European members who didn't care about the Stability and Growth Pact (this pack sets limits and money, but only soft limits like telling a drug addict that he needs to stop).
The people in power at the moment, but also the previous governments and the ones before that.
The rating agencies which say: we don't expect our money back from Greece (or other insolvent countries).
The financial money dudes who blindly follow this advice (sure it's a good thing, as is common sense).
The people who elected the politicians. The politicians who think that lending is for no cost or risk.
The people lending to the politicians who think they will get their money back anyway.
But the approval of debt stockpiling among all people, poor, rich, smart, stupid, private, public, everyone ... something with a flock of sheep.
Sure politicians can be held responsible, that's by electing a better (or at least: another, because sometimes there is no better) government . They could be made privately responsible, but this gives rise to the problem of a very big risk for being a politician and less or even no one would go into politics.
It would be better to have professional politicians, but that imposes restrictions on democracy. Because in democracy every moron can be elected and we have them here in Holland. Not referring to any party or person in particular. So these problems occur, but the government officials (the skilled workers) are the ones that should balance these problems.
So who will be held responsible?
Perhaps the people lending out the money? Perhaps the ones that built this financial system? The inventors of the European Coal and Steel Community?
- serve as a deterrent to other politicians to not attempt similar things
- boost public morale
- Even paying of a small portion of the debts would reduce the interest that has to be paid
I also think it would prevent those same individuals from making the same mistakes/ethical shortcuts that put the eurozone in that mess in the first place.
I really don't see any point in short-term solutions, as the same strategies will simply be used by someone else in power who does it in a more clever way. To have any lasting change, one must abolish the government. Short and sweet: I like Hayo's contingency plan.
The Europe crisis is actually not a Europe or EU crisis, but a debt crisis on a more general level, that concerns most Western economies. It's a harsh fact that the quality of life that we have today, is built by debt and is not sustainable. Take US for example; http://www.usdebtclock.org/ : 15 trillion dollars, that is 15 thousand billions. Illustration on how much really is 1 trillion dollars: http://youtu.be/GNFb6qe7Tmg
if you want to understand the crisis, you should read the economists who knew this was going to happen and can give a clear explanation as to how it happened (nevermind the guys in control who caused the crisis, didn't see it coming and are making it worse). The root cause of the problem is government/central banks monopoly control of the money supply. The solution is to let the market decide and compete on the best money, and for the market to decide interest rates (not central planning banksters) politicians and bankers like to control the money supply, they try to act like they're doing it for the common good.. but it's not true.. this is not some conspiracy theory mind you.. it's just people doing what they've always done, trying to live at the expense of others, inflation of the money supply is the root of all evil!
Originally Posted by Dave C [...]it's just people doing what they've always done, trying to live at the expense of others, inflation of the money supply is the root of all evil!
Some nice Austrian economic theory stuff in there from you, Dave C.
In response to your quote above...Many people go so far as to say a fiat currency system is the root of all evil. In other words, when a government stops backing up their currency with gold stored in a safe somewhere, simply printing money and saying they're "good" for it, and even goes so far as to allow banks to manufacture more paper money by charging interest...That causes problems: inflating the money supply and lessening the value of the money itself.
I agree, no group of people should have the monopoly right to the production of money.. it seems like a crazy thing to say I'm sure.. but if you understand the complexities of an economy, it's an insane thing to believe that a group of central planners can ever know what the 'proper' supply of money is, or the 'ideal' rate of interest.. they have clearly failed! let's get rid of them! return money to the people!
heres a video EVERYONE can enjoy, no 'boring' lectures, no pages of text.. a rap battle on this very issue!