The EU is offering the Greeks $90B in new loans. There are 10 million Greeks. That works out to loaning each Greek $9,000. Each Greeks earns $25,000 per year. That makes the loan 36% of their annual income.
Greeks aren't having many babies. They have one of the lowest birth rates in the world and their population is aging and will soon be declining. They're primary source of income is tourism. They have a growth rate around 0% and an unemployment rate around 25%.
Summary
The rest of Europe is lending an aging, marginally employed pack of tchotchke salesmen an amount equal to 36% of their annual income. There's no indication their income is going to increase in the near future and the birth rates show you, in no uncertain terms, that their expenses are going to be rising considerably very soon as they have to take care of the elderly.
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| Not to worry, economists expect boom times in the lucrative postcard and sunglasses industries. |
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