Decoding the Greek 'debt-crisis', the Kolkata way

The panel headed by economist Suman K Mukherjee also had Ajitava Ray Chaudhuri, Abhirup Sarkar and Suparna Pathak, Business Editor, ABP. They were joined by Rainer Schmiedchen, Consul General of Germany.

Mukherjee said, “Without any exceptions, all countries have learnt a habit of living beyond their means. They have learnt to create deficits, live with them and allow a drop in the value of their so called habit.”

He added, “The Euro was formed as a currency to counter the Dollar by not alike and heterogeneous countries. Greece went for huge expenses, not taking heed of all advice given to them and that has cost them heavily.”

Ajitava Ray Chaudhuri was of the opinion that Greece was not to be blamed alone for this state alone but countries like Germany, France and the UK should be made accountable for the crisis.

He said, “The worst hit in a situation like this is taken by the laborers of the particular country.”

Schmiedchen said almost 70 percent of the Germans opposed the idea of Euro when it was first introduced.

Sarkar said, “Greece spent more than they collected. Their debt was initially under reported.”

He also termed Greece’s 2010 bailout ‘so-called’, a hogwash for the normal public.

While answering a question about the similarity of India’s 1991 condition to that of Greece’s now, Sarkar said, “India by all means was independent and so it had the ability to take its own decision. Greece being a part of the European Union is slightly in a disadvantageous position, their freedom is curbed by this one factor.”

A bailout amount of $96 billion has been offered to Greece with stern conditions regarding their laws and reforms in the existing system.

(Reporting By Sudipto Maity)