Greece will exercise its sovereignty by reviving its own currency, declaring it "legal tender for all debts public and private", then issue one or more units of the new currency for each Euro to the Grecian citizens. Provided the Greeks accept this new currency all things internal to the country will stabilize, life will go on and this actually may more solidly unite the Greeks. External matters though will be a different issue and the banks and outside investors will have to deal with it.
If the USA is not careful with its trade deals we'll be in the position of Greece in a generation or two.
The middle class is being "hollowed out" as jobs are moved outside the country. If what is sorely needed is a new trade vision then here is an idea:
A major component behind the terrorism and radicalism we see brewing in the news today is the uncertain future track for the young, the lack of satisfaction and compensation for the working and the worry about future security for the old. Any nation which does not solve these issues is subject to infiltration by those elements who would disrupt and overthrow the society. We need to stop spouting rhetoric and start solving our major issues.
Via FICA both Social Security (more accurately defined as Old Age and Disability Insurance) and Medicare are funded by payroll deductions on the U.S. working class, the philosophy being the current working generation supports the needs of the prior one. Exporting jobs without compensating by some means for the FICA revenue lost "short-circuits" this well-designed mechanism as fewer jobs means fewer income streams for FICA to deduct from and less FICA revenue, resulting in the Social Security and Medicare solvency concerns. This decreased revenue stream also exacerbates the deficit and educational issues as well, requiring an ever smaller "upper class" to devote ever more revenue to meet these needs. Ultimately democracy itself becomes compromised as politicians begin to pay more attention to a "financial aristocracy" and less attention to securing the welfare of the general populace. The middle class then is effectively eliminated. So if we keep letting our jobs go overseas then WHO will pay YOUR Social Security?
One idea often discussed is to supplement the FICA funds lost by switching from those who work to those who consume with a value added tax. But with fewer living wage jobs in the USA this becomes ineffective due to a decreasing average tax base value.
There is another way though, achieved by enacting the National Employment Recovery Act (NERA - the "stick") and the Bring Jobs Home Act (BJHA - the "carrot"). NERA and BJHA are game plans to be addressed more fully in committee but this DOES provide a sound starting point, something we need to demand from all candidates, Republican, Democrat or Independent, instead of blindly shuffling the deck. If you are a business owner do you not issue "Requests for Proposals" to all prospective contractors then review their "Preliminary Response" documents before deciding to award contracts? In a democracy the citizens in fact "own" the business of government and need to do much the same before voting candidates into office. So now is the time to be pro-active by requiring candidates to submit game plans about how to resolve our country's major economic issues rather than just "slapping the competition".
We must take care of our own affairs first. We can be of no help to others if our own house is in disorder, especially in this era of global economic uncertainty. The key to keeping Social Security and Medicare solvent is to remove the "short circuit" in FICA revenue caused by jobs being off-shored. As well off-shoring our jobs is hurting younger Americans and hinders our ability to pay off the deficit. We are of no help others if we are unstable ourselves.
Budgeting, economic and tax issues, including the "How to Pay For It All" questions will all be addressed if we can enact the National Employment Recovery Act (NERA) and the Bring Jobs Home Act. (BJHA). This four-pronged idea brings in the revenue to fix Social Security and Medicare by removing the "short circuit" in FICA revenue, pays down the deficit and helps educate the next generation. It is a game plan that uses new revenue sources and seeks to minimally disrupt existing revenue flows.
WHAT IS THE GAME PLAN?
With regards to this nation resolving its economic issues the National Employment Recovery Act (NERA) is a component of proposed legislation associated with the United States resolving its economic issues. Here is a link to a recent Newsvine article which along with its internal links explains the concept and ties everything together nicely:
Independent member, WV Senator Manchin's Project Weirton task group