Can anyone enlighten me as to WHY Greece thinks that by getting more time they'll
sort out their mess when in the short/miedium term we have the following:- US Debt @ 16TN and rising rapidly
- US Debt fiscal cliff in Jan 2013
- US Election
- Japan debt @>200% GDP, rising rapidly and economy plummeting
- EU zone economies falling
- Spain/Italian bonds at 'danger levels' and no sigh of relief
- China economy cooling (rapidly?) according to over 16 indicators (as you cannot trust the official figures)
So where is the economic miracle that will help Greece recover???
Anyone??..... The meeting between Hollande and Merkel appears to be mainly about greece, according to an SZ article not (yet) online. They had agreed the "let's wait for the Troika report, before deciding" line some time back. Hollande is noticeably more open towards renegotiation or extension towards Greece than Merkel is, but recognises her extremely limited room for manoevre. The FDP are pretty solidly against an extension (exceptions: Lindner in NRW and Westerwelle at the Foreign Ministry). The CSU appear to be solid against it, as much for local reasons (a burgeoning eurosceptic local rival) as for economic ones. There have been a few cautious voices in the CDU who are prepared to say that minor changes in the timescale are possible, but for the moment, the more noisy euro-sceptics get to take the stage in the party. The SPD "co-leader" Steinmeier said recently that he thinks Merkel will eventually agree to some extension for Greece, assuming the plan looks solid, but mostly the opposition are quietly letting the coalition display its disunity. If the Bundestag were asked to ratify? At the moment, I don't think they can take it to the Bundestag, without breaking their coalition. So if they were to do it, it would have to be by shuffling money around, rejigging targets and so on.
Anyone??..... The meeting between Hollande and Merkel appears to be mainly about greece, according to an SZ article not (yet) online. They had agreed the "let's wait for the Troika report, before deciding" line some time back. Hollande is noticeably more open towards renegotiation or extension towards Greece than Merkel is, but recognises her extremely limited room for manoevre. The FDP are pretty solidly against an extension (exceptions: Lindner in NRW and Westerwelle at the Foreign Ministry). The CSU appear to be solid against it, as much for local reasons (a burgeoning eurosceptic local rival) as for economic ones. There have been a few cautious voices in the CDU who are prepared to say that minor changes in the timescale are possible, but for the moment, the more noisy euro-sceptics get to take the stage in the party. The SPD "co-leader" Steinmeier said recently that he thinks Merkel will eventually agree to some extension for Greece, assuming the plan looks solid, but mostly the opposition are quietly letting the coalition display its disunity. If the Bundestag were asked to ratify? At the moment, I don't think they can take it to the Bundestag, without breaking their coalition. So if they were to do it, it would have to be by shuffling money around, rejigging targets and so on.
7 comments:
Since the years of Reagan/Thatcher we've been practicing Voodoo Economics - cut taxes, spend more and borrow massively - and we have called that growth.
So the IMF is saying we need even MORE of that?
Even when we do that growth is not exactly booming - so when exactly do you stop doing that?
We were put on a treadmill to hell by Reagan and Thatcher - and there is no way to get off of it now other than Defaulting on an epic scale.
It won't be much longer now - the last remaining driver of the global economy is finished:
China’s growth since Lehman was all bogus… exports dropped off a cliff so what they did to keep GDP up was build on a massive scale – for instance they have 65 million empty apartments… many empty malls and ghost towns...
It was just building for the sake of keeping people employed…there was no real demand…
And now they cannot continue to do that because empty apartments generate no return on investment…
http://www.nytimes.com/2012/08...
http://online.wsj.com/article/...
The IMF is a strange organisation. One day , they back austerity, the day after they wants the austerity to be delayed until growth return. So , Osborne delay it and pray for ta quick return of the growth because meanwhile the already huge deficit will balloon and become even more frightening and you will be strongly critised by the IMF. As soon as the Economy return to growth, the great economists from the IMF will ask for you to tackle the austerity which will in turn kill the growth. At that time, the IMF will , then, ask you not to kill the growth and to delay the austerity. They are not easy to please, these jokers. My advice is to ignore them.
And they will do all that whilst filthy criminally corrupt sanctimonious commie frog and the most unethical gang of thieving self serving and pathologically corrupt parasites in Brussels are creaming it off them, and the lying utterly despicable worthless vermin called politicians are brazenly feeding their livelihoods, and the wholesale destruction of Greek society and incomparable wreckage to ordinary peoples lives who have lost so much so quickly by the insanities of their Ponzi scam, order the extra lobster for lunch with their armour plated snouts buried a mile deep in the gravy.
Why anyone would waste a second reporting what a lying turd like the fench comie would utter, is beyond me.
Hope the Greeks stick two fingers up and tell him to FO
When you look at all the political figures in Brussels, there are a great number of ex-Communists holding power.
You start to suspect the EU (which started in the 70s as a common market) was hijacked around 1990 and all the escaping Communists took positions in Brussels.
Since then, they have set about rebuilding the U.S.S.R in Europe - a second chance for them to prove communism can defeat capitalism.
"EUSSR" is therefore not just a sick joke but an actual political project.
Think of the euro and the EU not as the pet political project of a bunch of frustrated ex-Communists, but as a burning building.
The building is on fire.
The frustrated ex-Communists want everyone trapped inside to keep fighting the fire in an attempt to save the building.
They do NOT want anyone pointing out there is a fire exit (which is why they hate eurosceptics)
And they certainly don't want anyone actually USING the fire exit and making it out ok, in case the rest just all sprint for the exit and leave the building to burn
Come on guys give Greece a break there are other countries to have a go at surely besides them and Portugal,Ireland,Spain,Italy ... about time France and Belgium
took some stick, their finances are shot to pieces also and are living well beyond their means,Belgium debt to GDP 100%+, huge pension liabilities etc etc....
French President Francois Hollande has urged Greece to prove it can pass reforms demanded by international creditors, after talks with Greek leader Antonis Samaras.
Mr Samaras has been appealing for more time to introduce the reforms.
But Mr Hollande said no further decision could be taken until European ministers consider a major report on Greece's finances, due in September.
Donors including the EU insist Greece has to make major spending cuts.
These are needed if Greece is to secure the next tranche of its bailout.
The BBC's Mark Lowen in Athens says the Greek government is under pressure to win concessions from Europe to placate the tired nation and lessen the likelihood of a destabilising period of social unrest.
Mr Samaras is seeking an extension of up to two years for the necessary reforms, in order to provide Greece with the growth needed to improve its public finances.
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