05-29-2015, 12:51 AM
"I really think the notion that Greece exits with or without a shadow currency or a proper currency (is ridiculous). Greece has not, historically, been good at managing an independent currency. This time, if they were to move towards that from a situation of extreme weakness it would be havoc for Greece so I wouldn't recommend that."
Greece's new currency would be 'rubbish': Citi's Buiter
"A default would of course be serious for Greece and it would cause a re-awakening of sovereign fears throughout the periphery of the euro area but it's not the beginning of a Grexit necessarily." He believed that Greece would stay in the euro zone and should "have serious debt restructuring and serious structural reform in Greece."
Greece's new currency would be 'rubbish': Citi's Buiter
Germany is worried that any concession to Greece will set off political contagion and cause fiscal discipline to collapse across southern Europe
Europe faces second revolt as Portugal's ascendant Socialists spurn austerity - Telegraph
Total combined public and private debt is more than 370pc of GDP, the highest in Europe. This leaves the country badly exposed to the effects of debt-deflation and stagnant nominal GDP. William Buiter, Citigroup’s chief economist, said Portugal has many of the same economic "pathologies" as Greece, and is likely to be first in line for contagion if the sanctity of monetary union is violated by the ejection of Greece.
Europe faces second revolt as Portugal's ascendant Socialists spurn austerity - Telegraph
According to Eurodad, the coalition of civil society groups that campaigns on debt, there have been 600 sovereign debt restructurings since the 1950s – with many governments, including Argentina for example, experiencing one wrenching write-off after another. Many of these countries plunged deeper into recession as a result of the uncertainty and delay inherent in this bewildering process and the punishing austerity policies inflicted on them, with a resulting collapse in investor and consumer confidence.
Greece’s misery shows we need Chapter 11 bankruptcy for countries | Business | The Guardian
Since its first bailout in 2010, Greece has been forced by its creditors to cut spending by €28 billion — quite a sum in a €179 billion economy. A proportional dose of austerity applied to the United States, for example, would come to $2.6 trillion. During the past six months, a period during which Greece has had its credit line revoked over disagreements with Europe regarding economic overhauls, the state has been forced to wield an even sharper knife.
With Money Drying Up, Greece Is All but Bankrupt - NYTimes.com
Since he started work at the hospital in 2010, Mr. Giannaros has seen his salary shrink to €1,200 a month, from €7,400. His annual budget, once €20 million, is now €6 million, and the number of practicing doctors has been reduced to 200 from 250.
With Money Drying Up, Greece Is All but Bankrupt - NYTimes.com