Saturday, 13 April 2013

Will Cyprus Give The Troika A Bloody Nose?

The working people of Cyprus are amongst the very few who I feel deserve sympathy at the moment.

Their small island nation was simultaneously in debt while running a budget deficit.  International politicians, using Eurozone membership as an excuse, have dictated simultaneous austerity measures which will have a contracting effect upon the economy with a bailout which itself is larger than the national GDP!

By any rational measure their economy is buggered.  Their options are to live in penury for generations under the existing euro system, support a Federal European Union, or leave the Eurozone.

They will not choose the first option, human nature does not work that way. I hope that they choose the latter and retain national independence even though it will mean devaluation and short term economic pain. The troika are clearly seeking support for their Federal European Superstate.

I hope little Cyprus gives the bully a bloody nose!

 

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