How did this all start. Is it simply Greece spending more money than their income allows them to or is there more to it than that? How many times has Germany bailed them out now and is Germany sick of it? What do you think will happen to Greece this time and how do you think they will recover?
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I'm half Greek and I have to say that the whole thing is actually much more complicated than people say here. I can't explain you the whole thing in detail because there's not enough space here and I lack the economic terminology in English .
Contrary to what most Americans (especially the conservatives) believe, the crisis in Greece has very little to do with welfare programs. Norway, Denmark, Finland, Sweden, Iceland, the Netherlands and my other home country, Switzerland, we all have a very strong welfare-state (American republicans would probably call us socialists or communists or something idiotic like that). Yet, all these countries are doing thousands of times better than the US when it comes to the average citizen. We don't have real poverty in Switzerland. We don't have any beggars. We don't have crumbling schools and streets and bridges.
Also, the US is in fact MUCH deeper in debt than Greece ever was. The US makes hundreds of millions of new debts every single year. The US debt is higher than the one of Greece, Italy, Spain and Portugal combined! The reason why America has not gone bankrupt long time ago is because the dollar is the leading currency in the world. That's why American politicians are so scared of the Chinese currency becoming the new globally leading currency one day. It would mean financial armageddon for the US. Furthermore, the US has borrowed unimaginable amounts of money from China. China is a smart player. They know they will never get this money back but that's okay for them because they like the power they gain this way. While you might think America is a strong and sovereign country, you can be glad that Obama doesn't have to suck Xi Jinping's dick. America is becoming more and more economically and politically dependent on China.
Anyway. The reason Greece got into this mess is because of speculation. It is true that Greece was suffering from corruption and some debt but the debt wasn't much worse than in any other EU-country, for example England. However, German, French and British banks and large insurance companies started speculating with the Greek government debts on the international stock markets. It's very difficult to explain this in detail but basically, the same hedge fond assholes who brought America into a big crisis in 2008 are responsible for the crisis in Greece. Because of their speculation, the interest rates of the aiding programs from the EU became so high that Greece couldn't pay them anymore. Most1