Added: 6 months ago
From: explainitychannel
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  • A country by definition cannot declare "bankruptcy", it is said to default on its debt or to restructure its debt

  • Can you get rid of the annoying intro music?

  • In 50 or a 100 years the EU will be seen as the biggest waste of money ant time ever forced on normal people, its a load of fucking shit!!!!!!!!1

  • The EU is a corrupt money wasting interfering pile of SHITE!!!!!!!!!!!!!!

  • Sorry but this doesn't explain anything.....the crater was caused by yet another FORCED LOAN by the IMF to Greece, forget the Euro, the currency has absolutely no importance here, as long as the IMF keeps forcing ALL countries in the world to take on loans, everyone will be bankrupt eventually, one quick solution.....STOP GLOBALIZATION, everyone back in their on country, go back to a REAL economic system and let's all join our voices to admit CAPITALISM DOESN'T WORK!

  • I don't know why the Germans put a black hole on the UK

    Their economy is twice as likely to go belly up

  • Watch money as debt, all is simply. If money creation is only in the way of debt that is not real enrichment for the society because always goes back to the bankers. Only if governments had the authority to create money to pay their workers with limits ofc depending on % of population that creation of money is real wealth for the society , no need to be backed by gold.And here is the problem of all , to find a goverment who doesn't abuse of this and respect the amount of money created.

  • hole reason

    -greece mainly earns through tourism which depends so much on other country's economy

    -greece gives 81% of annual salary as pension VERY HIGH as compared to other country

    -greece govt collect taxes mainly on slips (bills we get on purchases) so many businessman stopped giving bills on purchase because by doing so they can evade tax,as consumer has to pay less they redely agreed this leed to tax evasion

    4)greek govt showed a debt of $24 billion which was $48 billion dollar in real.

  • i like the visuals and the info but i feel like there is alot more to it then just that.

  • what caused the crater you all ask. Well several things. Too much spending compeared to income. The state spended way more money then they got through taxes. The second one was tax cheating. Many corporations cheated themselfes away from paying taxes, which contributed to the first problem. And to all the people saying ""government is behind it"", go fuck yourself. If anything, the whole EU crisis has shown that a privitisation of industry and fewer regulations is a horrible tactic.

  • shock doctrine

  • There is another option which is not considered in the video, is that Greece abandons the EURO as currency and go back to Dracma...

  • Thanks a lot :) .. the main problem is gov don't think about what will happened if they can't increase their incomes from diffrent resources , like tourism , agricultural , selling power , oil ,, coil and etc... . most of what they want to build those huge concrete jungles with no people in it and they stood with debt .. people are suffreing coz of that and banks are the reason behind it . why giving people money when u don't have any !!!! GOD help us all

  • government creates the problem, government blames it on capitalism and 'too much freedom'

    THE END

  • The crater was created when Goldman Sachs fraudulently hid Greece's debt in order to gain entry to the Eurozone. Then the Greek government borrowed a lot of money and gave it to the banks and now the banks keep loaning them more money than the Greek's can mathematically pay back while forcing the Greeks to impose austerity measures on their economy which is causing a Depression. This forces the other countries in the EU to tax their citizens to pay for the bailouts. It's a ponzi scheme.

  • At least use European English rather than the US version.

  • can i ask why for some reason Romania isn't on the map shown at 0:57? you do know Romania is also a EU country? hmmm....

  • I actually came across a substantial solution to the whole crisis, I recommend to read it, it's called ''Citizen's draft of how to solve the Eurocrisis'' and the page is called ''EuroCrisisSolution''

  • on facebook

  • the video is made by german... And this is the reason i love germany... Becoz.. they make things sensible and responsible.

  • @musicalnights like killing jews! ya

  • Cheeky Germans sticking a hole in the UK at the end. We've still got our triple A. :-/

  • @N330AA triple A just means you have better relationship with US so their rating agencies don't point fingers at you. With all respect, picture I have of UK from occasional business trips is that dinner is served by poles, rooms are cleaned by poles that didn't learn english yet, taxis are driven by blokes from Pakistan. Then I go to office speak to someone from India and finally meet overpaid manager who's actually english but doesn't know what's going on. I'm not german just for the record.

