ShcShc11 0 #1 April 21, 2012 Looks like Hollande is going be the next French President. Its quite a shame that none of them have a real viable economic plan to restore the European Union. The patient is sick and dying. Hollande's economic can be summarized as: "I don't really know what to do yet- we should wait and see further developments". Hollande is calling for 75% tax for anyone making over 1million Euros (rubbish idea). Sarkozy's plan is: "Bleed the patient to death like in the medieval ages and let's hope he somehow becomes healthy again". Expect more European Economic crises soon enough... Cheers! Shc Quote Share this post Link to post Share on other sites
ShcShc11 0 #2 April 22, 2012 QuoteThere is no way to fix the EU other than breaking it apart. Either that, or the countries in over their heads default. If you bought their debt you're investment is gone. The alternative is to have a European-bond and/or the European Central Bank guarantees all European debt (minus Greece). This would effectively end the crisis and creating a United States of Europe which has been dreamed of since the 1900s. Without this, European is on a currency which they have no fiscal control/as bad as Europe 1930 when they were under the gold-based currency. Unfortunately, Germany doesn't want to do any of this... This isin't Hitlerism (far from it), but Germany decided to commit Economic-suicide for Europe. Cheers! Shc Quote Share this post Link to post Share on other sites
Marinus 0 #3 April 22, 2012 QuoteThis would effectively end the crisis and creating a United States of Europe which has been dreamed of since the 1900s. the USE sounds like something that could happen in the distant future, but I think this crisis is mainly due to ideological idiots who wanted to get there too soon. You can't artificially unite that what has been divided for centuries until recently, especially not during this crisis. And I really can't blame Germany (and any other economic sound country for that matter) for not wanting to be part of the same confederation as Greece and the other fail-nations in the south. Quote Share this post Link to post Share on other sites
JasonYergin 0 #4 April 22, 2012 Some say Germany should be the model for all of Europe. If they followed Germany's example Europe's economics might be fixed. I have no idea why they think that though..._________________________________ ...Don't Get Elimated!! Quote Share this post Link to post Share on other sites
Skyrad 0 #5 April 22, 2012 QuoteThere is no way to fix the EU other than breaking it apart. Either that, or the countries in over their heads default. If you bought their debt you're investment is gone. I think we'll see an attempt at face saving, with a plan to have a two tier Euro system, with the breakaway and setting up of a 'PIIGS' group. Portugal, Ireland, Italy, Greece and Spain having a second economic system which better matches their economic situations while the big economies go on in a premier league Euro system with an opportunity for tier two to progress to tier one if the pre-requistes are met.When an author is too meticulous about his style, you may presume that his mind is frivolous and his content flimsy. Lucius Annaeus Seneca Quote Share this post Link to post Share on other sites
ShcShc11 0 #6 April 22, 2012 QuoteQuoteThere is no way to fix the EU other than breaking it apart. Either that, or the countries in over their heads default. If you bought their debt you're investment is gone. I think we'll see an attempt at face saving, with a plan to have a two tier Euro system, with the breakaway and setting up of a 'PIIGS' group. Portugal, Ireland, Italy, Greece and Spain having a second economic system which better matches their economic situations while the big economies go on in a premier league Euro system with an opportunity for tier two to progress to tier one if the pre-requistes are met. Its been considered, but it wouldn't work because: 1) Politically, it would be extremely difficult for a country to adopt a humiliating currency. 2) Financially, it would essentially mean bankruptcy for the country involved in a low-tier currency. -Business Contracts that are based on the current Euros would become an impossible mess to fix. How much of the Euros should be converted to "second tier" Euros? -What investors would be willing to put money on countries that are as risky as PIIGS bonds? Two speed currency would bring a stable economy such as the Italy down to Greece status (being unable to repay the debts) 3) It wouldn't fix the fundamental problems of the Euro. If Finland one day had a major internal crisis, they still cannot devalue their currency because of Germany's economic size. What then? Break the Euro currency further tiers? Might as well have all countries use their own currency. This is a good summary: http://globalpublicsquare.blogs.cnn.com/2012/04/22/zakaria-europe-suffers-from-too-much-austerity/?hpt=hp_c1 Europe faces too much austerity at a time when its economy is at the zero-bound. Cheers! Shc Quote Share this post Link to post Share on other sites
