Euro Crisis => n-Eurocrisis + Peak Oil

(1) The Euro Crisis is an n-Eurocrisis plus peak oil, that is, the Euro is in the process of being dismantled generally (the meaning of "n-" means in many dimensions)and appears strictly correlated to a country's expenditure to oil.

See:
www.zerohedge.com
by blindman
on Tue, 06/28/2011 - 20:59
#1410447

"Here are a few things to keep in mind when you are reading articles about the European Debt Crisis:
– The flow of funds — euros — overseas toward energy producers in the Middle East and elsewhere represents a great portion of insolvent countries’ cash flow.
– That the flow of funds between one European country and others in foreign currency — euros — represents another great portion of insolvent countries’ cash flow. These are the funds swapped for automobiles, auto- related ‘development’ and fuel- guzzling military hardware.
– The funds to energy producers is simply money borrowed then lost. There is no return other than that gained on the purchase/sale of the energy products. Money borrowed from the European establishment likewise produced no lasting effect. Borrowing was for waste- enablers such as luxury cars, new highways, shopping centers, and American- style suburbs rather than capital for productive enterprises. In this light, the euro is a predatory instrument like a sub-prime mortgage.
– The Euro- nations with greater finance access are using this leverage to buy a small amount of time at the expense of their dependent trading partners. Meanwhile, the time- buying
process destroys whatever goodwill the euro experiment earned since the currency union idea
was bruited. Instead of accord, it is devil take the hindmost. What trust citizens had in
their institutions is now a ruin in Syntagma Square crushed by an insensitive and
counterproductive ‘Troika’.
– Ironically, the same countries’ workforces are now accused of being ‘uncompetitive’ by the
same entities that rendered them uncompetitive. If there is a more perverse and diabolical
dynamic it is hard to see what it is.
– The European countries at the edge of default cannot afford to do so. The Eurozone debtors
cannot be compared to Argentina or Iceland as neither countries are energy debtors."
....
Europe’s fuel- driven waste- based lifestyle is kaput, the goods bought and borrowed against
for purchase are useless, the fuel used once then gone: all borrowed to gain this is
noncollectable. The money has been spent and gone, it is ‘Dead Money’."

And see: http://www.economic-undertow.com/2011/06/27/dead-money/
VZCS

2. In May 2010 approximately €100bn was thrown at Greece, and another €120bn is expected to be thrown at it in July 2011. No one expects the Greeks can export, privatise or tax themselves enough to pay for their entire indebtedness which will be somewhere near €900bn.

3. With de facto defaults, how far are we from war? A determined creditor will force the hand of occupation. From embarrassment to insult in non-payment, we see an excuse of confiscating accounts in Switzerland and Luxembourg. How quickly a country descends will be dependent on whether there are bank runs. When letters of credit are no longer honoured from Greek banks, then the local system will freeze, ATMs will stop, and when the salary isn't withdrawable by the third week of the month, and people realise they cannot buy any food or water, and that the electricity has stopped, and most importantly, a bare trickle of petrol is at the pumps, then only the rurals will be able to survive and the major cities will become deserted after the angry fires. This stark vision will be replicated in other energy hungry and debt poor countries. With a failure of money credibility, no energy comes into the country, and a much simpler existence ensues. Nobody wants this to happen so more moral hazard and adverse selection will be thrown into the brew until the system goes pop. More misery, pain and possibly war are coming to Greece unless it opts out of the Euro.