Greeks protest (once more) and burn German/Nazi flags

[Beet]

Hey - at least they're not waving the Nazi flag. With all the kooky ideas floating around recently, it wouldn't be such a shock.

Not much else is. Their attitude to Germany, the hand that feeds them, is unfair, but even greater is the utter pitiableness. Look at faces of the man and woman on the lower right hand side, taking a momentary satisfaction in the transferance of their degraded state to a misguided hatred.

The level of screwedness that is Greece just boggles the mind.

[Beet]

Germany's Carthaginian terms for Greece

Not going to post a snippet because the whole thing really is worth a read.

[Beet]

Here's the plan.

3-4 Weeks Ahead: Decision is made at the highest political and financial levels. Greek government begins to secretly stockpile food and fuel, ala Thatcher stockpiling coal in the 1980's.
2-3 Weeks Ahead: The military is apprised, as are the heads of the major political parties. A succession plan is drawn up for the resignation of Lucas Papdemos or current PM and his replacement with a willing leader.
1-2 Weeks Ahead: Some top police officials are apprised. Plans are drawn up to maintain enough order on the main thoroughfares to ensure that the trucks can keep the supermarkets stocked.
Friday Morning: Design of new drachma sent to printing presses.
Friday Afternoon 4 PM: Private bankers are called to a meeting in which they are told to prepare imposition of capital controls.
Friday Afternoon 5:30 PM Capital controls announced. At the same time, it is announced Greece is quitting the EU. Transfer of funds outside the country is forbidden. Banks are closed and online transfers are frozen. From this point forward, no paper euros are to be disbursed in Greece.
Saturday night: Bank of Greece formally exits the Eurosystem of Central Banks. It is announced Greece is quitting the EZ. Papademos resigns and is replaced by successor.
Sunday night: Drachma declared legal tender. All electronic euros are electronically converted to drachmas.
Monday morning: Paper new drachmas begin to be disbursed in selected cities.

[Beet]

EU rules prohibit capital controls. If Greece attempted to exit the EZ without capital controls, there would be no way to introduce a drachma-based banking system without having the existing one wiped out. There goes the entire Greek money supply and savings of the Greek people. Think you've seen riots now? Also, Brussels has vowed to kick Greece out of the EU if it exits the EZ. I thought the decision was shortsighted at the time.

[Beet]

Thinking through this scenario, it doesn't work. The best path for now is that Greece will continue to go bankrupt but remain in the euro zone. Germany will not kick Greece out, and Greece is not yet ready to leave. But they can continue to write down their debt, if at this point it triggers the CDS event, this can be contained better than an exit of the EZ.

[Beet]

The consequence of this could be either some sort of a Communist revolution or a military coup. And then the exit from the EZ will be managed by some sort of a Revolutionary Council of National Unity. You REALLY want that?

Well it'd certainly make drawing a distinction between Greece and Spain/Italy/Portugal easier. "They had a revolution/coup and we haven't, so we aren't them!"