It`s true, we have to admit it, on first impressions it`s very simple; the Greeks overspent and must balance their books, so what`s all the fuss about?
Well, the key word in the last sentence is "Greeks" which assumes that the whole greek population shares equal responsibility for the fiscal irresponsibility at the heart of the current crisis. In reality, only a small wealthy percentage of Greeks benefited from the massive influx of funds that EU and Euro membership brought. Today they are the only ones able to move their funds, children and even themselves abroad while the average greek suffers record unemployment and poverty.
Is it not reasonable to imagine that, if EU funds and loans were spent by the Greek people with the good of the Greek people in mind, we would not find ourselves in the crisis we are in? Longterm investments would have been made in health, industry and education rather than funds being used to prop up a rotten system that, as it turns out, has only benefitted a privileged minority.
Would you not be upset at having to pay someone elses debt? The EU bailout package demands the average greek pay for the excesses and corruption of a parasitic politico-economic elite. Greeks have no confidence that tax reform will be respected or enforced and their politicians are not even symbolically cutting their wages!
As EU citizens, whether we like it or not, we must demand a fair bailout package. It is unacceptable that our taxes should go straight to the offshore bank accounts of wealthy Greeks while the majority of their countrymen suffer crushing austerity as a consequence. But then again, can we really expect such equity from the EU and IMF considering the serious democratic deficits characteristic of such institutions?
Be this the case and the EU cannot offer a fair bailout package which demands serious political reform, then Greece would certainly be better of defaulting and leaving the EU (to which they are well within their right). Yes, the whole system may collapse, but if it does, it will be due to its own internal weaknesses. One thing is clear, we must look beyond the rosy dream of a united Europe and demand serious reform of the EU if it is to survive. If not, we`ll have to start again from scratch.
Full referenced version availabe at: http://yabastamedia.wordpress.com/
Comments
Hide the following 8 comments
don't want the eu to survive
20.02.2012 19:58
eu basher
one dream
20.02.2012 21:59
one world
Greek problems
21.02.2012 10:14
Utterly wrong. The problems the Greeks have are almost entirely because successive Greek governments have taken EU funds and rather than use them for infrastructure projects as was intended have used the money to fund pay increases for government employees to ensure election victories. This is combined with a culture throughout Greek society that sees it routine to trade as much as possible in cash with minimal tax paid to the State where possible. For example I find it impossible (and have done so for at least ten years) to get any tradesman activity that is not a cash job. Plumber, electrician, house movers, drain cleaning, painter. Everyone of them has refused point blank to work "on the book" as they call it and demands cash. When I have pointed out that taxes pay for people like me ( a school teacher) I am laughed at.
Until there is a massive change in the expectations of Greek society ("the Germans, French and British are rich, they should pay") there will be no changes here.
Ex-pat
Why not ?
21.02.2012 10:57
That seems a logical argument. The EU is supposed to be about pooled resources, the rich Northern peoples like Britain and Germany have an obligation to support those who are not at the communal level. Disparity between the wealth of the rich and the poverty of the poor is the cause of these problems not the Greek people.
Free market = poverty
For "Free market = poverty "
21.02.2012 12:42
The Greek economy will not improve by having the richer countries of Europe simply give it money to fund pay increases and larger pensions as has been demonstrated by the last eight years.
Economist
Wicked
21.02.2012 13:13
Good for them, the easiest way for us to destroy the State is to stop paying their taxes.
Smash everything
@ Smash everything
21.02.2012 14:16
I can't understand why the Anarchist movement is so poorly supported in Europe right now.
Reluctant Tax Payer
The wealthy benefit
17.03.2012 19:33
Utterly wrong."
Agreed, tax avoidance is rife throughout Greek society, however I argue in the article that it is wealthy Greeks who beneift from this and poor Greeks who lose out. Yes, in the short term the plumber who works for cash will benefit from paying less taxes, but in the long term it is s/he who loses out due to a lack of tax revenues to pay for teachers salaries to cite one example. The rich however remain unafected as they use privite hospitals and schools. Furthermore, who is it who is now paying for the greek economic crisis? The working greeks who are seeing their standard of living reduced while the greek rich are sitting pretty.
Robbie Packman
e-mail: robbie_packer@hotmail.com
Homepage: http://yabastamedia.wordpress.com/