Sunday, January 4, 2015

The Greek Exit?

For months and months.....the Greek economy has been a question mark in the EU and was one of those occasional topics that came up in the German news.  Germany's political figures always chatted up how Greece could not leave the EU....thus Germany needed to help their neighbor.....to stabilize the Euro currency.

Well, in the past forty-eight hours here in Germany.....the whole strategy has flipped.  German political figures are appearing left and right....on any medium possible to put the word out.....Greece leaving the Euro is perfectly OK. So far, I've yet to see any German journalist ask how this sudden change occurred.

The outline of this episode?  The Greek election will occur within the next couple of weeks.  German political figures seem to think that a far-left political team of at least two parties will emerge, consolidate power, set a date to leave the Euro, and then all Greeks will chill out and think their worries went away.  Well....they will think that.  When Greeks go in to buy anything European and have to pay in Euro.....the exchange rate will likely be very unfavorable.  So, in my world....you just massive old problems for massive new and fresh problems.

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