Greek Austerity Measures...

[Old Hack]

I like Germany. My wife was an army brat. She was born in BMH Iserlohn one of the British Army Of The Rhine army hospitals. Her father was an RSM with The Royal Welsh Fusiliers based in Germany at the time before he took a posting in Hong Kong where my wife lived from the age of 7 until she was 14.

Pretty much is a carbon copy. Born in Northern Germany (BMH Minden), British Army of the Rhine, Father RSM, then straight to Kowloon for 3 years, then Singapore. Then Colchester.......

Loved it all, well, apart from Colchester.

[russell]

The sentiment has changed now, and I think Eurozone will keep Greece in the Euro, they will relax the austerity to allow growth. It's far too risky to allow a Grexit.

[BlasterBates]

Sorry - but what is to stop them printing the bits of paper? Sorry if I am being thick.

Well the other countries would introduce a new Euro, because the Greeks would be printing money without their permission.

[BrilloPad]

The sentiment has changed now, and I think Eurozone will keep Greece in the Euro, they will relax the austerity to allow growth. It's far too risky to allow a Grexit.

And will Merkel get booted out at the next election?

[Doggy Styles]

I think the thing being said, is they defaulted, they're ok.

Greece could default, leave the euro, reintroduce the drachma, then do the same.

I know what you mean, but I was pointing out that the two cases are vastly different.

Iceland are a single small nation where the effects of their bank defaults were limited, and they were able to carry out a recovery because they had their own independent currency.

Greece is a larger nation, does not have its own currency to play with, and is deeply assimilated into the eurozone. Its problems directly affect many other nations, and leaving the eurozone will be a nightmare, which is why everyone is doing whatever they can to avoid it.

[Old Hack]

I know what you mean, but I was pointing out that the two cases are vastly different.

Iceland are a single small nation where the effects of their bank defaults were limited, and they were able to carry out a recovery because they had their own independent currency.

Greece is a larger nation, does not have its own currency to play with, and is deeply assimilated into the eurozone. Its problems directly affect many other nations, and leaving the eurozone will be a nightmare, which is why everyone is doing whatever they can to avoid it.

Can't grumble at that.

But once they do default, they do have the luxury of reintroducing a currency most of their population will be familiar with. I see similarities with Iceland, and Argentina, but you're right about it being slightly different, and it being a bigger game of cards than before.

[Doggy Styles]

Can't grumble at that.

But once they do default, they do have the luxury of reintroducing a currency most of their population will be familiar with. I see similarities with Iceland, and Argentina, but you're right about it being slightly different, and it being a bigger game of cards than before.

The advantage Argentina has is plenty of practice!

[Old Hack]

The advantage Argentina has is plenty of practice!

Indeed, but banks do still lend to it! Thats what I consider mad.

[DodgyAgent]

Sorry - but what is to stop them printing the bits of paper? Sorry if I am being thick.

You are taking my position, watch it!

Where do they get money to pay their bills if they havent got any Euros left? answer - they create their own currency and pay people with those which are effectively IOUs that can be traded within Greece.

[petergriffin]

And will Merkel get booted out at the next election?

There will be a Grossekoalition with Merkel still Chancellor but very weakened and Peer Steinbruck the effective economic leader.