Craig's Continental Breakup

1. What is currency?
•Currency is money. It's what is traded between merchants or between the people and merchants
2. What is the Euro?
•The Euro is the currency used across most of Europe. 
3. As the modern move toward the Eurozone picked up speed, what did German negotiators want that they did not get?
•The German negotiators wanted to have a united government with all of Europe, instead of each country having it's own. They hoped that they would be able to keep inflation down that way.
4. Why does this matter?
•The Germans wanted to avoid inflation at all costs, as they believed the hyperinflation of 1920 is what allowed the Nazi's to take control of Germany, and that's the absolute last thing that the Germans want to repeat itself.
5. Who or what is PIMCO?
•PIMCO is one of the biggest bond fund managers in the world, and one of the biggest money loaners to governments across the world.
6. What is a bond?
•A bond is basically a loan. You lend someone, say $100, and you expect them to pay you back in full, with interest, in a certain amount of time.
7. What other country would be wounded economically if the Greek economy fails?
•Italy.
8. What is today’s unemployment rate in Spain?
•Over 20%
9. What will it take to “bail out” Greece?
•Have the European Central Bank print new euros that the countries in trouble can use to pay off their debts.

Inside Job Review

Inside view is something that the general public needs to see. Everyone in the US knows that they're getting screwed, but this movie will show them exactly how and by who they're getting screwed. If people saw this, it could potentially stop the tyranny of companies like Goldman Sachs, because people will stop investing in their CDS's and that way, they'll stop getting so many funds to gamble with.

It's amazing just how high up the corruption goes. The government has been infiltrated by the same slime bags that run the operations like Goldman Sachs. If everyone could see this video, I think that there would be a lot of change in the way things are run.

Leta's Questions

What were the advantages to the euro?
What is inflation? Why is it significant to a country?
Does unification equal security?
What is "retail banking"?
Where did Greece's extra money come from?
Why did Greece look like a safe bet for PIMCO?
Why does PIMCO lend money to governments?
What is a deficit? Why is it significant?

Riley's Inside Job Review

The movie Inside Job is very important for the public to see what is really going on. Terms like Credit Default Swaps are brought out into the open. Credit Default Swaps are private contracts used as insurance or bets against other financial products. AIG went bankrupt because of Credit Default Swaps. It is legal gambling and a way for the rich to get richer while the poor get ripped off.

It’s nice to know there are companies to avoid like Goldman Sachs. They took cash bonuses and after the collapse participated in Credit Default Swaps using tax payers money. While America was crippled the executives at Goldman Sachs managed to make even more money.

It is eye opening to see how the government and the stock market are intertwined. For example, Henry Paulson was the CEO of Goldman Sacs, and then became the Treasury Secretary of the US. He is one of many who moved from private industry to government positions. This may be a reason why the rich are not equally taxed. It feels like the government is being controlled by private industry.

Riley's Continental Breakup ?’s

Riley's Continental Breakup ?’s

1. Is it dangerous for a Greek banker to not know where the money is coming from? Yes it’s good to know where your money is coming from because you have to pay back the money and it’s good to know who you are dealing with. This could effect the timeline and rates.

2. When Greece finally gets back on track will anyone invest in its economy? Maybe it depends on how much risk is involved.

3. Will the Euro zone cut Greece out of their economic union? Probably that would be a smart decision because Greece is a liability.

4. Will the world ever agree on one currency? Maybe it depends on what it is based on.

5. Will Italy fall to the state that Greece is in? No because Italy started off in better economic health and has greater support.

6. If Italy falls will the world be effected and why? Yes because Italy is an economic powerhouse.

7. Who do you think is the “leader” in the euro league and why? Germany is the euro league leader because they led the euro conversion. 

8. What is the basis for world currency? A mutually agreeable source.

9. Does the Greece situation affect the U.S.? Yes it is a small world when one country is down the rest are affected.

Eurozone Questions

1. What is currency?

2. What is the Euro?

3. As the modern move toward the Eurozone picked up speed, what did German negotiators want that they did not get?

4. Why does this matter?

5. Who or what is PIMCO?

6. What is a bond?

7. What other country would be wounded economically if the Greek economy fails?

8. What is today’s unemployment rate in Spain?

9. What will it take to “bail out” Greece?

Continental BreakUp; Review of Inside Job

Here's the This American Life episode.

Here's the show's transcript, if you want to read along.

While you listen, your mission is to scaffold, i.e. ask and answer nine questions each in the comment section below, as well as answer two I posed, in time for discussion in Monday's class.


Ideally, these questions will go beyond fact-based questions and include a few allusion questions and/or experience-based questions.

Here are my questions:
1. Why should we study anything about modern European economics in an American studies class?

2. How likely is it that you will talk or write anything outside of school regarding to this topic in the next year? Why?


Also:

Take a look at this list of vocabulary from Inside Job. You may use these terms in a brief (three or paragraphs) review of the documentary due any time before next Wednesday. Reviews of a documentary's success could include a combination of analysis of watchability, support for thesis, logic of argument and ability to reach the target audience.