The Subprime Example

I thought of a great way to illustrate what is happening now in Greece. Let's say that Greece is a person who got a subprime loan and who no longer can afford to pay it because the adjustable interest rate went up to high. So, since all the neighbors are relatives they all tell Greece that Greece has to accept their loans because of Greece defaults it's going to greatly devalue all their homes and they don't want that. However, Greece isn't stupid (the people) and says, "I don't want the new loans. I'll be much better off if I default."

This is what the demonstrators are saying in the quotes who are rioting in Greece. So, as awful as this sounds it would be like forcing a person who wants to default to get even deeper in debt with no hope in sight of ever repaying the loans. However, if all the   countries in Europe don't force this on Greece they eventually will default too as their loans go underwater as their property value dwindles. This is exactly the problem. So the real question is: How is the problem solved without a bloodbath in Greece?

I think if Europe addresses this problem in looking at the potential for more violence in Greece (and potentially elsewhere) then there can be a solution. I don't have a solution but I have asked the right question.

It is possible that the only way to avoid a human physical toll might be for the IMF to give Greece then money as a grant that doesn't have to be paid back in order to reduce the losses of life from righteously outraged people in Greece.

When people have been promised something all their lives like pensions and when wages and benefits are reduced people have no recourse but to riot it appears. So, addressing the real cause of the violence and rioting is the only way to keep the peace that I can presently see. For the Greek people it is about fairness within their system. And what the world and the European Union is asking of them is the end of fairness in Greece. This is really terrible and some kind of peaceful solution has to be found.