[ds968]

So someone 'splain to me how Greece which in entirety constitutes only about 0.3 % of the world economy causes massive sell-offs in the world stock markets every single time there is discussion on a default of their piddly debt ( negligible, in relative terms ) . First of all this is not new news, it's been going on for years so you have to wonder why the markets keep panicking every single time this potential default is mentioned. Secondly, sure the German banks have a lot of investment in Greece and they're more worried than anyone else, but come on, the amount of debt we're talking about is merely a rounding error figure, even for German banks. I can't see how a Greece can possibly impact even the Euro in a very significant way, much less the collective global " wealth " . Same for Portugal . Italy or Spain yes, but Greece ? Come on, WTF ?! Hell, we have bigger problems with Puerto Rico threatening to default, which is greater by almost 10-fold of Greece's debt..

Eh, I'm just venting because my 401K and investment portfolio amounts dropped by about 10 PMVs ( Porsche 968 monetary value ) just in a single day, yesterday , lol.

Partial Post: Please Login or Register to read the full post.

[Ernie]

I second ds's rant! Lost a good # of PVM's as well. Glad my Design 1 order is already paid for! Lmao

Partial Post: Please Login or Register to read the full post.

[Bulti]

The Greeks should get of their lazy asses and start paying taxes like everybody does. And when they get rid of the corruption maybe they can make some dough so their children can eat instead of being the biggest victims of the whole mess.


I know it sounds a bit harsh, but the economic system just demands a bit more than just people sitting in a government building and making a bunch of cash.


But I'm affraid that Tsipras doesn't want to accept reality for what it is: the damage is done and people will have to suffer for years if they want to make it right again. If he and his partymembers (and their followers) try to circumvent or postpone the inevitable, the consequenses will only get worse.

Partial Post: Please Login or Register to read the full post.

[biosurfer1]

The best way to understand the reasoning behind stock market moves is to not try.

Partial Post: Please Login or Register to read the full post.

[PorscheG96]

If Greece defaults then it sets a precedent for other countries, in the EU at least, to do the same.  Italy, Spain, Portugal, even France aren't in great shape so the dominoes could begin falling and affect the global economy.  I read an excellent article a few years ago about how the Euro is flawed - generally, governments have 3 levers over monetary policy: tax rates, interest rates, and money supply.  Not so with the Euro because you have to agree with your other constituents to adjust #2 and #3.  Greece cannot repay its obligations using 2 of the 3 levers like the UK or United States can, so they're stuck with taxation only which is crushing their economy.

 

Nations around the world are indebted up to their eyeballs and everyone knows it.  The problem with indebted societies is that volatility is high when people lose confidence that they're gonna get paid.

Partial Post: Please Login or Register to read the full post.

[biosurfer1]

One interesting point of reference is the last country to default to the IMF was Zimbabwe in 2001. After suffering extreme hyperinflation since, they still haven't recovered and finally changed to the US dollar as their currency.

 

Wonder if Greece will be similar.

Partial Post: Please Login or Register to read the full post.