If German let the Euro fail there would be another market crisis again but German would be gain, but then ripple effect, eventually collectively the world suffer. US$ would be the king of kings of the result? Or Yuan would be chipping the shoulder of US$. So go to the resources rich countries and invest on resources sector. Chinese staking up gold these days not buying US$ anymore. Wonder where all this end up....If Germany had 4 percent inflation, they could do that over 5 years with stable prices in the periphery — which would imply an overall eurozone inflation rate of something like 3 percent.
Bloomberg
But if Germany is going to have only 1 percent inflation, we’re talking about massive deflation in the periphery, which is both hard (probably impossible) as a macroeconomic proposition, and would greatly magnify the debt burden. This is a recipe for failure, and collapse.
From Al Jazeera, at the IMF World Bank meeting, warning each other another global melt down is possible, if the European countries not act together, they all fighting each other who is doing what. Anyway, all the leaders of the euro zone countries all sufficiently warned for some times, if they let the Euro fail what can we say! Especially
Wonder all of this, do you think the Euro will be around next decade? Then which one is king of the kings?
AND afternoon
Here is Krugman’ today NYT, his deadly warning. Everyone knows“ really really clemency if euro fails” but they(leaders) are not willing to do the euro survival, or simply they don’t have incentive to do…!
Bit of listing this and make you feel better and btw have a nice glass of red too!