  • @mastadriver Well the US rating agencies seem to have pointed the fingers at themselves. Maybe they're just all Republicans though.

    I'm well aware of our immigration problems. Most of the cleaners i know are from Latin America i find. A lot of them are actually quite hot.

  • @N330AA lol, I agree on cleaners from LA.

  • 'life aint no ponifarm'

    

  • just ban all deficit countries from EU. Easy as that. Why should rich countries pay for the poor?

  • @shebotnov I agree exactly!!!!!!!!!!

  • occupy 4ever.

    fuck the 1%

  • awesome.... loved it :)

  • So how are they going to pay this back...?

  • @incendionoctae They're not. The best hope is a 'controlled' bankruptcy, but honestly, things look pretty bad.

  • The European Central Bank is a private bank. xD All central banks are privately owned. xD Except for Libyas Bank, which is owned by the people....oh wait sorry....now they have a privately owned central bank too...

  • @ironmonkidragonsclaw the ECB isn't privatly owned. its an organ of the EU. most european central banks aren't privat. the only privat CB i know is the FED in the united states

  • @swunt10 Produce a shareholder list for the Bank of England. Please go and read the Bank of England Act of 1946 if your unsure what I am asking for.

  • @ironmonkidragonsclaw the bank of england is not privatly owned. and neither are the other eu CB. so you point is invalid and basicly spin and propaganda.

  • @swunt10 Did you read the Bank of England act from 1946? Because that is the first time I have ever heard an Act of Parliament called 'spin'. I ask you again, to produce a Shareholder list of the Bank of England to prove to me that you are right.

  • @ironmonkidragonsclaw there is no shareholder list because its not owned privatly. now leave me alone idiot and annoy someone else about how bad everyone is.

  • @swunt10 you started it. And judging by your last comment I win. You don't have to reply to my comments. And really, resorting to name calling. haha. Have your read the 1946 Bank of England Act? No, I don't believe you have. Because if you had you would realise there are shareholders. Now go crawl back under that rock called ignorance....

  • @ironmonkidragonsclaw you are one of those eu critics right? one of you favorit video is "eu new sovient union"? im not sure how to say it but you are not a realistic thinker or as kant would say it ,not a person with endowed reason,. with other words you are an, by propaganda brainwashed ideot who just likes to hate because it makes you feel better about your poor live. im sure you haven't read the 1946 something neither. its stupid to use preudo scientific talking and superficial knowledge.

  • @swunt10 yes I have read it, many times. You obviously have not. Your ignorant, and un-evolved. Really a social-democrat? Are you still languishing under the pretence that the initiation of violence will solve complex social problems. Do the planet a favour and grow up.

  • @ironmonkidragonsclaw don't talk bullshit idiot. thats your act from 1949 .bankofengland . co . uk / about / legislation / 1946 act . pdf

    now, which part does make you belive those haters prapaganda?

    they just want to get people on their side like every other sect so they don't have to look at themselfs and start asking themselfs serious questions about the world. a simple world view makes thinks easier for the simple minded.

  • @ironmonkidragonsclaw and im stillright. the BAE is not privatly owned. its pathetic to discuss about something that is so clear. but please cherih you little idee of bad people ruling the world. mhhh reminds me about what the nazis have sayd. something about "all the jews are ruling the world and its them not us who are responsible for our missery". well simple minded people do like simple minded propaganda.

  • @swunt10-Actually there are an elite of people who run the "democratic" West. At the pinnacle of this elite circle are the top people in the financial sector. Since Thatcher deregulated the sector it has gained incredible political power through lobbying and party donations. Now they have both Labour/Tories in their pockets, as can be seen by both governments failure to implement regulation, even though rehypothetication (regulated in US), significantly contributed to the 2008 financial crisis.

