Enough with the congratulatory comments and kudos for the latest EU bailout. How can this be a good thing when you take a trillion dollars of future earnings to pay for past spending. Where is the growth going to come from with the deflationary pressure this move will cause. There is only one solution, which had it been used in the US we would probably be out of this mess by now, and that is to let the market correct the problem. Yes let Greece fail (restructure its debt), yes let the big European (and American) banks fail. Stop interfering with the natural process of dealing with failed entities. This is not the end of the crisis. It is now beyond a geographically contained area. This is a loosing attempt at saving the integrity of the Euro and delay the day of reckoning. Let market forces shake off the rotten fruits.
The US can not decouple from Europe. Not when the EU, the largest trading partner of China, is going into a prolonged period of uncertainty and economic malaise at a time that China, our banker, is facing very possibly the same fate. The same wheel goes round and round.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment