Greece...

buglawton

Was reading that very article just now in my free Waitrose copy of the DT. In essence, inventor of the Euro says Euro is dead and specifically that Greece should've been promptly ejected, that it wasn't is proof that the EU rulers cannot be trusted to manage a common currency.

I used to like the idea that the UK would join the Euro, my naivety based on thinking the currency would be run by solid technocrats not squabbling corrupt politicians!

Carl31

buglawton wrote: »

Was reading that very article just now in my free Waitrose copy of the DT. In essence, inventor of the Euro says Euro is dead and specifically that Greece should've been promptly ejected, that it wasn't is proof that the EU rulers cannot be trusted to manage a common currency.

I used to like the idea that the UK would join the Euro, my naivety based on thinking the currency would be run by solid technocrats not squabbling corrupt politicians!

A single currency requires harmonization between all member states, something that was never focused on properly by the EU.

How can you have one member, like the UK that has a rigid tax system in place on one side, then as a supposed equal member, some where like Greece that has no idea when it comes to taxation, and has a primitive system in place to collect tax revenues, and expect the system to work? I dont know why anyone could think this was a good idea

A big part of the reasoning behind my 'Out' vote, why would we want to be associated with an organisation that operates in such a ridiculous way

Froggitt

OR it requires transfer of funds from one country to another.....bit like we transfer funds from the South East to North East.

Carl31

Froggitt wrote: »

OR it requires transfer of funds from one country to another.....bit like we transfer funds from the South East to North East.

in the UK the whole country operates the same way economically, we all pay the same taxes, corporation tax is pretty much the same, excuse a few subsidies, its a single policy

Subsidising entire countries because they either cant get their !!!!!! together, or have the capacity to keep up economically due to their climate or level of infrastructure is not the same thing

Froggitt

But thats the only way the Euro is going to stay together IF those countries continue not to get their !!!! together.

And its not going to happen....the German taxpayer wont stand for it.

The_Last_Username

Carl31 wrote: »

in the UK the whole country operates the same way economically, we all pay the same taxes, corporation tax is pretty much the same, excuse a few subsidies, its a single policy

Subsidising entire countries because they either cant get their !!!!!! together, or have the capacity to keep up economically due to their climate or level of infrastructure is not the same thing

I appreciate what you're trying to suggest and indeed I am in general agreement with your stance.
But TBH that is not quite correct - and indeed the consequences are being seen with Scotland (and perhaps Northern Ireland) possibly seeking forms of independence.

If we take the UK as compromising Scotland, Northern Ireland, Wales and England for example then the ammount of public expenditure per head is not the same.
In effect England subsidises the remainder of the UK in a system called The Barnett Formula.

http://www.telegraph.co.uk/news/uknews/scotland/1580787/How-the-Barnett-formula-works.html

buglawton

Froggitt wrote: »

OR it requires transfer of funds from one country to another.....bit like we transfer funds from the South East to North East.

Like the way that circa 8 times as much per capita is spent on public transport infrastructure in London, vs the North of England?

(Estimates vary between 6 to 24 times more actually)

cells

buglawton wrote: »

Like the way that circa 8 times as much per capita is spent on public transport infrastructure in London, vs the North of England?

is this due to a lot more people spending their own money using the tubes and buses in London or government subsidy?

Also what are the secondary impacts, eg if the government is subbing £1 to TFL is it gaining £5 additional economic output of which £2 goes back to the government in additional taxes?

Froggitt

buglawton wrote: »

Like the way that circa 8 times as much per capita is spent on public transport infrastructure in London, vs the North of England?

(Estimates vary between 6 to 24 times more actually)

Money should be spend where its needed, not where makes it equal.

worldtraveller

Greece must implement economic reforms if it is to keep its place in the eurozone, Germany’s finance minister has insisted, ruling out debt relief for the country ahead of a crucial euro group meeting on Monday.

As the finance ministers of member states using the single currency prepared to discuss fiscal plans for the coming year, Wolfgang Schäuble in effect presented Greece with an ultimatum: either it must enforce unpopular structural reforms or exit the bloc.

The Guardian

Onwards & downwards! :rotfl: