Still A Greek Tragedy
What has befallen the Greek nation is still a real authentic Greek tragedy that was brought on by the most unscrupulous political factions that controlled the government for a number of years. Compounded to the financial woes in Greece is the fact that the whole European Union is besieged with unemployment figures comparable to that of the United States of over 20%.
When the European Union first bailed out Greece with Billions of dollars they failed to materialize any real authentic job creation. Greece still kept an unemployment rate of over 25%. Like in the United States when the government bailed out the major financial and auto industries yet those industries have kept unemployment levels way to high. Not only that, corruption in both countries remains within elected officials. The moral decay omoung public figures is so rampant that it is practically ruining this nation and has almost completely destroyed the nation of Greece. Now Greece is again asking for more billions. This somewhat stark reality between the nation of Greece and the United States is the fact that both are in a spiral of economic stagnation in terms of any real job growth. Global unemployment figures are at the highest levels since the 1930's.
With countries like Germany even with their high unemployment they have still managed to have maintain a very high bond rate but have done little to stem the tide of financial instability in Greece. What is going to happen if unemployment figures through-out Europe and the United States remain unchanged or even escalate is that countries with high bond rates will soon loose their financial ability to obtain the capitol needed to keep their country fiscally sound. This is what happened in Greece and will happen in the rest of the countries in Europe and here in the United States.
If we continue to wait for our business to start to expand and ease the highest unemployment level since the Great Depression it will be to late for the European Union to ward of financial disaster and our economic recovery will automatically be shut down and any hope of immediate recovery will never materialize.
The only way to avoid financial disaster and long term instability in Europe and in the United States is for the United States to immediately implement National Economic Reform. Included is a massive public works project employing those that are unemployed and under employed. Yes, Republicans, the answer is not what you want to here but since the past administration was instrumental in organizing the massive bailouts of the largest conglomerates instead of the majority of the population only created more of an unemployment catastrophe. To start to improve the business climate that will stimulate more business expansion and thus create more employment opportunities here in the United States an economic application so profound has to be the answer. This time we now know that the first stimulus of over 750 Billion dollars was a misguided attempt at fixing much deeper problems within the United States. That being said, using a little known economic theory is to go in debt to get out of debt is the concept here. The only difference is, this time there has to be a large enough stimulus targeted at the population that really needs financial help the most. Those American citizens, individuals who earn less than $60,000 per year, the majority of the population. This is where the true application of the Williams Theory of Economic evolution takes affect. " The more people with more disposable income to spend, pay down debt, and save 10% of earnings is the greatest economic boost that any society can have."
The corruption in our politics is not a bad in Greece but none the less it has virtually led both countries down that proverbial path that slippery slope of economic ruin for both populations. What happens within the United States will concurrently happen within the European Union. Major banks have to realize that without improved employment opportunities in Europe and the United States interest rates have to remain low and stable. If there is any slight increase the sputtering economy will only deteriorate. Until a second round of stimulus takes affect in the households across the United States the economy will only continue to suffer.
Any bailout to Greece from the IMF has to be a targeted and focused on producing the most widespread economic impact through-out the Country. The same approach has to be undertaken here in the United States. Again, I know what the Republicans are saying ''No more bailouts" but that is precisely what is most warranted now. Only a large enough cash subsidy that will enable all who's income levels fall below $60,000 will produce the desired economic results. When that original stimulus bill was passed what should have been done instead was divide that 750 billion among those individuals under the cap of say, $60,000. Each one would have received at least an additional $150,000. With that amount of immediate relief mortgages would have been paid, consumer spending would have tripled and the overall economy would have produce a domino affect of economic growth instead of what is happening today. All that bail out of 750 billion has done to date is make the fat cats of Wall Street that much fatter.
As in both Europe and here in the United States with unemployment at record levels, nations falling deeper in debt, moral values continue to fall by the wayside, and a deterioration of the middle class, societies will only fall pray to the unscrupulous and power hungry individuals whose unquenchable thirst for more power and control renders all defenseless against the atrocities that are committed against them. As in the Arab countries today whose leaders have been in power for far too long discord and distention among the masses seek to gain a sense of stability and economic mobility that has been denied, again, for far to long. Greece is no different in that respect in that the masses have fallen so far back in regards to economic growth and prosperity only to see that their leaders have squandered all their hopes and dreams for a better future.
Until all of the factors that are outlined are implemented the financial troubles in Europe and the United States will remain and any further economic growth which is so necessary for national stability, security, and prosperity of nations citizens will be too slow and may never realized.