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Think the the election in Greece yesterday.
A positive prospect for.
Not only -- forming -- government but also them working constructively with their international partners.
In order that they can continue on the path of reform.
And do so in -- way that also offers the prospects for the great people.
To succeed and prosper.
President Obama at the G-20 summit loss problems that he sent a note of optimism after the Greek elections yesterday that they may be on the road to try to figure out something to do about there.
Financial crisis he sounds like he's confident Charles -- you filled with the same confidence.
No I lack a little of it.
We've heard about hope and change and I think would strikes us strikes me about these statements in Mexico is who is anybody listening -- anybody care.
But what strikes me how diminished is the role of the US and all of these.
International meetings everybody cares about with the German chancellor says -- what Obama says he's in election the Europeans on -- after he runs.
Five trillion dollars in one term you know let's have them on unemployment when his unemployment is 8% hype is over 8% for -- and entire term.
No all they care about is what Merkel was gonna say because the Greeks elected a government that is -- -- stay in the Euro.
However the winner of the election announced on election night.
If he's gonna renegotiate the terms well Merkel last they're not going to renegotiate.
And she demands enforcement of the terms you can understand the Germans.
Here's a country with a retirement age of 67.
Subsidizing a country in Greece -- -- retire at the age of fifty.
Because it's listed as hazardous employment.
And they are tired of being the -- used to because he uncles -- of Greece but nobody today cares about the mile course that.
On the topic of what chancellor Merkel is saying about all this here's what she said today it -- -- strategy -- them.
The -- -- -- we need to ensure the Detroit have a very quickly go to Athens we agreed and agrees program and the framework needs to be adhered to.
This means that we must ensure that Greece sticks to its commitments the most important part of that phrase there is should make sure -- agree sticks to its commitment tomorrow what what do you think the chances of that.
Well on Crete Greece is one that is going to want to adjust the commandments it's gonna -- -- the bailout -- the terms of the bail out.
And I right now Merkel is is big sticking to a pretty hard line but in the end.
She needs the eurozone even if Greece exits she needs the rest of the countries who are in trouble like Spain Italy the stadium that's important for the German Economy -- I think in the other gonna have to make some kind of accommodation.
-- you were saying what we're in the break that you thought a different outcome of Greece's elections over the weekend might have actually been better.
Why I I think -- -- -- was secretly.
Disappointed by those results increase if if the if the left wing party.
Had one and rejected the bail out.
Than Greece could say well we're done with you go away now and now there's and his long contentious negotiation about renegotiating the terms which puts her back in the hot seat.
And the simple fact is as Greece is an economic free -- it's an economic catastrophe I think it's GDP has dropped 16%.
In the last three years -- scheduled to drop another 7% this here he cannot pay.
For what the terms of the bailout and so instead -- there was -- -- just keep the fuse burning.
And we're gonna -- it to mix metaphors kicking -- can you know for a good long time now.
But eventually I think -- -- the default and -- the drop out of the Euro zone.
So so this is a long sort of slow drip drip grip Charles what what happens here to people's savings and their 41 -- I think of the Greek situation is that is the least -- use troubles.
Because it's a relatively small economy and if they have that the will it could be sustained indefinitely on life support the problem is Spain.
Spain has now I salute a long term interest rates are over 7%.
At about six -- in the danger zone.
When Greece -- -- it -- win over a cliff Spain's hang in there and then Italy is next it's got extremely high interest rates which is impossible to sustain.
This means is not going to be able to continue to borrow.
-- third largest economy in the EU.
This is all patchwork I think everybody understands that the train is headed over a cliff but you know they they patch it up slightly.
-- you get an extra a couple of months but I don't see any way in which Europe is able to pay off.
The extravagant living it's been on the social.
Entitlement state -- been on for 65 years it can't be done.
It's gonna stop the only question is going to be crash or is it is you -- to be something more slow motion.
I think he's going to be crash your system marked it for bring it home and it no power Americans affected by -- as the market district a couple months ago was it thirteen 1400.
And went -- had a 121 now it's back about twelve so I think I think from the point of view of the White House they feel that if -- Europe can avoid a full blown contagion and it kind of wild collapse.
That American banks are insulated against that and that even though it's a -- wind.
We will be okay now the whole thing falls apart and and close then I think we'll be very bad for the US economy generally good weather just agreed to pull.
Thirty seconds -- and it would affects us I don't think -- -- Freeman was right from the beginning when he said the Euro made no sense because it just wouldn't work with that structure.
And I think the great irony here is that Obama came into office and we need to be much more like Europe that would fix all of our problems that doesn't sound like great advice --
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