Centralized government and distributed planning
A cautionary tale as states like California, Massachusetts and Illinois are circling the drain.
From the
London Daily Mail:
Collapse of the euro is 'inevitable': Bailing out the Greek economy futile, says FRENCH banking chief
The European single currency is facing an 'inevitable break-up' a leading French bank claimed yesterday.
Strategists at Paris-based Soci�t� G�n�rale said that any bailout of the stricken Greek economy would only provide 'sticking plasters' to cover the deep- seated flaws in the eurozone bloc.
The stark warning came as the euro slipped further on the currency markets and dire growth figures raised the prospect of a 'double-dip' recession in the embattled zone.
Claims that the euro could be headed for total collapse are particularly striking when they come from one of the oldest and largest banks in France - a core founder-member.
In a note to investors, SocGen strategist Albert Edwards said: 'My own view is that there is little "help" that can be offered by the other eurozone nations other than temporary, confidence-giving "sticking plasters" before the ultimate denouement: the break-up of the eurozone.'
He added: 'Any "help" given to Greece merely delays the inevitable break-up of the eurozone.'
The alarming claim came a day after European Union leaders promised 'determined and co-ordinated' action to shore up Greece's tattered public finances, but disappointed traders by failing to provide specifics.
Further details are expected early next week, but markets were in high anxiety yesterday amid fears political divisions among rich eurozone members could derail any rescue.
The euro slid almost 1 per cent to $1.357 yesterday, meaning it has lost 10 per cent of its value since November. The pound rose to 1.14 euros.
Earlier this week Business Secretary Lord Mandelson's claimed that the single currency had been a 'remarkable success' and that it remained in Britain's interests to join.
David Cameron ridiculed that claim yesterday.
Cautionary in that the USA is a Republic of States which is much like the European Union. We need to see that the various states keep their houses in order and not become dependent on infusions of money from a large Federal government. That government is funded by the people and the smaller the better.
Perhaps an EU collapse will serve
pour encourager les autres... (
reference)
Posted by DaveH at February 12, 2010 7:25 PM