ilia25
I can do math
- Jan 12, 2012
- 1,859
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I don't think so. I think the Med Countries, greece, italy, etc. are the problem. They over-borrowed, in part due to the free-flowing capital vis a vis credit default swaps, which our banks cooked up after we gutted Glass-Steagall. It was easy money, and they over borrowed.
Germany, France, UK are still major players and having to carry the water for other EU member states who acted irresponsibly, albeit with some German, French, UK (and US) banks doing the lending willy-nilly.
Blame to go around. But restore Glass-Steagall seems like the no-brainer first step on the road to fixing the mess.
They never really "over borrowed". Their ability to service their debt was only undermined when the austerity was forced on them by ECB and Germany.
They most certainly did over borrow. Wall Street firms helped Greece hide its debts. Then when there was a change in government, all the hidden debt was discovered and disclosed to the world.
And what they disclosed was still less of a debt than Japan had for years.
It's not about the debt levels, it's about ECB and forced austerity.