General Discussion
In reply to the discussion: For those who don't know what the "Greece" problem in Europe is about - here's the explanation [View all]badtoworse
(5,957 posts)Even if one accepted the argument that the contract should be negated because it was purchased at a discount, it doesn't address the fact that some holders of Greek debt likely paid full value for the bonds. How should they be compensated? Should they get the 25 cents on the dollar that you would give to the hedge funds? Doesn't sound very fair to me. Beyond that, only paying 25 cents on the dollar when the debt comes due is a default - period. What difference does it make what the bond traded for in the secondary market?
Yes, tax collection is a big problem, but from what I understand, cheating on taxes is a national pastime in Greece that spans all income brackets, not just the rich. Basically, if you are in a position to cheat, you do.