Penny Wise And Pound Foolish

Vox Day:

It's really astonishing that the European Union has refused to recognize that Greece has gone bankrupt. In trying to save the banks holding sovereign Greek debt, they went and destroyed the value of all the trillions in credit default swaps. It's like declaring that corpses aren't really dead, so therefore the insurance companies don't have to pay out on any life insurance policies. That might save a company or two in the short term, but it destroys them all in the intermediate term for the obvious reason that no one is ever going to waste their money on life insurance again.