Extinguish the fire before it's too late

If it was a fire department, most of the firemen would be reading a newspaper to find a new job, after letting a whole city burn to the ground. If it was a private corporation, the head manager and his team would be fired for doing everything possible to bankrupt the business. I could create endless metaphors but the meaning would stay the same, European governments and especially Germany and France do everything in their power to rip euro zone apart and destroy the global economy. 

 No we don't need Chuck Norris, we just need decisions

It all started with a small fire on a suburb house Greece, a country with an economy as small as 1.9% of European Union and 0.4% of Global Economy GDP . Of course if you let a fire spread, sooner or later it will pay a visit to your house as well and that’s what happening right now with Italy, Spain, Portugal, Belgium and Ireland. It is really a great paradox to call Greek politicians useless when euro zone has done almost nothing to prevent the crisis. 

For two years now, huge cuts have been done to Greece but not enough structural reforms to help growth, meaning that we won’t see the economy recover any time soon. Of course when you start a program so strict and ambitious the first and most important thing to consider is how to create growth in order to minimize the cuts cost, something that hasn’t been done and so, created poor results. Poor results and luck of will for new measures to secure euro zone, made the loaning cost enormous and now the whole world is blaming Europe leaders for luck of initiative.

The main problem in my opinion is the fact that the euro zone was extremely beneficial for Northern countries and especially Germany. When you have exporting economies, it is mandatory to apply some rules, so that products from one country won’t flood others. Of course we live in a free market, but when you strangle other countries for your benefit minimizing their competitiveness for years and not equally distribute growth, I don’t see a zone but a one way relation. It gets more irritating when you haven’t heard a single word all these years, because this situation was beneficial for the North (for example an increase of deficit for Spain, in favor of German products).

 We saw what Europe hasn’t done so far, what should have done and will do are subjects to be covered on future articles. Until then  Merry Christmas everyone !!!