I have been pondering the present economic crisis and looking at what is behind the latest financial scare, Greece’s debt reclassification as junk.

The company behind this latest panic is S&P and their word is gospel to governments and financial markets. And they were, of course, the ones who gave AAA ratings to the “collateralised debt obligations” that brought about the major global financial collapse and indeed gave Lehmans an A rating shortly before their collapse (excuses here). Oh and there’s some good analysis from the BBC’s Robert Peston here.

Arse? Elbow? They don’t know.

But what if Greece were to say, “no, S&P are right and our debts are worthless. Tell you what, world, why don’t you shove your debt up your bum because we’re not going to pay”? What would everyone else do? Send the bailiffs round to collect their televisions? I doubt it. So Greece, why not simply say you’re going to continue with the austerity measures and get your balance of payments back in kilter and become self-sufficient so as to be able to become less reliant on world trade and certainly world financial markets. Because, realistically, what can the rest of the world actually do?

Oh and S&P (aka Standard and Poor)? Fuck off!

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