Saturday, 11 July 2015

Daily Telegraph: Greece is a victim of its own cronyism and corruption

Daily Telegraph: Greece is a victim of its own cronyism and corruption

Article by Pavlos Eleftheriadis

The crisis of 2010 meant that Greece could not remain a member of the eurozone without opening up its economy and fixing its deep social injustices. Such reforms required trust, but there was none to be had. The governments of PaSoK and New Democracy largely balanced the books, but refused to destroy the privileges of the special interests that kept them in power. The government of Syriza also resists reform, ostensibly because of hostility to “capitalism”, but in reality because most special interests have switched their allegiance to Syriza as the real anti-reform party and the vehicle of a new cronyism. Hence, Syriza has done nothing to regulate the media oligarchs, open up the economy, or introduce meritocracy in the civil service. It even refused to introduce a universal unemployment benefit by way of a “minimum guaranteed income” as proposed by the EU.



Countries need to spend money on the right things. Going without an effective welfare state brings its own problems. Yeah, I know, we all link to articles that confirm our worldview and ideology. My own ideology is free-market capitalism plus a welfare state.

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