June 29, 2010

Greeks Strike to Protest Pensions, Labor Law Overhaul - BusinessWeek

Greeks Strike to Protest Pensions, Labor Law Overhaul - BusinessWeek: "Greeks Strike to Protest Pensions, Labor Law Overhaul"

Click on link above:

This is what happens when a government is close to defaulting on its debts - it's currency's value plummets, deficits soar, and people protest the outcome. Therefore, little gets accomplished that would help turn the economy around...in this case it's Greece.

Although less severe, the Americans are undergoing the same situation as the Greeks. Our currency's value is falling, deficits are soaring, and people are protesting. Think of the ongoing/recent strikes by pilots in the airline industry, or the teacher strikes in Oakland, California?

Some cities are also on the verge of bankruptcy:

Detroit, Michigan
Harrisburg, Pennsylvania
Jefferson County, Alabama

Has government made us powerless? Needy? Less innovative? Back in the old days people provided for self and their communities - and goverment was small. When government becomes "too big to fail" or expands too quickly, it puts pressure on its citizens to cover expansion costs by raising taxes, cutting pensions, trimming salaries, devaluing its currency, etcetera. This causes unemployment to go up, deficits to increase, strikes, etcetera. We don't want goverment too small (as in non-existent), but an oversized government reaps disaster.

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