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  • Impeccable analysis, Cartesian logic ang impeccable writing (in impeccable English, if you allow me to add). In fact, what has been going on with the Greek economy over the last semester is the chronicle of a death foretold. The choice is binary; orderly debt restructuring by agreement at the EU level (including a write-off of a significant part of the total debt’s present value) or disorderly default of individual Eurozone member-states, playing musical chairs, and eventual dissolution of the single-currency area. I tried to do my tiny part: I circulated your BBC article within a group of friends in the Hellenic Parliament. I hope that the political establishment will soon pay attention to your analyses and suggestions and take advantage of the country’s negotiating power within the Eurozone (a power stemming only from Greece’s participation in the Eurozone)and leave the road to economic and social perdition. Following the tenets of rational expectations, with forward-looking makets behaving here and now according to their expectations of the future, the current government alone is responsible for the debt crisis that erupted in early 2010. In that respect, the government’s strategic choice to call in the IMF, the ECB and the Eurozone largely predetermines its range of options. So, I doubt that it could reverse the downward course it set the country up on before a general election or its succession by a government coalition, according to article 37 of the Constitution. I conjecture that it lacks the credibility to undertake the urgently needed political initiative to, in fact, set the entire Eurozone on a fresh start, inauguarated with the earlier-mentioned EMU-wide orderly debt restructuring. But those are mere empty thoughts.Congratulations on your enlightened endeavour.

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