If the Euro was disbanded, then surely, each country that put money into the system would receive money out of the system, the exchange rate would be put into place.
Geoffrey CollierOriginally Posted by Geoffrey Collier
But do you agree that it was a bad decision by Gordon Brown to sell off a substantial part of Britian's gold reserves at 276 dollars an ounce.
SDP: It is an unfortunate decision to sell anything for less than you could have made subsequently, but that applies to virtually every business decision made. Your errror, I feel, is to exaggerate the importance of that pariticular decision (gold sale) when more serious ones exist. The Telegraph reported yesterday that Britain will be expected to donate £17bn as her share of a further £320Bn needed to 'stabilise the world economy', for which you should read, Greece, Italy, and Portugal, among others. The selling of the national infrastructure; all the utilities without safeguards from subsequent foreign purchase was a far worse economic and political decision than the sale of gold. The 'gold sale' is not in the same league.
The economic system, which developed in England as the economic counterpart to the Industrial revolution in the 18th.C., is now coming to a close. Our options are becoming less and less, while the economic viability of the system is retarded by perpetual crisis. Too many economic commentators are constantly mistaking the 'hole for the doughnut', while failing to see that we are endeavouring to adapt an economic system created for a producer society, to one dominated by consumerism. The major economic activity in any society needs a concomitant economic system. That is what the Western World does not now have.
Last edited by Geoffrey Collier; 06-02-2012 at 10:39 AM.
Lorraine
If the Euro Currency collapses then euros could become worthless pieces of paper.
While gold will still be worth 1737 dollars and ounce, and might even go up higher than that.
The Euro is under a great deal of pressure, however I do hope they disband it, however I do not think it will collapse and be disbanded they way you perceive it to be.
The Euro if they go down the correct road, will be disbanded in phases, each country will take an exchange rate on their own currencies, as each country comes out, the countries that come out first will have the benefit of the tourist industry, the countries that come out last will no doubt increase the strength of the euro until it is time for them to make the exchange.
There is no scaremongering, it's a simple solution, no one looses, everyone wins, we all work to get the EU trading properly, if we all make sure that each country within the EU works to get the system back on track.
When I worked for an Alfa Romoe franchise, and by the way we were at the top, we lost the franchise through an EU directive being put in place, it was thought that we would not survive, being a solo franchise, but we did.
Firstly we sold nearly new Alfa Romeo's we made more profit than new, because the competiton and the silly bonus schemes that held back franchises meant you were almost giving the new car away. If Alfa Romeo had of allowed us to continue they would have benefited 10 fold by the exercise, but alas it ended.
Then we went on to imports, which took off throughout the country, again we probably were the top selling car showroom of Alfa Romeo's until the EU decided on their restrictions once more, and so it goes on.
You move with the times, I don't believe for one moment that the euro would become worthless as you say, just because you disband each country does not mean for one moment that the whole system collapses.
For those that decide to keep the euro within the first countries, then beware, it could turn and bite you, as I was told before who knows what the exchange rate has to offer, much the same as the stock exchange, it could look healthy for a while then turn, so the new Greek currency could lift quicker than the euro, it's a much better system, with much more opportunities for the EU as a trading system.
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