Merkel Calls for Solution to Keep Greece in Eurozone



German Chancellor Angela Merkel called for a solution to keep Greece from leaving the eurozone this autumn, the weekly Der Spiegel said in a report to appear Monday.
“We must find a solution for Greece,” Merkel told her inner circle, Der Spiegel reported without citing a source.
Merkel is said to have spoken the words before the most recent audit mission by the debt-burdened country’s so-called troika of bailout lenders: the European Union, the International Monetary Fund and the European Central Bank.
Der Spiegel added that Merkel and her advisors fear that a Greek exit would trigger a domino effect akin to what followed the 2008 collapse of US investment bank Lehman Brothers.
A Greek exit could cost Germany 62 billion euros ($79 billion), the weekly recalled, adding that Merkel also considers the scenario fraught with political consequences.
It said Merkel wanted to avoid handing Athens a third rescue package, given her doubts over being able to get it passed in the German parliament, but added she was willing to adapt the current package by increasing the upcoming tranches and reducing ones further down the road.
(source: Der Spiegel, AFP)


6 COMMENTS

  1. The only viable solution for Greece is to get out of the EU and the euro zone. This would bring at least allow Greeks to once produce the products that they had before the EU stopped them from producing cotton, fruits, and many local products. Thereby reducing costs and getting rid of all the foreign products in the super markets. Prices would drop and Greece could concentrate on the only real industry that it has namely Tourism. In 5 years Greece would have an economy second to none in Europe. I don’t see this happening though as too many big business are making too much money from the situation in Greece at the moment. Politicians are blind to this option as they do not have the BALLS to do what is necessary ! Puppet government of Germany and the US.

  2.  Virtually all your suggestions are terrible.

    If Greece leaves Euro it will bad for out economy for years to come. If you think austerity is bad wait till you see what happens when Greece’s ability to borrow money is revoked.

    As for tourism… as an industry is a terrible business. It is one of the reason Greece has remained an economic backwater. Do you advise your children to grow up to scrub toilets or to grow up and become engineers? Why are you saying our whole country should?

    This sort of “advice” is the sort of advice that  got Greece into this economic mess. We should be focusing on developing technology and manufacturing productivity not selling beads and trinkets to tourists like some third world nation.

  3. ” too many big business are making too much money”

    This is not the problem at all. The exact oppsite of your claims is true.  Businesses making money is what creates jobs for Greeks. If businesses aren’t making money is when there is no work. Don’t listen to the clueless commie populists. They have no clue what they are talking about.

  4.  In greece in particular we have far less big businesses than most of Europe. Most of our busineess are small busineses. This is a big problem because we cannot take advantage of productivity advantage that economies of scale brings. (why we don’t have any Greek Nokias, Ikeas, or Samsungs)

    Part of the problem is the bizarre commie claim that big business is bad for a country. They couldn’t be further from the truth.

  5.  Our problem is four fold.

    1. Our government needs to keep proper balanced books. Don’t spend more than we have.

    2. Our government needs to increase taxes (which hurts our ability to compete on international stage) but to collect taxes properly.

    3. Our economy needs to shift away from being an agricultural-tourist one that produces nothing… to a technology and manufacturing based one that produces goods in demand on the global stage.

    4. Greeks need to support Greek businesses that create jobs and wealth (not be anti-business like ranting parasitic communists that want to institutionalize theft)

  6. Sorry. Point three should say.  Our government needs to DECREASE taxes (which hurts our ability to
    compete on international stage) but to collect EXISTING taxes properly.(i.e. catch the tax cheats don’t burden those that pay fairly to make up for shortfall)

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