The city is Athens, not Lexington or Sarajevo. But this shot, too, will be heard around the world. Prime Minister Papandreou has called for a referendum on the bailout.
It is too bad – but the bailout is too little, too late. When lenders get greedy and make dubious loans because they pay 8% or 11% there is an obvious risk, and the risk is the lender's. Germany, France, and the European banks have been slow to recognize this.
The 50% haircut in this deal is a good start. But the deal burdens the Greeks with further austerity measures. Papandreou has seen what Merkel and Sarkozy have not: that an economy is not about money – rather it uses money as a means of exchange. Instead it is about the shared destiny of its people, and citizens have a say in the political process.
True, the Greek economy was and is corrupt. True, a large portion of it was under the table. The Greeks will have to work all that out.
But the world is going to be working out something else: that making high-risk loans can result in a 100% haircut. That privatizing profits and socializing risks is a shell game that can't last. That fancy financial products like Credit Default Swaps are dishonourable and lead to ruin.
Look out, world. We have been living in a fool's paradise. Reality is about to hit the fan.
I just want to say I am newbie to blogging and site-building and really enjoyed you’re website. Probably I’m going to bookmark your blog . You surely have beneficial writings. Bless you for sharing your web page.
thanks for share!
thank you for all your efforts that you have put in this. Very interesting info. “The longer I live the more beautiful life becomes.” by Frank Lloyd Wright.
You did the a fantastic get the job done crafting and revealing the concealed favorable elements of BlogEngine.Net, that I found it had been popularly made use of by bloggers nowadays. I feel BE has emerged to get amongst the top running a blog platform right this moment. I wish you great luck using your blogging experiences.
Substantially, the article is actually the best on this deserving subject. I concur along with your conclusions and can eagerly search ahead to the foreseeable future updates. Declaring many thanks won’t just be sufficient, for your extraordinary clarity as part of your composing. I will as soon as possible get your rss feed to stay abreast of any updates. Pleasant give good results and very much being successful in the small business dealings!
Decent ideas you may have there, hope I could possibly apply only a component of that in the course of my schedule.
You had some very good recommendations there. I constructed a lookup within the challenge and noticed most peoples will agree with the weblog.
Good day men, exceptional web-site, very rich in subject material and appropriately meticulously considered out, personally I found here much remarkable and valuable