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Europe's Game Of Chicken Enters The Twilight Zone
Europe's game of chicken, all of which is geared to one simple thing - to spook the Greeks into voting for pro-bailout powers, and against Syriza - has now officially entered the Twilight Zone. In the latest episode of what can now simply be described as the world's most entertaining yet terrifying mutual assured destruction showdown, because should Greece leave, the destruction, at least in the short-term, will impact both Europe and Greece, although Greece will recover far, far faster as the standard of living there has already been crushed (which incidentally is the primary reason why Europe has lost control over the situation: without the carrot of welfare state promises, a Ponzi regime is meaningless), we learn that on Monday a Eurogroup Working Group held a teleconference in which officials "agreed to prepare for individual contingency plans if and when Greece exits." Here is the problem - the contingency plan can be summarized in one word: panic. Because absent a full blown coordinated monetary intervention, Europe's individual states are completely powerless, and they know it. Sadly, and this is where the farce and charade are complete, the Greek people know it too. As a result, this little adventure, leaked subsequently to Reuters, loses all utility. But we expect many more such escalations from Europe: after all we have nearly a full month before June 17: plenty of time to crush the market in order to get a reaction out of the Greek voters, European politicians and ECB bankers, just as Citigroup suggested. Only issue is, the more Greek voters are prodded into a corner, the more likely they are to simply snap.
From Reuters:
The agreement was reached during a teleconference of the Eurogroup Working Group (EWG), which started at 9:00 a.m. EDT (1300 GMT) on Monday and lasted for about one hour.
As well as confirmation from two officials, Reuters has seen a memo drawn up by one member state detailing some of the elements that euro zone countries should consider.
The EWG consists of officials who prepare meetings of finance ministers and also form the board of the temporary bailout fund, the European Financial Stability Facility (EFSF).
"The EWG agreed that each euro zone country should prepare a contingency plan, individually, for the potential consequences of a Greek exit from the euro," said one euro zone official familiar with what was discussion on the call.
"Nothing was prepared so far on the euro zone level for now, for fear of leaks," the official said.
A second official confirmed the EWG agreement on Monday.
The document detailed the potential costs to individual member states of a Greek exit and said that if it came about, an "amiable divorce" should be sought. It also said that Greece decides to leave, support could be given from the EU/IMF to help it do so.
And since the EU will be in the process of falling apart, and thus unlikely to provide much if any support, the only real source of funding will be the IMF.
That's right: you, America.
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Always glad to help.
Last summer we had a regular spate of EuroRumors coming out at 3:30pm on sell-off days to prop the market. I cannot see what might fuel these EuroRumors: the situation is so completely dismal one cannot even fabricate a hopeful lie about it.
You mean Simon Hobbs imploring the public to listen to Euro leaders and trust them might not be enough this time?
For me, the true "game over" is when they announce the next printing orgy and after a couple days risk assets do NOT react well. Yikes! Look out below when that happens.
We do appreciate you suckers, er, Americans. We just don't like to let you know it. You know, it's like the old addage: Treat her mean, keep her keen.
I say we send them Hershey bars, oranges, and nylon stockings.
Or maybe lawyers, guns, and money?
Or just Marines?
drones ?
Perhaps Maxwell Smart's best succession of threats started with
"You are surrounded by the Sixth Fleet" and finished with
"Would you believe a school of angry tuna?"
The Greek version of The Twilight Zone involves a man working 9 to 5 who then retires at 65.
Do you think the majority of us can even comprehend any of this?
http://www.peopleofwalmart.com/
Nuff said!
pods
When I feel down after a bad day I often go there and find that instead of making me feel better, it further depresses me. It does make me laugh for a little while though.
Ever been to a Walmart in China? Completely different experience.
That website, along with photos of WWI trench scenes or skulls left by the Khemr Rouge pretty much convince me the human race needs a reset. If only we could hop in the Enterprise and drop one of these
http://www.youtube.com/watch?v=NM1r37zIBOQ
BRACE FOR IMPACT.
