Greek Debt Question

[Fittster]

From The Telegraph

"After weeks of discord, Europe's leaders have agreed to an emergency facility for Greece backed by the International Monetary Fund and bilateral loans from eurozone states.

The accord was vague on figures and aid can be invoked only as a "last resort" if Greece is shut out of the capital markets. Since Greece is already paying an untenable debt premium, the wording once again leaves it unclear what exactly has been settled."

Currently Greece has to pay roughly 6% to borrow, as opposed to 3% for Germany. Now to a layman 6% doesn't sound that bad, at what point does the interest a country pays for its debt become untenable?

[HOGEPH]

What's a Greek urn?

[JagLover]

So they had to go to the IMF, since the Germans are unwilling to bail out the profligate Greeks.

Watching the club med countries being crucified by their membership of the Euro, one is reminded about how a futile adherence to the gold standard exacerbated the great depression in many countries.