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European Economic Depression Is Rapidly: It Is Just A Matter Of Time Before Things In Italy And France Get As Bad As They Already Are In Greece And Spain
The Largest Economy In The World Is Imploding Right In Front Of Our Eyes
A devastating economic depression is rapidly spreading across the largest economy in the world. Unemployment is skyrocketing, money is being pulled out of the banks at an astounding rate, bad debts are everywhere and economic activity is slowing down month after month. So who am I talking
about? Not the United States – the economy that I am talking about has a GDP that is more than two trillion dollars larger. It is not China either – the economy that I am talking about is more than twice the size of China. You have probably guessed it by now – the largest economy in the world is the EU economy. Things in Europe continue to get even worse. Greece and Spain are already experiencing full-blown economic depressions that continue to deepen, and Italy and France are headed down the exact same path that Greece and Spain have gone. Headlines about violent protests and economic despair dominate European newspapers day after day after day. European leaders hold summit meeting after summit meeting, but all of the “solutions” that get announced never seem to fix anything. In fact, the largest economy on the planet continues to implode right in front of our eyes, and the economic shockwave from this implosion is going to be felt to the four corners of the earth.
On Friday, newspapers all over Europe declared that Greece is about to run out of money (again).
The Greek government says that without more aid they will completely run out of cash by the end of November.
Of course the rest of Europe is going to continue to pour money into Greece because they know that if they don’t the financial markets will panic.
But they are also demanding that Greece make even more painful budget cuts. Previous rounds of budget cuts have been extremely damaging to the Greek economy.
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But Greece and Spain are not alone in seeing their economies implode.
As I wrote about recently, the number of unemployed workers in Italy has risen by more than 37 percent over the past year.
The French economy is starting to implode as well. Just check out this article.
The unemployment rate in France is now above 10 percent, and it has risen for 16 months in a row.
It is just a matter of time before things in Italy and France get as bad as they already are in Greece and Spain.
The chief economist at the IMF is now saying that it will take until at least 2018 for the global economy to recover, but unfortunately I believe that he is being overly optimistic.
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** JUST-IN: Cameron warns Britons to expect more budget cuts
Debt crisis: ECB board member shuts door on Greek pleas for leniency
Greece cannot have more time to repay its debt to the European Central Bank because it would be illegal and “illogical”, board member Joerg Asmussen has said, as he shut the door on pleas for leniency from the bank.
Mr Asmussen said that the ECB could not lengthen the time period for loans to Greece or lower interest rates as “both concessions would be a form of debt forgiveness and therefore a direct financial support for the Greek state.
“That would not be allowed under the law governing the ECB,” he said.
He also said that it would be wrong for Greece to say it needed more time but not more money.
“A temporary extension of fiscal targets automatically means that Greece needs more financial assistance from abroad.” he told German newspaper Bild am Sonntag.
“It is logically quite wrong to say: we need more time, but not more money.”
