Here we are two years later. Bailouts and limited austerity have dragged it out this far and now the inevitable will happen. April will be an exciting time to watch Greece suffer the effects of socialist stupidity: default. Just. As. Everyone. Predicted.
Telegraph UK, via Drudge:
“They want to put us through the ritual of humiliation and force us into sequestration. They are trying to put us in a position where we either have to default to our own people or sign up to a deal that is politically toxic for us. If that is their objective, they will have to do it without us,” the source said.Typical Marxist lefties. Blaming others for their own actions.
Going into arrears at the IMF – even for a few days – is an extremely risky strategy. No developed country has ever defaulted to the Bretton Woods institutions. While there would be a grace period of six weeks before the IMF board declared Greece to be in technical default, the process could spin out of control at various stages.
In my opinion, Germany should have stopped about a dozen bailouts ago and just invaded. They know the way.
Ann Barnhardt was right after the Cyprus Redistribution. Or "bail in." She said if bodies weren't hanging from street lights within three days, all governments would take that as a sign that citizen deposits were in play. Nobody hanged, and here we go.
As we watch the chaos unfold in ways the lefties didn't expect, remember that defaults are quite common, and that the absence of another bailout will be the best thing for Greece.
Unfortunately, Syriza's Utopia will have to wait. Isn't that always the case?