Soros says the EU's problem is not greece or spain

Discussion in 'Economics' started by loza, Jun 23, 2010.

  1. loza

    loza Guest

  2. That's not what he's saying... His point is that the situation in the Eurozone was caused by intra-union imbalances. Germany's budget policies are exacerbating these imbalances, instead of helping matters. This is an argument that's been made by other commentators, such as Martin Wolf, who coined the term "Chermany".
  3. Intra-union imbalances that have been known before the implementation of the EURO. Large differences in productivity between Euro member states have not been a secret. The current crisis is just bringing these well known imbalances to the surface...
  4. That's right... The current crisis is just making it extremely clear that imbalances of this sort are not consistent with a common ccy. So they either they re-balance or go their separate ways, it's as simple as that.
  5. How would they pull off a "re-balance"?

  6. It's a difficult thing to do indeed with a common ccy (look at the US states with all of their transfers; and they've been a single-ccy area for more than a century). The basic idea is for Germans to foster an increase in domestic demand, while the Club Med folks go through severe wage deflation.
  7. loza

    loza Guest

    In nature the ants eat the grasshopper for lunch, in EU utopia they supposed to work extra hard to support their lifestyle...
    Aesop had it right....
  8. Anything Soros says is suspect. Every word out of his mouth is self-serving. You probably cannot even believe the opposite of what he says.
  9. jem


    that is exactly right..

    How does he go from socialist asshole funding moveon to impartial commentator - defender of free markets. The only conclusion is that the guy is talking his book.
    #10     Jun 23, 2010