Jack Lew On Greek Default: Don't Think Failure Is Of No Consequence Outside Of Greece

[yota691]

Jack Lew On Greek Default: Don't Think Failure Is Of No Consequence Outside Of Greece

Published on May 27, 2015

U.S. Treasury Secretary Jack Lew said in London Greece had to take "tough steps" to avoid there being an "unecessary crisis". 

Here are some excerpts of his speech at the London School of Economics:

"If the Greeks are prepared to take the kinds of tough steps that they've got to take, they find a pathway to resolving this, without there being an accident and an unnecessary crisis.

"What I worry most about is the accident and you have moments that come up with all too much frequency, where just a miscalculation that could lead to the crisis which could be potentially very damaging.

"I think it's a mistake, to think a failure is of no consequence outside of Greece. We don't know the exact scope. No doubt, the worst and deepest consequences will be in Greece, if there is a crisis. Profoundly, it is in the interest of the European and global economy for the accident to be avoided."

[coorslite21]

Potentially a very big deal.  This could be the first domino to fall in the demise of the EURO and EU.  

 

A wild card in this is Russia.  They could come in and pay the 1.7 billion with the intent to have Greece join them on the dark side.  Unlikely, but who knows the way things are going over there.

[coorslite21]

What will Greece do?


C. Varoufakis the Dawn: "This is our plan to exit the markets'

Saturday, May 30, 2015, 16:12

http://www.zougla.gr/assets/images/1707648.jpg


30-year soft loan from the European support Mechanism, which will pass the debt currently held by the European Central Bank, while restructuring other parts of the debt, the government is planning to go out of the country in the markets. As revealed in an interview to Dawn by Yanis Varoufakis , the government has set as its priority the "combination of debt restructuring, investment injections and reforms beyond inhumane cuts pensions, allowances and salaries" combination, which as stated, "will push society to overcome the giddiness of aftotrofodotoumnis debt crisis-recession." According to Finance Minister, ENFIA is an obnoxious tax should be abolished. "As not removed all of us feel accountable to the Greek people, but its abolition, however gradual, happens when the deal ends and we can find equivalent taxes from big real estate and by progressive taxation of income today escape," says Mr. . Varoufakis, who expressed his wonder for the post of Mr. Juncker that there should be additional revenue of around 1.8 billion. euros from VAT. "In an economy that is in the midst of deflation and debt with taxation that burdens have-nots, how we could increase public revenues by 1% of GDP through indirect taxation without provoking even greater damage to the engine of the economy, production and markets? "asks Mr. Varoufakis . Indeed, Finance Minister sends a message to those who want him to resign, saying that "none of us is going to throw the shield" before justice to citizens.





http://www.zougla.gr/politiki/article/g-varoufakis-stin-avgi--afto-ine-to-sxedio-mas-gia-tin-eksodo-stis-agores

 

right click and then click translate to english

Edited May 30, 2015 by coorslite21