EUROZONE WARNING: Disaster looming as EU economy is 'flying on one engine'

Phoenix One UK · Mar 31, 2016

EUROZONE WARNING: Disaster looming as EU economy is 'flying on one engine'

The EU economy is 'flying on one engine,' says S&P | City & Business | Finance | Daily Express

First off, I should point out the above was published in Express, but it doesn't really say much that either I or others had not already said within some threads that contrary to belief, the Eurozone crisis had not gone away. In fact, the problems in EZ had taken a back seat to other problems within the EU like EU refugee/migrant crisis not to mention security concerns over terrorist actions.

The EZ problems are further threatened by Brexit, which also poses a threat to EU itself.

The UK EU in/.out referendum has certainly attracted a lot of attention not only within UK, but from many other countries in EU, and even some from world, including the USA. With regard latter, I trust people will have no problem confirming that even Bill Clinton had wandered into the debate ( see Bill Clinton Warns Brexit Would 'Whack' Northern Ireland In EU Referendum Intervention ).

Orly? · Mar 31, 2016

What? All those imported workers they so desperately needed don't have the economy thriving? WTF?

NoLeftNoRight · Mar 31, 2016

The Eurozone is mired in Socialism.

Undoubtedly it will fail. Especially since America is no longer capable or willing to provide the backbone of it's defense which now they will have to foot.
So all that Unicorn, good will free stuff, look at my pride money will have to go to personal (national) responsibility. Imagine THAT!
Funny how Socialism only worked in the Eurozone when the United States was footing the expense of it's protection....and now that that is falling apart (due to having Socialist virtually running the USA at this point).

I love it. Socialists will soon be forced into a realization that it simply doesn't work once you run out of other people's money

Chagos · Mar 31, 2016

To untrash this and provide a more credible source:

S&P downgrade forecast for eurozone economic growth amid fears of global slowdown

There is no disaster looming and nobody said that either. Standardly Poor downgraded their growth forecast for the EU (this year) from 1.8 to 1.5 pct.

Further assessments (see article):

"Yet, since the end of February, global market sentiment has started to improve again and in Europe, the set of new accommodative measures that the European Central Bank announced was well-received," said Standard & Poor's chief economist for Europe, the Middle East, and Africa, Jean-Michel Six.

"We continue to believe that the recovery's underlying fundamentals are more resilient than the financial markets have recently suggested, but not so strong as to bring growth back to its pre-crisis flight path," Six said.

1. That the Express pursues this line, either devoid of understanding economics altogether or bent on misprepresentation in questionable support of its favorite hobby of painting Doomsday scenario, is no surprise.

2. Even less of a surprise is the channel by which this crap gets into here.

Chagos · Mar 31, 2016

NoLeftNoRight said:
The Eurozone is mired in Socialism.

Undoubtedly it will fail. Especially since America is no longer capable or willing to provide the backbone of it's defense which now they will have to foot.
So all that Unicorn, good will free stuff, look at my pride money will have to go to personal (national) responsibility. Imagine THAT!
Funny how Socialism only worked in the Eurozone when the United States was footing the expense of it's protection....and now that that is falling apart (due to having Socialist virtually running the USA at this point).

I love it. Socialists will soon be forced into a realization that it simply doesn't work once you run out of other people's money

Do you have anything pertinent at all to say on what S&P project?

Or is this just a case of "I'll put whatever unrelated rant into any thread that occurs and if my message is a garbled concoction of issues having nothing to do with it, that's not my problem."

zyzygy · Mar 31, 2016

Yes, it's much worse than WWII. Socialism means spending our money, not other people's.

joG · Mar 31, 2016

Chagos said:
To untrash this and provide a more credible source:

S&P downgrade forecast for eurozone economic growth amid fears of global slowdown

There is no disaster looming and nobody said that either. Standardly Poor downgraded their growth forecast for the EU (this year) from 1.8 to 1.5 pct.

Further assessments (see article):

1. That the Express pursues this line, either devoid of understanding economics altogether or bent on misprepresentation in questionable support of its favorite hobby of painting Doomsday scenario, is no surprise.

2. Even less of a surprise is the channel by which this crap gets into here.

The EZB is already paying banks to grant loans and in Holland the first loans to businesses at below zero interest rates have been reported. The US is in a precarious posiiin, but Euroland will be lucky not to crash badly.

Chagos · Mar 31, 2016

joG said:
The EZB is already paying banks to grant loans

link?

and in Holland the first loans to businesses at below zero interest rates have been reported.

true enough. And not just in the Netherlands and not just to businesses. What, however, has this to do with the premise falsely posited in the OP via a link misappropriating S&P's actual analysis/assessment?

The US is in a precarious posiiin, but Euroland will be lucky not to crash badly

One can argue the prudence or silliness of the ECB's interest policy at length, this here is about the overall economy (or would be if some honesty in posting presided).