Given that the European debt storm is getting worse and worse, the list of European pig countries with problems is constantly elongating, and the EU's rescue wallets have shrunk sharply. Europeans, who have always been above the top, finally let go of their positions and ask for help from the outside world. In May 2006, Yang Xing, who was patrolling several cities along the coast of China, received several European guests who showed up in hiding their heads. He was the representative of European pig countries. He wanted the outside world to know that it would travel thousands of miles to China, a Far East power, to request financial rescue, but it would probably cause an uproar in the world's political arena.

This is also the forced action of Europeans. Nowadays, the European pig countries are not only the four southern European countries, but also Ireland, which has just declared bankruptcy, and Ireland on the verge of bankruptcy. This time, they all came to China with the special envoys sent by the EU to ask for help, and also found out that Yang Xing's important role in Chapter 805 of Cyprus in this financial tsunami. Since US Treasury Secretary Paulson can even put his face down and ask Yang Xing for advice, the European pig countries are unwilling to let go of this great God of Wealth. What surprised Yang Xing was that one of the representatives behind Greece, the birthplace of the European debt crisis actually came from Cyprus, a Mediterranean tourist resort.

Although the European debt crisis had spread from Iceland and Greece to the surrounding areas when Yang Xing was reborn, the four European countries and Ireland were considered to be the next victims at that time. Therefore, Yang Xing did not know the troubles left by Cyprus, but as his idol Buffett once said, "You only know who is swimming naked on the beach after the big waves." Now seeing the representative of Cyprus following everyone with a look of unlucky look, relying on his ability to advance the subprime mortgage and European debt crisis several years, he calculated it slightly. Compared with the current experience of Greece, the supporter behind Cyprus, he quickly guessed the reasons for Cyprus' request for help.

Iceland declared its national bankruptcy, breaking the iron law that European countries would not go bankrupt. A large number of foreign depositors' deposits in Iceland banks were naturally furious and put pressure on their governments to ensure the safety of their own deposits. However, EU countries responded differently to this. Many governments who believed that they were on the dead end actually turned their brains to resolve the Cyprus debt crisis on bank deposits.

The actual paths of European and American capitalism after World War II were very different. Americans have always pursued a free capitalist model, advocated government delegating power, reduced intervention in the economy, and even if they wanted to regulate the market, they used indirect methods. Therefore, except for the US Postal Service, it is probably considered a state-owned enterprise in the United States, from space shuttles to nuclear submarines, they are all manufactured by nominally private enterprises.

Faced with the ruins of the post-World War II ruins, European countries learned their lessons and decided to significantly reduce class differences and reduce class hatred. They used high taxes and high welfare policies to resolve class contradictions and allowed most citizens to live a relatively equal life. Many European countries implemented a democratic election system, and in order to please voters, a large number of parties liked to give voters a long wish list before the election, and introduced a wide range of welfare subsidy policies after they came to power.

Nowadays, European countries have developed to have longer holidays than working hours. Even if they are unemployed, some countries provide benefits to meet your basic food, clothing, housing and transportation. This makes many Chinese people very yearn for the lives of European people, believing that even homeless people are happier than migrant workers who work more than ten hours a day in China! But the problem arises. After all, it is not the highest Datong society. Everything can be distributed on demand. Most parts of the world still rely on labor and get a reward distribution system.

Europeans actually pay for the high welfare of the entire society, but they have raised a group of welfare borers who are lazy and hateful. The high tax burden required to maintain high welfare is no longer enough. Now in major European countries, in addition to Germany, which relies on hard work and maintains its status as a major exporter, other countries are increasingly relying on high debts to achieve their operations. As a result, this has formed a vicious cycle, often owing debts and borrowing new debts before they are paid, and using overdrafts to maintain the so-called high welfare. This unimprovemental approach has led to the continuous decline in competitiveness of many European countries. Once they encounter economic crises, their true colors will be revealed. The most typical example is the European pig country with an expanded list.

Iceland is now bankrupt and Greece is terminally ill. It is entirely due to the tens of billions of euros of emergency aid provided by the EU. However, the prescription prescribed by the EU to Greece really makes the Greeks miserable. The government wants to cut expenses, and government departments and state-owned enterprises must fire a large number of employees and sell most of the shares of state-owned enterprises to repay debts. The most important thing is to significantly reduce the social welfare that the Greeks are proud of, which makes it possible for Greeks who are used to working easily and enjoying leisure and vacationing on the Aegean Sea to tolerate it. Various marches and demonstrations have been one after another. The government has changed for two consecutive terms, walking a tightrope in the EU aid and the anger of the public, feeling very distressed.

