What the Germans could not do militarily in two world wars, they have successfully managed financially. Germany, and Germany alone holds all the cards on bailing out the banks of the distressed nations in the Euro Zone. What's the hold up in them helping?
The issue is complicated, but to put it in a nutshell, the Germans want accountability for any money they are going to be loaning out and so far no nation begging for relief has presented a plan for how the money will be paid back given their current economic state. We have already seen evidence here in the U.S. of what can happen when you pour money into the economy and watch it dissipate like a July shower in Florida. The Germans aren't interested in the same scenario being repeated with them. They are also in no hurry for change because they are able to play world markets who await their decision and on which a staggering arrray of negative possibilities present themselves should they not follow through with their financial assistance.
In addition, Angela Merkel, the German Chancellor, is up for re-election in a year and she is in a position of having to play politics. This is because any money Germany lends out will come at the cost of the German citizen, who will have to pay higher interest rates...an unpopular notion with the population. The voting one.
And so, we can only wait. And I say we as the U.S. who are just as dependent on the German decision as anyone because our economy could completely tank with a Euro collapse.
Somehwere in Bolivia a couple of old Germans from the former Reich are lighting up cigars and quietly smiling to themselves.
You can't bail out these countries that are in trouble.
They will riot in the streets if their leaders try and get them out of the mess that they are in.
Socialist countries can't understand financial responsibility. They think money grows on trees.
let them learn.......... The hard way.
I find it interesting that you refer to the socialist countries as being unable to understand financial responsibility. Are you inferring that our country is socialist? Because according to your assessment, that's exactly what we are. We are not financially responsible as a country and apparently a lot of people / corporations / government entities think that's exactly where money is obtained. From the trees.
I do not think the US is socialist, yet. Our people think the states and Feds do not have to cut back on anything.
I’m talking about Greece and Spain. I don’t care how you look at it, you can’t have your populace retiring at 50 and make more money than they did working. If the elected people try and figure out how to pay the bills, the people have a fit. The socialists want to keep borrowing money to pay the bills while crashing the Euro.
After the Euro crashes, will this affect the dollar? I’m scared to do any research as how many dollars we lent these countries. Wampum is starting to look real good.
Greece received 135 billion Euros the first go round. They still need more. It was a drop in the bucket to them. Can rioting in the streets be far behind?
If they try and cut benefits look out.