Pesky Constitutions and Referenda causing trouble for the EU again

[innonimatu]

From an institutional perspective it doesn't make any sense for Germany to really want the membership of a dozen small countries. It's directly against our interest.

Germany dos have an interest in making sure that its export markets don't go bankrupt. In the absence of the euro, the EU countries with the worst current-account balances would devalue their currency, cut on imports and possibly even default on some payments.

The funny thing in all this is what the german banks did with the surplus from Germany's commercial balance... they invested it in buying the bad debt exported by other countries

 

[TheLastOne36]

Also don't a lot of Polish migrant workers in western europe make their fortune by playing the exchange rates between the euro and zloty? It may not be as popular to switch to the euro after all.

Well it's not that big of a percentage, but i bet quite a bit(30% ?) in areas like Wroclaw, Katowice Poznan and other smaller cities have atleast 1 member of their family doing this.

 

[kronic]

Btw:

A report by JP Morgan said Poland was in worse shape than Hungary, citing concerns that the country's banks and companies will have to pay back $96bn in foreign currencies next year. Poland's foreign reserves are just $59bn.

cited from http://www.telegraph.co.uk/finance/...kest-since-lira-as-Europe-crisis-deepens.html

 

[GoodGame]

Were those Euro currency countries or other currencies? Is it some kind of strategy to have leverage to make the other countries adopt the Euro?

The funny thing in all this is what the german banks did with the surplus from Germany's commercial balance... they invested it in buying the bad debt exported by other countries

 

[Winner]

I don't know, the Czech currency is holding pretty well and it seems to have a limited insulating effect on our economy and the financial sector.

I guess this will put off adopting Euro to about 2020-2025

 

[kronic]

http://online.wsj.com/article/SB122582350417997613.html

 

[RedRalph]

I say expel denmark for doing somehting as stupid as letting their population decide

 

[@N1k1T0$]

Does anyone predict the British ever... in the near future... Adopting the Euro ??? That would be great... Mu ha ha ha ha...

 

[Joe Harker]

/nope, not unless it's more embassing to change it than keep it, with the current feeling between british nationalist and the rest of the populations indifference

 

[theskald]

Having said that in the current crisis the pound could well lose out to the euro, it already has to the dollar in recent months.

Woah, what? How the hell did I miss that? You poor fellows.

 

[Joe Harker]

Actually the Pound and Euro have been bonucing between 1.20-1.30 euros to the pound for a while now, but it has drop towards the lower end of that scale and could drop further, both curriencies are losing out against the dollar, it nows about 1.6 dollars to the pound when it was upwards of 1.90 dollars to the pound three months ago.

 

[theskald]

I have not at all been paying attention to exchange rates. This truly surprises me. Maybe I'll just keep the 10 Euro bill I "forgot" to exchange, for posterity.