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Sunday, November 20, 2011

1st Report of the EU Task Force

It exceeds my imagination why there is no discussion of the 1st EU Task Force Report in the Greek public (and media/blogs, etc.). Instead, one is preoccupied with possible conspiracies on the part of foreigners (above all Germans) to intentionally drive Greece against the wall; on austerity measures many of which don’t make sense; on possible solutions to the Eurozone’s debt problem; etc.

Suppose your family were the owner of a large company which is in such dire straits that bankruptcy seems unavoidable, triggering the wiping out of the entire financial worth of the family and jeapordizing the future of the next generation. Suddenly, someone comes along and offers you a plan how the company can be turned around and returned to solid financial footings. At the same time, this “someone” offers you to provide the liquidity to survive the turn-around period financially.

Wouldn’t you tell that “someone” that you are prepared to do everything required of you only to make sure that your children will again have a good future?

The Greek family has about 11 million members. Their financial existence is presently in extreme jeopardy and the future of their children looks bleak. They may have to emigrate in order to make a living. Isn’t it high time that at least some members of this family start doing something about that? The Greek family has the unusual opportunity that someone is proposing them what they can do about their own future.

Really, isn’t it high time to do something about that? If you don’t think so, ask your children. They are likely to be thrilled when shown that they can contribute something to the family’s positive future!

3 comments:

  1. Klaus Kastner, I believe I can reach you here.
    Otherwise very sorry.

    2 comments for your interest, which do not appear in some other channel, "so far".


    @ Klaus,

    the Maastricht treaty 1992 (http://eur-lex.europa.eu/en/treaties/dat/11992M/htm/11992M.html) was very specific on "no bail out"

    "Article 104b
    1. The Community shall not be liable for or assume the commitments of central governments, regional, local or other public authorities, other bodies governed by public law, or public undertakings of any Member State, without prejudice to mutual financial guarantees for the joint execution of a specific project. A Member State shall not be liable for or assume the commitments of central governments, regional, local or other public authorities, other bodies governed by public law or public undertakings of another Member State, without prejudice to mutual financial guarantees for the joint execution of a specific project."

    And this was very broadly discussed in Germany. We would have never agreed on the Euro without that.

    If we now know that Länderfinanzausgleich was a bad idea, why should we now repeat a 100 times larger and more gross mistake ? This would bankrupt us.

    Greece has got a humongous amount of Solidarity from Europe, nearly 100 % of GDP, 20 Marshallplans





    I have a proposal for Yanis Varoufakis.

    How about you draw up a Masterplan for the Greek Economy, until 2040.
    How GDP develops, capital stock, foreign ownership of capital stock, population, working fraction, productivity, import, export, current account, debt, interest rates, etc. and how you arrive at the 60 % debt/GDP target

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  2. Oh, I agree fully with the 2 points you raise. But the "no-bail-out-clause" has already been violated to the tune of over 350 billion EUR (nearly 200 billion EUR bond purchases by the ECB and, so far, 165 billion EUR disbursements under rescue plans alone to Greece). So the treaties no longer seem worth the paper they were written on (not to mention the fact that France/Germany were the first ones to violate them without sanctions). But, of course, you are right!

    Regarding the 2nd point, I have written/posted in all directions and at all levels (particularly to Prof. Varoufakis) that Greek brainpower should be less focusing on Europe's debt problem but, instead, on coming up with plans for Greece. I cannot agree with you more. My blog is full of respective posts.

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  3. What a nonsense! First of all everybody knows about these "advisors" - why do you think people write "Reich"enbach?
    Greek People will get forced even harder to emigrate so that investors and employers can get workforce for 1 Euro a day. There are 1.5 millions of "Illegals" in Greece and China wants to invest 37 billions.

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