[5/11/10] Greece as a Model (Part III)

In case you are ever inclined to think my economic analyses are simplistic, or that my lack of degree in economics discredits them, here is the WSJ lead editorial today, saying

But there is no such thing as a free sovereign bailout, and the EU's intervention merely transfers those risks from banks and other creditors to taxpayers and the European Central Bank.

Or, in other words, the wallet will be transferred from the back pocket to the front.  It closes with

The real euro crisis, in short, is one of overspending and policies that sabotage economic growth. Sunday's shock and awe campaign has merely postponed that reckoning­and at a fearsome price. 

The only real choice the EU has to save the Euro in the long term is to kick a whole bunch of people off the dole and make them produce to consume.

The financial events started by Greece's effective bankruptcy will ultimately lead to the grand collapse of Social Democracy.  There is no substitute for individual economic freedom, where the spoils of success -- and failure -- are your own!