“Greece will not honor these obligations any more than it has its prior ones during the past decade. It may privatize a few assets, and it may even pretend to cut pensions. There is practically zero chance it can achieve the primary surplus targets it has accepted because its economy is not going to be able to grow quickly enough. (and few will be, thanks to the quackonomics of the ruling class).
We will be back at this charade six months from now, more or less, and then again later. The Greek goal is most likely to extend and pretend until the political landscape changes in Europe, as it will eventually. What is much less clear is what the ultimate resolution might come to resemble. The EU is not sustainable as it is. I have no idea what is going to cause the Very Serious People to come to that realization and what will remain after they cannot kick the can any further. (It is not clear to me how many unstable financial systems and their supporting kleptocracies will be resolved as well.)
As you have noted, the game is just beginning in Greece. I am not even sure I would say ‘game on’ yet. Some hard times are going to be visited upon the various countries of Europe.
I strongly suspect, however, that since the technocrats in Brussels and the troika have been tone deaf in overriding the will of the people and their elected governments in the weaker periphery countries, it will come back to haunt them. The end result is likely to be the exact opposite of what they seek to ensure.
Instead of greater economic, fiscal, and political integration (with power concentrated in Brussels and Bonn), they are likely to revive stronger anti-EU nationalism in the periphery, as this will be the only means the weaker nations will have of effectively fighting the stronger nations. When enough nations in the periphery see the light, the EU will no longer be able to continue in its current form. I am curious to see how this process will play out.”
Pnev̱mató̱di̱s Diki̱góros
Greek public debt is illegal, illegitimate, and odious
http://tinyurl.com/qh4c52s
The end is nearer.
The Greeks could easily pay back their debts with just a simple reduction of the interest rates and modification of the term. I believe that total Greek government debt is about $35 billion. They could pay back $1 per year and be done with it in a mere 35 billion years. They could even pay $1,000 per year and have it over with in only 35 million years – but that would require austerity.
It would serve no purpose for greece to default. When they get a loan, it’s free, counterfeit money anyway, and flows straight to the banks, which legitimizes it. And the banks need to buy time until they can get more of greece’s infrastructure signed over to them.
Hmmm…If I were Greece I’d invited all the banksters for a sit down Pow Wow. Once everyone was assembled I’d arrest them and take them to an secluded location were in a matter of minutes after their arrival they are found guilty by a Star Chamber and hung .
They will find out that “the can they’re kicking down the road – will become a cinder block”.
BUCKHED, I often wonder why that hasn’t happened yet
Greece must default and if the EU, ECB, IMF etc don’t crash this year then they will when Portugal or Spain or Italy has to default. The Communist are destroying US financially, morally, mentally etc too.
You can’t spend more than you earn indefinitely.
A reckoning always comes.
And it usually involves those who innocent of the spending as well as those who are guilty.