Can someone give me a simplified explanation please.

mjt said:
Case in point:

A friend of mine was offered a job in Athens at €4,000 a month.
In the interview he was told to open a bank account in Cyprus where he would receive €2,000, and the other in his Greek bank account.

Another example of Greek economics:
In order to become a truck driver in Greece, a retired driver has to give you a licence. Closed shop.
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LOL what, how does that work with the truck driver, is it some traditional thing?
 
There's so many factors that can determine a currencies value. If you think about the strength of the economy on which that currency is built — goods and services imported and exported, taxes raised and spent, banks and traders 'confidence' in said currency and of course the relative value compared to other countries' currencies.

The difficulty with the Euro is that it's used by 17 countries all with different strength economies so those factors are added, subtracted, multiplied or divided 17 times to give a result that doesn't really suit anyone. :p
 
Apparently public transport in Greece has been something of a joke as well, with it being down to peoples honesty as to whether or not they pay.

Lots of tax avoidance due to poor legal measures and a general lackadaisical approach to charging/taxing for anything with huge government expenditure. The poor folks will obviously blame all the rich people and they're bound to be right to an extent, but that doesn't take away the fact that even the 'poor' have probably lived beyond their means here and there.
 
Panzerbjorn said:
There's so many factors that can determine a currencies value. If you think about the strength of the economy on which that currency is built — goods and services imported and exported, taxes raised and spent, banks and traders 'confidence' in said currency and of course the relative value compared to other countries' currencies.

The difficulty with the Euro is that it's used by 17 countries all with different strength economies so those factors are added, subtracted, multiplied or divided 17 times to give a result that doesn't really suit anyone. :p
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Yes and that because of this the middle ground means its very bad news for the economies that need one action and very good news for the few that need the other. And yep you guessed it, Germany is one of the winners and Greece is one of the losers.
 
Greece should never have been allowed to join the euro - their economy was shot before they joined, but used Goldman Sachs to hide the debts and sell future revenues. So they not only owe money, the revenue they should get from both the lottery and airport landing fees do not belong to them anymore.

Add to that an average retirement age of 53, huge unemployment, massive and inefficient public sector and issues with paying and collecting tax.
 
Am I right in thinking Greece is having some sort of referendum on a bailout? Stocks in Europe are down 3-4 % this morning and I thought I heard something on the radio about it?
 
Guile said:
Banks creating money out of nothing. It is all one huge pyramid scheme. This scam only has legitimacy because the powers that want it there, run our media/schools etc.
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When a bank is allowed to lend ten times the amount of capital it holds, and can then use the revenue from those loans that they haven't even received yet as capital, it's no wonder that that graph looks like an exponential growth chart.

:rolleyes:
 
Panzerbjorn said:
When the Euro came into circulation, the countries that adopted it agreed to a single currency but not a single fiscal policy.

As such, the countries were allowed to carry on taxing/spending as before. Countries which were strong before the Euro continued to do well and countries which were weak before the Euro continued to do poorly.

This left a huge real-world discrepancy between the 'value' of the Euro in various parts of the union. Then the world economic crisis really screwed things over, with various European banks/countries struggling (Greece, Ireland, Portugal etc).

In order to save the whole single currency, those stronger economies (German and France) have had to lend more and more money to the weaker countries to keep them afloat.

However, it's become clearer and clearer that countries like Greece have basically taken the money and not fixed the issues with their economy which got them into trouble in the first place.

We're now at a stage where they are talking about writing off half of Greece's debt (meaning the banks and countries which own that debt being out of pocket) and we're looking at China getting involved.

That's in very simple terms and I'm happy for anyone to correct/amend anything I've said or missed.
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That about sums it up.

The important thing that you pointed out is the fact that there isn't a single fiscal policy and this is and always will be the problem.
 
im pretty happy we never joined the euro but wish we never lent money to poor countrys.. whats the point in letting them get into even more debt? if all they're gonna do is ignore whats happening and just get into futher trouble along the line..

if we are in so much debt, who are we in debt with and if these other countrys re-paid the uk back would we be out of debt or close to being out of debt?

if every country in europe just wrote off the debt and started again, who would it really hit hard? as all the countrys seem to be in some sort of debt.

i hope china doesnt get involved, or else, they truly will rule the world.
 
Mickie said:
i hope china doesnt get involved, or else, they truly will rule the world.
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Too late lol

They are already making America their bitch, and we are Americas bitch.. So Im sure you can figure out where we will stand in global politics in 10 years time.

My advise is to make your children learn Mandarin, so they can do business with our future overlords.
 
zegna said:
Too late lol

They are already making America their bitch, and we are Americas bitch.. So Im sure you can figure out where we will stand in global politics in 10 years time.

My advise is to make your children learn Mandarin, so they can do business with our future overlords.
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Are they helping now?
 
i'd honestly rather have germany running europe than china..

if greece leave the euro, which no-one wants and doesnt pay back its debt, nothing will happen..

but if america stopped paying its debts back, i'd hate to think what china would do.
 
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