The limitation placed on Eurozone countries not to exeed by more than 3% their Budget Objectives is questionable. It is a laudable objective, but laughable !!! What are the consequences when limits are breached ?
What happens when "reported" figures suddenly are found to be "all wrong" ? When "suddenly" the EURO needs to be defended ?
Everything !!! Financing is promised to Cyprus and Spain and perhaps also to Italy !!!
This Blog has already pleaded that the EUROZONE must undertake the creation of a legal structure. The sooner the better !!!
However, for those citizens in the "EUROZONE" the consequences of the 3% rule are very direct !!! It means that the Euro will depreciate by 3% each year, if not by more (never less) !!!
The value of monetary assets, like the change in your pocket, will devalue !!! This is also true of pensions. Will Pension Funds, State or Private, cover or guarantee beneficiaries against "devaluation" ?
To be more direct, are there any Pension Funds for Politicians which are not guaranteed against inflation ?
This question concerns EUROZONE countries but EU countries as well !!!
Will this Blog get any help from anyone on this matter ?