greece default

I heard earlier that Greece is definetly going to default on its debts. What impact do you expect to see on the euro currency and Italy, Ireland etc?

inb4 jews, turks, albanians and ww3 theories.

going to sell asses overthere!

You're going to see exactly how tied into Greece major American, French, German and Spanish banks are.  They all went in over there when Greece was working its way into the EU and now have no way out and a ton of exposure. S&P, for all its faults, has started downgrading major US banks b/c it has an idea of how deep the Greek problem is, who's tied to it and how quickly they'll sink when Greece defaults and tells all creditors to take in drachmas or take it in the pooper.

they will def take it in the pooper either way. the fucking bankers rigged the system. heads they win, tails we loose.

The worst that'll probably happen with Greece is that it might get kicked out of the Eurozone and go back to using its old currency for a while. This isn't the end for Greece, nor is it the end of the Eurozone.

greece's default must not occur. Greece's debt is by far larger than Lehman Brothers'.

Some people said, "The government should let Lehman Brothers go bankrupt." But the Lehman collapse triggered off the global recession. (The major cause of the recession is the lie that the world economy would fall into the second Great Depression.) world stocks fell sharply in August. The major cause of the plunge is the fear that Greece may default. If Greece defaults, stocks will fall more sharply. European banks will suffer great losses. The fear that other European countries may default will intensify. The world economy may fall into a recession.

Greece's public debt is about 150% of GDP, Italy's 130%, Spain's 70%, America's 100%, Japan's 220%, and Britain's 90%. But only several Eurozone countries are in the critical situation, because the ECB does not save them.

The ECB is independent of Eurozone countries' governments. But they can choose its president and members. An inappropriate man was appointed president, so they are confronting with great difficulties. Draghi is scheduled to succeed Trichet on November 1. It will not be a along time before we know whether he has common sense. The ECB has to change its policy and buy large quantities of Greek government bonds. The EU and the international community can put pressure on the ECB.

The size of the EFSF will be increased. It will be able to save Greece, but may not Italy. If it can borrow money from the ECB, it can save any countries.

Some people say countries which overspent should be punished. Almost every country increased spending and the national debt after the Lehman collapse. And they overcame the recession. They did the right thing. The ECB, Germany, the EU and IMF forced Greeece to implement harsh austerity measures. They should be blamed. The Greek economy was in good condition until 2007. But it has been contracting. Revenues decreased, so the national debt is increasing. Greece has to stop implementing austerity measures. It should reduce the defense budget drastically, but spend much money to grow the economy.

What grows the economy is the government's policies. Spending cuts lower the rate of economic growth. Austerity measures are contrary to the wisdom of the human race. China and India increased spending, and spent the money effectively. So their economies are growing rapidly. China's public debt is below  20% of GDP, and India's 60%. They do not implement austerity measures. The do not implement QE.

When stocks fall, people's assets depreciate. The EFSF has to lend money to Greece as soon as possible, and calm the fear that Greece may default. We can not let Greece default.

The ECB has created the crisis, so it has to change its policy. But if it does not save Eurozone countries, they have to do many things. They can issue joint Eurozone bonds. Even if all the member states do not join the project, some of them will be able to issue joint bonds. If they can reduce borrowing costs, the situation will improve.

Austerity measures do not solve the problem. When the economy grows and revenues increase, the national debt decreases. Greece may be compelled to sell or lend its assets. But if it continues to reduce the national debt, it will be able to acquire new assets.

>"we can not let Greece default."
Watch us.  I'll be over here, making popcorn.

So who wants more socialism!!! HA ha!

I don't know about you, but I'm gonna get my kicks before the whole shit=house goes up in flames!