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Old 21-07-2011, 23:45   #82
Damien
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Re: Eurozone will collapse...

Quote:
Originally Posted by Osem View Post
I think it's called the lesser of two evils. The Eurocrats are in denial. Does anyone really think this money will ever be repaid?
The banks are effectively writing off some of it. It's meant to be a kind of default that isn't really a default - some money will never come back. I find the whole issue quite difficult as I haven't followed it closely and there is a seemingly endless depth of history to the issue.

Again, My understanding is they consider this path to be the lesser of two evils. They would rather save Greece than let them fall and trigger a full blown crisis across Europe. If Greece exposed the Italian and Spanish banks, which are already on the verge, then there are more countries (such as us!) which are exposed to them and so on.

At the same time they seem to be giving themselves an awful lot of power other the currency and each other's economies.

One commentator said they had a choice to grow apart or enter a more closer union. They took the 2nd option.
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