The ECB cowardly dogs: printing money in action!

[Christophe]

That's what I was thinking of ... but not because: 8000 * 1.01 ^ 246 = 92 trillion

246 instead of 365 days because 2 days a week (104 days) weekends, no quotation + 5 public holidays ( http://www.swingbourse.com/bourse-jours-feries.php )

Anyway, let's wait for Obamot's explanation? Because, apart from the figure, even at the level of reasoning, I don't understand what it means ???

[Gaston]

That's what I was thinking of ... but not because: 8000 * 1.01 ^ 246 = 92 trillion

There, it would be compound interest

Whereas 8000 * 0.01 * 365 gives exactly 29.

246 instead of 365 days because 2 days a week (104 days) weekends, no quotation + 5 public holidays ( http://www.swingbourse.com/bourse-jours-feries.php )

Yes, I also think that 365 is a bit optimistic (although playing on the stock exchanges around the world, we must almost always find one open).

[Christophe]

That's what I was thinking of ... but not because: 8000 * 1.01 ^ 246 = 92 trillion

There, it would be compound interest

Whereas 8000 * 0.01 * 365 gives exactly 29.

Did I understand anything on the stock market? Because in% per day is what you call compound interest ...

365 * 0.01% = 3.65 = 365% increase ... has nothing to do with 1% growth per day ...

But that doesn't change the fact that I still don't understand what Obamot meant ...

[Did67]

I was just going to talk about it ... the decision of the ECB and this "historic victory" in Greece: would there not be a kind of insider trading the?

I do not think so.

The instrument used by the ECB is a "classic". Except that Draghi had to fight against Merkel's Germany to finally implement it given the very drastic rules put in place when the ECB was created (due to the historic flip of Germany: hyperinflation after 29 - coming to power of Hitler and WWII + a guilt never totally erased!)

I think there emerges a policy that has been the subject of a backstage fight of about 1 to 2 years ...

Syriza's prospect of victory is much more recent ...

Furthermore, the two things do not have the same objective:

a) for Europe, reduce the debt by reviving a minimum of inflation (otherwise, we risk deflation, which increases the weight of everyone's debt). These are all the indebted euro zone countries that are concerned (including Germany, which is also, despite all its virtuous speeches !!!)

It is economic policy to revive the economy ... The debt will be reduced over the next few decades (even if the effect of the printing press on the economy can be rapid - if that because it doesn't always work!).

b) in Greece, it is the inability to reimburse immediately and to meet the deadlines there in March which is problematic; we are managing a situation of default of payment ...

Besides, the semantic turn of Tsipras is remarkable:

- a few weeks ago, it was about get out of monetary union [it was about surfing the discontent by using national pride - it worked!]

[the consequences would have been immediate: very severe devaluation; attractiveness of the country but not much to sell except tourism; very high price increases for all imported products - and Syriza jumped in a few months!]

- now, considering that, since Europe is scared, it's about negotiate more favorable conditions while remaining : a small dose of debt renegotiation at a more favorable rate + a small dose of longer maturities + probably a small cancellation here and there (but not generalized otherwise, it would be a risk of contagion to Italy, to Spain or even to France ...]

It is no longer the same thing at all.

Finally, that's how I see it.

I don't have a crystal ball.

[Did67]

Here is what Le Monde's website says today:

Everything therefore suggests that Syriza and Brussels will seek a compromise. In renouncing the moratorium on the repayment of the debt which it advocated until recently, the radical left party could negotiate a restructuring to get some air. This could take the form of a spread or even the erasure of part of the debts.
Learn more about http://www.lemonde.fr/les-decodeurs/art ... ZYVALAX.99

Well !!!

[PS: I swear to you: a) I am not a journalist or freelance writer at Le Monde; b) I hadn't read before writing last night - I found out this morning]

[Did67]

And the rest, this noon (other article):


Tsipras is due to unveil the composition of his government on Tuesday January 27. One of the future ministers has already revealed himself: the multilingual academic Yanis Varoufakis announced on his blog that he was appointed Minister of Finance.

