How Greece's Debt Crisis Affects America

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Not only Greece is in that situation. The whole Europe is in deep hole from West to East. All of them used money printed by ECB.
Get ready the storm it will come .....

Dracula of TX 2:23AM July 03, 2010

Greece used low interest EU loans to fund social programs. These loans were intended to help EU countries build economic infra-structure so they could be stronger economically. More businesses, more products, more income. Instead, Greece pays people to retire early, relying on future low interest loans to continue to fund their excesses. When the low interest loans went away, they were in trouble.
We may be whole, Isabellaz, but let's not fund stupidity. At some point, Greece has to take responsibility for it's actions.

Jeff of UT 3:38PM May 03, 2010

Yes folks this is socialism at its best. Take care of people from the cradle to the grave and do it on borrowed money. Bankruptcy isthe inevitable result. I say let them fail.

Robert M of AR 12:13PM April 30, 2010

This is what a liberal agenda get you.

lola of CA 11:11AM April 28, 2010

It was not all that nation's fault.The financial problems do involve everyone. We aways say the word globalization,we also earned the profits from Greece,the world are connected as a whole!
It is our responsibility to help them,we are a whole!

Isabellaz of MA 12:59AM March 29, 2010

It was not all that nation's fault.The financial problems do involve everyone. We aways say the word globalization,we also earned the profits from Greece,the world are connected as a whole!
It is our responsibility to help them,we are a whole!

Isabellaz of MA 12:57AM March 29, 2010

I agreed with what Paraskewopoulos said about Greece debts but bigger concern now is European Union (Euro) as a whole that consist of 27 member states I believe not only Greece is having this problem . If you carefully look into these 27 member states there are about near to 10 countries the governments have solved the problem by devaluing the country's former currency (that is if I am not wrong by looking into the 27 member states histories)
The question now is what kind of policies the European centre bank(s) is or are going to implement about this problem as I written in my previous comment should European Union implement a European Union reserve at the same time having their own individual country reserve?, the reason for the European reserve is basically can be the reserve that circulating among the European Union as a borrowing (and can be a loan to other countries out of European Union that generate profit to the EU countries).
I believe with this reserve it can help the European Union to handle the problem like Greece as the problem like Greece can borrow money from the European Union that even make the Euro even stronger as the Euro is not going out to another non EU states. Just imagine Greece have to borrow a large amount of money from other non EU country(s) that eventually will affect the value of the Euro (will cost devaluing the Euro in future).
Beside European Union have to develop a strong reserve the European have to develop an Audit entity to prevent corruption meaning that the European union have to make sure all the money is channel to the right place but not for the politician(s) to abuse the entitlement of the loan that might create bigger problem in the near future (to protect the society of European union). As Euro as a one currency this Audit entity play a really important role to make sure the Euro is not been abuse by any other European Union countries that will cost devaluation of the currency and oversee all the European banks liability outside non European countries (which US has fail to identify in it financial crisis due to lack centre bank commitment to identify of the liabilities of its banks) should EU make the same mistake as US and U.K?.
European centre bank have to act quickly to consult its member before the debts is going to a level where actually endanger the Euro (devaluation) and taking care of the well being of the Euro of European states.
I also believe all the weaker country (s) will soon leave EU in term of GDP, debts management, transparency and con not cope with EU financial policies.

anthony 2:19AM March 23, 2010

Greece is too big to fail.

Rory of DC 10:48AM March 15, 2010

Its all his fault, I wanted to get that out of everyone that blames him for everything so I could save you the time, I don't really fill this way.

Will of TX 10:00AM March 15, 2010

Debt-based currencies, like those of Greece and the US, are vulnerable to naked short selling, because almost all of the currency used in these countries is created by privately owned, for-profit banking corporations as commodities to be traded in the open market. Therefore, both the currencies’ values and quantities are beyond the control of national governments.
Fractional-reserve banking systems create these currencies as loans, loans that must be repaid with interest. Since the banking system creates only the principal of the loans and since no one creates money to pay the interest, the borrowers always owe the banking system more money than exist. Under these inevitable circumstances, fulfilling the terms of the loan contracts is impossible.
The solution to the financial crisis in Greece is simple: Greece should exercise its inherent sovereign authority to issue a national currency, then substitute that currency for outstanding national bonds. National currency and national bonds are both forms of money, the difference is that bond bear interest whereas currency is debt and interest free.
After the debt crisis has past, the Greek government should open state owned banks, the banks offering full service to the citizens, their lending government issued money at interest like ordinary banks, with the profit from the banks going into the government treasury as revenue. The government could the reduce taxes, issue new money and spend it directly into the economy. The new money would return money paid as interest, replace money removed from the economy by repayment of loans, and accommodate population and economic growth.
In my opinion, privately owned fractional-reserve banking systems are the cause of the current economic crisis and the gravest threat to the economic health of the world.

Bill Parks of MD 9:40PM March 12, 2010