Euro-disaster?

Not so long ago I listened to a comment where the term “Don Money” was mentioned referring to its power to make an event right even though it was wrong or viceversa. It was Dali the genius of surrealism who “worshiped” the $ as having the power of God.

I am not surprised about speculators in the markets and their ways of operating, ruthless sharks of greed, where they let the market dictate who survives and who perishes. So far so good, but institutions which are meant to be the arbitrators and guarantors of valuations like the rating agencies, which are instrumental in the making or destructions of markets, currencies, nations (European turmoil) in the past few weeks, I have to say: It is wrong.

The Nations and its economies apply different actions and do no follow any rules but their own interpretation of what should or should not be done, one Nation let a bank to go to the wall, and another support it with massive capital injection. In the Eurozone it is all too clear how speculation has been rampant, taking Nations as if they were simple individuals responsible for a loan and assessing them as mere employees where they might be loosing the job and therefore not been able to pay the interest and capital in the short term.

The Euro is a currency used for exchanging goods, it can not be bankrupt for it is not backed by any nation “there is not one nation” responsible for that currency, that system. Each of the Eurozone nations, governments have got into a bigger debt that they wish for, but that does not mean they can not pay back –if speculators do not impose 7% interest or higher. Lets look at it from the point of a loan to and individual from an institution. When a Bank lends you small amount it charges higher interest than when it lend bigger amount (one can see that in any high street bank). We can introduce the risk factor into it, cross comparisons, possibilities of repayments and so on but, if what we really want is speculation and maximize our returns to have a nation at your mercy is the best position to be –the winner dictate the conditions and so does the lender.

If the rating agencies want to take the Euro as one zone, then they can see that the total debt is within the normal range and the AAA rating where it is applicable with the 2-4% interest. It is very clear a case for “usury” or a high degree of speculation. One can see the degree of volatility in changing presidents, or different institutions given different opinions how this affects ratings, rates of interest.

I would like somebody to tell me: How can you make any of the nations in the Eurozone to go bankrupt with the euro?

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