Wikipedia – Photo by Mike Edrington – Robert Reich at the University of Iowa, Sep. 7, 2011 -http://en.wikipedia.org/wiki/File:Robert_Reich_at_the_University_of_Iowa,_Sep._7,_2011.jpg
Robert Bernard Reich: (born June 24, 1946) is an American political economist, professor, author, and political commentator. He served in the administrations of Presidents Gerald Ford and Jimmy Carter and was Secretary of Labor under President Bill Clinton from 1993 to 1997.Reich is currently Chancellor’s Professor of Public Policy at the Goldman School of Public Policy at the University of California, Berkeley.
Extract from the Robert Reich Article:
“Today Ben Bernanke added his voice to those who are worried about Europe’s debt crisis. But why exactly should America be so concerned? Yes, we export to Europe – but those exports aren’t going to dry up. And in any event, they’re tiny compared to the size of the U.S. economy. If you want the real reason, follow the money. A Greek (or Irish or Spanish or Italian or Portugese) default would have roughly the same effect on our financial system as the implosion of Lehman Brothers in 2008. Financial chaos. Investors are already getting the scent. Stocks slumped to 13-month low on Monday as investors dumped Wall Street bank shares.
The Street has lent only about $7 billion to Greece, as of the end of last year, according to the Bank for International Settlements. That’s no big deal.But a default by Greece or any other of Europe’s debt-burdened nations could easily pummel German and French banks, which have lent Greece (and the other wobbly European countries) far more.”
For More, Please go to:
Follow the Money: Behind Europe’s Debt Crisis Lurks Another Giant Bailout of Wall Street, by Robert Reich (Own Website) – Tuesday, October 4, 2011 -