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kmi

kmi
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  • ECB maintains emergency loan cap [View news story]
    The Greeks rejected a poorly designed reform plan that would keep the economy from growing for over 20 years.

    The Greeks tightened their belts to the tune of over 25% GDP reduction, and have tightened far more than any other country in the world, period, since 2008.

    6 years of contraction, 2 bailouts, a private sector haircut, and looking at no option other than a 3rd and fourth bailout by continuing the failed programs they were subjected to and abided by. Can you blame them?
    Jul 6, 2015. 04:18 PM | 4 Likes Like |Link to Comment
  • Greek tensions weigh on markets; Varoufakis resigns [View news story]
    The vast majority of those who agree the troika programs have failed are non-Greek.... and include the IMF itself.... You have yet to make a comment Touchwood that adds to the conversation or has any real bearing in reality.

    I do so enjoy your comments though, keep them rolling!
    Jul 6, 2015. 01:05 PM | Likes Like |Link to Comment
  • Greek tensions weigh on markets; Varoufakis resigns [View news story]
    Good idea, that's pretty much what everyone except Germany and the EG are saying....
    Jul 6, 2015. 11:19 AM | 1 Like Like |Link to Comment
  • Greek tensions weigh on markets; Varoufakis resigns [View news story]
    In every economic scenario proposed by any credible economist anywhere, it is austerity that leads to starvation, and not the rejection of a misguided austerity regime. The comments here are hilarious in their ignorance. But do go on, I am amused.
    Jul 6, 2015. 11:18 AM | 1 Like Like |Link to Comment
  • Greek tensions weigh on markets; Varoufakis resigns [View news story]
    Just to be clear Tsipras offered to rescind the referendum several times.

    It was Merkel and Djoesselboem who thought it would be a good idea, expecting sanctions... ahem, liquidity... drying up, to force....ahem... persuade... the Greeks to kneel before their power.

    Djoesselboem and Merkel need to be looked at by their electorates for their incompetence. Schauble should as well, as he has successfully, as per the most recent IMF releases, created a Greece that can never pay back its debts under the dictums of his misguided austerity, and will permanently lose the German taxpayer's money.
    Jul 6, 2015. 11:13 AM | 1 Like Like |Link to Comment
  • Stocks set for ugly Monday open as Greece rejects austerity [View news story]
    To provide something useful to this conversation instead of the tired old meaningless diatribes, the issue with ELA is critical for the EZ. A continuation of the ELA cessation in light of the Greek government's obvious and visible efforts to obtain a deal is effectively the ECB going rogue: a central bank refusing to provide liquidity to its members.

    This would be a highly political and outside the rules case, which would clearly show potential Eurozone applicants that the EZ is not what it claims to be and no more than a hard currency peg.

    There are, as we know, many countries who have effectively use hard currency pegs, but none without a central bank to back them up.
    Jul 6, 2015. 11:02 AM | Likes Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    "Exemption was lifted because Greece was not deemed to be in a programme"

    Not at all, it was lifted based on: " "It is currently not possible to assume a successful conclusion" of Greece’s current bailout. "
    http://bit.ly/1H1YzTM

    After 1, just 1, meeting with Varoufakis. Not rules based at all, regardless of claims.

    Greece was indeed in the program at the time and continued to make all debt payments as scheduled for months after.

    What is true, however, is that the waiver was unique to Greece because of the ratings on its collateral, and that the ECB had issued the waiver of its own design, and that it was entitled to remove the waiver at its own discretion. But it's also true that the waiver was rescinded due to the Syriza governments intentions of renegotiating the program, and not based on any rules at all whatsoever, and designed to put pressure on the Syriza administration.
    Jul 5, 2015. 05:52 PM | Likes Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    As an aside, Tricky, I was in Greece both before and after it became part of the Eurozone, attempting to invest in and build infrastructure level telecoms. I have family engaged in Greece in infrastructure level IT and heavy industry. I've watched the economy for 2 decades. I remember as recently as 2007, after heading to Greece after a trip for investment ideas in real estate in LatAm, thinking about how much better the bureaucracy was in LatAm than Greece. I've spent quite a bit more time contemplating and experiencing Greece than a lot of the commenters here playing a few grand looking for a quick double on NBG.
    Jul 4, 2015. 11:51 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    " The problem is that Greece has no credibility in being willing to do enough on the big structural reforms"

    You realize Syriza was explicitly barred from performing on many of these things? Varoufakis words:

    "The most frustrating part is that these negotiations are taking up all our energy and time. And moreover: the institutions are telling us, if we legislate before we reached a comprehensive agreement this will be seen as a unilateral action and it will blow up the negotiations. One of the very first things I said to my Eurogroup colleagues was, why don’t we push some of the legislation we agree on – the taxation system, the anti-corruption rules – through parliament and meanwhile continue the negotiations? And I was actually told a number of times if I dare to suggest this again this would constitute reason to settle the negotiations."
    http://bit.ly/1IyT6ay

    Varoufakis wrote several times about the issues with establishing credibility:
    "Five months ago, in my very first Eurogroup intervention, I put it to you that the new Greek government faced a dual task:

    We had to earn a precious currency without depleting an important capital good.

    The precious currency we had to earn was a sense of trust, here, amongst our European partners and within the institutions. To mint that precious currency would necessitate a meaningful reform package and a credible fiscal consolidation plan."
    http://read.bi/1M1uZC9

    "The barriers to growth in the past were an unholy alliance among oligarchic interests and political parties, scandalous procurement, clientelism, the permanently broken media, overly accommodating banks, weak tax authorities, and a weighed-down, fearful judiciary. "
    http://bit.ly/1M1uZCd

    Syriza is a very specific break with the past. Should elections lead to political leadership beholden to the old money oligarchs, under the aegis of someone like Panadreou, like they have in every election going back to world war 2 before Syriza, a return to the corruption graft and broken economy of that past will continue.
    Jul 4, 2015. 11:43 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    " They not only are refusing to reform the things that kill Greece's productivity and competitiveness"

    Wrong. It's actually pretty amazing you have so successfully ignored the volume of economics asserting that the Troika policies have failed and are based on misguided principles. Well, maybe it isn't considering you are are quoting the party line.

    Moreover, the backward looking focus in your comment entirely misses the point of the negotiations, which are forward looking, as in, intended to enable Greece to shoulder its debt burden in a sustainable way, long term.

    Your comments betray that you have not been following the events closely, and have no sense of how events actually played out.
    Jul 4, 2015. 11:09 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    I won't respond to trolling, thanks.

    Feel free to address me when you have something of value to further the conversation.
    Jul 4, 2015. 10:27 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    You are EXACTLY wrong.

    Syriza has quite explicitly stated, on multiple occasions, it doesn't want new debt.
    Jul 4, 2015. 10:15 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    The notion that Greeks need and desire the embrace of some foreign benefactor - China, US, Russia - is completely and unequivocally far-fetched.

    This is a EuroGroup issue - a common currency, Euro-user issue. Greece belongs to the European Union as well - the political union of many more states than those in the 19 member currency union - and has no need of some new foreign 'benefactor'.
    Jul 4, 2015. 10:07 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    " So would your Option 3 -- Greece has no credibility, everyone knows they'd be back for more shortly."

    Your comment completely and totally lacks any understanding of Syriza, its policy proposals to the Eurogroup, or its agenda, or for that matter Greece's history.

    Syriza quite explicitly positioned for an end to bailouts and a pro-growth regime, and pretty much anyone credible anywhere agrees that between the past 5 years of crushed growth and the current output gap, a managed default under the terms proposed by Syriza would be effective. It just isn't on the table because the policy agenda doesn't conform to the strictures of the Eurogroup.
    Jul 4, 2015. 10:02 AM | 1 Like Like |Link to Comment
  • Varoufakis promises to quit if Greeks vote for austerity [View news story]
    The referendum is non-binding. "Challenging" the results is unnecessary. He can simply state the vote is too close to be valid.
    As for "flip flopped", I quote, from someone who said it eloquently:

    "The hypocrisy of some of the commentary on Greece is amazing. When the ‘adolescent ideologue’ Mr Tsipras shows a statesman-like maturity in being prepared to compromise in an effort to get a deal, he is accused of inconsistency and not being able to make up his mind. When those who he is negotiating with push him further than he is prepared to go, he is accused of ‘taking Greece to the brink’ by having the temerity to ask the Greek people to choose."

    "Mr Tsipras is accused of failing to grasp that other nations too have democracies, as if the Troika had shown huge respect for democracy by acting as if nothing was changed by Syriza’s election."

    http://bit.ly/1dEkt7Z
    Jul 4, 2015. 09:57 AM | Likes Like |Link to Comment
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