Pass the hat...
snap, crackle, pop, pass the ouzo
"Eurogroup Working Group (EWG)" - hahaha They are so much in panic even that they cannot come up with a good acronym. Cheezus, this will collapse ....
EWG was the name for the EU in Germany before they came up with the superstate plans!
Eurogroup Working Group (EWG)? Give us a break. Work is a four letter word in europe with the exception of a few countries.
"without the carrot of welfare state promises, the ponzi regime is meaningless"
in those 12 words lies the heart of the matter
The Greeks will snap, but not in the direction the bankers are gambling on.
I'm not worried about it I live in the US and Ben already said he'd sheild us from this. LMFAO!
I love the IMF reference..........so I get to get flushed with Greece awesome. It doesn't matter, most people realize that these fkn idiots have already taken things past the point of no return, there is no fixing it. One road is faster than the other that's all it amounts to now.
Rajoy,"Spanish Banks have no risk". I just about ruined a keyboard, but they say belly laughter is very healthy for you.
Now all we need is war with Iran. That will surely fix things.
With Pakistan asking for $5000 per vehicle (up from $250) NATO withdrawl, it might be cheaper to move them over to Iran.
inflation is bitchin
What the problem is there is no leader....no one is saying do this...or that.....they are all just treading water until someone takes charge...if no one does they all drown over time.....if someone makes the choice...either the EU...or Go it alone....then you can act on what needs to be done...and can make progress in your game plan...right now its a waste to do anything...they need direction badly..right now...or many more people will drown..
Greece does not need a "leader" or even a Govt (see Belgium) it needs to burn the institution of Govt to the ground.. problem solved
it is Govt that has been wrecking their economy and Govt that has been wrecking, er, Govt
at some point someone has got to wake up and realise what the problem is:
Govt is the problem, not the solution
You, sir, have been mindfucked by Thatcherism to the point of complete retardation.
Please refrain from posting and seek immediate help.
You, Sir, have been mindfucked by Stockholm Syndrome.
Please refrain from posting and seek immediate euthanasia.
Do you even know where Stockholm is, you buttsnake? Cute suggestions, please elaborate on these elucidatory revelations. So what you guys are saying is we must end all 'gov't'?
So enlightening, so simple, yet that really is how you children 'think' isn't it?
What he is saying is that government is so corrupted, convoluted - so enormous and powerful (militarily, data control, etc.) that shrinking it is impossible. The course we are on is unresolvable. The debt is too large and the resources too few.
The only solution is actually inevitable regardless of opinions to the contrary: History makes that clear. The current leadership and structure must crash. The point is that it will anyway - it is just a matter of time. The longer it takes the more blood and treasure (largely in the form of unity and confidence) that will be sacrificed.
Ending government is a euphemism for correction by people who are very angry and impotent. It is a form of retaliation by those unable to effect change. That very frustration is the trigger for change if nothing can be done.
And, nothing can be done that will meaningfully change things.
Of course the alternative is "hopium" for those less reality inclined...
Sweden. So, it's OK for you to make these suggestions, but no one else?
All governments, WITHOUT EXCEPTION, result in debt slavery and fascism/totalitarianism/dictatorship- anything but liberty, responsibility, private property and contracts.
All governments, without exception, tax the people until poverty results in revolution or social desintegration.
Therefore, why have governments? It is a failed concept that allows a small minority to live off the labor and wealth of the majority. Why is that so hard to understand?
It is governments that create wars of mass devastation. It is government that empowers corporations and monopolies through its' police power. There is nothing good about government.
Euthanasia optional, but please get an education...
By resorting to an ad hominem attack, insults, and hostility -- you just said:
I'm sensing you don't like government.
Playing chicken with people who are already suicidal does not work.
STOP THE PRESS
Chuck Norris was spotted arriving for the 2nd day of European summit. Panic is off, phew.
Here's Chuck trying to fight off this market.
http://www.youtube.com/watch?v=z2XUgE6g7XU
Here's Chuck Norris vs. Dividing by zero
~~~
http://www.youtube.com/watch?v=_vTbziVxORQ
When you're in too deep, you're in too deep. It's already game over for the EU... we're just waiting to see the epic fail finally become public. With elections coming up, should not be too long...
