Is this the end ?

[youngmafbog]

No not the World but the deaded Euro.

Nearly £30billion was wiped from the value of Britain’s biggest firms last night as Spain came closer to economic collapse. The world’s stock markets plunged as Spain’s borrowing costs hit a record high of 7.5 per cent. And now experts are warning itis now just a matter of time before Spain would need an international bail-out.
On top of that analysts are claiming Spain, in recession for months, may need another £250BILLION. - more than a quarter of its entire economic output. Louise Cooper, analyst at City dealer BGC Partners, said: “This is it for Spain, the beginning of the end” and the The Centre for Economics and Business Research said: “The euro crisis is getting closer to eruption.”
In London, the Footsie dropped a whopping 117.90 points to 5533.87. and the fall in Italy was so severe shares were temporarily suspended. The country also slapped a new ban on short selling.
A German politician has said Greece should start paying half its pensions and State wages in drachmas — to prepare for life outside of the euro and Alexander Dobrindt, general secretary of the Christian Social Union — sister party of Chancellor Angela Merkel’s CDU — said: “With Greece we have reached the end of the road.”

So is the end nigh for the hated Euro?

[MoonRocker]

I hope so, they should have used a real currency in the first place rather than a poilitical shoe horn.

[MoonRocker]

This will be painful for us all if it collapes but like a burnt out house, eventually it becomes clear that the only way is to demolish and start again.

[jake-the-peg]

I don't know

Why don't you go and ask the usual Euroskeptic suspects and hang an argument around some carefully selected quotes

Oh look you already did!

[youngmafbog]

Hooked in 7 mins Jake, never fails !

I see you have no rebuffal answers then, just a dig at my question.

Are you saying the Footsie did not loose anything? Is everything rosy?

This is pensions that are being affected here, it is not a joke.

[bazwillrun]

"Hooked in 7 mins Jake, never fails ! "

predictable or what ?!

[Ric.ror]

I heard somewhere that its all ok even if Spain go down but if Italy do ..... big big trouble


What an economist I am - still I cant be any worse than the rest of them

[New Judge]

Whatever the Europhiles (both on AB and elsewhere) suggest, the euro in its current form cannot be sustained. It is only hanging by a thread now because of the stubborn refusal of Eurocrats to admit they were wrong, they made a mistake, and (despite warnings suggesting the project as designed was not viable) the single currency, without fiscal (and probably political) union was a disaster waiting to happen. It’s no use them suggesting that the conditions since 2008 have seen its demise. It’s precisely those conditions (or something very similar) which they dismissed as being “too incredible to even consider”. No, they were warned and they chose to ignore those warnings because their political ideology overrode their common sense.

You do not have to look too far to find any “carefully selected quotes”. Almost all serious commentators are now predicting that the only long term solution is a break up of the euro in its current form. It’s schoolboy economics. Usually nations need to have control over their economies, their fiscal policies and the currency they use. Unfortunately those who forced through the euro did not pass their ‘O’ Level in economics.

The introduction and subsequent failure of the euro has done more to cripple the global economy than any single decision taken since WW2. Millions of people are suffering hardship as a result but still the only action is endless “summit” meetings which produce unachievable resolutions that fall apart after a week or so. People deserve better.

[modeller]

No it's not the end but it will change its form and membership.

The CAP which created wine lakes and butter mountains is still paying out billions in subsidies to support inefficient and crooked practices. It has changed its form over the past 30 odd years but it is still with us. It paid out a subsidy to export a load of junk to France and then paid the same company to export it from France back to the UK. Some companies did that for years they never even unloaded it . It was the same junk backward and forwards very often several times on the same day.
That racket took about 20 years before new regulations were brought in but it still exists in a different form.
The EU and the Euro may change but they will not end.

[askyourgran]

That does not make good reading modeller. The writing was on the wall months ago, Greece and Spain could not be sustained but the EU still carried on ignoring all the signs trying to revive a corpse. We should have got out of this mess a lot earlier.

[modeller]

Let me give you a simple example of the madness: My cousin who doesn't know one end of a cow from the other bought a house with an acre of unusable land it was semi bog . However a couple of months later he received a cheque for £800
as long as he agreed not to farm it. He then received a similar amount annually for several years. I don't know if he still does but I believe farmers all over Europe still get 'set aside' money for exactly the same thing . Doing nothing.