The Greek debt crisis has been festering for more than a year now - when and how is it ever going to end? According to a poll of mutual fund managers conducted by Bank of America Merrill Lynch, the overwhelmingly expected result is a default. Three quarters of the respondents expect it to happen by the first quarter of 2012.
Yet, by and large, they don't expect this event to be too traumatic for the American economy. The majority of respondents did forecast that Europe is likely to be thrown into recession by a Greek default, yet only 25 percent expect that to turn into a global recession. That's down from 40 percent that expected a global recession as recently as September.
So a Greek default may not be as dangerous as it sounds. In one sense, it would be an opportunity to put the immediate problem behind us, and the European governments can get back to focusing on growing their economies rather than pursuing endless bailouts of Greece. In the long term, that might be the best remedy for all.
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