It is ranked as the 15th largest economy in the European Union, so it isn't as though the Euro won't be effected if Greece decides on a difference currency. It may be also Greece can remain a member of the European Union for security reasons and reclaim the Drachma.
They have an economy valued about $310 billion. It is ranked 35th largest economy globally with per capita income ranking of 33rd. Per capita is estimated at $27,000. Not bad. About 3,000,000 at rick for poverty. Sorry, that works out to be nearly 28% of the population which is ahead of the USA's 15% currently.
It may be Greece needs to take a look at 'the ease of doing business' in Greece. It is ranked 100th in the global economy which may mean it is even easier in Russia, which is notorious for its red tape. Sorry, for the pun, unintended. Russia is actually ranked at 120th. So, they live in about the same neighborhood.
The problem right now is there economy is shrinking, falling a little over 6 percent in the first quarter of 2012, with inflation at 1.9%. The inflation is not terrible, so they are doing something right.
If Greece decides to revert to the Drahma it won't destroy the country, it will remain sovereign and life will go on. What will happen is more external than internal. Those financing the debt of Greece will have a contracted value as they absorb the debt. On a global scale that is a pinch, but, not completely devastating. No one wants to see that happen and I am sure the Greek people hate this most of all, but, they need to uphold their country's strengths without destroying more of its economic viability.
The more people falling into poverty due to austerity the less viable the economy. The economies of 2012 rely on disposable income of people to purchase. China made its dramatic entrance into the global economy by offering goods to the world in a far less costly manner than any other country. In time, China's people will have generated their own per capita incomes to a much higher level and China will have internal economies no different than any other country in the world. But, a billion people are a lot of people to educate, train and bring up to speed for the economies of the world today. Greece doesn't have that problem and it is why the people are considering other measures.
The economies of Greece won't disappear. The tourism will still go on and the shipping will still be involved in nearly 20 percent of the global shipping capacity, but, what will change is a reverting of the country's wealth to maintain their educational systems and sustainable social structure rather than paying debt. Greece may have to move in that direction because the lending by the European Banks haven't even proven to be a stop gap measure. As soon as Greece finds its footing after making austerity real, the economy contracts again. It is caught in a vicious circle into a black hole and regardless of all the loans and austerity it may end up with this dilemma anyway.Greece is a magnificent country on a beautiful sea. It has been the center of culture and refinement dating back millennium and not simply centuries. That will never disappear and neither the people. It may be Greece is most correct, just as a Ron Paul supporter.
