EXTRACT: For the last few weeks we have been led to believe that the euro zone crisis is all but over. Thanks to the second Greek bailout, the dishing out of €1 trillion in cheap loans to distressed banks by the European Central Bank and economic recovery in the United States, there was now a bright light at the end of the tunnel. Everyone could breathe a sigh of relief.
But this has proved to be a self-serving fantasy. As the May 6 Greek elections approach, there is a distinct possibility that the Greek people will elect a parliament that will reject the bailout terms imposed by the European Commission, the European Central Bank and International Monetary Fund troika. Raising the spectre again of a default. No wonder that some within the European Union bureaucracy wanted to indefinitely postpone the elections - you never get the right result. Meanwhile, the US jobs market has stalled and all the ECB’s Long Term Refinancing Operation (LTRO) did was slap a piece of sticking plaster on the euro zone’s open wound - which continued to fester. The crisis never went away.
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