Subject: »PIIGS - economics problems

No, it is cheating people. You can help to your Exchange rate or devaluate or make government support for exporter, inflation is just modern tool for cheating.

So Germany need have inflation, right :) :) ?

It is just tool used in democracy. Government if dont want to lose voters can not fix economics problems directly, but they can use inflation cos people are stupid sheep.

but as national bank you have other monetary tools to correct an inflation...without little bit of inflation there isn´t any GDP growth...without GDP growth there isn´t any purchasing power, without this there isn´t any standard of living, things in economy are connected...do not force me to teach you (especially YOU DOC) :)))

it dosent as a rule, you dont get benefits of inflation, bigger inflation can mean lowest unemployment, and unemplyment is worse even than inflation

is just each country finding the equilibum between inflation and unemployment...and this "point" is different for each country

is just each country finding the equilibum between inflation and unemployment...and this "point" is different for each country

exactly :) thanks, I hope you saved my time :)

Dont eat everything from theory, it is just cheating, maybe sophisticated. As you told above, there is no gdp growth, there is just cheating gdp by inflation.

shit :D stop trolling :D

I explain it to you in PM :)

me too :)

There are solutions which mean good for long term, but nobody will do them - for short term reasons... As I said, idiots. (and forint lost 10% of its value since september)

Without euro we're completely weaponless against speculation and globalization.

This is shitty argumentation for people lived for years in Eurozone...globalization process is normal development of mankind, but I give you one example. Czech republic solved crisis in their country without € better than Slovakia with €...no one speculated with their currency because of well prepared national bank, right office-government decisions and good financial laws...their currency is now stronger than anytime in history...


wait.

In short term I believe that the growing countries of Europe can have a development using the differences between their work cost and the work cost of bigger countries (germany france UK italy) where they sell...
Cech are using this difference for getting richer!
It lead richer countries to lose work, so to lose money (and tax revenues -> with debt problems related)

but remember that when who buys your goods get really poor..
you'll get poorest!!!

globalization of markets take us to lose work in front of countries where there are less work rights
If we can have a big market ruled democratically we can think to accept only goods made in some civil ways (not child work, not slave work etc) and with those policies we can think to protect our work market from unfair competition.

If we are only little countries without any political strenght, we are like flag on the wind. We must accept every condition global market impose.

this in the long term run..

there is absolutely no solution today at the debt crisis, because it's coupled with an economic crisis.
If you start to spend less, economic crisis become even worst, so you get less money => your budget deficit is worst => your debt increase even more.
If you continue to spend as before, your debt still increase.
So you just have to pray that ecomomic growth become bigger.

That's funny to see that people think that crisis is starting just right now when it's exactly the same crisis started in the seventies... The point is that we increased our debt a lot from this time to avoid to see the effects on people. Now we cannot do this anymore and the bill is there.

there is one important particular solution, but banksters wont apply it in practice...its called Swiss Economic Circle or also WIR Bank...here I can see a good way by applying it at union measure:

The WIR Bank, formerly the Swiss Economic Circle (GER: Wirtschaftsring-Genossenschaft), or WIR, is an independent complementary currency system in Switzerland that serves small and medium-sized businesses. It exists only as a bookkeeping system, with no scrip, to facilitate transactions.

more: http://en.wikipedia.org/wiki/WIR_Bank

I said that speculators will not stop the PIIGS.
It is best to rename the topic in: Εurope - economics problems

Now it is still just about Greece and some piigs....