Welcome to the new version of European Tribune. It's just a new layout, so everything should work as before - please report bugs here.
Display:
If push comes to shove, Greece can issue Greenbacks.

Then the deficit chickenhawks would have to either back down or move for expulsion. And the chickenhawks have a blocking minority, but they don't have a qualified majority.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Sat May 15th, 2010 at 02:22:50 PM EST
[ Parent ]
What is the mechanism for expulsion? I don't think there is one.

By laying out pros and cons we risk inducing people to join the debate, and losing control of a process that only we fully understand. - Alan Greenspan
by Migeru (migeru at eurotrib dot com) on Sat May 15th, 2010 at 06:06:07 PM EST
[ Parent ]
Then the deficit chickenhawks will need to make one.

Doesn't matter, though, they still won't have a working majority.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Sat May 15th, 2010 at 06:07:19 PM EST
[ Parent ]
Well you may expel them, but how do you actually stop Greece from using it?

Any idiot can face a crisis - it's day to day living that wears you out.
by ceebs (ceebs (at) eurotrib (dot) com) on Sun May 16th, 2010 at 10:21:40 AM EST
[ Parent ]
Stop them from issuing Greenbacks?

You can't.

If the threat of expulsion from the relevant communities is not sufficient (and if the local population accepts the Greenbacks as payment for services rendered), the only way to stop them is sending in the gunboats.

But of course, if they are forcibly ejected from the €-zone, they would have no particular reason to issue Greenbacks instead of just printing their own money.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Sun May 16th, 2010 at 01:45:47 PM EST
[ Parent ]
What is to prevent e.g. Iceland declaring that the Euro is now its national currency?

Frank's Home Page and Diary Index
by Frank Schnittger (mail Frankschnittger at hot male dotty communists) on Sun May 16th, 2010 at 09:38:01 AM EST
[ Parent ]
Nothing.

But they can't print €-notes or mint €-coins without permission from the Bundesbank.

Well, actually they can, but the official EU stance would be that they were counterfeiting.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Sun May 16th, 2010 at 01:47:58 PM EST
[ Parent ]

Display: