Quote Originally Posted by bu villain View Post
Very interested to see how this goes. Germany's main ally in austerity is now gone. This is gonna be like a soap opera.
Considering the fact that Hollande has already said he is going to increase taxes, mainly on the rich, and increase spending and social programs France is in trouble. Look for Germany to start distancing themselves from the euro in the next year or so as they try to avoid the full impact of the collapse of the euro and likely the entire European economy. France and Germany have been propping the euro up for years, I dont think Germany can support France also.

Here in the US, we are going to be hit pretty hard also. Most major banks are heavily invested in the euro and in European markets. When they start losing money or at least hedging they will start cutting costs here also. The auto industry is also heavily impacted by Europe and may see a significant cut in sales. They may avoid the worst though because their main expansion is in Asia.


Side note

Will we see a major move by the rich to leave France, or at least move a significant portion of their wealth out of France? Because Europe is so connected, how hard would it be for someone to move their wealth to say Germany, yet still do the majority of their business in France?


And again:

Europeans lived in the scope of a socialist empire for decades, why are they so quick to bring those same problems to their own country? Maybe people are just too young to remember or hear stories of Soviets waiting in line for hours for a loaf of bread or a pack of butter.