beautifully dubbed the “PIGS”, (Portugal, Ireland, Greece and Spain)* have almost been taken to breaking point.

09:34 El NACHO 0 Comments

Euro – economics pays the price of political ego - Stephen Pope - Market Mind - Forbes: "Born in 1999, the Euro is once again occupying the time and minds of politicians and economists across the single currency region as they gather in Berlin for yet more wining and dining.
The past 2 years have placed the very survival of the single currency experiment in jeopardy as peripheral nations, so beautifully dubbed the “PIGS”, (Portugal, Ireland, Greece and Spain)* have almost been taken to breaking point.
From the start this was a “rotten” currency borne from political ego, to see Europe strut upon the stage with a unit of exchange equal (maybe even superior), to the US Dollar. The entire fabric for its credibility, the “Stability and Growth Pact” was ignored when Italy was allowed to join the club. Of course Italy was the 3rd largest economy in the Euro Zone and it was judged impossible to go ahead with the project without the Italians.
That was clearly a big mistake … if a prospective member cannot meet the criteria of the club; it’s simple. They cannot join. To fudge and fiddle with the rules is just to weaken the original objective. If the rules are ignored, one has to ask, why bother at all?"