Cost of Greek exit from euro put at $1tn

The British government is making urgent preparations to cope with the fallout of a possible Greek exit from the single currency, after the governor of the Bank of England, Sir Mervyn King, warned that Europe was “tearing itself apart”.

Reports from Athens that massive sums of money were being spirited out of the country intensified concern in London about the impact of a splintering of the eurozone on a UK economy that is stuck in double-dip recession. One estimate put the cost to the eurozone of Greece making a disorderly exit from the currency at $1tn, 5% of output.

Officials in the United States are also nervously watching the growing crisis: Barack Obama on Wednesday described it as a “headwind” that could threaten the fragile American recovery.

In a speech in Manchester before flying to the United States for a summit of G8 leaders, the British prime minister, David Cameron, will say the eurozone “either has to make up or it is looking at a potential breakup”, adding that the choice for Europe’s leaders cannot be long delayed.

“Either Europe has a committed, stable, successful eurozone with an effective firewall, well capitalised and regulated banks, a system of fiscal burden sharing, and supportive monetary policy across the eurozone, or we are in uncharted territory which carries huge risks for everybody.

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Originally posted on PA Pundits - International:

By Alan Caruba ~

What is it with the “warmists”, Al Gore and his clones who keep insisting the Earth is warming, that too much carbon dioxide (CO2) will be the death of us, and that we have to immediately stop burning “fossil fuels” if we are to save the planet? They are the most relentless liars on the face of the planet.

They want us to cover the surface of the U.S. with solar panels and the mountains with wind turbines to generate the energy needed for everything we do. These Green energy alternatives are so wonderful they are producing a mere three percent of our current needs, require government subsidies and loan guarantees to exist, and tend not to be all that great when the sun isn’t shining and the wind isn’t blowing.

So why are we still hearing from this discredited and disgraced bunch of charlatans and…

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