The Greeks are the currently anointed European crisis; that is fine with the Finns, the Spanish, Portuguese, Italians and French whose condition is not much different, though less well spotlighted.
In the ‘last ditch’ talks wherein the E.U. will cave and agree to continue supporting the spendthrift Greeks or the wastrels will be forced to face reality and live lower on the hog at a level that they can afford, two things stand out. The Greeks announced that their creditors have to stop looting the hapless victims and those victims drained some $449 million from Greek banks in one day. Yeah …
“Hutzpah” is Yiddish, not Greek but it seems to us to fit folk who have borrowed too much money and now call it “looting” when their lenders want to be repaid. Particularly when the deadbeats are sucking up every euro in sight before those lenders can get their hands on it.
In the E.U, the question is whether the Greeks will default and bail out of the Euro, potentially starting a stampede, or stay and take their medicine. Ie, at least try to repay what they owe. Those are the small questions. The large question is: What will bring down the New York Stock Market? That begins financial Gotterdammerung. The fat lady sings, loud. Naturally, no responsible politician will admit such a possibility, except perhaps when he is at home supposed to be sleeping.
Knowing that emboldens the Greeks and scares the **** out of the Eurofolk and likely, the Fedfolk too. But it is inescapable that the E.,U. cannot continue to support southern Europe on world wide declining trade. We are approaching a true Wiley E. Coyote moment with little Greece as the stand in for most of non-Germanic Europe and the Finns as well. “Welfareism” is following Communism and for exactly the same reasons: it can’t be funded.
Only fear of all those who have been promised and will never now collect, prolongs the agony. Greece is now at bat; it’s three balls and two strikes with the next pitch coming. We can’t predict whether the pitcher will walk or strike out Greece but either way, the game becomes a lot more interesting. (In the Chinese sense, unfortunately.) We have this much confidence: Whatever the pitcher throws, Greece will not hit it out of the park.
For all uninterested in American baseball images, the issue is how long it will be for Greece to collapse and when it does, how many will follow and how long it will require. In baseball, a three and two pitch is likely to end the matter, one way or another. Any bets?