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If some sort of aid is approved for Greece, Portugal and Spain will likely make way without aid themselves.

What they can do long term is one of the following:

a) push for the right mechanisms or institutions to deal with such crisis (e.g. enact an European Treasury);

b) close the deficit and adhere to the Germanic budget school.

They can also try to do both.

You might find me At The Edge Of Time.

by Luis de Sousa (luis[dot]a[dot]de[dot]sousa[at]gmail[dot]com) on Wed Apr 28th, 2010 at 10:44:06 AM EST
One possibility would be to split the euro zone into two currencies: a neuro and a seuro, one for the north and the other for the south, but let the north keep calling theirs the euro. Then establish a Seuro Treasury and Southern Bank to provide interest rates and monetary policy to provide close to full employment.

Such a coordinated move might be less damaging than countries withdrawing one by one to be left isolated and starving. Denominate Seuros in terms of euros and issue a stated policy of convergence based on equitable treatment of the two populations.

"It is not necessary to have hope in order to persevere."

by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Wed Apr 28th, 2010 at 12:08:07 PM EST
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Some factions of Conservative America have long dreamt about this. Keep dreaming.

You might find me At The Edge Of Time.
by Luis de Sousa (luis[dot]a[dot]de[dot]sousa[at]gmail[dot]com) on Thu Apr 29th, 2010 at 03:15:49 AM EST
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