This situation naturally feels sad when Ireland sees this situation. Therefore, Ireland originally planned to grit his teeth and bear it alone even if he is burdened with hundreds of billions of dollars in debt. Unfortunately, in this era of prosperity and loss, the US subprime mortgage crisis can overturn many old European banks through the Atlantic. Now Ireland's sovereign debt crisis is showing its power. In order to prevent the further spread of the sovereign debt crisis, EU countries that have always been slow to act hard, France, Germany and other core countries have issued tough declarations, forcing the Irish government to accept EU aid funds.

At the same time, Ireland will also agree to the conditions issued by the EU, adopt a series of measures such as significantly reducing spending, merging crisis banks, and reducing citizens' welfare. If the Irish government refuses, it will not be able to obtain assistance from financial institutions such as the EU or the International Monetary Fund, and it is likely to follow Iceland's footsteps and declare the country bankruptcy. Under the pressure of forcing Ireland to borrow money, the Irish government has no way out and has to choose to accept it.

When the EU was established and issued the euro, the whole Europe was in the beautiful dream of building a common economy, but unexpectedly it would turn into a nightmare because of the sovereign debt crisis of European pig countries. Now international speculators are eyeing the EU's actions to deal with the sovereign debt crisis. If there is a slight mistake, Greece and Iceland are just the prelude to the big crisis. You should know that Spain and Italy are more than ten times the size of Greece, and they are the core problem. Italy is the sixth largest country in the EU. Once the debt defaults, the number will reach hundreds of billions of euros, and even the EU will be difficult to save.

In the past life, the EU invested trillion euros of aid funds to save these inferior students, but it was still thankless. Although no country went bankrupt again, the harsh aid conditions were at the cost of hurting the daily living standards of ordinary people, which aroused great public anger. Many countries receiving aid even criticized Germany, which had the most invested, as modern Nazis, putting the people receiving aid in dire straits.

Cyprus, a tourist destination in the eastern Mediterranean, is another country that was forced to receive EU aid funds after Ireland. Cyprus has a special national condition and was under the jurisdiction of Britain for a long time before World War II. However, most of the residents on the island are descendants of close neighbors Greece and Turkey, so the country is deeply influenced by Greece.

This small island, which is the birthplace of the American God of Venus in Greek mythology, originally had a long-term pillar industry of tourism and fishery. And the country's fate was ill-fated, so it broke out from British colonial rule. In 1974, a Greek-backed military coup broke out and offended another neighbor, Turkey, causing Turkey to send troops to interfere in military affairs. If the United States, the boss of NATO, had it not been for mediating in person, the two NATO allies would have met because of the war for Cyprus.

Due to the pressure from Turkey, Cyprus was forced to be divided into two cluster areas: Greek and Turkish. The United Nations peacekeeping force has always been responsible for separating the two ethnic groups. Cyprus, which has no resources inside and war pressure outside, had to embark on another development path, introduce preferential taxes to attract foreign investment, relax financial supervision to build Cyprus' international tax avoidance and financial center, and actively join the EU and the euro zone. It also stipulates that as long as you invest 300,000 euros in Cyprus, you can obtain a visa for the country, which is equivalent to providing a commitment to investment immigration in disguise and becoming an EU citizen, attracting a large number of investors, including the Chinese.

These policies have allowed Cyprus to rise rapidly from Europe and enter the ranks of high-income countries, but it also caused the abnormal development of Cyprus' financial industry, with a scale of 8 times greater than GDP, posing huge risks. Due to the special relationship between Cyprus and Greece, the largest banks in Cyprus purchased a large number of Greek bonds in front of the financial tsunami. At the same time, many Greeks are greedy for the high interest rates of Cyprus banks and deposited their money into Cyprus banks. After the outbreak of the Greek crisis, Cyprus was regarded as a financial haven. Many Greeks wanted to save their property, which accelerated the speed of funds flowing to Cyprus.

But in fact, Cyprus banks have also suffered huge deficits due to subprime mortgage and Greek debt crisis, and they are unable to protect themselves, so how can they guarantee the interests of depositors? Recently, the largest banks in Cyprus have been reported to be on the verge of bankruptcy, with deposits of up to tens of billions of dollars in jeopardy, and bank runs are everywhere, which is similar to the scene before Iceland's bankruptcy.
Chapter completed!