Should I stay or should I go
Eurozone: Should I stay or should I go? Is exiting the eurozone the only realistic solution?
Is there a way out of Greece’s huge debt problems? The “solution” imposed without discussion consists of savage cuts, pension overhaul , dismantling of labour protection , cuts in health and education budgets, dramatic rise in unemployment. The alternative of an orderly default and exit from the eurozone was a complete taboo in 2010, when the Greek government led the country to the cold embrace of the EU-IMF-ECB.
It is now being discussed openly, (in the rest of Europe, not in Greece) for the simple reason that the Greek debt burden is just too vast for any of the present policies to really make a difference. Exit from the eurozone is a logical consequence of the mess we are in. The real issue is whether it will happen orderly, in a well prepared manner or in a complete chaos. As professor Lapavitsas of SOAS pointed out, the greek government will bear a tremendous responsibility for not preparing for the inevitable, while there is still time. Or is there?
It is now being discussed openly, (in the rest of Europe, not in Greece) for the simple reason that the Greek debt burden is just too vast for any of the present policies to really make a difference. Exit from the eurozone is a logical consequence of the mess we are in. The real issue is whether it will happen orderly, in a well prepared manner or in a complete chaos. As professor Lapavitsas of SOAS pointed out, the greek government will bear a tremendous responsibility for not preparing for the inevitable, while there is still time. Or is there?