They default and go back to the Lira and then all the banks that hold Euro denominated Italian paper fail (unless their home countries bail them out). This is a very likely event..the socialist pigs in these countries will never agree to austerity measures that reduce the cradle to grave welfare state and force a bunch of people to get off their butts and work longer hours without state funded vacations and unions that are part of the government. Never gonna happen. You will see the drachma eventually return (maybe not this year) and then you will be able to vacation to Greece fairly cheaply becuase the drachma will be worthless.
As an aside, this is going to happen here to. Eventually. That is is why when considering an investment in BB&T, make sure you realize that the prcie CAN go to $0.
Nobank, I get your point, the thing is, the concept of the Euro (having 17 nations with one currency was meant to compete with the U.S. dollar) was bound to fail, for the simple reason, unlike the U.S., they have no central Government. Instead of having one group of politicians spending money they don't have, you have 17 groups of politicians spending money they don't have, or, am I wrong?