One Way Out For Greece

Greek opposition SYRIZA leader calls for snap polls

The head of the main leftist opposition SYRIZA, Alexis Tsipras, called on Saturday for the shaky coalition government to step down and pave the way for new elections, claiming that this was “the only way out” for a country seemingly condemned to endless austerity.
Speaking at a session of his party’s central committee, Tsipras likened the country to a victim bound to railway tracks with a train approaching, a “hostage to debt.”

Ex-SYRIZA leader launches pro-drachma party

Former SYRIZA leader Alekos Alavanos officially launched his new "Plan B" party, advocating Greece leave the euro and return to the drachma.
Alavanos led SYRIZA between 2004 and 2008 but has been mostly on the political sidelines over the last few years. Over recent months, he has criticized the party he used to lead, arguing that its goal of rejecting the terms of the EU-IMF bailout but remaining in the single currency was not credible.

My view:

SYRIZA is a political party that is the coalition of the radical left in Greece.  It is the largest opposition party and holds 71 of the country's 300 parliamentary seats.

As austerity continues to drive the people of Greece to desperation, it is likely that this major party will change its pro-Euro stance in the near future.

Mathematically, from figures calculated last year by your intrepid blogger, it is completely impossible for Greece to achieve any substantial reduction of its deficit with the Euro currency.  There is simply too much debt for the tax base to carry.

The solution, whether it comes from the radical left or extreme right, is to default on the Euro debt and return to the drachma.

Yes, Greece will be shut out of the bond market.

Yes, their European trade will be hindered for some time.

But, with wise decisions by national leaders, a foundation of economic growth can be laid to encourage development of viable industries.

Some that come to mind are; tourism, cement, food processing, pharmaceuticals, and olives.

Once the massive imports are reduced due to the lower buying power of the drachma, the trade deficit would disappear and the healing begin.

Sticking with the status quo simply means more years in an economic prison of hopelessness.