http://globaleconomicanalysis.blogspot.com/2011/07/plan-to-spoon-feed-greece-to-death.html
Plan to Suck Greece Dry Will Backfire
The plan is to suck Greece dry, not to bailout Greece, but rather to bailout the banks that to lent Greece. That plan is still not finalized.
However, the plan will backfire. Greece will default anyway, and the ultimate cost will be higher to Greece and the banks that lent to Greece. European taxpayers will be asked to foot the bill.
Notice how silly this has gotten. Had Greece simply defaulted a year ago, the cost may have been haircuts of $50 billion or so. Now $282 billion (and counting) has been invested to "save Greece".
Does Greece look or feel saved?
Plan to Suck Greece Dry Will Backfire
The plan is to suck Greece dry, not to bailout Greece, but rather to bailout the banks that to lent Greece. That plan is still not finalized.
However, the plan will backfire. Greece will default anyway, and the ultimate cost will be higher to Greece and the banks that lent to Greece. European taxpayers will be asked to foot the bill.
Notice how silly this has gotten. Had Greece simply defaulted a year ago, the cost may have been haircuts of $50 billion or so. Now $282 billion (and counting) has been invested to "save Greece".
Does Greece look or feel saved?
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