Domino effect at work with Euro

[antiestablishmentarian]

According to Matthew Lynn over on Bloomberg, the current crisis is merely the prelude to others as the heart of the problem is the Euro- he predicts that an Irish bailout will merely give way to another crisis over Portugal but that this domino will topple over affecting Spain, Italy, and France and thus give way to a split in the Euro. I disagree with some of his points about austerity etc but he makes some interesting points nonetheless.

Ireland is on the brink of a bailout from the European Union and the International Monetary Fund.

When it happens, we’ll hear plenty of soothing words about how contagion has been stopped, the euro area has been put on a firmer footing, and the single currency saved. There will be a lot of grand rhetoric about the importance of the European project. Stern condemnations of the speculators will ring out across the continent.

Don’t listen to a word of it. The euro has turned into a bankruptcy machine. Once the markets have finished with Ireland, they will simply move on to Portugal and Spain, and after that to Italy and France.

There is a domino effect at work, and, with each rescue, the fault lines within the euro grow wider and wider. This process isn’t going to stop until the euro is taken apart.

Euro Dominos Will Fall Until Currency Is Split: Matthew Lynn - Bloomberg

[odie1kanobe]

Hmmmmmmmmmmmmmmm Pepperoni

Opps wrong Domino's

[frequency]

The heart of the problem is the pound. Members of the UK currency share it, but interest rates are set by whitehall that may suit prosperous home counties in england but fail for other countries in the pound such as northern ireland which needs billions in support every year. The pull out of multinationals from the north for southern Ireland will be devastating and the pound must break up to move forward.

The heart of the problem is the dollar. Members if the US currency share it, but interest rates are set by a private bank in Washington that suits some states such as prosperous COnnecticut and other New England areas, but fail in others such as California which is bankrupt. The dollar must break up to move forward.

And so on..............

[Slinky]

The heart of the problem is the pound. Members of the UK currency share it, but interest rates are set by whitehall that may suit prosperous home counties in england but fail for other countries in the pound such as northern ireland which needs billions in support every year. The pull out of multinationals from the north for southern Ireland will be devastating and the pound must break up to move forward.

The heart of the problem is the dollar. Members if the US currency share it, but interest rates are set by a private bank in Washington that suits some states such as prosperous COnnecticut and other New England areas, but fail in others such as California which is bankrupt. The dollar must break up to move forward.

And so on..............

Excellently put.