Thats what the idiots at the Fed dont get. We have markets to send signals not for them to distort because of fanciful notions like we can get housing back to 2007. No one can plan or see the future
"There is no means of avoiding a final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion or later as a final and total catastrophe of the currency system involved." - Ludwig von Mises
Greece is an extremely corrupt country , economically and politically. Forty % of the GDP is the public service sector, that means a lot of people that can't be fired and collect pensions. Shipping is less than 5% if memory serves. Just today they banned early retirement. http://www.startribune.com/business/83888477.html. They simply can't develop the income to meet the legacy expenses and debt, just like the U S soon.
At least the US has passed on the retirement liability from the company to the individual, with the proliferation of the DC pension.
All those who got debt during the good times got into trouble. All those, be it individuals, corporations, gov't etc. Debt should only be used in true emergengency situations.
What happened to Greece? Goldman Sachs, that's what happened to them. http://www.spiegel.de/international/europe/0,1518,676634,00.html http://ftalphaville.ft.com/blog/2010/02/09/145201/goldmans-trojan-greek-currency-swap/
at its simplest greece's problem is too many leeches (public sector) and not enough producers (private sector).