Greece, not again?

[admin]

It seems there aren't many companies in the Dow that couldn't bail out Greece with their chump change. Hard to imagine a Greek default would be seen as much more than a blip on world money markets. On the other hand little snowballs can make mighty avalanches if conditions are right.

Well, there are at least two reasons to worry:

1. Other euro country members are going to take substantial hits, most of the Greek debt is actually to them.
2. There is still the possibility of contagion, although the markets are remarkably sanguine about that. It's not as big a risk as it used to be now that we have some firewalls, a more active ECB and a recovering economy.

The (rather perverse, but most likely) outcome is that the euro is here to stay, whilst it has clearly failed and the benefits are remarkably insignificant.