Why the Euro Crisis Is Nowhere Near Being Over -- Michael Sivy, Time
Bailouts and easy money won't be able to resolve the structural problems of the euro zone, and increasing austerity won't fix things either.
It’s astonishing, but everyone is behaving as though the euro crisis were over. Long-term bond yields are bellwethers of investor confidence. And over the past few months, yields on 10-year Spanish bonds have fallen from 7.5% to 6%, while those on similar Italian issues have dropped to 5%. The U.S. stock market seems equally upbeat. The S&P 500 finished the third quarter last week at its highest level in more than four years. Share prices are shrugging off not only the likelihood of an economic slump in 2013, but also the possibility that a crisis in the euro zone could send shock waves throughout the global banking system.
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My Comment: The problem has always been the same. Past governments borrowed too much money .... and today's tax payers do not want to pay off these debts. More to the point .... German taxpayers do not want to pay-off Greek/Spanish/Italian debts.
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