Thread: Merkel to Greece: Cut Spending, or Get Out

Guess we know now where the Germans are going to fall.

Merkel tells Greece to back cuts or face euro exit

Raising the spectre of a Greek exit, the German chancellor said “solidarity for the euro” was threatened by the ongoing political crisis in Athens...

The cost of Spanish government borrowing also hit a record high since the single currency was introduced because of concerns that the crisis will spread.

Today, François Hollande, the new French president, will be sworn in and, in an indication of the concern gripping Europe, will almost immediately travel to Berlin to hold talks with Mrs Merkel that will be dominated by Greece’s plight...

An outgoing Greek minister warned that the country could descend into “civil war” amid the chaos of a euro exit. “If Greece cannot meet its obligations and serve its debt the pain will be great,” Michalis Chrysohoidis was quoted as telling a local radio station. “What will prevail are armed gangs with Kalashnikovs and which one has the greatest number of Kalashnikovs will count … we will end up in civil war.”...

Germany and the European Central Bank are thought to have drawn up detailed plans for a Greek exit for the euro. They are designed to stop it provoking panic in other vulnerable countries, particularly Spain and Ireland. However, this is fraught with difficulties, particularly if Greece refuses to take part in an “negotiated exit”...

hehehehehe.....

Originally Posted by cpwill

Guess we know now where the Germans are going to fall.



hehehehehe.....

The plight of socialism. Just takes a few generations of handouts to bring countries down...

Good for her.

I would expect nothing less from a German woman- when it comes to practicality, they are generally unmatched.

Originally Posted by Awesome!

The plight of socialism. Just takes a few generations of handouts to bring countries down...

And yet they still elect more socialists.

Originally Posted by cpwill

Guess we know now where the Germans are going to fall.

hehehehehe.....

Not really - the elections next year may throw up a new Chancellor, Merkel's party suffered defeat in what was seen as a poll on her policy.

As for a Greek exit, it's being talked about more and more but it won't be up to Merkel to throw Greece out, Greece has to formally ask to leave (and leave the EU)

Originally Posted by Infinite Chaos

Not really - the elections next year may throw up a new Chancellor, Merkel's party suffered defeat in what was seen as a poll on her policy.

As for a Greek exit, it's being talked about more and more but it won't be up to Merkel to throw Greece out, Greece has to formally ask to leave (and leave the EU)

Why on earth leave the EU? I could understand the Euro.. but why on earth the EU?

Originally Posted by PeteEU

Why on earth leave the EU? I could understand the Euro.. but why on earth the EU?

Still, one major issue is that there simply is no mechanism to leave the euro. It was never envisaged by the bright-eyed politicians who created the impetus for the currency, which debuted in 1999.

"The treaty doesn't foresee an exit from the eurozone without exiting the EU," the European Commission has said. This is the Maastricht Treaty from 1992, which led to the creation of the euro.

The option of leaving the EU was only added in Article 50 of the Lisbon Treaty in 2007.

So under its current obligations, for Greece to exit the euro or be thrown out, it would have to leave the EU.

BBC News - How would Greece leave the euro?

Originally Posted by Meathead

Still, one major issue is that there simply is no mechanism to leave the euro. It was never envisaged by the bright-eyed politicians who created the impetus for the currency, which debuted in 1999.

"The treaty doesn't foresee an exit from the eurozone without exiting the EU," the European Commission has said. This is the Maastricht Treaty from 1992, which led to the creation of the euro.

The option of leaving the EU was only added in Article 50 of the Lisbon Treaty in 2007.

So under its current obligations, for Greece to exit the euro or be thrown out, it would have to leave the EU.

BBC News - How would Greece leave the euro?

Seriously... that is the basis for the claim.. HAHAHAH.

The Eurozone has no method of leaving at the moment, that is correct.. but... how fast do you think that will come if needed?

Article 50 is leaving the EU .. but not the Euro. There is no mention of the Euro in Article 50. A country can be outside the EU and use the Euro.. just as some countries use the US dollar. So leaving the EU would not automatically mean leaving the Euro..

No, if push comes to shove (no pun intended), the the Eurozone members will come to a quick agreement on how a country can leave the Euro. It is in no ones interest for a disorderly exit from the Euro.

On top of that it would be idiotic for Greece to leave the EU.

Originally Posted by Awesome!

The plight of socialism. Just takes a few generations of handouts to bring countries down...

If you dont understand an issue its not an acceptable alternative to fall back on generalizations to simplify it down to your level.

just fyi ya know