All we hear about in international news today is Euro Zone debt crisis… and Syria, though the latter will probably (hopefully) get resolved soon with condemnation and action from all fronts. But there seems to be no end to the financial crisis that has gripped the Western world. It all started with the subprime mortgage crisis in the U.S. and then the 2008 financial system collapse and now the Euro Zone debt crisis.
What I don’t get is how the most powerful people in the world like Angela Merkel, Barack Obama, Nicolas Sarkozy (or Francois Hollande if you want to be current) and the like cannot solve this problem. As it is, Finance is a bloody complicated field of study! The so-called financial experts and economics gurus have brought in so much jargon into the whole thing that one has to be a freaking genius to understand what is going on. I suppose that is one way that they protect themselves… from people who would otherwise easily see through their lousy plans. Anyway I admit I do not know much about financial mumbo-jumbo. I only know whatever I read in the news. But it is taking these experts more than a year to come up with a reasonable solution for Greece and other affected countries. Really?? In my book, that is terrible! For instance, if it takes me more than a year to come up with a cost-effective efficiency improvement in my manufacturing plant do I deserve to keep my job? I didn’t think so.
I realize that it is not as easy as I am making it sound. But sometimes you have to look at a complicated problem as if it were a simple household one. If Mr. X borrows money from Ms. Y and is not able to return it because Mr. X is clearly not saving enough money on a regular basis, the options are as follows: (a.) Take enough time to accumulate and return the money with interest. (b.) Borrow some more, severely cut costs in personal expenses and then return in time with added interest… aka the bailout option. Or (c.) Cancel the bloody debt and print some money! Obviously I’m talking about governments here and not Mr. X or Ms. Y. Now, I’m aware of the common belief that this causes inflation. But does it really, when you are so far deep in debt that you have to borrow again to repay that debt? Besides… seriously now, isn’t it time to choose between the devil and the deep blue sea already? All of this nonsense is man-made anyway. Money, currency notes, the whole system of Finance… everything is man-made. Surely, we should be able to start again at square one if we needed to.
What I’m getting at here is not that I have the ultimate solution. Of course I don’t. I’m just saying that if the people in power got together around the table with the super-intelligent economics geniuses of the world in some conference room in Brussels, it should be possible to come up with a decent solution – a solution that has the least amount of compromises. If they really wanted to, they could. I reckon this is where politics gets in. One person’s profit is another person’s loss. Come to think of it, how can a prosperous country provide the solution for a sinking one without digging its own grave in the process? I don’t know. I think I’ll go and have a beer.