It's alarmist to say that one-half of a percent of the euro's G.D.P. could cause the collapse of the currency.<br /><br />Question: Should Germany <br />bail Greece out? <br /> <br />Ernst Weizsäcker: <br />In some way by deciding 10 years ago on the introduction of the common <br />currency, the Euro, Germany has made a commitment of bailing out, be it <br />indirectly through the International Monetary Fund, or more directly through <br />the European Bank. But, I once <br />calculated the amount of the Greek deficit compared with the Gross National <br />Product of Europe, and this is less than 1/2 percent. So, I would call it alarmist to say this 1/2 percent of the <br />European, of the Euro's own GDP lets the Euro collapse. This is absurd. If you compare that with financial <br />risks incurred by the American state in certain war adventures or in the <br />financial crisis, or wherever, those are much higher percentages leading indeed <br />to a weak dollar, that's correct, but the European industry is only happy if <br />the overvaluing of the Euro finally finds an end. So, I am not in a state of alarm.Recorded on April 9, 2010 <br /> <br /><br /><br />Question: Should Germany <br />bail Greece out? <br /> <br />Ernst Weizsäcker: <br />In some way by deciding 10 years ago on the introduction of the common <br />currency, the Euro, Germany has made a commitment of bailing out, be it <br />indirectly through the International Monetary Fund, or more directly through <br />the European Bank. But, I once <br />calculated the amount of the Greek deficit compared with the Gross National <br />Product of Europe, and this is less than 1/2 percent. So, I would call it alarmist to say this 1/2 percent of the <br />European, of the Euro's own GDP lets the Euro collapse. This is absurd. If you compare that with financial <br />risks incurred by the American state in certain war adventures or in the <br />financial crisis, or wherever, those are much higher percentages leading indeed <br />to a weak dollar, that's correct, but the European industry is only happy if <br />the overvaluing of the Euro finally finds an end. So, I am not in a state of alarm.Recorded on April 9, 2010