  • @swunt10 - And if you disagree, you can call me a socialist, a marxist, a nutty left-winger, but you cannot call me simple minded...

  • @dannygozoom i am a social democrat and i wouldn't call anyone a socialist to show my dissrespect. woulb be a shoot i my own leg. and i don't think that the top of the finacial mafia has any power at all. maybe they are criminals but how far their power reaches could be seen in the finacial crisis. they went faster bankrupt than anyone could imagine. thats not exacly world domination power is it?

  • @swunt10 All you do is insult, I have asked you a reasonable question, and instead of replying you insult. In my book, when someone resorts to insults it means they have lost the argument. Do your self a favour and go and READ the Bank of England Act 1946 before reposting here. No amount of insulting can change to truth....

  • Comment removed

  • @ironmonkidragonsclaw @swunt10 What's more important then who owns the central banks is the question who controls the central banks and defines their policies. Most important is the question why the privilege on creating money was given to private banks.

  • @whahas really my friend. you haven't undestood a single thing. "why the privilege on creating money was given to privat banks". really, thats you question? i haven heard so much nonsense in a while. everything in this question is wrong and shows helplessness. there are books about economics everywhere. maybe you should read them instead of asking odd questions. btw the central banks in europe are owned by the nations (all people) and they are controlled by parlament and 3rd just. persons and m

  • Well the obvius solution is bankruptsy , then the sting will hit the greeks wich is responcibly for this mess AND lots of euro banks wich are the greeks enablers to dig so big a hole. Banks go bust ,lots of people lose their deposits. But are insured by their respective nations for some or all of the deposit. This is the scenario that cost the least money. But it will not be done because of the power the big bankers have on politician. So all of EU will go bust instead.

  • What caused the crater in the first place?

  • @AvmanM Allowing governments / nations to borrow money in stead of creating it. They have given that privilege to private banks.

  • @AvmanM fiscal irresponsibility from the Greek government. they were spending considerably more on public services than they were raising through taxation.

  • @AvmanM 1) Because nations don't own their own central banks anymore and have to loan with interest. Also the banking and media Elite control the media and can easily make the people vote for whoever they want. Using this power they select to make popular politicians who can be bribed to bankrupt their nations and to take insane loans in the name of the people and to buy worthless failed mortgages from the banks at ridiculous over prices...

  • @AvmanM 2) ... in the name of the people transferring all the debt into national debt. This is a simplification leaving out a lot, but in short to answer your question: The corrupt media&banking Elite, corrupt politicians and dumb voters who believe the Elitist controlled media.

  • @AvmanM socialism

  • @AvmanM The Athens Olympics maybe!

  • @AvmanM trying to stimulate growth by a huge public sector, but it was corrupt and u needed an insane amount of licenses to even open a small business, like a world record or smtn

  • f9 andreas....all is well...bt y dis crater ??? vt actually led to dis huuuge crater ??? vt actually ws d flaw in d greek-state budget ??

  • Nice video. The logic however is wrong in so many ways. Just ask yourselves (a) why US wants Greece to be saved if this is a euro problem? (b) do you actually believe that a country would give money to another country without having a profit or fearing of having problems? Also, in contrast with what the video says, the ECB only lends to banks and not to countries (or else there would be no need for the packages).

  • Well I loved this video and I absolutely loved your method, please keep it up.

  • notice germany. lolling it out. they're possibly the only country in that region that isn't in some economic termoil.

  • @samanatorrules but still need to be careful, contagion is still a very dangerous possibility and not even the strong are safe. You see germany trying to give bailouts to countries like portugal, italy, ireland, greece and spain. Don't forget, countries like the UK are in a deep state of crisis in banking and france ain't that strong either.

  • @samanatorrules Well, most of the Northern countries don't, but yeah, Germany the most.

  • I'm sorry if I've misunderstood this whole thing...but I have a question...

    Let's assume Greece defaults and goes bankrupt...what if they were to just get out of the Euro and create their own currency to be used within its borders? Sure it would take a few years to recover, but wouldn't that be better than a huge economic collapse in the future?

