Greece: Greenspan predicts exit from euro inevitable

[Team Sergeant]

I don't think this is big news, I think Stevie Wonder could have seen this coming. This is socialism in the raw. And what makes me laugh is the new Greece "anti-austerity" government Greece just voted in.......

Hey Greece, no ones going to give you a loan when you "demand" that half your current loans be erased (billions). (negotiation from strength is lost on Greece.)

Someday the world will wake up to liberal/progressive/socialist/communism and stop "giving" away money to idiots.






Greece: Greenspan predicts exit from euro inevitable
8 February 2015 Last updated at 09:33 ET

The former head of the US central bank, Alan Greenspan, has predicted that Greece will have to leave the eurozone.

He told the BBC he could not see who would be willing to put up more loans to bolster Greece's struggling economy.

Greece wants to re-negotiate its bailout, but Mr Greenspan said "I don't think it will be resolved without Greece leaving the eurozone".

Earlier, UK Chancellor George Osborne said a Greek exit would cause "deep ructions" for Britain.

Mr Greenspan, chairman of the Federal Reserve from 1987 to 2006, said: "I believe [Greece] will eventually leave. I don't think it helps them or the rest of the eurozone - it is just a matter of time before everyone recognises that parting is the best strategy.

"The problem is that there there is no way that I can conceive of the euro of continuing, unless and until all of the members of eurozone become politically integrated - actually even just fiscally integrated won't do it."

Following the election in Greece of the anti-austerity Syriza party, Greek ministers have been touring European capitals trying to drum up support for a re-negotiation of its bailout terms.

cont:
http://www.bbc.com/news/business-31249907

[Flagg]

I don't know, I've got mixed thoughts on the problem.

The EU, particularly Germany, extending so much additional debt to a country woefully unable to repay it certainly bears SOME responsibility doesn't it?

A bit like a bank loaning $1 million unsecured to a crackhead, and holding the crackhead's kids responsible. That's not responsible lending.

No one seems to talk about how much German pension fund money was/is stuck in Greece before the GFC chasing higher returns(which did not justify the higher risk).

I'm not trying to obviate the need for Greeks and their government to conduct massive reforms as it's pretty clear you can't live a lifestyle like the rich and famous and pretend to be in the wealthy western club...........growing olives and taking in some tourist money.

But lenders have moral/ethical/legal responsibilities as well.

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I'm not convinced Greece will exit the Euro.....as I think it would destroy Greece's ability to import investment capital it so desperately needs.

China doesn't invest in Greece for olive oil and holidays. China invests in Greece as a gateway into the EU to dump it's products throughout the EU

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I remember the days of Greenspan......and all the spook hero worship.....I wonder if he'll develop the reputation of a "financial Kissinger" some day?

[tonyz]

Almost time to look for a nice little apartment on Mykonos...almost.

[Team Sergeant]

I don't know, I've got mixed thoughts on the problem.

The EU, particularly Germany, extending so much additional debt to a country woefully unable to repay it certainly bears SOME responsibility doesn't it?

A bit like a bank loaning $1 million unsecured to a crackhead, and holding the crackhead's kids responsible. That's not responsible lending.

No one seems to talk about how much German pension fund money was/is stuck in Greece before the GFC chasing higher returns(which did not justify the higher risk).

I'm not trying to obviate the need for Greeks and their government to conduct massive reforms as it's pretty clear you can't live a lifestyle like the rich and famous and pretend to be in the wealthy western club...........growing olives and taking in some tourist money.

But lenders have moral/ethical/legal responsibilities as well.

-----

I'm not convinced Greece will exit the Euro.....as I think it would destroy Greece's ability to import investment capital it so desperately needs.

China doesn't invest in Greece for olive oil and holidays. China invests in Greece as a gateway into the EU to dump it's products throughout the EU

-----

I remember the days of Greenspan......and all the spook hero worship.....I wonder if he'll develop the reputation of a "financial Kissinger" some day?

This isn't one crack head, it's an entire government, voted in by it's people, ergo most of that country is to blame. If the lenders lose their money so be it, its a simple lesson.

Just wait until America goes bankrupt because of liberal spending..... the entire world will suffer for that.

[Flagg]

This isn't one crack head, it's an entire government, voted in by it's people, ergo most of that country is to blame. If the lenders lose their money so be it, its a simple lesson.

Just wait until America goes bankrupt because of liberal spending..... the entire world will suffer for that.

Yeah......not going to be fun.

Although......while the last GFC was of American origin, I reckon the next inevitable GFC will originate in Asia.

We are already seeing the US Dollar strengthen(flight to safety), and China has come off the boil a LOT(a decent chunk of the reason why energy prices have dropped).

[Team Sergeant]

Any day now and the new communist Greek government is going to "Grexit".....

I'm guessing Russia might step in to assist their communist comrades, who else is going to hide the billions the Russian government officials are hiding from fellow Russians?

[Flagg]

Any day now and the new communist Greek government is going to "Grexit".....

I'm guessing Russia might step in to assist their communist comrades, who else is going to hide the billions the Russian government officials are hiding from fellow Russians?

I wonder if the Russian government/Putin has the financial capacity to conduct an "Anti-Marshall Plan"?

Russia's economy is in a bit of doodoo with low energy prices, soft western trade sanctions, and the substantial cash costs of undermining Ukraine and elsewhere.

It would certainly benefit Russia by pulling Greece into it's sphere of influence, disrupting EU and NATO.

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What I'd like to better understand is what influence/control Russia's government/Putin has over "grey money" and Russia's expat oligarchs. Those hundreds of billions that fled after the Soviet collapse, and the grey money/proceeds of crime generated since.

[mark46th]

I heard a financial commentator call Greece a "Slow motion train wreck".

[mojaveman]

I'm guessing Russia might step in to assist their communist comrades, who else is going to hide the billions the Russian government officials are hiding from fellow Russians?

Exactly what I was thinking. Putin no doubt has been watching the Euro/Greece problem very closely. ;)

[Team Sergeant]

I heard a financial commentator call Greece a "Slow motion train wreck".

I wonder what that makes America?