tag:blogger.com,1999:blog-6399526795276289503.post2557112734641961028..comments2023-10-29T13:42:05.225+05:00Comments on Maldive Economist: Greece would have been better off without euro?Naseerhttp://www.blogger.com/profile/17666891734399232389noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-6399526795276289503.post-6607271315687788982010-05-11T10:26:21.686+05:002010-05-11T10:26:21.686+05:00The situation in Greece is difficult to even talk ...The situation in Greece is difficult to even talk about because as i see it either way it is going to hit rock bottom (if it have not already). <br />“How can Greece grow out of its debt if there is deflation?” asked Jean-Paul Fitoussi, a professor of economics at the Institut d’Études Politiques in Paris. “Deflation increases the debt burden, so we are following this virtuous circle that is bringing us toward hell. Economics has nothing to do with virtue, which can kill an economy.” <br />Again, talking about leaving euro, the problem is if the Greek central bank/government decides to leave euro it will most certainly trigger bank-runs and if the ECB suggests it it would trigger a speculative attack greek bank. the whole thing is just too problematic. whatever market does should be seen as the inevitable or the best outcome.Ibrahim Ameerhttps://www.blogger.com/profile/10739305303068754295noreply@blogger.com