I am sure that if you are like me, you are completely fed up with the Greek drama. It reeks of a bad Greek play!
Since 2010, for the third straight spring of discontent, we have been bombarded with worries and fears about a Greek default. The recent Greek elections were, for lack of a better term, an embarrassment to the democratic world.
I understand the average Greek person is hurting with a 20 percent contraction in economic activity since 2008 and near 22 percent unemployment.
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However, to react by electing fascists, neo Nazis and communists is completely over the top and ridiculous. What is funny is that this wasn't even an anti-Europe vote, as nearly 75 percent of Greeks want to stay in the euro.
Greece has a backward socialistic economy that benefited from being in the euro and gave Greeks a higher standard of living than what was deserved.
They now don't want to accept the pain of staying in the eurozone. Do you think that German, French, and Dutch tax payers want to pay the bill so a hairdresser in Athens can retire at age 50?
I think it has come to a point where enough is enough. During the past few years, Greece has received billions of dollars in support and Greek citizens have been allowed to write down their debt.
Yet, we are no closer to a solution. In addition, Greece holds financial and commodity markets hostage.
When the possibility of a default looms, people think there could be contagion, with a bank going under, liquidating — and then this spreading to inflect other banks around the globe.
However, Greece is a special situation. Yes, the financial situations of Spain, Italy even France and the United States aren't good. However, no one is near the basket case that Greece is. Greece doesn't have much in the way of industry, its government is bloated and its private sector is too small in relation to its economy. Greece needs a full restructuring.
I also think that the rest of Europe is fed up with being held hostage by Greece.
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I feel that if the ECB decides to do their own round of quantitative easing by purchasing Italian, Spanish and Portuguese debt, they will do that after any sort of Greece default as they won't want to buy Greek debt.
Greece represents 2 percent of Europe’s economy. All the Greek crisis is doing is holding Europe back from solving its problems. It is best that they leave. Then the Greeks can also learn how great it is to be on their own.
The Greek government will be unable to borrow, will run out of money, the drachma, when it floats, will plummet and they will see massive inflation!
However, it is best for he rest of Europe that Greece leaves — and the sooner the better.
About the Author: David Skarica David Skarica is a member of the Moneynews Financial Brain Trust. Click Here to read more of his articles. He also writes the Gold Stock Adviser. Discover more by Clicking Here Now.
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