The Euro masquerade

So much rot has been said about the Eurozone crisis that you do wonder whether Merkel, Sarkozy et al have come to believe their own spiel. This is an economic problem and it can’t be solved by political will. Greece is bust and several French, German and Dutch banks were stupid enough to lend €130 billion to the Greek government that they’re not going to get back. All the summits in the world cannot change this simple fact. These crisis talks are about bailouts for banks, not bail outs for Greeks. BNP Paribas is in for €37bn. Commerzbank of Germany is owed €15bn. And if Greece defaults, then insurance claims are triggered. Athanasios Ladopoulo in the Wall St Journal (the single best source for analysis on this fiasco) says that this could land American banks with a €25bn bill, so no wonder the Obama administration is anxious.
 
But no one is talking about how to repay this money.