note: the figures above are debts owing/owed by banks AND sovereigns in the countries described above…
Palantir Wrote: ------------------------------------------------------- > This might be a really basic question, but: > > Why can’t they just restructure Greece’s debt into > a partial default and move on? Why does it > necessarily threaten the Euro? For example, Greece > can simply default on the debt that is being held > by private investors, and not on the bonds being > held by EU govts. Now certainly Greece’s borrowing > costs will rise, but I don’t see how the Euro > would be in trouble… The EU is an incestous cess pool of insolvent banks–they can’t handle a Greek default without bringing down the entire banking system.