"...the contingency plan can be summarized in one word: panic."
political planning looks like the Greek Finance Ministries offices ZH pictured the other day, an absolute mess
..how'd you think every political office in the Western world got into such deep, deep, debt with no plan to repay any of it???
Farage is right. That ZH video from yesterday should go viral in Europe. but it wont matter. In a choice between certain temporary pain and a long slow destruction, human nature is such that the vast majority of people will choose the latter and denial. That is why "hope" sells.
It's not even about Greece anymore, it's about Spain and it's been about Spain for over a year now.
Whatever happens, it'll just take a bit longer, but everything WILL fall apart. It's math, math doesn't hide stuff, it's there for everyone to see if they choose to do so.
Prepare, dig in, and wait for the fallout to pass over...
Spot on. The maths has never added up, nor have the forecasts ever been met. The Europeans remind me of someone who is trying to build in the middle of an earthquake. It is only now that they have realised that thy need political union, a transfer union etc etc. Too late now.
This little clip always reminds me of the europhile bastards who just don't want to listen to fundamental critics on the EZ:
http://www.youtube.com/watch?v=yUpbOliTHJY
Greece should have defaulted two years ago without notice and expose the whole charade which would have lead to the collapse of a badly thought out experiment.
Rank Amatuers over there in Europe, can't get a damn thing right. We should send them Bernie Madoff and Ben Bernanke - now there's two guys that know how to run a Ponzi scheme...
It's funny how it was a Greek American by the name of Markopoulos who sniffed a rat years before the authorities ever got their arses into gear in catching Madoff.
the housing bubbles fueled german industry. now comes the bust and "no bailout for you!"
germany wins!
those who say greece will recover far far faster should get their brains checked. Exactly what will they export and exactly whom will invest in greece after seeing what a mess the country is.
Your right the Eurpoean Union must hand over 50 trillon to Greece.. STAT
question is,... who's gonna pay for this war -- NATO?
Post "Peak Oil" the modern import/export and Foreign investment model will not matter.
True so true. But it's when individuals and nations find themselves at the bottom that they finally get motivated enough to do something about it. Motivation is far more powerful that European posturing and impossible demands.
See Paul Krugman:
"People who say that Greece can’t benefit from devaluation because it doesn’t have any exports just haven’t done their homework."
http://krugman.blogs.nytimes.com/2012/05/15/more-on-greek-and-argentine-...
They are a mess now because of austerity. Also EU rules have limited their agricultural production.
Iceland suffered for two years. Now they dance in the streets, glad to not be tied to this fiasco and they are prosecuting bankers. I'm sorry I just dont see a down side here.
http://beforeitsnews.com/story/2019/906/Icelanders_Didnt_Bail_Out_The_Ba...
Nice link Doubleguns...
Indeed...Iceland.....why doesn't the MSM broadcast this?
Simple answer..it makes too much sense!
Many people in the US are dependent on government. It's too big of a country, LOUSY with illiterates and agenda-assholes, fucked UP with religious nonsense, lobbied to the point of lunacy, LOUSY with a military that is bent on policing everyone, a BROKEN, predatory "justice" system, and too damn fucking BIG to even consider doing it this way.
Iceland has NONE of the above hamstrings. That's why they could do it.
Iceland to the US is akin to a "lab" experiment. Kind of like Rhode Island ex-communicating and handling it's affairs "in-house".
Throw in the same percentages of ILLEGALS, angry (usually dumb as JACKASS voters), takers, freeloaders, and a Congress insulated and out of touch, and Iceland would have the same problems.
Iceland has a largely indigenous population, no military to placate, no illegal aliens to reign in/feed, etc.
Eurogroup Working Group
Allow ourselves to introduce...ourselves
This would be better played as a game of Truth or Dare.
Confused, all they do is lie or rather they dare not tell the truth!
Couple of more signatures on the stabilization mechanism and the whole thing is over. It would appear this is the real play here. Then, the taxation and austerity begins in earnest and nothing short of complete revolution will stop it. Banker heaven and citizen hell or heil?
