tag:blogger.com,1999:blog-5031801052696130392.post2667863380451772482..comments2023-10-31T08:06:28.554-05:00Comments on Kaspar's Market Insights: Europe's Price TagMarket Seerhttp://www.blogger.com/profile/11426404712713948515noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-5031801052696130392.post-86340677634836623032010-04-30T00:17:42.827-05:002010-04-30T00:17:42.827-05:00Well I'm sure it was 30 years fo hard work, ev...Well I'm sure it was 30 years fo hard work, even if the outcome was just a shoddy little shack that fell down at the first little breeze :-)<br /><br />Certainly Greece is stuffed (and probably the Euro), it's just a matter of when. I figure they will try and hold the line for the next couple of years.Justinhttps://www.blogger.com/profile/08393391645130692667noreply@blogger.comtag:blogger.com,1999:blog-5031801052696130392.post-88157011245042409632010-04-29T20:21:24.309-05:002010-04-29T20:21:24.309-05:00Just responded in the post above. The entire mone...Just responded in the post above. The entire monetary system is very poorly put togther. You say 30 years of hard work but it is 30 years of trying to build a mansion and instead the end result was a room thatch hut. The whole thing is shoddy and was never going to last. This is the first little test (Greece is just 2% of the Eurozone economy) and the whole thing is about to collapse.<br /><br />So your holding onto something that isn't going to work with the outcome of the bust being that much larger.Market Seerhttps://www.blogger.com/profile/11426404712713948515noreply@blogger.comtag:blogger.com,1999:blog-5031801052696130392.post-33211583662072835662010-04-29T18:39:35.566-05:002010-04-29T18:39:35.566-05:00The problem though, is this - what are the alterna...The problem though, is this - what are the alternatives? <br /><br />Unless Germany and France are prepared to see 30 years of hard work unravel, they cannot just stand idly by while Greece implodes and brings down the Euro with it, with the EU possibly next.<br /><br />Don't forget that Germany (espcially) and France reaped huge rewards from the Euro - you now had all these once puny little Mediterranean countries importing like crazy with their new fancy (highly-valuable) currency. This benefited the German export machine and France to a lesset extent. <br /><br />The strength of the German economy has largely been built on the back of allowing the Euro nations to use the Euro to buy German goods and services. This is a massive advantage which I can't see Germany letting go. And the same applies to France.<br /><br />However, it's becoming clear that the problem is spreading (as you point out) and unmanageble. Eventually the whole house of cards must collapse, but that could be many many years away. In the interim it's more likely that we will see a stage-managed Greek default (kind of like a pre-packaged bankruptcy) where the banks/pension funds and other bondholders take some sort of a haircut in return for an even greater EU-backed long-term bailout package. I think...<br /><br />It's hard to say really, we are in unchartered waters here.Justinhttps://www.blogger.com/profile/08393391645130692667noreply@blogger.com