Featherstone, Kevin, Papadimitriou, Dimitris, (2015), “Greece: the Paradox of power”, LSE blog, 31 July. Why doesn’t Greece reform? Over the past few years the inability of successive Greek governments to deliver on the demands of international creditors has been a key feature of Greece’s bailout drama. Frustrated observers have pointed to various pathologies of the Greek political system to explain this underperformance: the lack of political will; entrenched sectoral interests …Read More
In Defense of Varoufakis
El-Erian, Mohamed A., (2015), “In Defense of Varoufakis”, Project Syndicate, 29 July. From blaming him for the renewed collapse of the Greek economy to accusing him of illegally plotting Greece’s exit from the eurozone, it has become fashionable to disparage Yanis Varoufakis, the country’s former finance minister. While I have never met or spoken to him, I believe that he is getting a bad rap (and increasingly so). In the process, …Read More
Reform momentum and its impact on Greek growth
Terzi, Alessio, (2015), “Reform momentum and its impact on Greek growth”, Bruegel Institute, 29 July. Greece has an imperfect track-record of structural reform implementation. However, the poor growth outcome of the Greek programmes is also a consequence of the timing and composition of reforms, which were not optimally geared towards a speedy transition to a new growth model based on the private sector. While the main responsibility for this lies …Read More
The Greek bailout drama: Is this time different?
Pelagidis, Theodore, (2015), “The Greek bailout drama: Is this time different?”, Brookings Institute, 27 July Economists and analysts around the world, believing a Grexit almost inevitable just a month ago, now insist that the proposed deal between the Greek government and the creditors is only band aid for Greece’s economy and so, it will not work. Well, of course, after five years of depression, having the troika back in Athens to …Read More
Library » Greece » Economy » Opinion Articles
Greece Isn’t a Morality Tale
Buchanan, Mark, (2015), “Greece Isn’t a Morality Tale”, Bloomberg View, 29 July One of the more troubling elements of the recent drama over Greece’s debt was the urge by many to see a deficiency of national character, rather than euro-zone economics, as the problem. Right-leaning opinion, not only in Germany but around the world, put the trouble down to Greek corruption and, worse, laziness: The bad people of Greece retire too …Read More
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The Lethal Deferral of Greek Debt Restructuring
Varoufakis, Yanis, (2015), “The Lethal Deferral of Greek Debt Restructuring”, Project Syndicate, 28 July The point of restructuring debt is to reduce the volume of new loans needed to salvage an insolvent entity. Creditors offer debt relief to get more value back and to extend as little new finance to the insolvent entity as possible. Remarkably, Greece’s creditors seem unable to appreciate this sound financial principle. Where Greek debt is …Read More
Library » Greece » Economy » Opinion Articles
How to keep Greece in
Odendahl, Christian, (2015), “How to keep Greece in”, Center for European Reform, 27 July A paralysed banking system and a lingering threat of exit from the eurozone would hurt any economy. Greece needs swift action to restore its financial sector, an end to all threats of Grexit, a bigger EU investment programme than currently planned, debt relief and a Greek-led cross-party plan on institutional reforms. Relevant Posts Eichengreen, Barry, Evans, Gary, Αllen, Peter, (2015), …Read More
Escaping the Greek Debt Trap
Eichengreen, Barry, Evans, Gary, Αllen, Peter, (2015), “Escaping the Greek Debt Trap”, Βloomberg View, 27 July Greece’s debt is unsustainable. The International Monetary Fund has said so, and it’s hard to find anyone who disagrees. The Greek government sees structural reform without debt reduction as politically and economically toxic. The main governing party, Syriza, has made debt reduction a central plank of its electoral platform and will find it hard to hold on …Read More
Library » Greece » Economy » Opinion Articles
What Next After Tsipras Dashed Schäuble’s Hopes For Grexit?
Hoffer, Frank, (2015), “What Next After Tsipras Dashed Schäuble’s Hopes For Grexit?”, Social Europe Journal, 27 July A Greek government forced to bow to the impossible, a referendum brushed aside, the Franco-German partnership damaged, European compromise diplomacy replaced by ultimatums, the euro in limbo, large parts of Europe swept by anti-German fear and resentment and another €83bn sunk into a doomed “rescue package”. Not quite how successful policies are supposed …Read More
The Euro Summit deal: defeat or victory? A response to Robert Howse
Ioannidis, Michael, (2015), “The Euro Summit deal: defeat or victory? A response to Robert Howse”, Verfassungsblog.de, 16 July The prevailing perception of last Monday’s Euro Summit Agreement is that it amounts to a humiliating defeat of the Greek government. In a thought-provoking piece published on Verfassungsblog, Professor Robert Howse argues the opposite. He invites us to read the Agreement as the outcome of a successful strategy of the Greek side. …Read More