Greece 's Impact On The Economy

The way to better the world is to go back to the past and learn the ways of those who came before and learned from their mistakes; sort of like time traveling. When going back in time and comparing the ancient civilizations of Rome and Greece to today, the root of our knowledge are greatly influenced on the minds who have lived at that time. Some may ask which civilization had the most impact on United States and the world? Many would say that the Romans had the most impact on United States and the world and some may contradict and say Greece had the most influence. However, Greece influenced the world and United States the most in tremendous ways. Greece gave the United States the influence to start it’s first

Ever since the end of 2009, Greece has been involved in a financial and economic crisis that has been record breaking and shattered world records in terms of its severity and worldwide effects. The Greek government, since the beginning of the crisis, has attempted to take several governmental measures to try and “stop the bleeding,” including economy policy changes, dramatic government spending and budget cuts and the implementation of new taxes for citizens. In addition to this, the government has tried to alter the perceptions of Greek government and economy by the rest of the world in an effort to appear both more liberal and more democratic. Greece has also been working to privatize many previous

The way to better the world is to go back to the past and learn the ways of those who came before and learned from their mistakes; sort of like time traveling. When going back in time and comparing the ancient civilizations of Rome and Greece to today, the root of our knowledge is greatly influenced on the minds who have lived at that time. Some may ask which civilization had the most impact on United States and the world? Many would say that the Romans had the most impact on United States and the world and some may contradict and say Greece had the most influence. However, Greece influenced the world and the United States the most in tremendous ways. Greece gave the United States the influence to start it’s first

Where they had not yet adopted the euro nor ascended into the union, Greece's public service sector (though accounting for half the countries GDP) was seen to seriously hinder any efforts to increase economic growth. But since accession, rapid mobilization of the economy has started to route out the stitches in the corrupt service sector (most reform has been in recent years though). But rapid economic reform didn't come directly after accession, for it wasn't until recently that Greece started better allocating EU subsidies. Until the country had finally set out to reform its poorly structured civil service sector, much of the subsidies were seen to be wasted on remedial government plans and initiatives such as increased electorate pay. Abuse of subsidies was recorded up until the early 90s, but since then Greece has seen considerable returns in foreign investments, and a marginal decrease in both the national debt and inflation rates . To better illustrate Greece's economic standing today, one might take note of the fact that the country is now in a position to distribute large amounts of aid (E.g., Bosnia- Herzegovina) while slowly relying less and less on EU subsidies. Many also believe that Greece's poor economic strategies in early years should serve as a lesson for future Balkan members awaiting accession into the EU as well.

Greece is one of many countries that have had its vicissitudes that have occurred frequently throughout history. There have been multiple leaders, wars, debts, and losses that have been recorded through history. Although Greece has had its many eras, “Each era has its own related sphere of interest.” (History of Greece). The complications that originated in ancient Greece are now reoccurring in present day to an extent. Fortunately, Greece is a country that is very strong; they are not afraid to fight for what they feel is right. It also helps that Greece stays out of any worldly dilemma that does not have anything to do with them. Of course, there have been times in which Greece has been defeated or taken advantage of, but the country did

Greece is a thriving country, but if it wasn’t for its beautiful islands, seas, and mountains, Greece would not be as strong of a country today. All these factors have helped Greece grow as a country. Throughout history, various mountains such as Mount Olympus and seas such as the Mediterranean have played an important role in the development of Greece history and culture.

The Golden Age of Greece is well known for its sculptures, buildings, rulers, and philosophies. Today, modern Greece is known for having economic crisis's as well as political turmoils. Greece's problems began when they joined the European Union. Greek drachma was officially replaced by the euro when they joined. Greece approved the euro in 2001, not knowing what they were getting in to. When the Prime Minister Konstantinos Karamanlis came to power he realized that the budget deficit was not 1.5%, but 8.3%. That outstanding amount greatly hurt the economy. By 2008, Greece's tax collection crumpled and unemployment was at an all time high. Unfortunately, by 2014, 30% of Greek's population did not have a job (Greece Debt Crisis). In contrast, today's Greece is a complete different from the Golden Age. Greek unemployment soared as austerity took its toll.

