Harvard’s Rogoff Sees Sovereign Defaults, ‘Painful’ Austerity

[Mouroux]

"Harvard’s Rogoff Sees Sovereign Defaults, ‘Painful’ Austerity"
Harvard?s Rogoff Sees Sovereign Defaults, ?Painful? Austerity - Bloomberg.com

Following banking crises, “we usually see a bunch of sovereign defaults, say in a few years,” Rogoff, a former chief economist at the International Monetary Fund, said at a forum in Tokyo yesterday.

“I predict we will again.”

Rogoff, 56, said he expects Greece will eventually be bailed out by the IMF rather than the European Union. Greece will probably announce an austerity program “in a few weeks” that will prompt the EU to provide a bridge loan which won’t be enough to save the country in the long run, he said.

“It’s like two people getting married and saying therefore they’re living happily ever after,” said Rogoff. “I don’t think Europe’s going to succeed.”

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Also on RTE news at one, more widespread industrial action in Greece.

Also, I think there is a lot more industrial action of one form of another going on in Ireland right now, but we are just not getting the full scale of it from RTE. Is seems as if 'the beards' have suddenly tucked tails and have gone essentially quiet?

I was called up for Jury duty yesterday and the first thing I noticed was that most of the court staff were on strike until 2.00pm. Obviously, the court was still functioning... but what if various actions escalate (i.e. because concessions are not being made). Could we see a 'near stand still' in Ireland during 2010?

Since both Greece and Ireland use the same currency, if they default how will it effect us? And if say another one, two or three Eurozone countries default, say over the next few years, what's the knock-on effect for us, even IF we manage not to default ourselves?

[birthday]

"Harvard’s Rogoff Sees Sovereign Defaults, ‘Painful’ Austerity"
Harvard?s Rogoff Sees Sovereign Defaults, ?Painful? Austerity - Bloomberg.com

Following banking crises, “we usually see a bunch of sovereign defaults, say in a few years,” Rogoff, a former chief economist at the International Monetary Fund, said at a forum in Tokyo yesterday.

“I predict we will again.”

Rogoff, 56, said he expects Greece will eventually be bailed out by the IMF rather than the European Union. Greece will probably announce an austerity program “in a few weeks” that will prompt the EU to provide a bridge loan which won’t be enough to save the country in the long run, he said.

“It’s like two people getting married and saying therefore they’re living happily ever after,” said Rogoff. “I don’t think Europe’s going to succeed.”

--------------------------------------------------------------------------

Also on RTE news at one, more widespread industrial action in Greece.

Also, I think there is a lot more industrial action of one form of another going on in Ireland right now, but we are just not getting the full scale of it from RTE. Is seems as if 'the beards' have suddenly tucked tails and have gone essentially quiet?

I was called up for Jury duty yesterday and the first thing I noticed was that most of the court staff were on strike until 2.00pm. Obviously, the court was still functioning... but what if various actions escalate (i.e. because concessions are not being made). Could we see a 'near stand still' in Ireland during 2010?

Since both Greece and Ireland use the same currency, if they default how will it effect us? And if say another one, two or three Eurozone countries default, say over the next few years, what's the knock-on effect for us, even IF we manage not to default ourselves?

Well we have no need to worry according to Blair Horan. We are different from Greece and will export our way out of this or in other words use our exports to pay for excessive salaries and wasteful quangos.
On the other hand our exports are down
http://www.politics.ie/economy/12446...wn-11-yoy.html
I'm sure Blair will come up with some new explanation. We need not worry.
We can just borrow whatever it is the PS unions and FF want.
There is no problem.