Quote:
Originally Posted by Happy Times
This week has been the beginning of the end of the eurozone and maybe even EU.
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I doubt both, but I would love to be proven wrong on both. Better an end with terror than this terror without end.
Maybe the transfer union will collapse indeed, but not in the forseeable future, political stupidity still is too determined to keep the illujsion alive, no matter the cost. Maybe after Germany has been successfully brought down by transfering billions and billions and billions while accumulating it's own debt burden and deficits. What many people overlook is that in Germany the decisive treshhold criterions for state debts beyond which most economists and historians agree a state can never recover but instead falls into an accellerating spiral - has already been exceeded longer time ago.
Germany has a debt burden of over 2 trillion now (
http://www.staatsverschuldung.de/schuldenuhr.htm ) Roughly 30% of that was accumulated in the past 24 months. Early 2008, Germany was on the way towards an at least balanced budget, no new debts. Currently, the budget has a deficit of 3.8%, with a dramatic dependence of German economy on good exports and energy imports (at least the first being a showstopper in the long run).
Since social cuts are not popular with politicians and the left is in a up-pohase over here, I fear that the future will hold higher and higher taxes, and growing spendings alike, which more and more translates into exporioriation over here. Adding
open taxes (Einkommenssteuer, sozialabgaben etc) and hidden consumer taxes (Mehrwertsteuer etc) taxes altogether, most of the ordinary middle class employees have to pay already two thirds of their income to the state, not just those roughly 48% that usually are quoted by excluding the hidden taxes.
Damn, I realise how many of those English economic vocabulary terms I am missing.
Some numbers on public and external debts and GDPs.
http://en.wikipedia.org/wiki/List_of...by_public_debt
http://en.wikipedia.org/wiki/List_of..._external_debt