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Germany drawing up plans for Greece to leave the euro
Plans for Greece to default, potentially leaving the euro, have been drafted in Germany as the European Union begins to face up to the fact that Greek debt is spiralling out of control - with or without a second bailout.
The German finance ministry is actively pushing for Greece to declare itself bankrupt and to agree a "haircut" on the bulk of its debts held by banks, a move that would be classed as a default by financial markets.
Eurozone finance ministers meet on Monday to approve the next tranche of loans from the EU and the International Monetary Fund, designed to stave off national bankruptcy while the new Greek government puts the country's finances in order.
But the severe austerity measures being demanded have caused such fury in Greece, and the cuts required are so deep, that Wolfgang Schäuble, the German finance minister, does not believe that any government would be able to implement them.
Source and full story: The Telegraph, 18 Feb 2012
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Re: Germany drawing up plans for Greece to leave the euro
We must never base our opinions on a title alone. We must actually read the text.
In this case the title is, “Germany drawing up plans for Greece to leave the euro.” This is like saying “Israel drawing up plans to attack Iran.”
Based on such titles alone, the sky is falling. But if you read further, you see that these articles are empty bullshit and speculation. They offer no proof.
And since this is a British article, it suggests that Germany is the evil ruler of Europe. In reality, all the big private banks collaborate. So do the politicians of all European nations.
Greece, of course, is already bankrupt, and can only keep going as long as it takes on more and more debt. It’s like being penniless (i.e. bankrupt) and living off credit cards. When the bill for one credit card comes due, you pay for it with a different credit card. All that debt makes it impossible for Greece to ever put its finances in order. Besides, the Greek government has little say in its finances anyway. Greece is ruled by the ECB in Frankfurt, which issues the euro currency, and by private banks, which are part of the ECB debt network. Greek politicians are mere puppets on the bankers’ payroll.
This is what happens with private bankers are given absolute power.