With EU leaders discussing to keep Greece in Eurozone or not, the collectivism with binding economic-legal bond at international level proves to be wrong idea again.
Most people thought that the collapse of USSR is because of the dictatorship of few mindless policy makers, it could be one of the reasons but from the angle of current eurozone crisis it appears that, the collectivism which was the idea behind both USSR and EU was wrong. Probably in international economy "united we stand, divided we fall " motto does not work.
Earlier some of the SAARC leaders supported the idea of EU like economic and political reforms in South Asia. It was dropped later.
The problem with common currency is, the nation which is facing financial crisis cant devalue its currency like China do. If Greece was not in the Eurozone, to handle the debt crisis it would have devalued its currency to let the economy flow at the domestic level. In the absence of Eurozone, other countries dont have to share the burden created by Greece and Italy. If Greece is out of EU, then Italy is next in line.
Anyway, with the Eurozone crisis, Ayn Rand leading with 2 - 0 against karl Marx in International Trade match. (She scored one point when USSR collapsed)
Most people thought that the collapse of USSR is because of the dictatorship of few mindless policy makers, it could be one of the reasons but from the angle of current eurozone crisis it appears that, the collectivism which was the idea behind both USSR and EU was wrong. Probably in international economy "united we stand, divided we fall " motto does not work.
Earlier some of the SAARC leaders supported the idea of EU like economic and political reforms in South Asia. It was dropped later.
The problem with common currency is, the nation which is facing financial crisis cant devalue its currency like China do. If Greece was not in the Eurozone, to handle the debt crisis it would have devalued its currency to let the economy flow at the domestic level. In the absence of Eurozone, other countries dont have to share the burden created by Greece and Italy. If Greece is out of EU, then Italy is next in line.
Anyway, with the Eurozone crisis, Ayn Rand leading with 2 - 0 against karl Marx in International Trade match. (She scored one point when USSR collapsed)
5 comments:
Very interesting analysis. Like to see what our Marxist friends say about this. They are vociferously stating, the current crisis is what Marx expected very long back as a beginning of "The fall of capitalism". Of course, will be proven wrong when these countries come out of this recession.
well...by nature marxists are doom-sayers :D
While I agree to the content, I feel that the rest of the EU should have helped Greece just like the family members do if faced with similar situations. The EU seems to had been started on assumptions rather than ideals.
anduke India ni kuda divide cheseddam anta nenu. prati state oka country. appudu boledu development cheskovachu enchakka. mana rashtram sampayinchindi vere rashtraniki enduku pettali :D emantav??
@indian minerva ... as you are going to read atlas shrugged ( just checked ur blog :D), ayn rand will explain you in length
@prasanna .... hehe you are trying to equate trade barriers with boarder lines :D
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