Euro Crisis how much cash will you lose WHEN IT GOES BELLY UP?

horace_2

Very sorry chaps, false alarm and I am now stuck with rather a large amount of tinned items and shed loads of female hygiene products and toilet tissue.

It appears that Merkozy have a comprehensive solution to the Euro/debt crisis.
All, thankfully will be revealed on Thursday or, perhaps Friday or they may hold another meeting later just to tie up the final details. I simply can`t wait. Can you?

What a relief and are we not fortunate to have wonderful, absolutely, wonderful leaders who will lead all to the land of never ending prosperity?

sabretoothtigger

Im wondering how we came to believe that two people can engineer a solution better then the capitalist system involving millions. Certainly it should sound better then greed is good.
I guess we will get a hurrah upon delivery - happy days _party_

Why have the likes of Japan , Switzerland and Australia struggled so much with strong currencies if it is that easy?

My point would be its not that easy, the cheap money is the easy part.
I dont go with absolutes. Its the total system that has an effect, I doubt theres a sentence that would explain an answer or we'd no doubt take that option.

Weak currency is our solution because it is path of least of resistance and thats perfectly natural we should decide its our answer.
I do think this has been tried before though for that reason, somehow we need to learn our lessons again

A strong currency would raise cost of wages so thats an immediate rising cost to business in those countries unless the workers accepted a lower wage or were somehow more flexible or productive from those higher wages
Communist China seems has lower currency as a policy, they of course control the foreign reserves and wealth as they wish and the people with lower spending power do not

Japan has a low population growth, high average age and Australia has low population to start.
The advantages of higher currency would be lower currency cost but as Australia exports resources this may not be of as much use to them
Japan also has the 'problem' of being too productive and exporting.

It is topsy turvy, I expect the situation to surface regardless at some point and those with productive trade to find they are richer whether they like it or not and they will be in desperate need of finding new trading partners who are either equally rich or great in number and able to buy their products without false methods like long term debt and deficits

Ark_Welder

Is the graphic the design for the new-year celebrations on the London Eye this year?

Or do I have the wrong set of fireworks....?

sabretoothtigger

Its economic spaghetti, its hopeless to think they know how best to untangle it. The only feasible solution is a natural one imo

This one is simple though

sabretoothtigger

I’ve got a solution for the Euro crisis. What they need to do is devalue the Euro. This would mean all the Euro zone countries – 17 of them – would have to repay less debt

http://sharecrazy.com/beta/Thought-For-The-Day/6043/solution-to-the-euro-crisis

Ark_Welder

sabretoothtigger wrote: »

http://sharecrazy.com/beta/Thought-For-The-Day/6043/solution-to-the-euro-crisis

If the Euro was devalued then the amount to be paid back would be exactly the same - in Euros. However, it would be worth less to those who then convert it into their home currency, i.e. USD or GBP etc.

sabretoothtigger

Its value would drop since Euro trade is done in adjustable amounts according to exchange rates so their income goes up and the debt stays fixed as is the nature of bonds. Isnt it incredible that most bonds are so massively valued when this risk of currency devaluing is so great and actually its already underway.

Euro debt is most apparent in its problem because they print the least money, its almost comedy I think
Cue Tim Geithner scolding the foolish Europeans for not copying them :laugh:

Germany has to compromise their principles or leave I think. There is no easy solution, I will be impressed if they actually hold their ground and choose euro to stay solid but risk these bad debts staining the EU reputation

horace_2

Well I never! Euro and/or Greece in their death throes as I type.

Tuna fish anyone?

h

addendum... how much money are you likely to lose in this dreadful mess?:)

oldvicar

horace wrote: »

Well I never! Euro and/or Greece in their death throes as I type.

Tuna fish anyone?:)

Not death throes yet. The patient will have a prolonged illness, with much pain and suffering. Death when it comes, will come when least expected and nobody is looking. It will be mercifully quick :A.

horace_2

How much longer before the E.U gravy train hits the buffers?

Do not rely on MERKOZY to save the day.



TUNA FISH anyone?