On Fri, Jul 17, 2015 at 5:43 AM, Doug Henwood <[email protected]> wrote:
> > > On Jul 16, 2015, at 11:29 PM, Gar Lipow <[email protected]> wrote: > > > > Everyone on the Greek side who talks of a "friendly" or "orderly" exist > from the Euro comes around sooner or later to the idea of a peg during the > transition period - where for a fixed length of time the EU maintains an > exchange rate of .8 drachman per euro or whatever. Implicit in this kind of > peg is a limit on the number of drachma that can be issue during that > period, cause no one is going to grant a guaranteed peg for unlimited > number of drachma. > > Either the limits on drachma production will have to be very severe, or > the authorities would have to dump billions into supporting the new > currency, because no one will want to hold drachmas for fear of their > inevitable depreciation. > That is the point is it not? A "friendly Grexit" is not all that much easier than a forced one. And yes, a friendly Grexit that was not devastating to Greece would require billions in currency support from the EU - making it utopian in the worst sense. > _______________________________________________ > pen-l mailing list > [email protected] > https://lists.csuchico.edu/mailman/listinfo/pen-l > -- Facebook: Gar Lipow Twitter: GarLipow Solving the Climate Crisis web page: SolvingTheClimateCrisis.com Grist Blog: http://grist.org/author/gar-lipow/ Online technical reference: http://www.nohairshirts.com
_______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
