How is this different from the 52 states (plus the rest of the world) borrowing dollars from the Federal Reserve, dollars, which too get printed out of thin air?
The difference is Portugal along with some of the other PIIGS are serial defaulters.
Quote
Portugal has defaulted on its national debt five times since 1800, Greece five times, Spain no less than seven times (and 13 times in all since 1500).
By contrast, Anglo-Saxon countries rarely, if ever, default. In this country, we havent reneged on our debts in nearly 1,000 years, though there have been close shaves. The same applies to Canada, Australia and the United States.
By contrast, Anglo-Saxon countries rarely, if ever, default. In this country, we havent reneged on our debts in nearly 1,000 years, though there have been close shaves. The same applies to Canada, Australia and the United States.
http://blogs.telegraph.co.uk/news/peteroborne/100081316/some-european-countries-are-in-the-habit-of-going-bankrupt/
This is a good example of how people don't understand today's monetary system. They think if everyone work hard and never default, everyone will be rich and no debt
This is true in a gold backed monetary system, but not in today's debt based monetary systemSince all the money is debt based, in the whole EURO area, if some country is getting a surplus, then there must be some other country in debt, and the whole EURO area must be in net debt, unless they could gain some surplus through trading with some other countries outside EU, which just kick the debt to some other parts in the world
you forgot the interest on debt creation of money.. as time goes, there is never enough money to pay back the debt.
that is why usury was condemmed by the church all the way up to the 1600's.. it is against nature's law and god's law... but here we are.. beyond deep in its abyss
people would be amazed how adamant people were against interest lending... one quote, I cant remember the source, 'Murder removes a man from his troubles, usury bleeds him of it'