Reply to: Greece risks 'return to drachma'

[DodgyAgent]

whs +

whs +++++++

[scooterscot]

The one slight flaw in your reasoning is this idea that the € was imposed on them. It wasn't.

whs +

[DodgyAgent]

I think there is a very strong case for the finances of the EU to be run by CUK.

[doodab]

Fair enough. I will even go so far as to say that they even cheated to get into the EURO

And there I think you have hit the nail on the head. They had already got themselves in a bit of a mess, they should never have been given access to the € bond market and allowed to make it worse.

Goldman Sachs are partly to blame for that I believe.

At some point Greece will have to pay up for its swap transactions, and that will impact its deficit. The bond maturities range between 10 and 15 years. Goldman Sachs charged a hefty commission for the deal and sold the swaps on to a Greek bank in 2005.

http://www.spiegel.de/international/...676634,00.html (sure we've all seen this before)

[DodgyAgent]

The one slight flaw in your reasoning is this idea that the € was imposed on them. It wasn't.

Fair enough. I will even go so far as to say that they even cheated to get into the EURO

[amcdonald]

I thought one couldn't polish a turd?

Ahem

[Churchill]

Not the UK, we're skint without any help from our neighbors.

Up yours Delors.

I did say "most" I was also referring to Eurozone countries though, my mistake.

[gingerjedi]

You could substitute Greece for most of the countries in the EU that aren't France and Germany.

Not the UK, we're skint without any help from our neighbors.

Up yours Delors.

[doodab]

What the Torygraph appears to be saying is:

So the Germans and French impose a single currency upon Greece thus forcing up prices and more importantly costs of manufacturing in the Greek economy. The German banks then lend the Greeks money to buy their manufactured goods which have now become competitive with Greek manufactured goods. The Greek economy burdens itself with debt which it cannot pay off by trading its way out of trouble (because the value of its currency cannot fall) or by stopping borrowing (it cannot raise interest rates). The Germans and French then have to lend them money to pay back their debts and then get all arsey about having to do so.

Of course to the average idiot Europhile it is not an argument simply because it has been published by the Torygraph.
I reckon Milanbenes still believes the Euro as being nothing more than an end to the sh*g factor of having to exchange money when holidaying abroad

The one slight flaw in your reasoning is this idea that the € was imposed on them. It wasn't.

[Churchill]

So the Germans and French impose a single currency upon Greece thus forcing up prices and more importantly costs of manufacturing in the Greek economy. The German banks then lend the Greeks money to buy their manufactured goods which have now become competitive with Greek manufactured goods. The Greek economy burdens itself with debt which it cannot pay off by trading its way out of trouble (because the value of its currency cannot fall) or by stopping borrowing (it cannot raise interest rates). The Germans and French then have to lend them money to pay back their debts and then get all arsey about having to do so.

You could substitute Greece for most of the countries in the EU that aren't France and Germany.

[DodgyAgent]

What the Torygraph appears to be saying is:

So the Germans and French impose a single currency upon Greece thus forcing up prices and more importantly costs of manufacturing in the Greek economy. The German banks then lend the Greeks money to buy their manufactured goods which have now become competitive with Greek manufactured goods. The Greek economy burdens itself with debt which it cannot pay off by trading its way out of trouble (because the value of its currency cannot fall) or by stopping borrowing (it cannot raise interest rates). The Germans and French then have to lend them money to pay back their debts and then get all arsey about having to do so.

Of course to the average idiot Europhile it is not an argument simply because it has been published by the Torygraph.
I reckon Milanbenes still believes the Euro as being nothing more than an end to the sh*g factor of having to exchange money when holidaying abroad

[Doggy Styles]

So what is wrong or incorrect about the Torygraphs analysis?

I was just wondering the same thing.

The current situation has been predicted by eurosceptics for 20 years, so is it a case of europhiles shooting the messenger?

[DodgyAgent]

Honestly the torygraph is really beginning to wind me up these days, nothing more than a polished version of the daily mail.

Only the barclay brothers stand to gain from the collapse of Greece.

So what is wrong or incorrect about the Torygraphs analysis?

[gingerjedi]

Or they could sell Corfu for x billion Euros...

We should sell the Channel Islands to Germany for x billion Euros, they seemed quite keen on them not so long ago.

[alreadypacked]

Ah you got me.