Prev: Blew the fuse in my multimeter, wanted to replace it, grabbedit, but
Next: Liberals are village idiots...
From: John Larkin on 28 Apr 2010 12:00
http://apnews.myway.com/article/20100428/D9FC0ES80.html

Europe has an interesting dynamic. Multiple countries share a
currency. So if one country, especially a small one, decides to spend
more than they have, the other, presumably more prudent countries,
wind up paying for it.

In a single country with a single currency like the US, if we spend
more than we have, we'll print money to cover it, and everybody in all
the 50 states shares in the resulting inflation.

Europe has national deficit rules to prevent excess inflation of the
euro, but they aren't followed very well. Everybody has the incentive
to cheat.

Yikes! First Greece, then Portugal, and just now Spain!

A 2-year Greek bond yields 23%


John


From: Joerg on 28 Apr 2010 12:16
John Larkin wrote:
> http://apnews.myway.com/article/20100428/D9FC0ES80.html
>
> Europe has an interesting dynamic. Multiple countries share a
> currency. So if one country, especially a small one, decides to spend
> more than they have, the other, presumably more prudent countries,
> wind up paying for it.
>
> In a single country with a single currency like the US, if we spend
> more than we have, we'll print money to cover it, and everybody in all
> the 50 states shares in the resulting inflation.
>
> Europe has national deficit rules to prevent excess inflation of the
> euro, but they aren't followed very well. Everybody has the incentive
> to cheat.
>
> Yikes! First Greece, then Portugal, and just now Spain!
>

That was sort of predictable.


> A 2-year Greek bond yields 23%
>

Last night it was "only" 18%. Whoops ...

I am surprised anyone is buying those bonds. I sure wouldn't.

--
Regards, Joerg

http://www.analogconsultants.com/

"gmail" domain blocked because of excessive spam.
Use another domain or send PM.
From: Michael on 28 Apr 2010 13:30
On Apr 28, 9:00 am, John Larkin
<jjlar...(a)highNOTlandTHIStechnologyPART.com> wrote:
> http://apnews.myway.com/article/20100428/D9FC0ES80.html
>
> Europe has an interesting dynamic. Multiple countries share a
> currency. So if one country, especially a small one, decides to spend
> more than they have, the other, presumably more prudent countries,
> wind up paying for it.
>
> In a single country with a single currency like the US, if we spend
> more than we have, we'll print money to cover it, and everybody in all
> the 50 states shares in the resulting inflation.
>
> Europe has national deficit rules to prevent excess inflation of the
> euro, but they aren't followed very well. Everybody has the incentive
> to cheat.
>
> Yikes! First Greece, then Portugal, and just now Spain!
>
> A 2-year Greek bond yields 23%
>
> John


California's bond ratings are rock solid in comparison...
http://www.treasurer.ca.gov/ratings/history.asp

Shocking.

Michael
From: Adrian C on 28 Apr 2010 13:50
On 28/04/2010 18:48, John Larkin wrote:
>
> But doesn't it cost a lot to ship ebay stuff to europe?
>

From China to most parts of Europe, nothing.

--
Adrian C
From: George Jefferson on 28 Apr 2010 18:52


"John Larkin" <jjlarkin(a)highNOTlandTHIStechnologyPART.com> wrote in message
news:12mgt55ggcnjghag6g1o7va7auk7l3hjs2(a)4ax.com...
> http://apnews.myway.com/article/20100428/D9FC0ES80.html
>
> Europe has an interesting dynamic. Multiple countries share a
> currency. So if one country, especially a small one, decides to spend
> more than they have, the other, presumably more prudent countries,
> wind up paying for it.
>
> In a single country with a single currency like the US, if we spend
> more than we have, we'll print money to cover it, and everybody in all
> the 50 states shares in the resulting inflation.
>
> Europe has national deficit rules to prevent excess inflation of the
> euro, but they aren't followed very well. Everybody has the incentive
> to cheat.
>
> Yikes! First Greece, then Portugal, and just now Spain!
>
> A 2-year Greek bond yields 23%
>
>


Sounds like the states very much. The blue states can drag all the others
down with their irresponsibility.

 |  Next  |  Last
Pages: 1 2 3 4 5 6 7
Prev: Blew the fuse in my multimeter, wanted to replace it, grabbedit, but
Next: Liberals are village idiots...