We’re Not In Wonderland Anymore, Alice… And The True Greek Debt/GDP Ratio Of 421.7%

Monday, May 28, 2012
By Paul Martin

From Mark Grant
ZeroHedge.com
05/28/2012

“You may call it ‘nonsense’ if you like,” she said, “but I’ve heard nonsense, compared with which that would be as sensible as a dictionary!”
-The Red Queen

With all of the talk of Greece leaving the Eurozone and forfeiting the Euro as its currency; what if it does not? That, my friends, is now the question. The current estimation of Greece’s GDP is $308.3 billion. All of the debt of Greece, direct, derivatives and guaranteed is $1.3 trillion giving the country an actual debt to GDP ratio of 421.67%. You may recall all of the talk, all of the pandering words spit out by the IMF and the European Union that the new austerity measures would take the Greek debt to 120%; all nonsensical and a nonfactual expression of a very fantastic and fairy tale imagination. If someone has actually stepped through the looking glass I suspect it is Christine Lagarde. Perhaps she is Alice’s granddaughter? In my estimation she must have eaten some of the cake because her reputation has dwindled as she and Greece fell down the rabbit’s hole.

“There comes a pause, for human strength will not endure to dance without cessation; and everyone must reach the point at length of absolute prostration.”
-Lewis Carroll

Since those false exclamations the economy of Greece has, in fact, shrunk like a grape in the process of becoming a raisin. Austerity has had an effect of the Greek economy, that much is true; it has caused it to whither like an autumn vine on a dead oak tree. Not only is the economy in decline by -9.6% but the expenditures are exceeding the budget by $2.5 billion each and every month; it is a sinkhole, a vast expanse of quicksand where anything and everything is going down. With a population of 10,768,000 the people of Greece could not pay the debt they have accumulated if they stood on their tiptoes and spat Euros at the sun. The current situation is, without doubt, an impossible contrivance that could have been avoided, was not avoided, and there is no way to climb the wall of this financial cliff without, in one way or another, blowing up the wall.

The Rest…HERE

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