[np] Euro crisis

[David Morris]

http://www.guardian.co.uk/commentisfree/2011/sep/26/greece-default-debt-exit-eurozone?INTCMP=SRCH

Greece needs to default on its debt and exit the eurozone
[...]
First, for the countries of the eurozone it has become apparent that
there are only two clear options: political integration or breakup.
Anything else is politically or economically unsustainable. Since
there is no appetite for political integration, exit from the eurozone
can be expected later anyway, when it could be even less advantageous
for Greece.

Second, there is little doubt among economists that the easiest
mechanism for a country to gain competitiveness is to have its
currency depreciate. Hence, Greece having its own currency is the
easiest path to gaining international competitiveness. Cars and
iPhones will become more expensive but food might actually become
cheaper and employment will pick up within a few months after the
introduction of the new drachma. By contrast, unemployment and
deprivation with no end in sight are the predictable results of
following the troika's policies.

On Tue, Sep 27, 2011 at 5:58 AM, Kai Frederik Lorentzen
<lorentzen at hotmail.de> wrote:
>
> Yesterday evening I saw Kenneth Rogoff on 'BBC Hardtalk' and he was saying pretty much the same as George Soros. Rogoff, too, said that the German public has to face that Germany will have to pay for it all. Greece, Portugal, Ireland. Maybe Italy and Spain. Even if some or all would have to leave the eurozone.
>
> http://www.nybooks.com/articles/archives/2011/oct/13/does-euro-have-future/
>