By John Galt
June 1, 2011
The Reuters headline from early this morning says it all:
IMF Not Paying Greek Tranche Seems Certain: Report
With this being held from the Greek government, the responsibility for funding becomes the 100% responsibility of the European Union which is already showing cracks with the Fins, Belgians, and some Germans demanding an end to this extend and pretend financing of an entire nation. Soon, very soon, the world will realize that there is a fine difference between solvency and liquidity and when they do, the crisis can finally culminate in the inevitable Greek default which will start the dominoes falling in PIIGSville. That will leave the Greek people with a choice of either 20 years of flat to negative economic growth or 4 years of pain and a return to self-rule by refusing to accept the dominance of the E.U. over their nation’s affairs.
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