BIGGER PLAN: S&P down graded Spain yesterday, Portugal and Greece on Tuesday... surely the "big guys" of this world are creating another crisis in order to bring the next step... TRUST NO ONE! The New World order!
If you default on debt, you default. Nothing sinister about that. These countries should not be bailed out since a default piont to bigger underlying economic issues in these economies that they need to address. Why throw quick money at a long term problem? Politicians are running economies into the ground because they always choose the parth of least resistence from a voter point of view. This resulted in unsustainable economies of scale - The USA and Japan are prime examples. Things need to change in these countries, but no politician has the right size [email protected] to make these difficult decisions.
Well, the USA is in no better shape than the PIIGS... Look at the federal debt... only reason there is no trouble (US) with their Bonds yet: 1. Low interest rate (for now) 2. Confidence in US Bond (for now). PS. The China can collapse the world economy if they want... they are the biggest buys/holders of US Bond.