Greece is America after the Ryan Budget is implemented.

[maxrandb]

I get so sick of the "wingnuts" on hate radio, or any of the right-wing noise machine comparing America to Greece, or claiming that our "debt will lead us to become like Greece". Greece is a perfect example of what happens when you respond to an economic crisis with nothing but austerity measures.

The 60 Minutes piece on Greece last night was "telling". What is happening to Greece (bread lines, 21% unemployment, 8% decline in growth, etc.) can be linked directly to the "austerity" measures imposed on the Greeks.

Want to see what America will look like under the Ryan Plan? Simply look to Greece.

The President was correct to call the Ryan wing-nut budget a "Trojan Horse". He may not have realized how salient a point he was making.

[RKP5637]

1. K&R !!! n/t

[dipsydoodle]

2. Greece's austerity measures

were preceeded by an historic unwillingless to pay tax. As such their government had a basic inability to repay debt. For any comparisons to be made they need to be basedon that model.

[maxrandb]

3. Have we done anything for the past 30 years except "CUT TAXES"?

My point is that there are usually two ways you respond to a debt or financial crisis. One is a measured approach and an infusion of stimulus and a strengthening of the social safety net (as FDR and Obama did), or you slash and burn spending, reduce wages, weaken labor unions and give a nice fat "cut" to the wealthy in the "hope" that growth and wealth will "trickle" downl (ala the Ryan Plan).

Ask the Greeks what a 20% cut in their wages, without the ability to "stimulate" their economy through government spending has done to their economy.

It's freaking bad...and when you have Greeks talking about and remembering the 300,000 of them that starved to death under German occupation, you have a powder-keg waiting to explode.

Are we going to invest in the future of America, or are we going to all take a haircut but the wealthy?

[dipsydoodle]

5. "you" are welcome to do whatever you please.

"I" am English.

The Greeks currntly lack the means to stimulate their economy.

[maxrandb]

7. Not snarky, I really want to know

How is "austerity" working out for the UK?

[dipsydoodle]

8. Its not easy for me to answer your question

I'm kind of insulated from most issues being semi retired with nothing much to do with pensions and other income other than look after my four cats and buy even more banjos and guitars with monotonous regularity - I paid off my mortgage when I had the spare dough to do so over 12 years ago. My sole knowledge of the subject as such is what's in our media - same as you get I suppose. Those without jobs do have my sympathy.

[coalition_unwilling]

6. Had a former boss who was a first generation Greek immigrant. He has been

quite successful here and now drives a Mercedes. I used to give him shit about it all the time and chide him for driving a car manufactured by the country that had done his fellow countrymen such harm. He laughed, but I know he knew what I was talking about.

The plain fact is that 'austerity' hurts Greek workers to the benefit of German and French bankers and international hedge funds. Austerity also indirectly hurts German workers since most of the Greek debt was going to purchase the German and French industrial output, i.e., maintaining German and French employment.

[maxrandb]

4. They also have an inability to repay debt

because they no longer have the ability control their own currency. That's why what happens in Greece "should" never be able to happen here, but you cut government investment out at the roots like Ryan wants to do, and you have the same problem.

[dipsydoodle]

9. Their government at the time joined the Euro by deceipt

Last edited Mon Apr 9, 2012, 05:20 PM - Edit history (1)

Since then their population appears to have benefitted from being in the Euro but that was due to their increased ability to borrow money. Legging it from all of their debt recently and leaving the Euro may have been a better long term alternative but the short term consequences would've been horrendous.


The actual current fly in the ointment is that they have not been allowed to reduce their defense budget - that is a real stitch up. That expenditure would be better placed to meet the needs of their population.