Originally Posted by DVTimes (Post 18952105)

People are pulling millions out our Greece banks.

But as the EU dollor drops in value surly others in other countries will pull there savings out and put in other courancies.

Once a panick starts people all over the EU will be trying to get there cash out.

Originally Posted by Redrob (Post 18952563)

Today, sucks to be in Greece.
Next month, sucks to be in the EU.
Next Dec 22, sucks to be in the rest of the World.

Originally Posted by mavruda (Post 18952375)

EU won't allow Greece to collapse. They are positioned in very strategic trade route and if they go out of EU - that will affect the whole trading process. No one needs that - and that's one of the reasons EU is making efforts of saving them.

On the other side there's a possibility the whole thing to go down with huge boom.

Originally Posted by Jesus H Christ (Post 18952559)

The ECB and the IMF already said no to funding Greece unless they capitulate to austerity. Here's the problem. The EU can't let Greece fail because if they do leave the union others with much larger debt amounts like Italy and Spain will also bail. More importantly, France is one of the main underwriters of debt in all three countries.

Originally Posted by u-Bob (Post 18952322)

TBH: I'm hoping for a German exit.

Originally Posted by Jesus H Christ (Post 18952559)

I said this months ago, France is the one truly in trouble as far as the EU. France's stock market is minus -50% in the last 5 years and currently trading at 1997 level. This means all their SM gains in the last 15 years are gone. France is the largest shareholder of Greek, Italian, and Spanish debt, plus with a shitty SM, their economy will also collapse by proxy.

The UK is in far more trouble, but they've manage to always pay their interest payments. The UK GDP is $2.25 Trillion as their external debt $8.9 trillion. The UK GDP yearly gains are 3% as 67% of these profits pay the interest of the debt and not the principle. In short, every British subject owes $143,009 from birth, compared to Americans $47,568.

Although that's bad, other Europeans are totally fucked.

Luxembourg $3,696,467
Ireland $519,070
Netherlands $226,503

So what does all this mean besides we are all fucked? If Greece says fuck it and defaults bank runs continue all across Europe, banks can't loan money with (9x) fake money, and credit market freezes, production slows, spending slows, job loses, foreclosures, property values collapse, GDP decreases, interest on loans don't get paid, countries default, social services stop, crime increases, civil unrest, and finally a type of Martial law.

Or keep giving Greece money and worry later about the inevitable.

Originally Posted by pornguy (Post 18952851)

The collapse of the banks might be the very best thing that could happen.

Originally Posted by Jesus H Christ (Post 18952559)

Greece had a bank run this month as ?6 billion was pulled from local banks. Some will say that's not much, but in the banking world you can loan up to 9x (Fiat) of your deposits. This means ?50 billion in loans will now need to be covered by other deposits. So if bank runs continue, as they surly will, ?300 billion in loans will need to be covered in the coming months by European banks. Greece already owes 133% of its $305.6 billion GDP with compounding interest that they can't even manage to pay now.

So why do they keep throwing money at Greece? Because Greece is at the point where they owe so much they CAN say fuck it and default, bring back the drachma, and recover (better then now) faster with zero and be in the positive within 10 years or be in debt with the EU for the next 100. It's the same with Spain and Italy, on the cusp where it's actually a faster long term recovery to default, then pay all the money owed. Greece knows this and opted to milk the EU like a 21 year old would, maxing out their CC before filing for bankruptcy.

I said this months ago, France is the one truly in trouble as far as the EU. France's stock market is minus -50% in the last 5 years and currently trading at 1997 level. This means all their SM gains in the last 15 years are gone. France is the largest shareholder of Greek, Italian, and Spanish debt, plus with a shitty SM, their economy will also collapse by proxy.

The UK is in far more trouble, but they've manage to always pay their interest payments. The UK GDP is $2.25 Trillion as their external debt $8.9 trillion. The UK GDP yearly gains are 3% as 67% of these profits pay the interest of the debt and not the principle. In short, every British subject owes $143,009 from birth, compared to Americans $47,568.

Although that's bad, other Europeans are totally fucked.

Luxembourg $3,696,467
Ireland $519,070
Netherlands $226,503

So what does all this mean besides we are all fucked? If Greece says fuck it and defaults bank runs continue all across Europe, banks can't loan money with (9x) fake money, and credit market freezes, production slows, spending slows, job loses, foreclosures, property values collapse, GDP decreases, interest on loans don't get paid, countries default, social services stop, crime increases, civil unrest, and finally a type of Martial law.

Or keep giving Greece money and worry later about the inevitable.

Originally Posted by DVTimes (Post 18952105)

Could the EU crash?

Originally Posted by raymor (Post 18954273)

That's the best post I've ever seen from you. I didn't know you were that knowledgeable. For those who don't like reading long posts, the Cliff Notes are this - the EU is fucked. Two thirds of the UK budget is wasted paying INTEREST on debt, so they are fucked and mathematically there is basically no way out.

Originally Posted by Jesus H Christ (Post 18954169)

You know and I know there is no way this can continue, besides we're webmasters that only need an internet connection to live, so why not live on your own 208 acres ranch on the river and off the grid if you like?

Originally Posted by Jesus H Christ (Post 18954860)

Hmmm,...Greece?