European mess - PeachParts Mercedes-Benz Forum

pj67coll · #1 04-30-2012, 12:47 PM

How severly do folks think the European implosion will affec the US? I'd say that within a year or two we will have numerous countries leaving the Eurozone with increasing financial turmoil both in Europe and without. The US will I think be adveresly affected by this. By how much is impossible to say but I predict things will be worse than they are now.

- Peter.

daddi · #2 04-30-2012, 01:35 PM

In what way are things worse in Europe than the US? Unemployment in the US is 8,2 percent, that maybe a bit lower than the +9% Germany has but at the same time Germany is not stifled by Chinese loans like the US. Did you know that if the US treasury would collect all the dept that the US government ows there would be a total collapse of the US economy. Iceland went through a total collapse of all the banks in the country and had to get help from the IMF, 3 years later we have paid almost 25% of that help back and still only have 7,5% unemployment. Stop whining and get to work rebuilding the USA like it was built during the babyboom, the biggest problem facing US economy today is people expecting the government to pay without realizing that the people make the government.

kerry · #3 04-30-2012, 02:12 PM

Krugman claims that the austerity that Germany is imposing on the EU periphery countries is causing serious damage. I would think the Spanish, Irish, Greeks, etc will get increasingly frustrated with their inability to control their currency. I would suspect that once one of those countries abandons the Euro, others will be unable to resist following suite. I think there are some measures coming into existence in the near future to help alleviate these problems but I can't remember what they are so I have no opinion as to whether they will be effective.

pj67coll · #4 04-30-2012, 02:16 PM

Quote:

Originally Posted by daddi

In what way are things worse in Europe than the US? Unemployment in the US is 8,2 percent, that maybe a bit lower than the +9% Germany has but at the same time Germany is not stifled by Chinese loans like the US. Did you know that if the US treasury would collect all the dept that the US government ows there would be a total collapse of the US economy. Iceland went through a total collapse of all the banks in the country and had to get help from the IMF, 3 years later we have paid almost 25% of that help back and still only have 7,5% unemployment. Stop whining and get to work rebuilding the USA like it was built during the babyboom, the biggest problem facing US economy today is people expecting the government to pay without realizing that the people make the government.

Icelands problems were irellivent to the world given the tiny size of the country. I mean in economic terms, not physical. Europe's problems are not.

When Europe implodes the US will not, in my opinion be able to avoid the fallout as the worlds financial institutions are so intertwined. Pretending we can redo the baby boomers years is silly unless of course you're Chinese. Those times are past and wont be returning in my lifetime. I see a bad moon risin...

- Peter.

pj67coll · #5 04-30-2012, 02:19 PM

Quote:

Originally Posted by kerry

Krugman claims that the austerity that Germany is imposing on the EU periphery countries is causing serious damage.

In this instance I agree with Krugman. Europe will not be able to swallow German medicine. Germany will not be able to sustain Europe. Dissolution is inevitable.

- Peter.

Pooka · #6 04-30-2012, 02:21 PM

Currently 8% of US debt is held by outsiders. The rest is held by the interests in the US.

The subject is very complex, but money we owe ourselves is not a danger to our economy.

Right now someone might be thinking this is some sort of new Democratic talking point, but the fact is this theory was tried under the Eisenhower Administration and found to be correct.

elchivito · #7 04-30-2012, 02:35 PM

Quote:

Originally Posted by pj67coll

Icelands problems were irellivent to the world given the tiny size of the country. I mean in economic terms, not physical. Europe's problems are not.

When Europe implodes the US will not, in my opinion be able to avoid the fallout as the worlds financial institutions are so intertwined. Pretending we can redo the baby boomers years is silly unless of course you're Chinese. Those times are past and wont be returning in my lifetime. I see a bad moon risin...

- Peter.

Aw come on, you're just looking for a reason to spend a bunch of dough on a Bug-Out Bag and start hoarding ammo.

pj67coll · #8 04-30-2012, 02:40 PM

Quote:

Originally Posted by elchivito

Aw come on, you're just looking for a reason to spend a bunch of dough on a Bug-Out Bag and start hoarding ammo.

Ha ha. I don't need an excuse to hoard ammo. I have several thousand rounds of various calibers as it is. Though when you consider I have 25 guns I'd say my ammo stash is either perfectly reasonable or mabye even a tad inadequate.

Anyway. I'm not kidding about Europe and it's knock on effects. If I were Romney I'd be doing a double think about wanting the white house for the next four years.

- Peter.

elchivito · #9 04-30-2012, 02:49 PM

I don't think he wants it so much as he thinks he's entitled to it, but that's another thread I guess. OT, I don't see how europe's woes can not affect us, and I don't think it's on the average person's radar, which is kinda scary.

pj67coll · #10 04-30-2012, 02:59 PM

Quote:

Originally Posted by elchivito

OT, I don't see how europe's woes can not affect us, and I don't think it's on the average person's radar, which is kinda scary.

I know. My family is scattered around the globe and so I think I'm more aware of what's happening around the world than anyone I that I know of around here. Most Americans still seem blissfully unaware that the world has changed.

- Peter.

kerry · #11 04-30-2012, 03:15 PM

I haven't read anything by Spanish or Irish economists on these issues. I know there's a lot of resentment in Greece regarding the austerities imposed on them by the EU which wouldn't have happened had they had their own currency. Anyone got any sources by Euro economists? As I recall, Krugman's argument is based partly on the fact that Argentina did pretty well after it devalued it's own currency when it had problems some years ago.

pj67coll · #12 04-30-2012, 03:47 PM

Quote:

Originally Posted by kerry

I haven't read anything by Spanish or Irish economists on these issues. I know there's a lot of resentment in Greece regarding the austerities imposed on them by the EU which wouldn't have happened had they had their own currency. Anyone got any sources by Euro economists? As I recall, Krugman's argument is based partly on the fact that Argentina did pretty well after it devalued it's own currency when it had problems some years ago.

It's not just a question of economics. It's politics as well. European countries are still democracies of various types though the Brussels Gestapo have been acting as if they are not. So Greece and Italy have Brussels appointed technocrats to run the countries over the heads of the populace. But now I believe the Dutch government is in turmoil as even they can't accept Berlins diktat. The Spanish are in recession again wiht a 25 percent youth unemployment rate. France is about to throw Sarkozy out and more and more proletariats are rejecting the orders from Berlin. The center cannot hold...

- Peter.

kerry · #13 04-30-2012, 03:50 PM

Spanish youth unemployment is above 50%. Yes, it is political as well as economic.

Carleton Hughes · #14 04-30-2012, 04:18 PM

Well, good news for me. Collector car prices are keeping pace with the financial uncertainty so maybe I'll be able to get that Delage or Isotta I always wanted.

daddi · #15 04-30-2012, 04:27 PM

Actually the economy is a funny thing these days, for health reasons i quit my daytime job in november 2011 and since then my cash flow has tripled to almost 6000 dollars a month.