Jim Rogers, a financial commentator and co-founder of the quantum hedge fund recently interviewed with RT via broadband to let us know how we should understand the recent credit downgrades of several European countries.

You shouldn’t pay any attention to these rating agencies. Everyone know that these countries are no longer AAA. The only reason that the media companies are paying so much attention to this is because they need something to report on.

If we want to get past this crisis, then the companies and countries who made their bad bets need to take their losses and move forward. But none of this actually solves the problem. It merely delays the problem.

We need someone competent to decide who is solvent and who isn’t. The United States was recently rated AAA even though they are the most indebted nation in the history of the world.

It is possible that Greece will withdraw from the Euro soon. But who would then ever lend money to Greece? They were a basket case before, and they will continue to be a basket case. It would be a dumb thing to do, but politicians do dumb things all the time.

Greece is definitely going to default. They cannot pay their debts. They could do it in an organized fashion, or they could just walk away and cause a crisis and chaos.