S&P on the sovereign down grades
the real driver is well understood by our neo lib guardians
lower wages along the med and thru out latin europe
pk sees the line here ..i got it from his blog
but he fails to realize remedy can be as draconian as the fiscal tightening
btw /wrt pk seems to under play the differential expansion side
of the fiscal thrust busting
and he knows his romney robinson
internal devaluation by reducing the social transfer burdens of the wage force
and corporations
ie shifting to purer forms of vat basing
ie mass consumption taxes
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of course the real social engineers solution would involve a mark up market in each national unit of the zone
and a centrally agrred on pattern of national price level changes
germany the highest greece the lowest etc
this would require germany to stop its beggar thy neighbor games
of the past 15 years
teutonic hard choices of the german wage class not rewarded ???
that suggests class sacrifice is not in order here
any more then wage class demand restraint ever should be
why ??
because non zone based forex fiddled wage arbitrage games will now emerge
as dominant clipping german exports
hell its all happened b4 many cycles of it all
