Via Mark J. Grant, author of Out of the Box,
A careful reading of the methodology utilized at Eurostat and the Bank for International Settlements reveals what I suspected; they accept the data from each country in Europe prima facie; nothing is checked or audited. Whatever is presented is accepted as fact. Consequently if a country, any country, has engaged in fairy tale arithmetic to protect their own national interests the financial calculations for any given nation and for Europe as a whole are inaccurate and no reliance can or should be made based upon their figures. We know, for certain, that Spain purposefully engages in fantasy accounting and so we know that we cannot rely upon their figures. This then would explain why Europe is in such trouble because if the data is not truthful then the truth, as most often happens, leaks out from underneath that which is hidden and provides the outcomes that the Europeans have tried so hard to avoid. I have wondered, many have wondered, why the crisis in Europe is so severe and I believe that I have found the answer; we have been staring at numbers that are not real and, whatever the real numbers are, they are providing the consequences that result from their actuality.