This is the key quote from the article:
“Whoever is prepared to vote against the loan agreement should at the same time propose where this €10 billion will be found,” government spokesman Christos Stylianides told state radio yesterday.“They should also propose how we would deal with issues such as paying wages and pensions, and how we would deal with the international uproar caused by a possible rejection of the loan agreement,” he said
The troika first sows seeds of fear. Once voters are sufficiently scared, they will support anything that their government decides. This is how the troika obtained money for the banksters from the citizens of Ireland, Portugal and Greece.
Here is a proposal for Cyprus. Return to the pound and allow the banks to fail. After a severe financial crisis, your country will begin growing again. Or, you can take the bailout and suffer the same fate the other countries that took the money, condemnation to years of economic stagnation and contraction.
The Netherlands is in trouble because the country is attempting to cut its budget in the face of a bursting housing bubble while a strong euro saps growth in its multinational companies. If consumption, investment and government spending all decline, so does GDP as a sum of all three components.
People point to the periphery as examples of countries using a currency that is too strong for their economies, but the Netherlands also is feeling the effects of this dynamic. Judging from Nokia’s first quarter results, so is Finland.
What exactly must happen for the ECB to cut interest rates? In September, the bank was proclaiming that growth would return to the Eurozone in the first quarter of 2013. They have pushed that estimate back to the second half of the year, and it will probably need to be pushed back again. Yet, Weidmann states that rates will only be cut if economic data worsens. Well, it’s been worsening consistently since the last rate cut, and we have yet to see any action.
Italy’s remains without a government and a new president. Money printing cures everything as Italian bond yields continue to fall.
McD shows the weakness in the lower reaches of the American economy. High unemployment is sapping results and will continue to do so for the foreseeable future. The euro crisis will also decrease business. McD has seen a nice run since December but seems poised for a big correction.
If you have been paying attention to the goings-on in Cyprus, Greece, Ireland, Portugal and Spain, you should be aware that the EU does not compromise.