Euro Summit Statement & Views on Greece in Eurozone

All Plato's fault!

pdf file here

Keep Talking Greece asks some pertinent questions

"You cannot say no to the country of Plato" (see John Major article below; quoting France)

"Ce fut une erreur" (Nicolas Sarkozy, Le Monde, Friday 28 October).

(plus BBC coverage)

Comment from Greek Foreign Minister

Sir John Major has an interesting article in the Financial Times (October 27), "The price of the drift to fiscal union". He has some provocative things to say about Greece:

"Of course, it has behaved foolishly. But that does not mitigate the present pain. As salaries are cut, new taxes are imposed and other taxes rise. It is no wonder people are frightened. Some ask: why is Greece in the eurozone at all? The ease of her entry exemplifies the follies of the founders. France insisted: “You cannot say no to the country of Plato.” Maybe not, but every European is now paying the price for admitting an economically unfit nation to compete in the eurozone.

To safeguard the eurozone in the longer term requires a fundamental change of policy. It must become a fiscal union; a union of transfer payments to off-set regional disparities; or it must shrink. The latter option – essentially expelling Greece – has political consequences. There is no mechanism to do it. What would Greece’s future be? Would she remain democratic in the chaos that might follow? Pushing Greece out is not a risk-free option."
(I suggest you buy the Financial Times and read the full article, or register online).
It seems that Alan Greenspan holds similar views
as well as Nicolas Sarkozy  in Le Monde


Robert Peston, BBC blog