Eurozone Crisis – Greece takes centre stage over stalling debt talks

9th February 2012

The saga that is Greece resembles what is called car-crash television more and more each day. After yet more promises of a deal yesterday it turned out that instead we got groundhog day and no deal. However I wish to be clear that there are alternatives which involve a better way and that I have recommended them in past posts. The mainstream media tries to dismiss them and uses a barrage of pejorative words such as “disorderly” to try to cover up reality. Let me illustrate my case with a quote from last nights discussions as Bloomberg published the draft report.

The draft showed a contraction of between 4 percent and 5 percent this year, due in part to a worsening external environment, compared to a forecast of a 3 percent drop in output, contained in a Dec. report on the country by the IMF.

This keeps happening where the current policies are supported by ridiculously optimistic forecasts by both official bodies and the media. It was only on the 26th of January that the BBC’s Stephanomics blog told us that Greece had achieved a primary deficit surplus for example and I discussed the reality of the figures for January yesterday. Last night’s draft repeated such a theme.

 will help Greece return to growth in the first half of next year, according to the document.

That is a message we have heard before as Lady Gaga comments below.

Again and again

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