- October 27, 2012 at 9:04 am #57122
There will need to be a total economic collapse in Spain before any meaningful recovery can begin. Spain is heading for economic bankruptcy in the year 2015 when the country will be faced with crippling debts and the only way it can deal with the debt mountain is to write off the debt by dropping out of the Euro and adopting the Peseta. Spain has no choice, it cannot keep paying off its enormous debt and will instead default on its debt by dropping out of the Euro and adopt the Peseta resulting in economic carnage and further misery and hardship for its already suffering population.
- October 27, 2012 at 9:51 am #113136
Well Greece is managing to hang in there! The only way Spain will go back to the Peseta is if the Eurozone collapses.
- October 29, 2012 at 8:57 am #113150
More cobblers from Jakesuper, which provides no credible argument to support the statement
Spain will not default on it’s debts which is the step which leads to bankruptcy, either now or 2015 The EU will see to that. The cheque has already been written. It’s simply a case of Rajoy requesting the amount.
If the bond markets believed Spain was going bankrupt in 2015 their benchmark 10 year bond would be over 20% yield. It’s currently 5.6% which reflects the countries current difficulties.
Spain has a €6bn bond redemption deadline today. Do the markets expect default? I don’t think so.
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