Portuguese & Irish Cans Kicked

Portugal, Ireland Get More Time to Repay Loans – WSJ.com.

The Eurozone graced Portugal and Ireland with loan extensions in today’s finance minister meeting in Dublin.  The guy on the corner in Brooklyn is more than happy to give you a loan extension, but remember that the interest keeps running for the duration.

The Diesel-boom claims that Ireland is a living example that adjustment programs work.  Do these charts make it appear that the bailouts are working in either of the affected countries?

Portuguese GDP Performance Irish GDP Performance

The adjustment program is working for TBTF banks who were bailed out of their Portuguese and Irish debt holdings.  The taxpayers of those countries have been left holding the bag and will endure years of misery.

The current situation is unsustainable.  As such, it will eventually stop.

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