Greece...

Generali

Donnakou wrote: »

In its decision, the Council took the view in the light of the Commission and ECB report that:

Greece fulfilled the criterion relating to the!average rate of inflation; during the previous year, the inflation rate reached 2!%, which was lower than the reference value (2.4!%);Greece was not the subject of a decision on the existence of an excessively high!government deficit!(Decision!2000/33/EC), as the annual government deficit did not exceed the reference value (3!% of GDP) and the government debt ratio was approaching the reference value (60!% of GDP) at a satisfactory rate;Greece had been a member of the exchange-rate mechanism of the!European Monetary System!(EMS)!and subsequently of!ERM II!for two years without devaluing its currency's central rate;Greece met the criterion of the!long-term interest rate; over the previous year, the interest rate reached 6.4!%, which was lower than the reference value (7.2!%);Greek!domestic legislation, including the statute of the national central bank, was compatible with the Treaty and the Statute of the European System of Central Banks (ESCB).

TAKEN FROM the official EU Council Decision journal entry.... surely Greece entered the Euro the same as Cyprus and Malta !

You'd think all those exclamation marks would make them realise that something iffy is going on!

TickersPlaysPop

This guy tells it like it is....

http://youtu.be/nRJZU3i9W5Y

On Greece and the reality of what is going on.

enjoy

antrobus

Donnakou wrote: »

....TAKEN FROM the official EU Council Decision journal entry.... surely Greece entered the Euro the same as Cyprus and Malta !

And so?

Greece joined the Euro on the basis that it's 1999 deficit was below the limit and it turned out it was more like 3.38%, for example. Which was naughty.

http://news.bbc.co.uk/1/hi/business/4012869.stm

It was what happened afterwards that drove Greece into the wall. In 2009 Greece said it was going to have a deficit of 5%. (Not good, but not bad in a post crisis context.) Then there was an election and the new government said sorry, we think it's actually more like 12%. And so the EC sent in the auditors and found out that the real figure was 15%.

Misreporting a 3.4% deficit as a 2.9% deficit is the kind of fudging that went on to meet the Euro criteria. Misreporting a 15% deficit as a 5% deficit is fudging on an epic scale. That's the kind of thing that would land you in prison if you tried it yourself. But governments have a pass on the sort of thing it seems.

TickersPlaysPop

People in glass houses.... i.e. The EU lording it over Greece

When was the last time the EU had its 'books' audited? I'm sure I read that some accountant firms refused to get involved?

The EU including Junker himself as part of Luxemborg is being investigated over corporation tax and avoidance by allowing companies to cross charge themselves between EU countries to wipe out profits on paper hence no tax.

antrobus

TickersPlaysPop wrote: »

People in glass houses.... i.e. The EU lording it over Greece...

The EU is perfectly entitled to lord it over Greece. That's what you get when you sign up to the Euro. It's in the Lisbon Treaty.

TickersPlaysPop wrote: »

...When was the last time the EU had its 'books' audited? I'm sure I read that some accountant firms refused to get involved?...

Every year. There is an entire EU institution devoted to the process, the Court of Auditors. I belive it has been some years since they have issued a 'clean' audit report on EU spending, but there is a world of difference between saying (a) you have weak controls over your spending, and between saying (b) you have been telling porky-pies about your spending.

http://www.eca.europa.eu/en/Pages/ecadefault.aspx

TickersPlaysPop wrote: »

...The EU including Junker himself as part of Luxemborg is being investigated over corporation tax and avoidance by allowing companies to cross charge themselves between EU countries to wipe out profits on paper hence no tax.

Irrespective of the merits of that argument it has no particular relevance to Greece.

sabretoothtigger

jjlandlord wrote: »

It's clearly incorrect to claim that they have nothing to lose.

However, the other side also has a lot to lose. Therefore it's a good old poker game.

If Greece reneges on the debt and loses use of euro, it will become a very cheap place to go on holiday. You could say there is some benefit even to those countries which have lost in the debt lent out to them.

This applies to any situation where working operations have failed, basically you want the most productive outcome. We can just endlessly print off QE money and every debt is paid but we are actually poorer for it, recognising bad debts as such could be a positive for both sides.
however nobody believes this and if we dont look down we shall never fall or wake up

jjlandlord

sabretoothtigger wrote: »

If Greece reneges on the debt and loses use of euro, it will become a very cheap place to go on holiday. You could say there is some benefit even to those countries which have lost in the debt lent out to them.

I'm sure that the Greeks, and everyone else, are hugely relieved to know that...

purch

TickersPlaysPop wrote: »

This guy tells it like it is....

No. He is clearly an ignoramus who finds it difficult to even read his own script.

antrobus

jjlandlord wrote: »

I'm sure that the Greeks, and everyone else, are hugely relieved to know that...

All together now,

A cheap holiday in other people's misery.

purch

jjlandlord wrote: »

pay back all of these euros while their currency would likely be worthless...

I think that's why they joined in the first place.