greek situation was 100% predicted in 90s

Euro zone is a vendor financing scheme for germany, there is nothing the greeks and similar countries could do

Think we are talking about different things. I am talking about a government budget surplus, and the debt directly related only to that.

gov budget surplus is terrible goal under fiat monetary system. the greeks were done no matter what they did as long euro zone has no fiscal union

we arent talking about different things

you just dont understand what you are talking about

i understand why you think the way you do though

just forget all that shit about gov balanced budgets, its non sense when talking about soft currency economics

```gov budget surplus is terrible goal under fiat monetary system``` No it isn't, it is a long-term achievable goal. Only if you try and achieve it all at once do you mess up.

negative

that is going to cause a depression, because gov decifits is how unspent income gets back into the economy(though it can be spent unwisely)

in a barter economy (including gold standard and receipt money), its somewhat possible

but fiat monetary economy is totally different

Eh...multiple countries run at surplus, with gdp growth.

if they have trade surplus, they can, for a while, but entire economy cannot do that

that's how oyu get greece

same way some us states run trade surpluses with each other, but entire internal system cannot

and/or if they have some sovereign wealth situation like qatar or noway, but that won't last and they have their own monetary issues

I think that when a country reaches a certain size it can't achieve an outright surplus, as it will require more resources/goods than it can produce internally.

a COUNTRY as a whole can do a variety of things, but the governments and the monetary system are going to be constrained by the mechancis of the system. gov deficits in a fiat monetary system is essentially unspent income gets back into the economy, else you will get unemployment

the only way to make up for it is to explode private debt, which we saw after the great moderation

that will directly affect worker share of gdp as interest's share of the national income rises, and they you get that version of a breakdown

there is no free lunch with fiat money, but gov debt for the monetary sovereign doesn't work the way you think

That isn't always the case in smaller economies, even if it might be in larger ones.

the size doesnt matter if they arent in a barter system

it's tied to the mechanics of how gov issued fiat money works

in barter system, including gold standards and the like, the same issues are there, but they are shifted almost totally into the private credit arena

extremes would be islamic banking, but they deal wtih the unspent income issue and thus the economic stagnation that results

If we talk about the Asia-Pacific, countries alternate between deficits and surpluses.

at any one point in time, they could be in one or the other, but its eventually going ot end up in a gov deficit with massive gov debt as soon as the private debt ratio gets to the turning point

hk perfect example, something like 800 percent now

also talked about in that kyle bass video i clipped from

Australia is the most advantageous I'd think as it has massive mineral wealth, and avoided a technical recession.

australia doubled down on the credit expansion in 08

but now their problems are even bigger

see my boy steve keen on exactly that, most of those pics are from his wor

https://www.youtube.com/watch?v=w8fCmUbjDtg