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Greece Is Running Out of Money, Cannot Make June IMF Repayment
jones_supa writes: Greece, the country which has been in extreme financial trouble and high debt for years, cannot make debt repayments to the International Monetary Fund (IMF) next month, unless it achieves a deal with creditors. 'The four installments for the IMF in June are €1.6 billion ($1.8 billion). This money will not be given and is not there to be given,' Interior Minister Nikos Voutsis told Greek Mega TV's weekend show. Shut out of bond markets and with bailout aid locked, cash-strapped Athens has been scraping state coffers to meet debt obligations and to pay wages and pensions. With its future as a member of the 19-nation eurozone potentially at stake, a second government minister accused its international lenders of subjecting it to slow and calculated torture.
You are a moron. Fiat currency has nothing to do with the 2008 crisis. It could have happened just fine if people used gold or live rabbits as the currency. The whole problem was caused by a huge shadow banking system that essentially allowed to use private debts as if they were a currency. And since private debts are unbounded and uncontrolled, the amount of this "currency" grew without bounds. Until it crashed, trying to cross over to the world of real money when people started to cash CDOs.