Ralph Shell submits:

Conclusion of the bankers meeting in Davos brought congratulatory assessments from the Euro bankers for their success in dealing with the euro debt crises. French and German spokesmen alluded to the deft actions that instilled market confidence in the single currency, and they pledged to always be there to support the euro. Overlooked perhaps, by the publicity and glitter from the Davos meetings, may be the lower quality debt that was stuffed into the portfolios of Central Banks and their nominees.

Popular as these solutions to the euro debt problems have been to bankers and the trading community, it remains to be seen how voters will react. In Ireland, where the business contraction has been severe, and austerity imposed by the Euro Community in return for bail out funds has caused hardship, the Irish Central Bank revised the GDP down to a positive 1% for 2011. Forthcoming shortly is an election in Ireland. How much chaos would rejection of the current leadership cause? If new leaders reject the previous government’s guarantee of the banks loans, this decision would resound through both Britain and Europe.

In March there will be elections in Saxony-Anhalt, Baden-Wurttemberg, and Rhineland-Palatine. The German voters have been told by Finance Minister Schaeuble that it is in Germany’s best interest to bail out the slackers in the periphery. This results in more work because of greater export demand, in part caused by a weaker euro. It remains to be seen if industrious German workers will support the early

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