The Euro crisis
For the first time, I am worried about how this crisis might end. I do not know enough finance to have a clear idea of the forces involved; but I do have a view of the psychological forces. It has always been my view that the Eurozone countries would never just let the Euro go without a fight. On the other hand, it also is my long-held view that you understand nothing about the so-called "markets" unless you apply mob psychology to them. They are not rational, indeed they are essentially mindless. And the Eurozone leaders have essentially just challenged a mob of twentysomething macho men to do their worst. The reasons why "the markets" will now go berserk is that this is as good as looking at them in the eyes and saying: "Come on, if you think you're hard enough". From now on, this is not about the real strength of the Irish and Portuguese economy, but about who is the hardest.