This was supposed to be what they are good at. Yet what seems clear at this point is that there are just 2 choices for Greece:
1. Capitulation to all and any EU demands
2. Grexit
The trouble is that Tripas and his party had thought taht there was another option-
3. Staying on the euro but reaching a compromise with the EU
The trouble is that the EU is simply an extremely authoritarian regime.
So there is no 3. This took a long time for Tripas to figure out. I myself didn't get that either. Speaking from a Game Theory perspective, it would have been very helpful if Greece understood 3 sooner.
Whether your choice is 1 or 2 the longer you wait the more suboptimal the results will be. Right now a lot of analysts still think Grexit is coming in the near to medium future.
http://diaryofarepublicanhater.blogspot.com/2015/07/tripas-hands-over-his-own-political.html
That being the case, they'd be better Grexiting now than waiting 6 months, a year, 3 years. The longer the wait the worse it will be. In a way then the real GT point is make up your mind between 1 and 2 sooner rather than later.
Greece would have done much better with a Grexit in 2011 than now and it would be better now than in 1 to 3 years. On the other hand if they simply can't imagine leaving the euro then they should capitulate completely and totally now.
They are in worse shape now than they were 2 weeks ago prior to the referendum.
It isn't clear why Greece is still so under the spell to the 'European Idea' but they clearly are. Then there is the fact that the country is totally dependent on exports to these EU countries.
Still, the European Idea has allowed it to be totally blinded to its own real interests.
1. Capitulation to all and any EU demands
2. Grexit
The trouble is that Tripas and his party had thought taht there was another option-
3. Staying on the euro but reaching a compromise with the EU
The trouble is that the EU is simply an extremely authoritarian regime.
So there is no 3. This took a long time for Tripas to figure out. I myself didn't get that either. Speaking from a Game Theory perspective, it would have been very helpful if Greece understood 3 sooner.
Whether your choice is 1 or 2 the longer you wait the more suboptimal the results will be. Right now a lot of analysts still think Grexit is coming in the near to medium future.
http://diaryofarepublicanhater.blogspot.com/2015/07/tripas-hands-over-his-own-political.html
That being the case, they'd be better Grexiting now than waiting 6 months, a year, 3 years. The longer the wait the worse it will be. In a way then the real GT point is make up your mind between 1 and 2 sooner rather than later.
Greece would have done much better with a Grexit in 2011 than now and it would be better now than in 1 to 3 years. On the other hand if they simply can't imagine leaving the euro then they should capitulate completely and totally now.
They are in worse shape now than they were 2 weeks ago prior to the referendum.
It isn't clear why Greece is still so under the spell to the 'European Idea' but they clearly are. Then there is the fact that the country is totally dependent on exports to these EU countries.
Still, the European Idea has allowed it to be totally blinded to its own real interests.
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