Argitis, Giorgos, (2012), ‘Greece: Caught Fast in the Troika’s Austerity Trap’ , The Levy Economics Institute of Bard College, December. On November 27, 2012, the Eurogroup reached a new “Greek deal” that once more discloses that there is no political will to address Greece’s debt crisis, or the country’s economic and social catastrophe. This fact increasingly makes Greeks think that the sovereign debt crisis incorporates significant geoeconomic and geopolitical interests …Read More

Darvas, Zsolt, (2012), ‘The Greek debt trap: an escape plan’, www.bruegel.org, 9 November. Without corrective measures, Greek public debt will exceed 190 percent of GDP, instead of peaking at the anyway too-high target ratio of 167 percent of GDP of the March 2012 financial assistance programme. The rise is largely due to a negative feedback loop between high public debt and the collapse in GDP, and endangers Greek membership of …Read More

Alcidi, Cinzia, Giovannini, Alessandro, Gros, Daniel, (2012), ‘Grexit’: Who would pay for it?’,  www.ceps.eu,  25 May. The eurozone countries are currently sitting on an aggregate exposure to Greece exceeding €300 billion. If the country were to exit the eurozone, it would certainly not be able to service its debt in the short run when the exchange rate overshoots. Over the longer run, however, the exchange rate is likely to return to a …Read More