  • every country out of control is a socialist run country, including USA, enough said!

  • crap video. not a word on who is being saved here? banks who took big risks and loaned too much money to clients who cant return it. Now they are socializing their loses.

  • in one word we were dooped by dirty corrupt socialistic politicians, dont be fooled by this friendly german shit its exaclt what it sounds like, bullshit

  • if we had a decent gov who supported our economy an industry we would have such an economy that we wouldnt be warmed by this and further more we would hae our old currency that even with higher interest the money would have been used for good reasons and the fact european labour was cheaper it would attract capital from outside

  • the only part where people from any of these countrys are guilty is for not seeing the scam and voting for their dirty corrupt politicians who helped the germans and others for a fee, dont ever forget this these people on top fuck anybody any country everytime they can...

  • why would germany want to tie itself in ame currency with countrys like greece or portugal or ireland who dont have economys like g, its simple this is a scam its made for germany7 to put them in debt get their companys and gold their companys can buy cheap assets while having strong currency and after these countrys have had their industrys destroyed and their industrys proihibited exemple: portuguese auto industry was destroyed in the 80s because it would interfere with profits for germany

  • Δώσε θάρρος στον χωριάτη να σου κάτσει στο κρεβάτι........φιλοχρήματο γουρούνι που μας το παίζεις και έξυπνος......

  • Well done ! Down to earth, understandable, brief but informative, with no apparent bias....

  • Is it not better to invest money into some country rather than give her government loan which it will probably misuse and leave to the general public to pay for. As countries cannot pay the debt they're forced to get another one to cover paying of the first one and so on and on. Debt is like never-ending hole. It's better to invest money to open work places and enhance economy rather than lend money with interest (which is more profitable since it's usually a downward spiral of debt).

  • nice graphics, but you forgot romania on the euro map

  • In other words, Greeks made a big fuckin fraud .

  • That so stupid :(. Just not avoid hole.

  • your EU map is wrong

  • Thank you sooo much! I had a hard time understanding the Euro Crisis up until now.

  • "life, aint no pony farm." brilliant :D

  • Thank you very much guys! very immediate and easy to understand from everybody! waiting fo more!! :)

  • I don't even dare to imagine the size of the debt hole that is in the European banks..

  • I was in a little bit of a crunch writing a paper I didn't quite understand.

    This helped me out immensely. Thank you so much!

  • German accent

  • cool stuff man!

  • This video is not good at all. The explanation is terrible.

  • Very nice video, but it describes the short-term solutions and not the underlying reasons for the crisis or the long-term solutions. Also, a little more detail on the impact for the Euro-zone of a Greek default would be good. How about a video specifically about what would happen if the PIIGS default?

    I like the concept of animation from drawings, it works well.

  • Thank you! Danke!

  • 172 likes, 2 dislikes, displays the astounding ignorance most people have about money and banking. Sorry, this is NOT a good video on the Euro-Crisis. It's all true, but the problem is, it is not ALL of the truth. The problem continues day by day, week by week, year by year, decade by decade, etc, because it is not common knowledge that the modern money/banking system is mathematically incapable performing without repeatedly bankrupting participants.

  • Once upon a time the E.U. was created. Greece defaulted, Portugal defaulted, Ireland defaulted, Italy defaulted, Spain defaulted, and eventually Germany defaulted. Poverty and a second dark ages followed. The End.

  • on the money....too bad there isn't enough out there to mend the gap...Greece hasn't enough olives,cheese,yogurt and goats to fill that hole...oops

  • prety bad video in terms of explaning this isue.

  • Worse, if you deposit your discretionary income the bank MUST lend new money in amount of 90% of what you deposited so it can pay you interest and someone MUST borrow new money from the bank, at compounding interest, because they can't earn the money from you (through work).

    Get it?

    But perpetual compounding of debt, like perpetual growth, cannot go on forever.

