Posts
"Greece is now Europe's bond slave...being punished with extortion by the ECB and IMF...unaccountable, rightwing, supranational institutions."
" ...a disorderly default – as would be triggered by the IMF simply sticking to its program and not lending Greece the money – is too scary for the European authorities to contemplate. For this reason, the many news articles that compare it to Lehman's Brothers collapse in 2008 are somewhat exaggerated. The European authorities are not going to let that happen over a measly $17bn loan installment. The events of the past week were all a game of brinkmanship, and the European authorities had to blink because the Greek government, as much as it wanted to, couldn't get approval for the deal."
ALSO SEE: What A Greek Default Means...by Cyrus Sanati.
"After a year of kicking the proverbial can down the road, it appears more than likely that Greece will default on its massive debt load. Riots and political deadlock in the tiny European nation this week show that there are limits to the amount of economic stress a population can take before they simply give up. While Greece itself will be the hardest hit in a default, the ripple effects of such a move could rock the European banking sector to its core and even create a liquidity event not seen since the dark days of 2008."
http://finance.fortune.cnn.com/2011/06/17/end-of-the-line-what-a-greek-default-means/
AND: Europe Doubts Greece Can Meet Budget...and Collect New Taxes...by Rachel Donadio.
“It’s very easy to legislate,” observes a political scientist. “The problem is to enforce legislation. There’s no enforcement mechanism. It’s all done for the eyes of the public.”
http://www.nytimes.com/2011/06/19/world/europe/19greece.html?pagewanted=all
