June 28th is a date to watch as the vote on the Greek austerity plan takes place.
Unions are already mobilized and one suspects that a meaningful chunk of that nation will be on strike. It should make for terrific theatre -- especially since the vote is going to be so close.
It is not certain that the austerity plan will even work as it contains a lot of assumptions and has some real problems. The US market is a bit unnerved. Between the Greece Fire, the horrific unemployment numbers coming out this AM, and the Bernanke's speech Wednesday, this makes sense.
Now we are hearing that the Greek finance minister Venizelos is trying to re negotiate and amend the terms of the plan at this late hour. It makes one think that the nation will not be able to hold to the financial covenants built in to the agreement and he knows it. On the other hand, there is the news that some nations in Europe are wanting to refuse any further modifications or concessions. A take it or leave it, Mr. Venizelos, approach.
The euro might take a pounding, that is a given. But there is something else:
Between the irrepressibly poor mathematics, and the dysfunctional psychology and the dynamics of denial, the real lesson here is that this just one possible future that we ourselves may be facing in the next ten years when "other people's money" runs out.