Is Greece all sorted now?

Graham_Devon

Greece's debts rise by £20bn in 3 months....

http://www.thisismoney.co.uk/news/article-2190078/Greeces-debt-soars-20bn-months--New-crisis-bring-break-euro-closer.html

A few people are now saying enough is enough. Take the pain now, or live with pain for the rest of your lives. Let is break up, let's get on and look to rebuilding the future instead of taking from the future.

brit1234

ILW wrote: »

Haven't heard anything for a while.

It's not sorted it is just everyone is on holiday, hence world markets up.

September be when it comes back into news but this gives a good sell opportunity unless it's facebook.

FTSE 100

nickj_2

Graham_Devon wrote: »

Greece's debts rise by £20bn in 3 months....

http://www.thisismoney.co.uk/news/article-2190078/Greeces-debt-soars-20bn-months--New-crisis-bring-break-euro-closer.html

A few people are now saying enough is enough. Take the pain now, or live with pain for the rest of your lives. Let is break up, let's get on and look to rebuilding the future instead of taking from the future.

i think everyone who could deal with it knows the only possible outcome , but they will keep on bailing greece out rather than face the consequences now , which will probably cause major pain the more they delay the inevitable

Graham_Devon

New shock!

Greek Prime Minister says Greece needs more time to cut.

Greece's Prime Minister, Antonis Samaras, has called for more time to implement tough spending cuts and reforms, ahead of talks on its bailout.

Mr Samaras told German daily Bild that Greece needed "breathing space".

He will meet Jean-Claude Juncker, the head of the Eurogroup of finance ministers later, and the French and German leaders later this week.

At issue is whether Greece has done enough to receive its next 31.5bn-euro (£24.7bn) bailout payment.

ILW

Why does cutting take time?
You either do it or don't.
Surely the longer you leave it the bigger the problem gets.

Generali

ILW wrote: »

Why does cutting take time?
You either do it or don't.
Surely the longer you leave it the bigger the problem gets.

You have to decide what you're not going to do any more before you stop doing it.

Also, in many countries, there are very strict job protection laws in place, particularly in the public sector. You may well find that the Government has to negotiate with the unions, then put the workers onto some sort of pre-notice system, go through some sort of method to identify 'fairly' who is for the chop (rather than just the cheap and the useless) and then give them several months notice.

In addition, there are contracts that the Government has in place that last a particular period of time. You can't just say to a company, "We're not going to take those planes we ordered" as there will be penalty clauses to compensate the company. Often, AIUI, it is cheaper to take delivery of something you don't want than to cancel entirely.

That was the clever thing that the Tories did at the start of the austerity process, they asked companies to charge them less. All in it together and all that.

ILW

Generali wrote: »

You have to decide what you're not going to do any more before you stop doing it.

Also, in many countries, there are very strict job protection laws in place, particularly in the public sector. You may well find that the Government has to negotiate with the unions, then put the workers onto some sort of pre-notice system, go through some sort of method to identify 'fairly' who is for the chop (rather than just the cheap and the useless) and then give them several months notice.

In addition, there are contracts that the Government has in place that last a particular period of time. You can't just say to a company, "We're not going to take those planes we ordered" as there will be penalty clauses to compensate the company. Often, AIUI, it is cheaper to take delivery of something you don't want than to cancel entirely.

That was the clever thing that the Tories did at the start of the austerity process, they asked companies to charge them less. All in it together and all that.

Bankrupt companies walk away from contacts and obligations all the time.

This just asking for "breathing space" seems the equivalent of giving a tumour a bit more time before treating it.

wotsthat

Graham_Devon wrote: »

A few people are now saying enough is enough. Take the pain now, or live with pain for the rest of your lives. Let is break up, let's get on and look to rebuilding the future instead of taking from the future.

I really fear though that the "let's take the pain now" view will take over. It would be a real step into the unknown so we don't know exactly what the pain will be. I'm certain though that people calling for pain now are not expecting to be feeling much of it themselves.

There was a Greek professor on BBC's Wake up to Money this morning. He was suggesting that repayments of Greek debt should be linked to economic performance i.e. the whole of Europe then have a vested interest in Greek recovery. Goals that are in alignment would surely help.

Apparently money borrowed from the USA by the UK to fund the second world war was on a similar footing. The last payment was in 2006 - 60 years after the end of the war.

There are going to be no quick fixes.

ILW

wotsthat wrote: »

I really fear though that the "let's take the pain now" view will take over. It would be a real step into the unknown so we don't know exactly what the pain will be. I'm certain though that people calling for pain now are not expecting to be feeling much of it themselves.

There was a Greek professor on BBC's Wake up to Money this morning. He was suggesting that repayments of Greek debt should be linked to economic performance i.e. the whole of Europe then have a vested interest in Greek recovery. Goals that are in alignment would surely help.

Apparently money borrowed from the USA by the UK to fund the second world war was on a similar footing. The last payment was in 2006 - 60 years after the end of the war.

There are going to be no quick fixes.

So Britain borrowed loads from the US to finance a relatively short but critical event (a war) and then paid the mpney back.

Greece has run a massive debts to pay for large salaries and pensions for civil servants and to save the bother of collecting taxes.

No exactly much of a comparison.

wotsthat

ILW wrote: »

No exactly much of a comparison.

Depends how bad you think the pain is going to be that we should be taking now.

We can all look bemused at a system that allows a taxi driver to retire at 55 on 75% of earnings but what was he meant to do?

History suggests that punishing a nations inhabitants for the actions of previous governments isn't guaranteed to lead to a glorious "rebuilding of the future".