

Spain's Bailout Is Already Doomed - mattobrien
http://www.theatlantic.com/business/archive/2012/06/europes-failout-4-reason-why-spains-bailout-is-doomed-already/258344/

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Gonsalu
What's with the "This being Europe" being repeated over and over?

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Lazare
Well...it's Europe. As a member of the Euro, Spain has vastly less control
over their monetary policy than any truly sovereign state on the face of the
planet. Conversely, as a member of the EU, they also have vastly less support
from a central government than any province or state would have. They also
face an incredibly sclerotic bureaucracy and a non-functional political
process, dominated by groups and factions which (to put it mildly) do not have
their best interests at heart.

To a first approximation, there is nowhere else on Earth where this debt
crisis would be simultaneously so serious _and_ so hard to deal with. You
can't treat this like you were dealing with the US, or China, South-East Asia.
This is Europe and that means that, barring a miracle, we're all[1] probably
screwed.

[1]: Well, anyone who relies on the global economy for income, goods, or
services, anyhow. Which would be, uh, all of us on HN, at a minimum...

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DeepDuh
As a Swiss I have to say: I hope you're wrong. Unfortunately, all indicators
say you're right.

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adventureful
In my opinion Spain needs to hit the big reset button, Argentina style. There
are a lot of very interested parties in finance that don't want to see that
happen, but it'd serve the Spanish well. Digging out (which appears harder by
the day) otherwise will take decades, and has no greater chance for
succeeding. Pull the band-aid off quickly and get on with rebuilding and
putting people back to work.

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molmalo
Yes, It'd be painful for a time, but they'd recovery much faster. But of
course, there's the scare of that becoming the fall of the Euro. And also, the
other countries are not very happy to receive a lot of Spaniards. And with
Spain letting the Euro go there'd be a lot of immigrants (unless of course,
they let the Schengen Agreement fall too).

