Leaving the Euro is supposed to be irreversible.
If a country did threaten to leave the Euro – it was argued it would lead to bank runs, loss of confidence, high unemployment and a serious recession.
But, what if you already have all of these components?
The Greek economy is in dire state. Furthermore, their main creditors are behaving with tremendous short-sightedness, ignorance or either vindictiveness. This is trying to put it politely.
Given how disastrously unsuitable the Greek economy has been in the Eurozone straight-jacket, now is the opportunity to take back economic and political freedom.
It’s not just about money. But, the latest demands of the troika should be impossible for any democratic government to accept.
New currency / devaluation is a possible new start
The fears of leaving the Euro and gaining a new currency are not without foundation. It will be very difficult, especially for a couple of years. But, countries do recover from devaluation. Countries do even recover from hyperinflation.
But, I’m not sure countries can recover from years / decades of austerity and giving all their economic sovereignty over to a foreign power.