The great "one-size-fits-all" experiment continues to crumble around our ears. Goodness knows what the ramifications will be if Greece leaves/is let go, and what that says to Spain, Ireland etc. Greece may look pretty poor economically but you can hardly say that some of the newer eurozone entrants look like great long term bets. I just hope that the end game is relatively painless and that we all learn from a situation where newish democracies (inc. Portugal and Spain) start giving out overly generous benefits, with little in the way of tax collection, and what it means longer term.
As of today, the PM of Greece is now willing to comply with almost all of the demands from the EU. Basically after winning the referendum with 61%, he is now taking the position of the losing side. The EU would be idiots to accept his reversal though and it is nothing more than the EU giving him $38B on the promise that he will change things in the future, which he will not do. Greece has twice already made the same deal, gotten money, then failed to implement the changes they promised.
This is exaclty the fear of the EU. I think they would prefer to see Greece leave the EU, but in doing so, it puts in place a pathway for other countries, and two you mentioned were talked about a lot, Spain and Portugal both have similar attitudes as Greece, and as soon as Greece leaves, there would be some popular support for those two countries to leave as well. I agree with you completely, the whole idea of the EU is problematic because of differing cultures.. you can´t compare Germany to the mediterarain lifestyle... obviously they were going to butt heads when it comes to financial responsibility.
This is a really interesting case of a staring contest. I think the Greek PM has learned something the last few weeks, and that is the EU really does not want them to leave. Not becuase they want Greece, but because thei don´t want to have to formalize a system for countries to leave the EU. Right now, there is nothing that outlines the process for a country to leave the EU. IF they have to write one for Greece,then it will be a blueprint for other countries, and especially grassroots movements that will happen in Spain and Portugal where you will instantly have a ´leave the EU´ party.
Now that's a paradox therein...right?!. I always say the world is full of surprises! Still, I'd love to know the answer to your rather thought-provoking question! My question is...how did Greece get to this point anyway...who is to blame really?
While I'm not claiming to know all the answers, I'm sure a lot of people will agree that the ones who aren't to blame, are the ones that are suffering the most, the common people. When something like happens, it's always the government and politicians that seem to get away from most of the problem, when they're usually the ones to blame in the first place.
Greece is facing all the mighty financial institutions, but the people is suffering. They have already created an app to discover which atm machines have cash...
Time to start stashing some 'loot' {cash} away for emergency purposes...I'll go shopping for a easy-to-carry safe, Greece has just taught me a very tough lesson right there, those who have eyes and ears...hearken!
A good plan that but inflation would still eat away your savings. Why not buy something which will always be valuable? Something which you could "bury deep and forget" and when you badly need the money you get it out and sell it? I'm certain you catch my drift. Now is the time for people to start thinking about investing in gold or silver. No matter what happens these precious metals will always be valuable.
