(07-13-2015 07:22 AM)KNIGHTTIME Wrote: (07-12-2015 08:42 PM)Knightbengal Wrote: (06-30-2015 02:42 PM)VirginiaPirate Wrote: And Capitalism run amok can fail badly without checks and balances. See world's oldest democracy in Greece.
My economics professors always pointed out that we can't and don't operate in purely capitalistic market.
Greece is socialism run amok. They have retirement ages at ranges of 45 years old. I would be 6 years away from retirement. ..lol
Basically when you have the gov't control all industry, there is no incentive to work hard or cost controls. Greece makes Obama look conservative, and he is the welfare president.
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I think your efforts to make a political point ignore the facts.
Greece has the lowest social spending of any nation in Europe as a percent of GDP. As a percentage of GDP however, its military spending is the highest.
Ireland--before it went broke backstopping the German, French, and UK banks--was running budget surpluses and was the poster boy for the deficit hawks. Oh, and it was also one of the lowest in Europe for social spending.
And the most prosperous nations in Europe? The uber-socialist nations of Scandinavia, and Germany. Your efforts to tie in the Greek debt crisis with socialism sounds to me like a talking point with little basis in economics.
My point is the problem with Greece or any other nation in the Eurozone is not social spending v. military spending v. other spending. It's not the nature of the spending involved, it's the fact that Greece as a member of the Eurozone has zero control over its monetary or fiscal policy. That policy for all members of the Eurozone, and not just Greece, is increasingly made in Berlin, by and for Germany. The UK was smart to stay out.
And the bailout funds allocated for Greece? They go straight to DeutschesBank and the European Central Bank, not to Greece.
Since when do banks lend money as a risk-free transaction? Sorry, lender, you should take the same hit as the borrower.