    A reform of the monetary system must (and inevitably will) eventually take place.

  • And why when you save money with a bank someone else must, by the law of causality, go deeper into debt. Deeper even than the amount you deposited.

    Why?

    Simple, the money you earn after your bank payments that you don't spend on consumption immediately is not freed for another debtor to earn (through work) to service their own compounding debt.

  • But this only postpones the inevitable. There is no way to pay back all the loans + interest owed with just the money in the economy. And interest only grows and piles up.

    So inevitably and periodically, new infusion of debt money (more or less directly from the central banks) are required to stave off the inevitable implosion of the monetary (debt) system.

    That is why inflation is "a target". Something to aim or shoot for.

  • It's only because

    - loans are not repaid in full + interest at maturity but in successive instalments

    - all loans are not taken out at the same time and due by the same date and

    - banks too have expenditures and dividends to pay out which return some of the interest to the debtors

    that the monetary system doesn't implode inside of one year.

  • No, you idiot.

    All money comes into circulation as interest bearing loans. A small proportion of it is "lent" out by the central bank but almost all of it is lent out by commercial banks, with compounding interest. Commercial banks don't lend the depositors' money but a promise to pay up to 90% of it that the rest of society is bound by law to accept as if it were money and this "promise to pay" is directly changeable to physical currency or bank deposit.

  • Comment removed

  • A lot of work went into those graphics. Well done ! I don't care about the accent, it's fine.

  • Another German idiot trying to explain the world!

  • @TheBitchmeister Yes. This one doesn't even know what money is and how it comes into circulation.

    Or why we have perpetual inflation.

    Etc.

    I knew sauerkrauts were thick but... for the love of God...

  • @TheBitchmeister idiot? this is 100% factual

  • joined by others... you pointed out italy and britain... which are big economies that will not fall... :) since their economies are much bigger then those from greece.. and besides greece is the only county which economy is falling steady down hill... for others it's not falling in the red numbers... :) well we as human beings are at fault it's called: the corupted mind of the human being... ;) (every1 want's more money even you... )

  • So if I have to stand up for my own problems, can't I just leave? (The Euro)

  • If Germans and french would accept an interventive ECB, eurobonds, and an Euro budget this crisis would be over by next weekend.

  • "Help Package"?? It's a LOAN at 5% rate of several hundred million euros, not "help". Can I "help" you by loaning 100 euros to you at 7% rate (like the banks do...with ECB money)? It only DOUBLES at every 10 years. PLEASE let me "help" you.

  • nice video concept and execution.

  • now a bit of zoom out... I have the feeling those craters are heading to China..

  • The global system is stupid. We shouldn't be ruled by a system that can only lead to create crisis that can then be used by the corporation to privatize services and make more money. We must renovate the system now.

    And if we can't, we'll blow it up.

  • can it be ur german?

  • Lazy corrupted greeks. Nothing else to say. We have a saying in my country: In debt like greece. This saying is acctual for 50 years now. That tells everything about that country which should be kicked out of EU and forgoten until they come to their sensens.

  • I hate the speed manager... all my vids watch horribly and it doesn't matter if I change the settings

  • Gratulations you're on CNN.

    Aber vielleicht solltet ihr den Sprecher für die englischen Videos ändern.

    Der Akzent ist wirklich sehr stark :)

  • Excellent video well done

  • Excellent! Simple and easy to understand.

  • Oooooo shit

  • this is brilliant....well done!...better than any 60 yr old finance expert explainin in a boring way where u pay no attetion at all!

  • i actually understand it now. and im going to ace my current events quiz. thanks.

  • Really makes the whole giant mess easier to understand.

  • Yup. Just seen this on CNN and wanted to start the flood. ;-)

  • This video was just shown on CNN. CONGRATS! It's about to get flooded with views. It's a great vid. More please! Guten tag!

    Todd

  • Awesome! Please keep explaining in English! Also, can you translate your other videos from German to English??? Thank you explainity!

  • sänk ju for träwelling wis deutsche bahn

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