Reply to: The PIGGS spring has begun?

[minestrone]

I just do not know how we have got ourselves into this position again with Germany. Suppose it is the Germans. They all seem to be nice reasonable people individually but collectively they are fruit loops.

[Platypus]

At the end of the day the Germans have caused this by their desire to control all of Europe.

Interesting. speaking to some German colleagues, they believe that the German's have caused this by their desire to NOT control all of Europe.

(i.e. that the Union and the Euro will bring people together and ensure we don't have another war)

[Sands of Time]

I've just returned from Madrid.

I know why Spain is broke...

EVERYBODY smokes all of the time.

The WHOLE population spends most of their working day outside on the pavement chatting...

I now have a passive smoking cough!



Tone

[AtW]

They will be able to buy all the imports they need as their currency will be more attractive so they will attract more tourists.

"Greece attracts more than 16 million tourists each year, thus contributing between 18.2% to the nation's GDP in 2008 according to an OECD report.[102] The same survey showed that the average tourist expenditure while in Greece was $1,073, ranking Greece 10th in the world"

Source: Economy of Greece - Wikipedia, the free encyclopedia

$1k spent per tourist, this means they need to get approximately 36 mln extra tourists every year to make up fo rnearly 40 bln difference between imports and exports, that's more than 2 times more tourists they get every year.... now if they have weak currency it would mean tourists won't actually spend as much as before, say $500 and this means they now need 72 mln extra tourists

[suityou01]

We should all have gone bust 10 years ago instead of making it worse with smoke and mirrors.

I think in the old world order this much is true, however in the new scheme of things, and to quote Max Keiser, the world is run by financial terrorists. Profiteering from others suffering (Greece exiting the euro will be extremely lucrative for those short) is a moral cancer that is endemic. Greed is what fuels the machine, and going bust 10 years ago can't and wouldn't have changed a thing I'm afraid.

[TimberWolf]

We should all have gone bust 10 years ago instead of making it worse with smoke and mirrors.

[BrilloPad]

I was torn a new one on here not 6 months ago for suggesting this was a possibility.

You should have used your sasguru account instead.

It is impossible for a weak ccy to leave - only for a strong ccy.
Better still, euro will split into 2 blocks - Northern led by Germany and Southern led by France.

[suityou01]

According to well informed rumours (Max Keiser) Germany will eventually exit the Euro itself.

I was torn a new one on here not 6 months ago for suggesting this was a possibility.

[BrilloPad]

So, it's ze German's at fault for Greece importing far more than exporting?

Exports:
$26.64 billion (2011 est.)
Imports:
$65.79 billion (2011 est.)

Now imagine Greece exits euro and have their own currency, what will happen then?

Well, they will still be making $26.64 billion in exports, problem is that they won't be able to afford to buy all the imports because their currency will certainly tank, this would cause far far bigger damage because they won't be able to afford fuel and lots of other essentials traded in dollars.

They will be able to buy all the imports they need as their currency will be more attractive so they will attract more tourists. However, the Greeks have had a great 10 years - they voted to join the Euro knowing this and they could eventually get Germant to pick up the pieces, so its all Greece's fault.

According to well informed rumours (Max Keiser) Germany will eventually exit the Euro itself.

I here that from my German friends, they want out of the Euro ASAP.

Then Germany will have to have a competitive currency. They need the Greeks and the other PIIGS. Its all Germany's fault. Plus they have form - someone was telling me the other day about something I had never heard of before called WW2. Apparently Germany wanted to run not just Europe but the entire world. How would have believed it? Still at least WW1 was not caused by Germany trying to dominate Europe.....

[Paddy]

According to well informed rumours (Max Keiser) Germany will eventually exit the Euro itself.

I here that from my German friends, they want out of the Euro ASAP.

[petergriffin]

Greece WILL exit the Euro eventually.

According to well informed rumours (Max Keiser) Germany will eventually exit the Euro itself.

[AtW]

At the end of the day the Germans have caused this by their desire to control all of Europe.

So, it's ze German's at fault for Greece importing far more than exporting?

Exports:
$26.64 billion (2011 est.)
Imports:
$65.79 billion (2011 est.)

Now imagine Greece exits euro and have their own currency, what will happen then?

Well, they will still be making $26.64 billion in exports, problem is that they won't be able to afford to buy all the imports because their currency will certainly tank, this would cause far far bigger damage because they won't be able to afford fuel and lots of other essentials traded in dollars.

[BrilloPad]

Yes and if only Greece exited euro, all would have been so peachy.

Greece WILL exit the Euro eventually. And the later it is the worse it will be.

However this Greek guy made a mistake. He should have gone to Germany and started shooting then topped himself afterwards. At the end of the day the Germans have caused this by their desire to control all of Europe.

[AtW]

Yes and if only Greece exited euro, all would have been so peachy.

[TimberWolf]

Things are presumably going to get ugly here too.