Greek Economic Crisis

The government can now offer tax incentives to get the private sector going and attract investments that will create new jobs.

Clearly, the government has no choice but to support suffering citizens, but eventually that will be well nigh impossible without the support and solidarity of Greece’s EU partners.

This is a battle on two fronts. The first is the push to ensure strict adherence to public health guidelines and the other is the effort to support those who have economically been hit hard by those measures.

The decade began with PM George Papandreou’s six-minute nationally televised speech from the small island of Katelorizo and it is winding up (with the proud victory of New Democracy.

This government has instituted measures which previous ones would never have considered. It tied up state assets by handing them over to the Asset  Development Fund, cut pensions, and passed a law lowering the tax-free threshold.

One reason the economy must be bolstered is so that the government can place limits on the objectives and behaviours of international players.

The question that naturally arises is what will happen in the event of a collapse of Italy, the GDP of which is ten times that of Greece’s, and the debt of which was 6.5 times greater in 2011?