Financial Times: The “radical surgery” of Grexit and the medicine for Greece

As a patient who remains…
for the eighth consecutive year at the hospital, parallel the of Greece the editor of the Financial Times, Tony Barber, arguing that the country is on its way to a fourth “economic blood transfusion” in 2018.
As noted, I don’t, at the end of 2019, the Greece will hold a peculiar record, as well as going to be the country that has spent the most years of the Euro area in the “intensive care unit”.
Referring to the up to the minute impasse in the negotiations, the Barber argues that eventually the “patient” Greece will get the medicine that will result from the compromise.
Points out that the debate on the “extreme surgery” Grexit comes back like a serious prospect that it’s not so out of touch with reality.
The fundamental question that arises is whether governments in the euro area, the IMF, the political leaders of Greece and its citizens believe that seven years of a precise therapy have brought about a cure a little closer.
This question according to the writer has three strands which are the following:
– The first concerns a country’s ability to repay the debts of the author of the FT to focus on the disagreement between the europeans and the IMF.
– The second concerns the surplus with the Europeans to argue that the recent primary surpluses suggest that the government are getting better while the IMF is more pessimistic, having in mind the historical tendency of Greek parties to abandon fiscal discipline in favor of the customer system and powerful economic groups.
– The third and most important has to do, according to Barber, if the programs rescue helped in the modernisation of the Greek state.
The author of the FT concludes that the paralysis of Greece will continue as long as there is a decisive push or to a decisive reduction of the debt or to the exit from the eurozone, creating enough space for Greece to do the minimum possible at the level of reforms in order to continue the flow of economic aid.