Tuesday, July 24, 2012

"Never believe anything until it's officially denied"

Since the eurozone crisis began, plenty of rumors have been robustly shot down by spokesman, officials, and elected leaders, only to eventually come true.
Now, Louise Cooper of BGC Partners has pulled together a list of "untruths" we've been told by the euro elite over the last few years:
• Greece would not default
• European banks had no problems with funding in Autumn 2011 (clearly they did otherwise the ECB wouldn’t have lent them €500bn)
• Pretty much any of the past growth forecasts (from IMF, Eurostat, OBR)
• Greece saying it did not need a bailout
• Ditto Ireland
• Ditto Portugal
• Spanish banks did not have a property problem
• Take your pick from almost any of the European Bank Stress Tests

Louise suggests a few:
• The Euro will not break up.
• Spain’s bank bailout will only cost E100bn.
• Greece’s debt is sustainable
• Greece is a “special case” for a debt writedown (other bailout countries will not ask for the same)
• Any Eurozone country (except Germany) will meet its austerity targets.
• Almost any GDP forecasts
• Austerity works
• and how about, the UK is a safe haven?

- Graeme Wearden
guardian.co.uk Blogpost

No comments:

Post a Comment