Greek crisis talks for debt deal pushed to Monday

[Javaman]

http://finance.yahoo.com/news/greek-crisis-talks-debt-deal-185515745.html;_ylt=AttGnWIu1N9hdUuUuErc0KiiuYdG;_ylu=X3oDMTNyaDQ0bXVoBG1pdANGUCBUb3AgU3RvcnkgTGVmdARwa2cDZjUzM2UyNGItNGMwNC0zNmVlLWJiMTQtZTViOTU5ODViNTgyBHBvcwMxBHNlYwN0b3Bfc3RvcnkEdmVyA2E3MzUxM2QwLTUwNDMtMTFlMS1iN2RmLWFjYjI2OWYxNDkyMg--;_ylg=X3oDMTFvdnRqYzJoBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25zBHRlc3QD;_ylv=3

ATHENS, Greece (AP) -- Crisis talks on a debt deal for Greece among the three leaders of parties supporting the coalition government were suspended and will continue Monday.

Greece is racing to finalize austerity reforms needed for a new euro130 billion ($171 billion) bailout without which it would face bankruptcy in late March. But in a country deep in recession, with unemployment at 19 percent, many politicians and unions oppose more austerity measures.

The three party leaders held a five-hour meeting late Sunday with Prime Minister Lucas Papademos to hammer out a deal with debt inspectors representing eurozone countries and the International Monetary Fund, but failed to reach an agreement.

An announcement from Papademos' office said the three had agreed on measures to cut spending in 2012 by 1.5 percent of gross domestic product — about euro3.3 billion ($4.3 billion) — improve competitiveness by cutting wages and non-wage costs, such as social security contributions, reduce auxiliary pensions and re-capitalize banks without nationalizing them.

more at link...

[Nuclear Unicorn]

1. No good options

Either accept austerity that guts the social contract or face default that ripples outward and ruins the nation's ability to borrow, imposing an austerity of its own. It's hard to tell which way to go.

[trumad]

2. austerity does not work...

[Nuclear Unicorn]

3. Neither does bankruptcy -- As I said: no good options

If Greece could pay it's own way it wouldn't be defaulting. If it defaults that portion of its budget being supported by deficits evaporates instantly. Period. End of snetence. No "austerity" program needed because the checks stop being issued. So who doesn't get paid? Teachers? Police? Sanitation workers? Pensioners?

The reason they're dangerously close to defaulting is because their capacity to generate revenue outstrips their ability to repay what they owe to others. We can blame the banksters but presumably Greece is governed by adults. The money loaned to Greece was accepted voluntarily and as good as it would be to stick it to German banksters that money was not created by an act of fiction. It will be German pensioners whose deposits are lost.

[trumad]

4. I'd take default anyday over austerity...

[woo me with science]

5. Yup. All austerity does is perpetuate and validate the systemic theft.

At a certain point we all need to stand up and tell these thieves to go to hell.

It will not be pretty, but the alternative is unthinkable.

[trumad]

6. it's the people that suffer under austerity.

while the banksters get away with their misdeeds.

[woo me with science]

7. The people suffer, and they consolidate their power.

Note that all seriously considered proposals for managing the debt crisis involve nations' relinquishing more of their self-governance to global, corporate control.

And the drumbeat to war we are now seeing will only escalate that process. Prepare for more debt and austerity, and more curtailment of our rights, as we pour money into the MIC that should go to the people.

People across the world need to wake the hell up and say no.

[Nuclear Unicorn]

8. It's the same net effect

In a default benefits, government services, etc. still come to a screeching halt and it will be the politically disenfranchised that get cut-out first. When ANY government has a choice between paying either the police or paying for food assistance programs you better believe the police will win out; even in socialist democracies.