History tends to repeat itself and Greece is no exception. Greece’s current economic crisis can be partly blamed on Greek mythology. It can be seen with Greece’s prime minister Alexis Tsipras decisions in policy which have resulted in similar repercussions as the myths. For example,

With an area of roughly 131,957 square kilometers, approximately 50,949 square miles (“Greece Facts,” n.d.), Greece has been a predominant part of European history. This beautiful, ancient country is well-known for their vibrant history and enchanting Greek mythology. Today, however, Greece is more known for their deepening economic crisis. The tumultuous economic issues began around World War II as a result of the German occupation of Greece. Problems escalated following the occupation as the country fell into a civil war. "Communist and government troops tore the country apart."(Buchanan, 2015). In 1949, the government found themselves victorious but left with an economically broken Greece. Though the country is currently enduring hardships, there is still much hope for the future.

The roots of Greece’s economic problems extend deep down into the recesses of history. After the government dropped the drachma for the euro in 2001, the economy started to grow by an average of 4% annually, almost twice the European Union average. Interest rates were low, unemployment was dropping, and trade was at an all-time high. However, these promising indicators masked horrible fiscal governance, growing government debt and declining current account balances. Greece was banking on the rapid economic growth to build upwards on highly unstable foundations. In 2008, the inevitable happened – the Greek debt crisis.

In the academic paper Monetary Policy before and after the euro: Greece the author, Michael G. Arghyrou, asks the question of how Greece managed to join the Eurozone with very high inflation in the 1990’s. Arghyrou also discusses whether or not Greece’s economy fits the Euro Central Bank’s policies. The major conclusions from the study that are relevant to my study include: foreign markets have determined monetary policy in Greece since the 1990’s and Greece has not been compatible with the Eurozone policy since it joined in 2001.

According to the Central Intelligence Agency, located at the southern end of the Balkan Peninsula, including more than 2000 islands in the Aegean Sea and the Sea Ionic, with an area of 131,957 square kilometers and 11 million people, Greece, a European nation, exists, with a political parliamentary republican structure established since 1974 (CIA, 2014). Furthermore, and relevant to this analysis, more than half of Greece’s economic industry is concentrated in the metropolitan area of the capital, Athens, with activities dedicated in its majority to agriculture, tourism, construction, among others.

In 1999, ten European nations joined together to create an economic and monetary union known as the Eurozone. Countries, such as Germany, have thrived with the euro but nations, like Greece, have deteriorated since its adoption of the euro in 2001. The Eurozone was created in 1999 and currently consists of eighteen European nations united under the European Central Bank and all use the euro. The Eurozone has a one point six percent inflation rate and an eleven point six percent unemployment rate in 2014. Greece joined the Eurozone in 2001 and was the poorest European Union member at the time with a two point six percent inflation rate3 (James, 2000). Greece had a long economic history before joining the Eurozone. The economy flourished from 1960 to 1970 with low inflation and modernization and industrialization occurring. The market crash in the late 1970’s led Greece into a state of recession that the nation is still struggling with. Military failures, the PASOK party and the introduction of the euro have further tarnished Greece’s economic stability. The nation struggles with lack of competitiveness, high deficit, and inflation. Greece has many options like bailouts, rescue packages, and PPP to help dig it out of this recession. The best option is to abandon the Eurozone and go back to the drachma. Greece’s inflation and deficit are increasing more and more and loans and bailouts have not worked in the past. Leaving the Eurozone will allow Greece to restructure and rebuild

Greece’s financial crisis has been in existence for almost two decades, and unfortunately is still widely unknown what has caused this prolonged catastrophe. The general population does not necessarily know that this economic crisis originates to a mistake made years ago, not due to the recession in 2008 that an abundance of countries around the world suffered. Greece intended to join the Eurozone, a group of European Union nations whose currency is the euro, in 1999. Initially, Greece was denied admittance due to its poor economic standing. After approximately three years, Greece was able to pose a fabrication of its own economic success, constituting a healthy economy, and meeting all financial goals that existed (Hahn). Once admitted into the Eurozone, Greece maintained the lie they initially had created in order to keep the euro as its currency. As anticipated, Greece’s budget deficit increased exponentially and soon led Greece into a recession, in which promulgated the truth of its economic stability. Greece is at fault for its own economic crisis and if it did not join the Eurozone, there is a large probability Greece would be an economically stable country.

Although a commonly accepted view is that the hidden budget deficit in Greece is the beginning of the European sovereign debt crisis, the real causes of this economic crisis can be various. To reveal the whole event, a comprehensive review of the background is