miércoles, 24 de septiembre de 2014

THE PUBLIC DEBT BOLTS AND THE INDUSTRIAL RECOVERY DE EUROPE CONTINUES OF VACATIONS



Not alone it is Spain the one that is losing the control of their debt, this is passing to the whole euro area and the explanation is so simple that is incomprehensible as the governments they continue determined to continue paying attention to the theories of Germany and this way to commit suicide as imbeciles, paying attention to some simple numbers that any schoolboy would be able to explain, which these numbers are because the following ones: If you country produces 100 and is its internal expense of 110 how much the country has left it? Very ease since truth seems that they don't understand it. 

And they don't understand it but rather they are also made a true mess, when a class partner has told them that the solution is very clear that catch and those they spend 90 instead of 110 and I list. And very happy with the solution they go and they make it, then they are found that spending 90 alone they produce 80, so at the end they continue having a deficit of 10, but with an added difficulty that is that the loss is bigger in percentage, and therefore every time will be they more difficult to balance it, it is also easy to understand truth, because not, it seems that the European politicians are some useless ones. It is warned this way on the part of the OCDE that the debt public stocking will be located next year in 113,1% on the GDP, when in 2007 the average hardly overcame 74%.  

The debt public brute of Spain will reach 103,5% of the GDP in 2014, with what there will be more than copy its public indebtedness from the beginning of the crisis, according to data that it gathers the Institute of Economic Studies (IEE). This way, next year the debt public Spaniard will overcome the threshold of 100% of the GDP amply, when in 2007 it was of 42,4% of the GDP. From the beginning of the crisis in 2007, the level of indebtedness of the public administrations has gone increasing notably.  

Among the countries that belong to the European Union they highlight the relatively low levels of indebtedness of Denmark (58,4%), Sweden (52,7%) and, mainly, Luxemburg (32%). This is not chance it is a balance question among the possibility of production of these countries, their public expense, and their demography, that is to say that that said Mr. Rajoy that the small countries don't count in the UE, it would should he would refer you to that don't count debts, because benefits and stability and it influences they count all those that want and more, this reality is the one that besides the understanding problems, he moves to the citizenship of Catalonia of trying by all possible means to become independent of Spain and to become a small state. 

The evolution of the sovereign debt doesn't have short term solution, he will be necessary to think of to live with her or to make the global decision of carrying out one it removes, but not to make it country for country, but on the whole of the euro area and this is so easy of making that it is incomprehensible because one doesn't make. It would be simply enough with which the BCE prints a quantity from equivalent Eurus to the percentage of general debt that wants to decrease, that is to say if we give for good that the average of the euro area will be on 120%, and that the convenient stadium would be located in 90%, the BCE should manufacture an amplification of equivalent monetary mass to 30% more than the current one, and to put it within reach of the central banks of each country, so that they repurchase debt and they eliminate it. 

This has always has said, alone it will produce a devaluation of the Euro it sews that we need more than any other measure, like we can continue accepting that being above our possibilities, the world markets follow us teasing saying that our foreign currency is the most expensive and strong in the world, now it is at 1.3 $ USA. This is an inconceivable atrocity that alone it is good to pay all that is negotiated in $ USA: the petroleum, and all that it is cared of it was, it is this way cheaper to buy outside that not to buy in the euro area, and to fix it hinders to the external market to buy anything related with the euro. They already come it is of silly to follow this situation that doesn't serve already anybody, and somebody or some should say to Germany that is already enough.  

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