Tuesday, May 16, 2017

The Greece Economy Plunges Again

The EU bailout of Greece has all but guaranteed a generation of misery for the Greek people.   Greece is now entering its fifth recession in a decade, after announcing another two consecutive quarters of negative economic growth.  This is the Merkel-Sarcozy bailout legacy.

Greece should have defaulted on their debt.  No bailout was required.  Bailouts prolong agony, curing nothing.

Note that Puerto Rico and Detroit defaulted.  That proved therapeutic for Detroit and will do the same for Puerto Rico.

Get the politicians out of the way. A normal bankruptcy process is the key to future prosperity.  That and free markets.  Meddling politicians with bailout solutions produce economic stagnation.

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