I’m no economist so I won’t get bogged down in the detail (I’ll leave that to excellent commentators like Andrew Lilico) but as a person who is very politically aware and also as someone who works in the private sector where real economics exist, I think we are now looking at Greece leaving the Euro within months.
Greece is now being run by Germany – fiscal occupation you might call it – who have installed a puppet technocrat as prime minister having disposed the elected PM. Some might call that invasion and occupation by fiscal means. Greece looks worryingly like a former Soviet satellite state but this time it is the EUSSR. The Greek elite – i.e. the politicians – are desperately trying to stay in the club, the Euro club and the EU club by accepting ever more draconian austerity measures from their German masters but with no currency devaluation to ease the pain. Meanwhile, the Greek people are being economically tortured to financial death. Unsurprisingly, the Greek public have started to rise up with Athens set on fire on Sunday whilst the Greek Parliament rammed through the German austerity package.
This can’t go on. Germany is not saving Greece’s economy, instead Angela Merkel is trying to save the EU political project which has nothing to do with sound economic thinking. Greece must now prepare and implement an orderly exit from the Euro within the next six months, which, as Andrew Lilico told me last summer, will lead to Greece leaving the EU. Of course, there will be some pain for the Greeks whilst this transformation takes place but, boy, they will gain the rewards: exports will rocket (especially tourism), they will be able to devalue their currency (the New Drachma) and finally liberate themselves from German fiscal occupation.