nanarchy said:
generic-user-1 said:
Zuhyc said:
I'm not saying that, I justed wanted to show that they can get poorer.
I love how you can look into the future and predict how the Greek welfare will be. It could end up better than Latin America, but it can be worse. And I hope the Greek people will realise that. |
they could but they will not.
and its not that hard looking into the future. its an educated stable country with a steady stream of income(tourism) that will expand if they drop out of the euro(and ISIS is doing them a favor too by destroying every thing older than 1000 years in the middle east). there will be enough money to invest for basic production. even if they lose half their income in the crisis they will be mch better of than many south american countrys.
the greeks have the luck that the goods and services they produce are labour intense.
|
Things can get a lot worse, I hope for Greek peoples sake your extreme optimism is correct but I doubt it. Perhaps a better indicator is to look at Argentina fromlate 90s to early 2000. Greece is headed down a similar road, although Argentina never reached the insane debt levels that Greece has, once the funds dry up things get ugly very fast.
|
the gdp took 5 years to get back to the pre cisis level. and argentina had a lot more problems before the crash and default.
the debt level doesnt matter if you default you dont pay your debt, and this will be alot easyer for greece because basicly just the imf, the EU, the ecb and greek bank own the bonds. the government doesnt need new funds, they are in the black when you dont count the interrest for the debt.
