to say what is happening now is not connected to GFC 1 is not quite right.
It's like saying natures ecosystem isn't interconnected.
You your self use GDP to debt figures to support your argument.
Do you not think the GDP part of that equation has decreased as a direct result of the GFC 1 and the debt figure has not increased due to govts bailing out banks and priming the pumps trying to re-inflate their economies.
Except perhaps Italy whose debt level have been stable for the last 10 years and whose banks largely escaped GFC 1. They are merely collateral damage in the present malaise.
Think of italy like the family living next door who have safe reliable incomes who are paying interest only on their home loan and can easily meet the repayments and have done so for the last 10 years. Then the bank suddenly goes I think you are not a good risk anymore so we are jacking up your interest rate and now those previously easily met repayments suddenly become an issue.
