The German Chancellor's Hardline Stance on the Greek Crisis might force Greek Society to change...
The crisis that
Thus, when trying to understand what has happened here we must note that the new Greek government, announced that the country’s public debt was almost twice the amount that had been claimed by the previous government. In so doing it hoped to achieve a number of things: By giving an inflated number it could, the following year claim the rewards of having managed to deflate it! It was also, they thought, a useful tool for internal politics, as they could, as is traditional in Greek politics, claim to have inherited “burn land” from their predecessors. Finally it must not be forgotten that what they said is in an extent true: Maybe the final numbers where exaggerated, but certainly the conservatives had lied when they had declared that the public debt in
However now other “forces” come into play, leaping at the opportunity: On the one hand that European Commission, which, in its wisdom, has decided that the “Sacred Number” that must not be surpassed when talking of Public debt to GNP ratio is 3 (percent), started screaming that the Greeks had lied (again) about the (sacred) numbers, while the big players (such as Germany) came down like a ton of bricks on Greece, who was tarnishing the image of the (sacred) Euro, and menacing its strength, giving little consideration that the economic policy that has been followed in the last period aimed at preserving a strong Euro was one of the factors that was destroying the “Southern” Economies: German Tourists are unlikely to come to Greece to spend their Euros, when they can get much the same (Sea – Sex – and Sun) outside the Eurozone, where their Euro could buy a lot more!
That the new Iron Lady of
And yet…recently the EU Commission released a report about “stability and convergence programs of fourteen EU members” (http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/288) in which (shock! horror!) it is clearly stated that “[in Germany] the general government deficit [is] 5½% of GDP in 2010…budgetary outcomes could turn out worse than projected, given (i) the lack of specific consolidation measures beyond 2010, (ii) the need to reconcile the possible implementation of announced tax cuts with fiscal retrenchment, and (iii) the fact that implementation of the new budgetary rule also at sub-federal level is not ensured.” Meaning a. that the Germans are also not respecting the number of the Holy Trinity as far as debt in their current budget is concerned and that they are, to put it politely, lying about what their figures will look like in the near future. If we followed Angelas’ example we should be screaming that they be burnt at the stake… The same report states that “[In
And this concerns only the Government Debt and deficit, which seems to be the only concern of the European Union and not the Total External Debt of each country (i.e. the debt and deficit of the State plus the individual debts of the citizens). For as far as the Total Debt is concerned the Greek figures are not bad: Ireland is at 1200% of its GNP, the Netherlands at 380%, the UK at 370%, Belgium at 350%, Denmark 310%, Austria 275%, France 246%, Portugal 217%, Norway 207%, Finland 197%.
So what is the conclusion? That the Greeks are “naughty”, not because they cooked the figures – everybody does that! - but because they actually admitted it!
But the truth is dangerous as has often been said, and the admission that the Greek Economy is a mess made the tigers of “International Economy” in a most bloodthirsty and profit-making way on the “weak link of the Eurozone”. The Rating Houses debased
And what will
After these recent agreements the Greek PM made his way to the
And yet here me must pause and take a breath and those of us that are Greeks and/or live in
There is, then, some hope that this recent “crisis” and the way it is being treated by our “allies”, will activate at last some reflexes in Greek Society itself that will lead to a radical change of its working and its structure. By demonstrating the weakness of Greek society and Greek politics Angela may be lighting the fuse that will lead to the powder-keg of social change in
Not to mention that these circumstances may be used so as to create the opportunity to break radically with frozen positions of Greek External Policies, especially as far as our “enemies” are concerned: Under the cloak of “its our European allies that are forcing us” the Greek government could get the people to accept new directions in the country’s relations both with Turkey and even more easily with the (F.Y.) Republic of Macedonia, resolving a number of questions that under the name “National Questions” are in fact gaping wounds which drain the country of time, energy and resources…For it is precisely because of these “National Questions” that Greece wastes billions each year on the purchase of military hardware, which has played an important role in augmenting the country’s debt…
So let us cry “Thank you Angela!” hoping that Greek Society and leaders will indeed follow such a route and not choose the alternate route of isolation, easy Eurosceptism and Conspiracy-Theories that will lead it into the open arms of the extreme right…