The 53-year-old economics professor at the University of Austin, Texas is labeled as one of the "radicals" of Syriza, whom he recently got closer to. A defender of "odious debt", he is a fervent supporter of the end of the austerity measures, which, he said, caused "a humanitarian crisis". Very active on social networks and in the media, he advised Georges Papandreou, from 2004 to 2006, when he was president of Pasok. He is also known for his statistical work on video games.

"DEEP REFORMS"

Yanis Varoufakis, who had strongly criticized the Greek bailouts, recently said: "We want to discuss to find a way to put an end to the endless social and economic crisis in Greece, so as to reduce the cost of it. for the Greeks as for the Europeans. He also said he wanted to implement far-reaching reforms for the Greek economy, "regardless of what [the] creditors demand", and without taking out another loan:

After the Syriza party's victory in the Greek legislative elections, the new Prime Minister Alexis Tsipras was sworn in this afternoon. He is already planning a renegotiation of Greece's debt. The Greeks expect a lot from the coming to power of the radical left, especially to face the austerity cure that has lastingly marked the country's economy.

“Our state must live on its own in the near future. We are ready to lead an austere life, which is different from austerity! "
Read the interview with Yanis Varoufakis: "We are ready to lead an austere life"

He could be supervised by Yanis Dragasakis, 68, a more moderate economist and party executive, responsible for coordinating the finance, tourism, merchant marine and infrastructure portfolios. A defector from the Communist Party, he was vice-minister of the economy between November 1989 and April 1990 in the coalition government of Xenophon Zolotas.

The rest of the government should be known fairly quickly. Tsipras' priority will be to renegotiate the country's debt with its international creditors, and to improve the daily lives of the Greeks by reversing the course of austerity


So there, the confrontation between:

a) Defendant of " odious debt ", He is a fervent supporter of the end of the austerity measures ...

et

b) "Our State must live by own means in the near future. We are ready to lead an austere life, which is different from austerity! "

It all strikes me as crispy and not far from "hot cooking without consuming gas!" (or wood, electricity ...).

In any case if he finds the way to lead an austere life without it being badly perceived by people in unemployment, or having undergone income cuts of 30 or 40% ... he will have a promising future! A Nobel Prize?

[Ahmed]

Did, you write:

In any case if he finds the way to lead an austere life without it being badly perceived by people in unemployment, or having undergone income cuts of 30 or 40% ... he will have a promising future! A Nobel Prize?

There is nevertheless a big difference between an imposed austerity, strongly unequal and an austerity, not chosen but accepted, insofar as a more equitable division would manage to be implemented.
This last point is certainly not the easiest, each one tending to feel very subjectively this concept of equity (the original defect of morals being to apply to others!), But we feel that it is the condition for the successful rebalancing of Greek society.

[Did67]

Yes, I quickly got to work.

I'm not sure at this point the voters saw it like that. I want "austerity accepted" dife!

And for an "accepted austerity" to emerge, the better-off will have to start by paying taxes (shipowners and others) ... They are rarely cooperative! And like the boats, it is popular ... what could be easier than to meet in Tobago and Trinidad!

This is what I was thinking of.

Now, I don't want to disturb the party! Let's celebrate !!!

[Personally, I am also for happy decay and work every day to advance in this direction ... But I sometimes feel very lonely ... So converting a whole people is above what I can consider ...]

[Ahmed]

Converting a whole people already confronted with the austerity suffered somewhat limits the difficulty.
You will note however that I took care to specify:

... to the extent that a more equitable sharing could be achieved.
This last point is certainly not the easiest ...

In our case, what B. Meheust calls "the pressure of comfort" and the illusion of its possible sustainability make an evolution of things much more difficult and currently almost unthinkable.

[Did67]

Converting a whole people already confronted with the austerity suffered somewhat limits the difficulty.

Restrict the difficulty ???

I would be tempted to think that the situation being a little more explosive, the people being a little more in the way, it will be harder