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> Seeming ignored in these discussions is that right up to the bailout Greece's problems were entirely self inflicted. False. Greece was in need of high rates
by kartan 8y ago
> Seeming ignored in these discussions is that right up to the bailout Greece's problems were entirely self inflicted.
False. Greece was in need of high rates to lower consumption and debt increase. Instead of that, and for the benefit of Germany that was in need of more debt to pay for the reunification, rates were lowered to historical minimums.
If your debt is increasing like crazy and your currency lowers the rates the result is well known. Greece could not change the rates, so they were not in control anymore.
That does not mean that Greece has not big problems. But to blame all on them makes no sense. German banks could have stopped lending money at any time, but they are seen just as victims instead of greed instigators.
- nmeofthestate 8y agoYour crazily increasing debt is a function of your spending, so Greece was in fact in control if they chose to be.
- abduhl 8y agoWhat a joke of a statement. You make $1000 a month but have a credit card that offers you increasingly poor rates due to your inability to make payments on time. Your monthly expenditures on medicine, food, and rent are $1500. Are you at fault or is the system at fault? Obviously you just need to decrease your spending - so it's you. Just move somewhere cheaper, eat less, and don't get sick. Obviously it's your choice.