Re:Varoufakis reveals cloak and dagger 'Plan B' for Greece, ...
by mike_hearn on Monday July 27, 2015 @06:24AM
(#9954336)
> Here's a Greek expat trying to lay out what an orderly transition from Eurozone membership to a drachma economy would look like
He seems remarkably sanguine about the whole thing. He seems to think Greece only imports iPhones and other luxuries. In reality they import about a third of their food, they import electricity, oil, virtually all medicines. He mentions those are "cheap" but that's because the pharma industry was treating them as a charity case for the last six months.
Where I do agree is that Greece cannot radically increase exports simply by switching to their own currency and printing a lot of it. People aren't going to suddenly double their consumption of cheese if Greece halves their prices.
He seems remarkably sanguine about the whole thing. He seems to think Greece only imports iPhones and other luxuries. In reality they import about a third of their food, they import electricity, oil, virtually all medicines. He mentions those are "cheap" but that's because the pharma industry was treating them as a charity case for the last six months.
Where I do agree is that Greece cannot radically increase exports simply by switching to their own currency and printing a lot of it. People aren't going to suddenly double their consumption of cheese if Greece halves their prices.