Quote:
Originally Posted by nomadking
The Guardian finally admitting the true cause.
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On the contrary.
It's true that Southern European countries are prone to irresponsible spending. Previously, however, they were able to devalue their currency and carry on. Their money was worth little beyond their borders, but provided they could produce most of what they needed domestically, the internal economy could keep ticking over.
The massive elephant in the guardian newsroom is of course the Euro, which makes the usual club med devaluation strategy impossible.
In fact, impoverishing the populace is quite deliberate - it is an attempt to replicate the effects of devaluing the currency, without actually devaluing it. It's called "internal devaluation". Greece has been sacrificed on the altar of the single currency.