tag:blogger.com,1999:blog-5882645467378797266.post6244919804732323117..comments2023-07-17T11:55:51.363+02:00Comments on ObservingGreece: Pierre Moscovici Interviewed About Greecekleinguthttp://www.blogger.com/profile/12491174042954678023noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-5882645467378797266.post-91394791558143774282018-08-04T16:51:49.634+02:002018-08-04T16:51:49.634+02:00I've said it before, but I'll say it again...I've said it before, but I'll say it again cause nothing has changed. We're stuck in a loop, and this only makes the torture more tortuous.<br /><br />Greece's external sector is now balanced, while the state is in surplus. This leaves the private sector to carry the torch, and basically the households. Households not only have negative gross saving, but it's also accelerating. When this ends (as it must when there'll be no more assets to spend or sell) the state's surpluses are going to evaporate, GDP growth is going to evaporate, Greece will be unable to rollover it's external loans, and the prospect of bankruptcy and exit from the Eurozone will reappear with a vengeance.<br /><br />That's what happens when you're part of a deeply dysfunctional monetary union: problems aren't solved, just swept under the carpet.<br /><br />It's a shame that clowns like Moscovici aren't held liable for their words and actions.Jim Sliphttps://www.blogger.com/profile/15325962115410722474noreply@blogger.com