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100 Economists tell George he's wrong.


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That is the big question. If I was Greek I'd want to get out of it.

 

I don't think that Greece has got any choice in the matter, I think that if they don't leave they'll get pushed; although the Greeks need reminding that any economy that pays out generous benefits coupled with poor tax collection was always going to run into crisis. Being a member of the Euro zone only meant that they could borrow more money, making the crisis bigger.

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The thing that the countries in crisis have in common is they built up massive debts when times were good and found them unsustainable when times became tough. They lost the trust of the financial rating agencies, and once that happened the cost of borrowing spiraled out of control.

It becomes a vicious circle because the more you have to pay to borrow the less likely you are to be able to pay your creditors and the more they will ask for their loans.

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The thing that the countries in crisis have in common is they built up massive debts when times were good and found them unsustainable when times became tough. They lost the trust of the financial rating agencies, and once that happened the cost of borrowing spiraled out of control.

It becomes a vicious circle because the more you have to pay to borrow the less likely you are to be able to pay your creditors and the more they will ask for their loans.

 

I think you'll find Goldman Sachs were intriniscally involved in Greeces ratings to get into the Euro.

 

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=akqC4y5U7MnU

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I heard that Germany never paid Greece any compensation for WW2. Now Germany is sitting in judgement of Greece's debt.

 

I'd read that Greece were paid a compensation package agreed by the big four at the Paris conference in 1947 from Germany.

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Id read that Germany still has outstanding liabilities.

 

Where?

 

Greece wanted a lot more than they were awarded by the big four, half of what the USSR wanted, and it's this amount that is often wafted around. Italy also paid Greece damages. Read up on the Paris 1947 conference.

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