don’t think he is saying it’s going to happen, I think what he’s saying is that is what he thinks should happen.
Incidentally, I love this term they have now when depositors in banks get their life savings stolen from them by the government such as what happened in Crete. They call it getting a haircut. That is the worst haircut I have ever heard of!!
... and decide who will take a hair cut – pensioners, bond holders, welfare recipients, government workers, the IMF ...
The riots begin promptly at noon-ish.
I would not conclude that yet, as I am not sure that Greece is not going to get away with this.
Some damage to world stock markets, a threat of Russian naval bases in the Mediterranean, an emerging global debt cartel,l the death of the elitist EU dream....I think there’s at least a 50-50 chance that Germany and the West eventually cry “uncle”.
Sadly, most in the media and the general public will blame the banks, and since banking is an essential function of capitalism, the blame will be placed squarely on capitalism, which puts profits before people.
It’s a facile argument and nothing but sophistry. However, it has proven effective time after time.
The reason this argument is so effective is that the proximate cause of the crisis is that the banks have this pesky insistence upon timely payment of interest and principle. Nobody really enjoys payment of such, so banks are not particularly well-liked institutions. Compounding the problem is the fact that the banks knew these were bad loans when they made them and that they could only be serviced by government coercion of taxes from the productive sectors of the economy. The banks are, in fact, bad guys in such crises. However, from beginning to end, the banks are acting as agents for government rather than entrepreneurs in a free market.
And Greece is out of dough...and they still have the audacity to say no to the EU because of austerity measures.
I am hoping the EU comes down on Greece hard. Greece needs a boat load of tough love.
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