LMFAO! America is broke, America will not bailout anyone. Or did you mean to say that the "reserve currency" will bailout europe? In that case, you are talking about China. I mean, they want to have the world's reserve currency right? Fucking let them have it. Here China, now you get to bail everyone out, china, china... < crickets >
I guess they didn't fully understand what being the reserve currency holder meant.
All economies are local and getting more local by the second. In the absence of any rule of law, possession is the law. Same as it ever was.
No, but we need the economy going. We need the people who already have a mortgage, a car, a wide screen TV and an iPhone to buy the same shit over again, in order to boost production and exports and imports.
German is the leading exporter of cars and high quality machinery, they can keep exporting those to infinity and beyond and German economy will always stay strong and never recede.
Rich getting richer and poor getting poorer is the excellent scenario where consumption and spending growth can flourish, even if we were on an infinite planet.
What people cannot comprehend is, hypothetically speaking, once everyone in the world has a car, a phone and a TV, they would not buy any more of it and those industries will go out of business and bankrupt.
I know its not that simple, but just a foundation for understanding the concept.
The big cull is coming to, to help generate "growth" but Got Oil?
Can't we just print more money and use that to bail everyone out?
I can print money and bail everyone out but I need everyone to pay me a comission in my own printed money.
Isint that a cunning plan! ;-)
Greece never should've been part of the euro in the first place. 10% of the population is made up of unionized government workers. But the whole euro mess is being deliberately orchestrated to create enough chaos across the world to bring about a one-world government.
These people aren't stupid. If they really wanted to increase tax revenues they'd lower tax rates because tax rates and revenue move in opposite directions.
"The EWG agreed that each euro zone country should prepare a contingency plan, individually, for the potential consequences of a Greek exit from the euro," said one euro zone official familiar with what was discussion on the call.
EVERY MAN FOR HIMSELF BITCHEZ!
"In the latest episode of what can now simply be described as the world's most entertaining yet terrifying mutual assured destruction showdown, because should Greece leave, the destruction, at least in the short-term, will impact both Europe and Greece, although Greece will recover far, far faster as the standard of living there has already been crushed (which incidentally is the primary reason why Europe has lost control over the situation: without the carrot of welfare state promises, a Ponzi regime is meaningless), we learn that on Monday a Eurogroup Working Group held a teleconference in which officials "agreed to prepare for individual contingency plans if and when Greece exits."
WOW Tyler - perhaps your best run-on sentence yet!
"Greece was formally expelled from the Latin Monetary Union in 1908. It was readmitted in 1910, however".
Most likely this will happen again.
"...without the carrot of welfare state promises, a Ponzi regime is meaningless"
So how long until they quit trying the carrot and really get out the stick.
Who says Greece will exit first? With all eyes on Greece (distraction), no one considers maybe France? So much behind the scene posturing (deal making), what finally makes its way to MSM, is smoke and mirrors.
I hope the Greeks didn't have gold because that would be the last straw.
Timeline for European Unity
1812: French discover that they cannot unify Europe with short guy with funny sideways hat.
1918: Germans discover that they cannot unify Europe with mean guy with funny spiky helmet.
1945: Germans discover that they cannot unify Europe with mean guy with funny moustache.
1946: Americans and Russians discover that they can only unify Europe by dividing it into 2 big pieces and threatening to hold their next nuclear war at the boundary.
1989: Russians get sick of it and leave. Americans stay but only to extract money. Screw the unity.
2012: French and Germans discover that they cannot unify Europe with business guys with funny money.
I feel that I have begun to detect a pattern.
i think we should bring taiwan and greece into the US together, with taiwan's papers getting signed first
go figure on the stars: 52 and waiting for the joker?
slewieInt'lAirport in Athens and tylerInt'l in taiwan will offer direct flights every 1/2 hour to and from vegas, so we'll keep that really simple, to start...
oh! any questions, direct them to the zH office via e-mail, ok?
Who on earth believes that 80% of Greeks want to stay in the Euro? It sounds like another lie to me pushed on us by the media.