Alexis Tsipras, leader of the anti-austerity party Syriza, is heading into the crucial Greek election on Sunday with a strong tailwind of support, leaving the 40-year-old the odds-on favourite to become the country's next prime minister.
By Liz Alderman Greece, the weak link in the eurozone, is struggling to pay its debt as its people and its creditors grow more restive. The tumult poses a challenge to the euro and the Continent's goal of economic unity. If Greece goes bankrupt or decides to leave the 19-nation eurozone, the situation could create instability in the region and reverberate around the globe. Q. What happened in Greece? A. Greece became the epicenter of Europe's debt crisis after Wall Street imploded in 2008.
Greece is hurtling towards a default if it can't get its hands on some bailout cash soon. The major sticking points that are preventing a deal are things like pensions and labour market reforms, where the Syriza-led government's priorities are most at odds with the rest of Europe.
By Joe Firestone, Ph.D., Managing Director, CEO of the Knowledge Management Consortium International (KMCI), and Director of KMCI’s CKIM Certificate program. He has taught political science as the graduate and undergraduate level and blogs regularly at Corrente, Firedoglake and Daily Kos as letsgetitdone.
After the fact it all seems so simple. Accordingly, the eurozone would have ended up with a different outcome if economists knew ahead of time the effects of a heavy dose of austerity. Specifically we are referring to the impact of so-called dynamic fiscal multipliers, the subject of a recent research report by Darren Williams and Dennis Shen, the European economist and research associate with Alliance Bernstein, a major institutional money manager.
A FIERCE debate is raging within Europe over the question of austerity. Some argue that countries within the euro zone, and on the periphery especially, have no choice but to embrace savage budget cuts. Others point out that the crisis is about more than just budget deficits, that some countries have room to cut less, and that austerity across the euro-zone as a whole should be pursued at a slower pace.
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