Friday, October 28, 2011
Cheers and Skepticism Greet EuroDeal. They always do. The Elation over a deal, the Deflation over the details. Plus ca change...
The Headline in the WSJ: "Will it Work." Well, does it ever? No?
Another quote from a EuroCrat was very disturbing. Very. "The implementation challenge is higher than the design challenge."
Translation. It was easy to come up with a plan. Implementing the plan will be difficult.
For one reason, there are few details. There are always "few details." Why? Because there are no details.
How can you implement a plan if you don't know what you are supposed to do? Yet, the process goes on. And that word keeps cropping up. Process. This is a process problem.
Herein, I am validated. Again. Repeatedly.
"Analysts saw lack of measures to boost economic growth as an Achilles Heel."
How often must I say it?
Cut Wages, fire people, increase property taxes--that is not a plan. That is not a project. That has not worked. That cannot work without an Economic Development Strategy. A polite way to say projects. I referenced that several times. It is on my monograph about China's success. I won't put the link here. Google it.
The next disturbing statement: Governments don't know if investors will respond well to the "Insurance Plan." Already the news on that matter is not good. "Default insurance market takes hit." I am guessing no one saw that coming. "There are no unintended consequences, only unwanted consequences." Slim Fairview
EuroPlan. Try it and HOPE it works. That is a plan. That is not a project. EuroCrats need to think in terms of Projects not Plans.
The Beefed UP bailout Fund has a critical flaw. Beef up the fund and hope this would be enough to help out OTHER debtor nations. Did this help Greece? No? You need a new and/or expanded approach.
The Next Move: New Fund Plan. Go to Asia for Investors. Go to Brazil for Investors. Go to PetroStates for Investors. This is not, I repeat NOT a strategy to resolve the EuroCrisis:
THIS IS A PONZI SCHEME. How far down the line do the EuroCrats intend to take this strategy?
Quote from a Greek Citizen: "Greek people are ashamed and angry." To the Greek Government. The People are Angry. The People are Rioting. Witness the Path of the Trajectory.
To the EuroCrats:
"Those who forget history are doomed to repeat it." Santayana.
"Those who never learned history are doomed--period!" Slim Fairview
The problem with the EuroCrats? They cannot see the present.
"That you cannot predict the future is not the proper rebuff to the person who tells you to get off the tracks because a train is coming. In this case, "the" train is coming.
History is approaching quickly and you cannot see it. The EuroCrats are like the man who drives into a tunnel, sees two headlights approaching, and says, "I'll just drive between those two motor cycles." Hey, Guys. I borrowed that joke from Bozo the Clown. It seems not to be a joke, now.
There are more than enough monographs on my blog to point you in the right direction.
THE HEADLINE: SLIM WAS RIGHT THE EUROCRATS WERE WRONG
Well, not yet. However, follow the progression of the tag lines:
Read my blog today or hear it from experts in a month or two.
Read my blog today or hear it from experts in a week or two.
Read my blog today or hear it from experts in a day or two.
Read my blog today, or read it in the Wall Street Journal tomorrow.
Then again, Don't bother asking me. Everyone always doesn't ask me.
Copyright (c) 2011 Slim Fairview.