This is a very simple way article on the Eurozone woes.\u00a0 Click on the link for the rest of the article and the 230 comments at time of writing.<\/p>\n
\nEurozone crisis: We’re all dooomed! Here’s why<\/h2>\n<\/blockquote>\n
\nBy Tim Worstall<\/span><\/span><\/a> \u2022 Get more from this author<\/span><\/span><\/a><\/p>\n
Posted in Government<\/span><\/span><\/a>, 10th November 2011 16:39\u00a0GMT<\/span><\/span><\/a><\/p>\n
Analysis<\/strong> Quite what is actually happening over the Eurozone I can’t actually tell you: it’s not that things change too fast to write about them, it’s that things change to fast to read about them. Berlusconi still PM? Italian bond yields over or under 7 per cent? That changes as often and as fast as Berlusconi does condoms. France to go bust or not? Greece still bust?<\/p>\n
\nHowever, what I can give you is a quick guide to what will solve the problem.<\/p>\n
Nothing.<\/p>\n
Well, nothing that’s actually possible or legal, anyway.<\/p>\n
We’ve two different things going on here: insolvency and illiquidity. Insolvency is Greece: they’re bust, that’s all there is to it. It just doesn’t matter how much austerity (read, firing people) Greece does, how heavy they get with tax evaders and the structural changes they make. They simply cannot pay the debts they already have. They’re as bust as someone on \u00a310k a year with a \u00a350k credit card bill.<\/p>\n
Well, nothing that’s actually possible or legal, anyway.<\/p>\n<\/div>\n
We’ve two different things going on here: insolvency and illiquidity. Insolvency is Greece: they’re bust, that’s all there is to it. It just doesn’t matter how much austerity (read, firing people) Greece does, how heavy they get with tax evaders and the structural changes they make. They simply cannot pay the debts they already have. They’re as bust as someone on \u00a310k a year with a \u00a350k credit card bill. .. . .. … ..<\/p><\/blockquote>\n<\/div>\n