I’m not a fan of the way Europe is handling the crisis in Greece at the moment. It’s almost as if they’re looking for a way to kick Greece out.
German leaders continue to put themselves on the front lines and now a rift has opened between the Greek public and Germany. It would have been better if Lagarde or Juncker or someone from an international body was the punching bag but the Germans don’t seem to care.
Today, Schaeuble is saying it’s easier to allow Greece to default now. What is the point of such a statement? All it will do is scare away PSI participants.
Now we have Juncker & Co. demanding that Greek politicians sign a pledge to implement austerity reforms. It’s a pointless exercise that has no legal backing. Whoever wins the next Greek election will do whatever he or she wants and some stupid signature won’t change that.
The only use for such a document would be to use it as an excuse to kick Greece out.
That’s still an outlying scenario at the moment, but we are almost at the point where we need to see some signal from Europe that it wants Greece to stay in the club. After a number of Greek politicians sacrificed their political careers to pass the austerity vote, it’s certainly disquieting how the EU continues to push.
