By David Young
In early May 2010, Greece has been almost paralyzed by riots. More than 100,000 people, just a few weeks ago, rioted in the streets to demand better pay, higher employment, and more welfare programs to stave off the current economic depression. Within days, the international bond markets responded to the crisis by increasing the cost of this Greek debt by more than triple overnight. Guaranteeing collapse of the Greek state, should the European Union leaders remain silent.
But is Greece alone in this very real crisis?
Consider Ireland, crushed by a current reported unemployment rate of 20%. Not far behind are the rest of the PIIGS countries, as they are called. In sum, Portugal, Ireland, Italy, Greece, and Spain all threatened to break up the Eurozone due to years of massive entitlement programs and spending. The EU did pull together support from Germany, France, the International Monetary Fund, and the U.S. Federal Reserve to collaboratively build a $950 Billion dollar bailout, all in mid-May. This package is only meant to keep the PIIGS from collapsing for three years. After that, the clock is reset for the new governing leaders to deal with. Read the rest of this entry »