Is Greece all sorted now?

ILW

wotsthat wrote: »

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".

But it does appear that what the Greek government are asking for is more years of carrying on with the same indulgences.

Regarding the taxi driver and what he should do - I would suggest get back to work. Plenty of 60 odd year olds driving taxis in the UK to pay their bills.

wotsthat

ILW wrote: »

But it does appear that what the Greek government are asking for is more years of carrying on with the same indulgences.

Regarding the taxi driver and what he should do - I would suggest get back to work. Plenty of 60 odd year olds driving taxis in the UK to pay their bills.

GDP down by 25% - they're not exactly living it up.

Agreed on the taxi driver - he's probably seen his pension cut and will be looking to boost his income.

ILW

I believe they still have hoards of civil servants with no productive work to do, still getting relatively large salaries because the government refuse to address the issue. Until they do it will not merely stay the same, but will keep getting worse.

kwmlondon

29 Gold Medals! Yay!

*sorry, did someone say something about grease?*

Generali

ILW wrote: »

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

Indeed they do and that's part of the problem with Greece, and other members of the Euro, right now: they have debts that they can never hope to repay.

Greece has defaulted on most of its debt and still has to borrow to cover the interest on the debt that remains and basically the Germans seem to have decided that they are not going to be allowed to default on the rest because if they do the ECB will be bust.

The current situation is crazy: countries have been forced to be insolvent by bailing out the banks and now are forced to stumble on paying every spare penny to creditors by impoverishing the taxpayers. The solution is simple, if painful: default on the debt and recapitalise the system again. The whole point of fiat money is it's just numbers on a balance sheet!

ILW

Generali wrote: »

Indeed they do and that's part of the problem with Greece, and other members of the Euro, right now: they have debts that they can never hope to repay.

Greece has defaulted on most of its debt and still has to borrow to cover the interest on the debt that remains and basically the Germans seem to have decided that they are not going to be allowed to default on the rest because if they do the ECB will be bust.

The current situation is crazy: countries have been forced to be insolvent by bailing out the banks and now are forced to stumble on paying every spare penny to creditors by impoverishing the taxpayers. The solution is simple, if painful: default on the debt and recapitalise the system again. The whole point of fiat money is it's just numbers on a balance sheet!

Think you are probably right, but it does appear that the Greek government and saying they cannot sack surplus public sector workers bacause they have contracts, whilst at the same time reneging on contracted debts.

wymondham

If Merkel is now saying she does not care if Greece stays in the euro or not does that not mean an admission that the previous bailouts were futile?

wotsthat

wymondham wrote: »

If Merkel is now saying she does not care if Greece stays in the euro or not does that not mean an admission that the previous bailouts were futile?

The bailouts might have bought time to prepare for a Greek exit so futile in helping Greece but helpful for anyone else that used the time to prepare?

Anyone else noticing that the tone is changing? I wonder if we really are getting closer to crunch decisions. Either the can is going to get kicked so far that no-one will be able to see it or Greece is going to exit.

Graham_Devon

Greece's prime minister has just publically said again that Greece just "needs air" (and another baulout - my addition!) to get it sorted, and that a "Grexit" will be detrimental not only to Greece but the whole of Europe.

Generali

wotsthat wrote: »

The bailouts might have bought time to prepare for a Greek exit so futile in helping Greece but helpful for anyone else that used the time to prepare?

Anyone else noticing that the tone is changing? I wonder if we really are getting closer to crunch decisions. Either the can is going to get kicked so far that no-one will be able to see it or Greece is going to exit.

Finland has been saying for a few weeks that they are preparing for the possibility of Greece or others to leave the Euro or indeed for the Euro to break up entirely. They have also been very critical of countries that have suggested that it is daft to prepare for a possible break up, stating that not to prepare is to invite disaster should the possible happen.