Spain is in a deep, deep recession

Discussion in 'Economics' started by crgarcia, Jun 9, 2008.

  1. PanPizza

    PanPizza

    Sure you do. That's why you're such a big swinging dick here isn't it?
     
    #11     Jun 9, 2008
  2. No, I am low key, but you are definately a dick.
     
    #12     Jun 9, 2008
  3. kashirin

    kashirin

    americans won't be able to vacation anyywhere but their backyard

    relax. Euro rules the world now. Buck is a history
     
    #13     Jun 9, 2008
  4. Long USD, short Euro.

    Benny better back up his blathering on strong dollar with decisive action.

    I don't want to hear any horseshit anymore from Santa beard.

    If a 25 basis to 50 basis point hike shores up the dollar, breaks commodities and crude oil, then it's a win-win situation, because it sure as hell won't do any damage to the underlying economy with rates at 2.25%.

    By the way, Italy is in terrible shape, in addition to Spain. The public pasta halls, which are equivalent to food banks here, are jammed full of middle class people dressed in their Sunday best.

    Portugal isn't doing much better.
     
    #14     Jun 9, 2008
  5. America sold our debt to you morons and you licked it up.
    Now the US dollar will rise and crush the Euro.

    You socialists just don't understand capitalism.

    Bend Over.
     
    #15     Jun 9, 2008
  6. Many economists are surprised the Euro has lasted as long as it has. Giving up control over ones monetary policy means a country such as Spain can do little to help its economy when it tanks, unless all the EU countries using the currency can come to a consensus to lower rates.

    This, more often than not does not, does not happen. Countries with endemic economic problems such as Spain, Greece, and Italy suffer at times due to this. All it will take is for a large country such as Spain or Italy to bail on using the Euro, and its toast.

    I give it 3 to 5 years, then back to individual currencies.
     
    #16     Jun 10, 2008
  7. Three years from now the only countries using the Euro will be Germany, France, and a couple other ignorant wannabes. The Euro will be on par with the dollar. England will be looking very smart for not getting involved in the Euro nonesense.

    Italy, Spain, and Ireland will have left the Euro and massively devalued their currencies. These countries will do much better economically as a result.
     
    #17     Jun 10, 2008
  8. 377OHMS

    377OHMS

    Interesting.

    Isn't the idea that, say, Spain's problems with the current Euro level is offset by the ease that it can trade with its european partners due to common currency, open trade borders etc? Aren't they better off overall? Not being a smart ass, its a sincere question.
     
    #18     Jun 10, 2008
  9. They are better off when the economy is growing, and far worse off when it is not. Problem is that Spain, Greece, and Italy just can't keep up, so their economies are almost always weaker, and they prefer lower rates.

    Most articles I have read (usually via the Economist) think it is Italy that will bail first.

    They will still be part of the EU, and have the open borders, just won't use the currency. There are other Euro countries that don't use it.
     
    #19     Jun 10, 2008
  10. gnome

    gnome

    Yeah.. every government wants the freedom to inflate and debase the currency at whim. It makes life so much easier for incumbent politicos.
     
    #20     Jun 10, 2008